ALT Fuels Colorado Grants and State Tax Incentives. Cabell Hodge, Policy, Regulatory, and Emerging Markets Manager

Transcription

1 ALT Fuels Colorado Grants and State Tax Incentives Cabell Hodge, Policy, Regulatory, and Emerging Markets Manager April 11, 2014

2 The Colorado Energy Office Mission The CEO s mission is to improve the effective use of all of Colorado's energy resources and the efficient consumption of energy in all economic sectors, through providing technical fieldwork and guidance, financial support, policy advocacy and public communications. Vision The CEO s vision is to help Coloradans live more prosperous and healthy lives by promoting innovative energy production and efficient energy consumption practices that are beneficial to the economic and environmental health of the state. 2

3 Like the Nation, Colorado is Dependent on Oil Colorado s Current Energy Mix Balancing Colorado s Transportation Energy Mix CEO seeks to diversify Colorado s transportation fuel mix by helping the right consumers (fleet and individual) find the right energy solutions Benefits Energy security, lower consumer costs, improved environmental performance, and Colorado jobs 3

4 AFV Market Implementation Plan How do we get a sustainable market? Medium and heavy duty fleets are best sources of demand Station corridors are essential Build working relationships with communities, fleets, marketers, advocates, consumers, and others 4

5 CMAQ Funding ALT Fuels Colorado Grant Program $30M over four years; $10M in first year with roughly even installments over following three years. Approximately $15M each to stations and vehicles; CEO leads administration and station grants; RAQC leads vehicle grants. First year $7M to stations, $3M to vehicles to jumpstart stations; latter years lean more toward vehicles. 5

6 ALT Fuels Colorado Station Incentives Throughout State Front Range Over half of the state s existing stations Goal of 20 stations total in the nonattainment area Statewide Corridor Overcoming range anxiety is crucial to vehicle adoption Key station locations Goal of 50 stations statewide (including Denver Metro Area) new CNG stations Incentives Up to $500,000 for CNG stations; smaller grants available for colocated EV and propane stations Phase incentives down as market dictates 6

7 ALT Fuels Colorado Vehicle Incentives in Non Attainment Area Heavy Duty Vehicles Medium Duty Vehicles Light Duty Vehicles Technology Neutral Address absence of incentive for class with most demand/ quickest payback Wide variety of duty cycles and vehicle sizes that could support station buildout Most vehicles on the road are light duty NGVs Propane Vehicles EVs 7

8 Statewide Partnership Interest from fleets in the nonattainment area, cities and counties, and state agencies. CEO sponsored Refuel Colorado Fleet Coaching working to help fleets adopt alternative fuels across the state. 8

9 ALT Fuels Colorado Key Principles Reduction of NO x and other criteria pollutants. Development of publicly accessible station corridors across state. Local government and community support. 9

10 Station Grant Criteria Strategic locations that promote statewide fueling corridors Local government and community support Forecasted initial and 2 3 year demand Positive consumer experience 10

11 Station Grant Criteria (continued) Quality of application Well designed, well run stations Project match percentage Reasonable and timely plan for contracting, construction, and opening 11

12 Anticipated Timeline April finish contracting with CDOT Late April release RFA for stations Late May close station application period Mid June make selections and begin contracting August release RFA for vehicles 12

13 House Bill Bill Sponsors: Representatives Primavera, Scott and Senator Hodge Incentives for alternative fuel trucks Propane vehicles, NGVs (CNG and LNG), EVs, Hydrogen Cap on credits: $20,000 for heavy duty $15,000 for medium duty $7,500 for light duty trucks $6,000 for light duty passenger vehicles Fiscally Positive Amends outdated sales tax exemption for low emission vehicles 13

14 Existing Law Great incentives for light duty vehicles High adoption rates $6,000 cap on credits No inclusion of heavy duty vehicles Heavy duty vehicles use more fuel Higher economic and environmental benefits Outdated sales tax exemption Low emission vehicle standards are met by most medium and heavy duty vehicles sold Original goal of incentivizing cleaner trucks 14

15 Contact Us Colorado Energy Office (CEO) State of Colorado John W. Hickenlooper, Governor 1580 Logan Street, Suite OL1 Denver, Colorado Cabell Hodge The Colorado Energy 15