Financing Clean Transportation Projects:

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Financing Clean Transportation Projects
6th annual Sustainability Conference April 15,
2009 Raleigh , NC
NC Solar Center NC State University 919-513-7831
cleantransportation_at_ncsu.edu
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This Presentation

• Who we are,
• What is the CFAT Project
• CFAT II 2009-2012
• Federal and State Incentives
• Proposed State Incentives
• Resources

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Who are we?NC Solar Center

• Part of the College of Engineering at NC State
  University,
• Created in 1988 serves as a focal point for
  information, training, technical assistance
  deployment, demonstration and applied research
• Example programs solar, wind, biomass,
  sustainable building, combined heat and power,
  and clean transportation

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NC Solar Center/NCSU Clean Fuel Advanced
Technology

• Three year project focused on reducing
  transportation related emissions in 24 NC
  counties that do not meet national air quality
  standards
• Education Outreach- factsheets, events, annual
  awards ,technical assistance www.cleantransportati
  on.org
• 1.4 M Funding for transportation related
  emission reduction projects
• 2006 ,2007 2008 call for projects has
  resulted in 30 project awards including E85
  biodiesel infrastructure projects,
  hybrid-electric buses utility trucks, natural
  gas fueling vehicles, diesel retrofits,
  neighborhood electric vehicles and truck stop
  electrification
• funding has gone to public and private sector
  including local governments, national park, fuel
  distributors, service station owners and
  technology providers
• Collectively these projects will reduce over
  1.6 M kgs of regulated (CO, NOx, HC , PM) and
  unregulated emissions ( CO2) annually

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CFAT II 2009-2012

• 1.35 M is being awarded by NC DOT, DAQ and SEO
  to support an additional 3 years
• 957,000 will be available for emission reduction
  sub award grants
• - likely 2 call for projects 2009/10 2010/11

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Sponsored by

Partnerships Are Important

• CFAT is sponsored by NC DOT ( 1.6M) with cost
  share provided by State Energy Office (
  200,000) and Division of Air Quality (200,000)
• NC Solar Center/NCSU subcontracted with Triangle
  and Charlotte Council of Govts/Clean Cities for
  education and outreach
• Informal partnerships with other COGs and
  regional Air Awareness program
• Project grant recipients have also contributed
  over 1.2M towards emission reduction project (on
  average 40 cost share of total project costs)

With support from
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Eligible Projects AFVs

• Up to 80 of total purchase price for local/state
  govt or 80 of incremental cost for private
  sector purchase
• Alternative fuel vehicles- propane, natural gas,
  electric

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Eligible Projects Hybrids

• Up to 80 of total costs ( public) or incremental
  costs (private) for heavy duty hybrids vehicles
• LD vehicles ( such as Prius) MAY be eligible
• Final rules are in process
• Eligiblity is based on AQ benefits

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Eligible Projects Refueling Infrastructure

• Up to 80 of equipment and installation costs for
  electric, natural gas, propane, biodiesel
  (B20-B100) E85 refueling
• Both public and private entities eligible

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Eligible projects Idle reduction

• Auxiliary power units
• Truck stop electrification

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Eligible Projects Diesel Retrofits

• Oxidation catalysts
• Multistage filters
• Particulate filters
• Couple with crank case ventilation systems
• On road and road construction equipment eligible

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Eligible Technologies

• Personal transportation devices (Segways)
• Must be replacing or purchased in place of on
  road vehicles

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Air Quality Non-Attainment Areas

• Cabarrus, Catawba, Chatham, Davidson, Davie,
  Durham, Edgecombe, Forsyth, Franklin, Gaston,
  Granville, Guilford, Haywood, Iredell,
  Johnston, Lincoln, Mecklenburg, Nash, Orange,
  Person, Rowan, Swain, Union, Wake.
• Represents partial counties.

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CFAT Grant Evaluative Criteria

• Cost versus regulated emission reductions
• Cost-share contribution
• Reduction of non-regulated emissions
• Project feasibility/likelihood of success
• Public awareness/education
• Impact
• Diversity of projects

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Funding Opportunities

• State Energy Office State Energy Program Funds
  likely 12-15M available some of which will be
  for alternative fuel projects
• - NCSC has proposed 2M for a statewide CFAT
  project
• NC Division of Air Quality Mobile Source Emission
  Reduction Grants
• - Apply Oct 1-Dec 31, awards announced in March
• http//daq.state.nc.us/motor/ms_grants/

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New Federal Incentives Refueling

• Refueling infrastructure tax credit- up to 50 or
  50,000 for refueling infrastrucutre fo natural
  gas, liquefied petroleum gas, hydrogen,
  electricity, E85, or diesel fuel blends
  containing a minimum of 20 biodiesel placed into
  service on or after January 1, 2009. Consumers
  who purchase residential fueling equipment may
  receive a tax credit of up 2,000 for equipment
  placed into service after December 31, 2008.
• http//www.afdc.energy.gov/afdc/progs/fed_action_s
  um.php/afdc/US/0

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Federal Incentives Vehicles

• A tax credit for electric drive motor vehicle
  that that has at least four kilowatt hours of
  battery capacity, uses an external source of
  energy to recharge the battery, has a gross
  vehicle weight rating of up to 14,000 pounds, and
  meets specified emission standards.
• Minimum credit amount is 2,500, and the credit
  may be up to 7,500, based on battery capacity
  and the gross vehicle weight rating. The credit
  will begin to be phased out for each manufacturer
  based on vehicle sales and applies to vehicles
  acquired after December 31, 2009, and expires
  December 31, 2014.
• Through December 31, 2011, qualified plug-in
  electric vehicle conversions are also eligible
  for a tax credit for 10 of the conversion cost,
  not to exceed 4,000.
• Additionally, a tax credit of up to 10 of the
  cost of qualified low-speed electric vehicles,
  electric motorcycles, and three-wheeled electric
  vehicles, not to exceed 2,500, is available
  through December 31, 2011.

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Proposed NC Incentives

• Alternative Fuel Vehicle Refueling
  Infrastructure Tax Credit
• HB 606 905 ( Bryant, Tolson, Harrison) SB 842
  1066 (Albertson, Atwater, Davis, Dorsett, Goss,
  Jenkins, Kinnaird, Purcell,Stein, and Weinstein).
• HB 905 SB 842 follow federal tax credits
  providing an additional 25 tax credit on top of
  50 federal credit
• HB 606 1066 provide 30 tax credit for natural
  gas, propane, hydrogen electric refueling
• 2,000 tax credit for natural gas, electric,
  propane and hydrogen vehicles

LET SPONSORS KNOW THAT YOU ARE INTERESTED IN
THESE BILLS!!!
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State and Local Resources

• Clean Cities Coalitions Air Awareness Program
• Triangle Clean Cities Coalition
  www.trianglecleancities.org
• Centralina Clean Fuels Coalition (Charlotte)
  www.4cleanfuels.com
• Land of Sky Clean Vehicles Coalition (Asheville)
  www.landofsky.org
• Triad Air Awareness www.triadair.org
• State Energy Office www.energync.net
• North Carolina Solar Center www.cleantransportatio
  n.org

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Let Us Know How We Can Help

• Questions Comments
• Anne Tazewell
• NC Solar Center
• College of Engineering
• NC State University
• 919-513-7831
• Anne_tazewell_at_ncsu.edu