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Natural Gas for Transportation in Wisconsin

Natural Gas for Transportation in Wisconsin. Maria Redmond Wisconsin State Energy Office. MG&E Breakfast Seminar Madison, WI April 25, 2013. Wisconsin State Energy Office (SEO).

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Natural Gas for Transportation in Wisconsin

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  1. Natural Gas for Transportation in Wisconsin Maria Redmond Wisconsin State Energy Office MG&E Breakfast Seminar Madison, WI April 25, 2013

  2. Wisconsin State Energy Office (SEO) The SEO works with policy makers, businesses interested in energy opportunities, innovators, public/private initiatives and federal agencies to implement cost‐effective, reliable, balanced and environmentally‐friendly clean energy projects. The SEO’s Mission is to invest in Wisconsin by: • Increasing energy efficiency; • Developing renewable and alternative energy sources; • Promoting energy-related economic development & jobs; and • Reducing reliance on imported oil. The SEO manages over $85 million in federal energy-related grants and loans Dane County Landfill Bio-CNG Station www.stateenergyoffice.wi.gov

  3. Economics: WI Petroleum Use • Wisconsin has no fossil fuel deposits • Wisconsin has one small oil refinery • Petroleum is Wisconsin’s largest energy expenditure Source: Wisconsin Energy Statistics 2010 Energy Expenditure Figure on Page 131 (right) www.stateenergyoffice.wi.gov

  4. Fossil Fuel use in Transportation 2011 On-road diesel consumption: 736.7 million gallons 2011 On-road gasoline consumption: 2.5 billion gallons Cost WI consumers $11.8 billion for gasoline and diesel ~$1.3 million (~11%) stays in WI Source: WI State Energy Office Annual Energy Statistics Report www.stateenergyoffice.wi.gov

  5. Wisconsin Registered Vehicles Source: *As of March 2012, State Energy Office/DMV Registration Database www.stateenergyoffice.wi.gov

  6. Natural Gas www.stateenergyoffice.wi.gov

  7. Benefits and Considerations Energy Security • Plentiful in U.S. • Existing infrastructure (distribution) • US largest producer Driving Range • Shorter than gasoline • Comparable power and speed Public Health and Environment • Lower greenhouse gas (GHG) emissions • Lower particulate pollution • Lower carcinogens Deployment • Proven and established • 120,000+ natural gas vehicles in U.S. www.stateenergyoffice.wi.gov

  8. Energy Security • New technology has unlocked natural gas from shale; production has increased dramatically – 100 years www.stateenergyoffice.wi.gov

  9. Basics: CNG and LNG Compressed Natural Gas (CNG) • Stored in onboard tanks under high pressure • Fuel economy similar to gasoline • 1 GGE = 5.7 lb CNG Liquefied Natural Gas (LNG) • Kept at cold temperatures • Stored in double-wall, vacuum-insulated pressure vessels • Heavy-duty vehicles • 1 GGE = 1.5 gal LNG www.stateenergyoffice.wi.gov

  10. Basics: Natural Gas Vehicles Dedicated Natural Gas Vehicles (NGV) • Run only on natural gas • Better performance • Lower emissions Bi-fuel NGVs • Two fueling systems • Natural gas • Gasoline • Fueling flexibility Dual-fuel NGVs • Run on diesel and natural gas • Heavy-duty vehicles only

  11. Basics: Natural Gas Vehicles

  12. Fleet Applications Light-Duty NGVs • Suitable for light-duty needs in private and government fleets • Honda Civic GX Medium-Duty NGVs • Vans and shuttles • Airports and taxi fleets Heavy-Duty NGVs • Refuse haulers • Transit buses • School buses • Long-haul trucks • Street sweepers • Snowplows • Short-haul delivery trucks Natural Gas Vehicles for America www.ngvamerica.org

  13. Best CNG Applications • High fuel use vehicles with return to base operations • Repetitive route • Pre-set geographic operating areas • Fleet implementation will drive consumer market as infrastructure becomes available www.stateenergyoffice.wi.gov

  14. CNG Fueling Time-Fill Fueling • Good for centrally-based fleets with consistent schedules • CNG is dispensed slowly, often overnight • Lower cost investment Fast-Fill Fueling • Fueling takes place in minutes • Necessary for public-access stations • Good for vehicles with little downtime Combo-Fill Fueling • Time-fill and fast-fill • More flexibility in fueling www.stateenergyoffice.wi.gov

  15. Wisconsin CNG Stations • 26 public CNG stations throughout the state. • 6 private CNG stations • - 2 private biogas stations • 1public LNG stations • Anticipate 200-300 new station within the next 5 yrs Wisconsin CNG Station Map Source: USDOE EERE Alternative Fuels Data Center www.stateenergyoffice.wi.gov

  16. Economics: WI Transportation • Gasoline/Diesel Prices create uncertainty for fleets due to price volatility • Current natural gas prices are dramatically lower than petroleum fuels • Recently extended0.55 per gallon tax credit has also driven down prices CNG Prices 9/12/12 Source: CNGPrices.com www.stateenergyoffice.wi.gov

  17. Wisconsin’s Role Natural Gas is an attractive energy source from an economic, energy security and environmental perspective So why didn’t everyone get here on natural gas? Domestic natural gas supplies have only increased recently Limited OEM and conversion options for vehicles It will take some time to overcome the problem of supply (retail infrastructure) and demand (vehicle availability) to meet the needs in the marketplace www.stateenergyoffice.wi.gov

  18. State Programs to Support Advances in Transportation Fuels and Vehicles www.stateenergyoffice.wi.gov

  19. NEW! Forwarding Wisconsin's Fuel Choice • $500,000 award from USDOE Clean Cities Grant Program • Program Team – SEO, Wisconsin Clean Cities and WI Technical College System • Goals to expand alternative fuels use by: • Expand accessibility to alternative fuels off highways; • offer training for first responders, public safety officers, and permitting officials; and • assist public fleets in developing and implementing petroleum reduction strategies and policies. • Launch in Q1 2013 www.stateenergyoffice.wi.gov

  20. Wisconsin Clean Transportation Program • $300 million USDOE Clean Cities Grant Program • 25 awards across the US, WI received largest award • $15 million awarded to WI • 36 partners, 315 vehicles, 18 alternative fuel locations • Additional $17 million leveraged by public and private fleets • Goals: • Reduction of Petroleum Use in Transportation • Cleaner Air Through Reduced Emissions • Acceptance of Alternative Fuels • Acceptance of Advanced Vehicle Technology www.stateenergyoffice.wi.gov

  21. More Information • Wisconsin State Energy Office • www.stateenergyoffice.wi.gov • Wisconsin Clean Cities website • www.wicleancities.org • Alternative Fuels & Advanced Vehicles Data Center • www.afdc.energy.gov Natural Gas Vehicles for America • www.ngvamerica.org www.stateenergyoffice.wi.gov

  22. Thank you! Maria Redmond maria.redmond@wisconsin.gov 608-266-1521 www.stateenergyoffice.wi.gov

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