Report Says Proposed GHG Rule Good for Bottom Line

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A report on the proposed Phase 2 greenhouse-gas rules found 87% of medium- and heavy-duty fleet operators surveyed earlier supported increased fuel efficiency and fewer emissions because the changes would also reduce what typically is trucking’s second-biggest expense, fuel.

Fleet operators worried most about the expected higher cost of new technology intended to boost fuel economy, but 89% said they would pay higher costs upfront if it led to overall savings, the report from Calstart, a national nonprofit organization from Pasadena, California, said.

“There is a payback from proposed higher fuel-economy rules, addressing a core fleet concern,” said Calstart, which works to accelerate the growth of the clean transportation technology industry.

Payback periods are largely dependent on how vehicles are used and their mileage driven or engine hours, but its report documented reasonable payback periods in all but a few cases, Calstart said.

Calstart is a member-supported organization of more than 150 firms, fleets and agencies worldwide, including FedEx Ground, Ford, Eaton, Pepsi Frito-Lay and Waste Management.  

The National Association of Fleet Administrators of Princeton, New Jersey, assisted with the report.

The Calstart survey included 45 members of the NAFA. Of these, 40% had between 100-500 vehicles, 29% had less than 50 vehicles and 14% had more than 1,000 vehicles.

Also, Calstart said fleet managers provided feedback on survey questions that would help identify the most important input elements to a life cycle cost model in addition to decision-making metrics for new vehicle purchases.

The Phase 2 proposal from the Environmental Protection Agency  and the Department of Transportation’s National Highway Traffic Safety Administration develops new GHG and fuel-efficiency standards for medium- and heavy-duty trucks that would begin in model year 2021 and culminate in standards for model year 2027.

Calstart released the report a day ahead of the public hearing beginning at 9 a.m. local time in Long Beach. The hearing will discuss the Phase 2 proposal. It can be accessed in listen-only mode by toll-free dial-in: (877) 396-8104 (for international callers: (720) 362-6938). Passcode: 29834687, then "#".