Where are we today? What percent of oil did the U.S. import in April 2011? 61% How many barrels of oil does that represent? 344,000,000 What percent of the worlds population is the U.S.? 4.5% What percent of the worlds oil does the U.S. consume? 24% Does that math work? 2
What did that cost the US? How much did we spend on foreign oil in April 2011? $42,500,000,000 $1,042,000,000 per day $43,417,000 per hour $983,000 per minute $16,400 per second 3
Who provides the U.S. with oil? 26% 22% 1/3 OPEC! 10% Source: EIA data for 2010 http://tonto.eia.doe.gov 42% 80% USA OPEC Mexico Canada OPEC: Algeria, Angola, Ecuador, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates, and Venezuela Rest of World 4
Barrels per/person/year Per Capita Oil Consumption 35 30 USA India China Japan 25 USA 20 15 10 5 0 Japan China India Rising standards of living and industrialization are on the verge of dramatically increasing per capita consumption in key emerging economies Source: Raymond James & Associates. Courtesy of Chesapeake Energy 5
150+ Year Supply and Growing 32 of 50 States Produce Natural Gas Cody Bakken Gammon Mowry Antrim Source: EIA Baxter/Mancos Mancos Lewis Barnett/Woodford Pierre Niobrara Barnett New Albany Haynesville Eagle Ford/Pearsall Floyd-Neal Marcellus Mulky 85% Fayetteville Woodford Natural gas producing state Non producing state Supply from U.S. 98% Supply is from N. America U.S. natural gas deposits are far more widespread and larger than U.S. coal deposits 6
Shale-Change the Market to U.S. Exporting Gas 7
Why Natural Gas in U.S.? Cheaper Cleaner & Greener American 8
Natural Gas is Cheaper Natural gas historically is $.50 to $1.00 cheaper than gasoline or diesel. In April 2011, price per gallon nationwide averages were: Gasoline Diesel Natural Gas $3.69 $4.04 $2.06 SOURCE: Dept of Energy: Clean Cities Alternative Fuel Price Report April 2011 9
Natural Gas Vehicle/Fuel Incentives Federal Tax Credit/Rebate $0.50 per GGE Expired at end of 2009 Tax extenders bill still in Congress Reinstatement questionable, but possible Alternative Fuel Vehicle Tax Credit NAT GAS Act & Supporting Legislation Rebates up to 80% of incremental NGV cost Fueling station tax credits Tax exempt bonds to finance NGV projects Tax credits to OEMs for producing NGVs Passing in some form is probable Tax credit/rebate could be added 10
Greenhouse Gas Emissions Greenhouse Gas Emissions (in grams CO2e/MJ) Data from the California Energy Commission and Used by CARB in Developing the Low Carbon Fuels Standard 95.9 94.7 68.0 72.4 11.3 15.56 Gasoline Diesel CNG LNG CNG from Landfill Gas LNG from Landfill Gas Heavy duty engines exceeding CARB 2010 NOx and PM standards since 2007 Pipeline CNG and LNG meet State s Low Carbon Fuel Standard definition of low carbon fuel Natural gas for transportation offers 23% to 80% GHG emission reductions today 11
Full Fuel Cycle Analysis: Well to Wheels (WTW) Source: Tiax LLC 12
Using Natural Gas to Diversify Fleet Fuels 98% Supplied from the U.S. and Canada Non-Renewable Sources (2,074 TCF) Renewable Sources (1,750 landfills) 22 Shale Basins in 20 States 118 years of Domestic Reserves 35% increase in Reserves in last 2 years Dairy Farm Waste Landfill Gas Digester Gas 13
Natural Gas Vehicle Landscape
Global NGV Momentum Av. growth since 2000 = 27%/yr Average 4,000 new NGVs on the road per day (past 5 years) Average 8 new NGV fuelling stations per day (past 2 years) Vehicle growth on par with projections made in 2006, despite recession in 2009 65 million NGVs (approx 9% of current world vehicle fleet size) projected by 2020 Natural Gas Vehicle Growth Worldwide 1991-2009 NGV Global 2010. www.iangv.org 12000000 10000000 8000000 6000000 4000000 2000000 0 Boston - August 2010 Page 15 15
Natural Gas Vehicles in U.S. There are about 112,000 NGVs on U.S. roads today and more than 12 million worldwide. There are about 1,000 NGV fueling stations in the U.S. and about half of them are open to the public. In the United States, about 30 different manufacturers produce 100 models of light, medium and heavy-duty vehicles and engines. Industry data shows that vehicular natural gas nearly doubled between 2003 and 2009. In 2010, natural gas displaced more than 350 million gasoline gallon equivalents each year. 16
NGV Options for all Applications Light Duty - - Medium Duty - - Heavy Duty 17
Fleets using Natural Gas in CA Yellow Cab San Francisco AT&T SuperShuttle UPS Republic Services Santa Cruz Transit SFO, SJC, OAK, SAC 18
NGVs vs Electric Fleet vs Consumer Application viability Product Availability Power source well to wheels Last year, the American Council for an Energy-Efficient Economy (ACEEE) ranked the natural gas-burning Honda Civic GX as the greenest vehicle of 2010. Well, that CNG-fed Civic, which is only available in a handful of states, has topped the charts yet again. 19
The Connection to Natural Gas Fueling
Clean Energy Fueling Infrastructure 21
Compressed Natural Gas (CNG) Basics Light, medium, and medium-heavy duty vehicles Gas delivered by pipeline to fueling station Same gas that heats homes & used for cooking Gas is compressed at the station to 3600 psi for dispensing Dispensed similar to gasoline Stored in 1 or more cylinders on vehicle 22
Liquid Natural Gas (LNG) Basics Ideal for heavy duty vehicles Storage volume is half of CNG System weight is less than CNG Pipeline gas cooled to -260F Produced at LNG plants Delivered in trailers to fuel stations Rapid fueling in about 5 minutes 23
The Clean Energy Solution Integrated fueling services: Turnkey station engineering/ construction, compressors/equipment, service/support, grants/finance with fueling contracts 24
Clean Energy Services Best in Class 25
Clean Energy (CE) North America s Largest Provider of Natural Gas for Transportation Headquartered in Seal Beach, CA CNG, LNG & BioGas production and services Over 500 fleets, 20,000 NGVs & 200 stations served Dallas Clean Energy Landfill gas recovery and production plant 35,000 gallons of BioGas gas per day BAF Technologies www.baftechnologies.com Ford QVM for light- to medium-duty NGVs E/F Series vans, buses & trucks, Transit Connect IMW Compression www.imw.ca CNG compressors and packaging Up to 300 horsepower, oil-free compression NorthStar LNG www.northstarlng.com LNG stations and maintenance 26
Fueling Services With more than 14 years experience, Clean Energy offers CNG, LNG and Biomethane under short- or long-term fueling contracts. CNG (compressed natural gas) fueling from pipeline natural gas or from LCNG supply LNG (liquefied natural gas) fueling delivered by tanker trailer for vehicle fueling or industrial use; plants in CA and TX, sourced nationwide RNG (renewable natural gas) derived from organic waste streams that can be delivered by pipeline for compression or liquefaction Variable- or fixed-rate pricing options 27
Engineering & Construction With numerous diverse stations built nationwide, Clean Energy provides best-practice approaches to each station project. Inhouse engineering Innovative, experienced CNG station design Licensed in 26 states Faster to open: standard designs, inhouse execution, factory-direct equipment sourcing 28
Compressors & Equipment IMW Industries With more than 1,200 units in 24 countries, IMW is a global leader in CNG compressor and equipment design, manufacturing and installation. Oil Free compression technology virtually eliminates fueling system and vehicle maintenance problems Manufacturing in North America and China Factory-direct sourcing provides seamless integration for station needs Custom configuration ensures optimum performance and reliability Lowest life-cycle costs 29
LNG Technology & Construction Northstar Having installed 70% of the LNG fueling stations in North America, Northstar is the acknowledged leader in LNG/LCNG technology and construction. Turnkey provider from design and permitting through construction and commissioning Factory-direct, proprietary equipment sourcing and manufacturing Low-cost, reliable station operation and maintenance 30
Service & Support With more than 200 fueling stations monitored nationwide, Clean Energy Sentinel Service provides 24/7 monitoring and response. From time & materials to all-inclusive, fixed costs Over 150 factory-trained technicians, not outsourced labor Remote equipment/station monitoring through two high-tech operations centers Multi-million-dollar inventory of critical items Best value, flexible service-level options and terms 31
Grants & Finance With more than $250 million secured, Clean Energy obtains valuable public/private financing for stations and fleets. Grant support at federal, state and local levels nationwide Funding for infrastructure construction and vehicle financing Clean Energy Leasing subsidiary provides fleet financing options 32
Vehicles & Conversions BAF With more than 12,000 vehicles on the road, technology leader BAF provides qualified and certified conversions in all states. Only QVM (Qualified Vehicle Modifier) certified by Ford with full factory warranty All engine families CARB- or EPA-approved Chosen by AT&T, Verizon for nationwide CNG van programs Service and support provided nationwide Only vehicle modifier conducting full crash tests on conversion vehicle types 33
Summary and Discussion Natural Gas is Today s Solution to: Fuel diversity Reducing our GHG emissions Increasing our energy independence Sheltering fleets from $? per gallon fuel Discussion What fuels are you using? What fleets are perfect for CNG? What does a station cost? What type of grants are available? What Can You Do? Demand alternative fuels From policy makers, vendors, service providers 34