HSL offers an environmental bonus to bus operators

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1 HSL offers an environmental bonus to bus operators Baltic Biogas Bus -seminar Innopoli Helsingin seudun liikenne -kuntayhtymä

2 HSL:s strategy Target 2018 Helsinki region has the most efficient transport system and the most satisfied users of public transport in Europe Strategic goals 1. Helsinki region has a well-functioning transport system 2. HSL provides its customers with high-quality, cost-efficient and reasonable priced public transport services 3. HSL promotes low-emission transport choices 4. HSL in an player on the field of transport policy 5. HSL s operations support its owner munisipalities and region s development targets 6. HSL has motivated and competent staff Basic task HSL provides extensive transport options and creates conditions for a viable and pleasant Helsinki region. Stakeholder expectations Owner municipalities Customers Business and industry Operators Civic organizations State administration

3 HSL's strategy for a lowemission transport The environmentally-friendly transport system is promoted in accordance with the HLJ Public transport frame is built upon rail West metro (Länsimetro) and Circle line (Kehärata) have been introduced Regional lines are changed to feeder Public transport emissions have decreased NOx-emissions - 80% particle emissions - 80% CO2 -emissions reduction target to be determined, maybe -50%

4 Public transport as part of the transport system The high market share of public transport is important Train service Metro Tram locally emission-free Bus service Works mainly with diesel fuel About 1400 buses, 100 CNG Half of public transport trips are made by bus

5 Regulation 1/2 RES-directive 2009/28/EC Sustainability criteria for biofuels Due to the Directive, Finland aims to achieve 38% biocomponent content of total energy Finland imposed a bio-obligation to transport fuel distributors 6% until 2014/2015, then increases to 20% by 2020 Waste based and the equivalents can be doubled when counted

6 Regulation 2/2 Directive 2009/33/EC on promotion of clean and energyefficent road transport vehichles Cost for emissions Domestic legislation in progress

7 Possibilities to influence the emissions of buses in the near future Normally, the emission reductions happen as the fleet is renewed. Relatively slow, since the bus holding period is 16 years. By changing the fuel for example, second-generation biodiesel or biogas emission benefits can be achieved by the whole bus fleet immediately. Emissions can be reduced effectively by adding the older buses with exhaust after-treatment devices.

8 Emission reduction bonus 1/2 Operators can get bonus, among others, for using a biofuel - biogas, biodiesel or bioethanol. Bonus is paid only for biofuels derived from waste. Operators can get bonus also for reducing the amount of fuel consumed and for more efficient exhaust gas purification.

9 Emission reduction bonus 2/2 Biofuels and other emission reduction measures are on equal terms, achieved result is what counts Does not limit the transparency and fairness of the invitation to tender Annually distributed and determined bonus allows flexibly to keep the model up to date The various measures of price and tax changes Technological advances and the follow-up measurements The emission calculation models and standards development; there is coming an updated Directive from the EU, which takes into account land-use impacts If necessary the growth of the bonus can be sped up or slowed down, depending on the results obtained

10 Bonus Model in practice Negative values of emission components measurable in euros CO2, NOx and PM can be treated in the same bonus sum, or carbon dioxide can be reserved its own quota depending on CO2 reduction target These weightings can be changed in the limits of the EU Directive Tendering can be arranged annually A simple price competition, bidding for contracts in excess of the new measures for emission reductions Tenders to be sorted out by the unit price, the bonus amount according to number of tenders approved However, for the after-treatment devices and other investments in the stock, the bonus is paid over several years (investment cost, payback period on the remaining contract period)

11 Bonus Model Effectiveness The likely policy proposals: Exhaust gas after-treatment devices to the old stock, effective in reducing local emissions Some waste-derived, paraffinic biodiesel, reducing carbon dioxide emissions and local emissions (limited availability) The waste-derived biogas to the current fleet, effective in reducing carbon dioxide The overall impact of EUR annual bonus might approximately be around - 5% CO2 and - 5% of local emissions

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