1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010

Transcript of 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

Page 1: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

1

ZEV Regulation 2010Staff Proposal

Public WorkshopNovember 16, 2010

Page 2: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

2

Overview

2012-2014: Minor clarifying changes

2015-2017: Minor changes, some provisions extended

2018 and Beyond: Major changes

Page 3: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

3

Guiding Principles

2050 Target requires a critical mass of vehicles by 2025

2025 Volume = high enough production to reach inflection point on cost curve

Total ZEV program vehicle % of new sales is consistent with market demand

Vehicle technologies are common in market place – i.e. multiple ZEV platforms

Page 4: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

LDV On-Road – 2050 Scenario 2

0

10,000,000

20,000,000

30,000,000

40,000,000

2000 2010 2020 2030 2040 2050

Year

LDV

On-

Roa

d V

ehic

les

All ICEs (SI, CI, FFV)

PHEVs

FCVs + BEVsHEVs

79%

4

Page 5: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

Likely Compliance ScenarioMin ZEV Compliance with expected FCV/BEV split

0

50,000

100,000

150,000

200,000

250,000

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

Annu

al V

ehic

le S

ales

3%

6%

9%

12%

14% of 2025 New Vehicle Sales

FCVs

BEVs

TZEVs

15%

5

An

nu

al %

of N

ew

V

eh

icle

Sale

s

Page 6: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Likely Compliance Scenario

2018

2019

2020

2021

2022

2023 2024

2025

ZEV Credit %

6.12%

8.16%

10.20%

12.24%

16.59%

18.96%

21.33%

23.70%

ZEV % 3.06%

4.08%

6.12%

8.16%

11.85%

14.22%

16.59%

18.96%

TZEV % 3.06%

4.08%

4.08%

4.08%

4.74%

4.74% 4.74% 4.74%

# ZEVs 21,864(1.5%)

29,626(2%)

45,114(3%)

59,702(4%)

75,781(5%)

92,334(6%)

110,188(7%)

127,162(8%)

#TZEVs (35

mi)

59,471(4%)

80,584(5.5%)

81,807(5.5%)

81,195(5.5%)

95,787(6%)

97,258(6%)

99,484(6%)

100,458(6%)

Total Vehicle

s

81,336(5.5%)

110,210(7.5%)

126,922(8.5%)

140,897(9.5%)

171,568(11%)

189,592(12%)

209,672(13%)

227,621(14%)

Page 7: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

Min ZEV Compliance (350 Mi FCV)with Max TZEV Compliance

0

50000

100000

150000

200000

2018 2019 2020 2021 2022 2023 2024 2025

Annu

al V

ehicle

Sal

es

3%

6%

9%

12%

FCVs

TZEVs

11% of 2025 New Vehicle

Sales

7

An

nu

al %

of N

ew

V

eh

icle

Sale

s

Page 8: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

Min ZEV Compliance (100 Mi BEV)with Max TZEV Compliance

0

50000

100000

150000

200000

250000

300000

350000

2018 2019 2020 2021 2022 2023 2024 2025

Annu

al V

ehicle

Sal

es

3%

6%

9%

12%

15%

18%

21%

BEVs

TZEVs

18% of 2025 New Vehicle

Sales

8

An

nu

al %

of N

ew

V

eh

icle

Sale

s

Page 9: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

Max ZEV Compliance (No TZEV)With Expected FCV/BEV Split

0

50,000

100,000

150,000

200,000

2018 2019 2020 2021 2022 2023 2024 2025

Annu

al V

ehicle

Sal

es

9% of 2025 New Vehicle

Sales

*Assumes NO TZEV Compliance

3%

6%

9%

12%

An

nu

al %

of N

ew

V

eh

icle

Sale

s

FCVs

BEVs

9

Page 10: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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New IVM/LVM & Ownership Definitions

IVM definition: less than 20,000 vehicles on annual average

Ownership: owned 33.4% or more by another, sales aggregated for size determination

Page 11: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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LVMs and IVMs (Status)Continuing IVMs Subaru Volvo Mitsubishi JLR

* Continuing IVMs will be able to fully comply with TZEVs

Transitioning LVMs BMW (2012) Daimler (2016) VW (2018) Mazda (2018) Hyundai (2018) Kia (2018)

LVMs Toyota Honda Nissan GM Chrysler Ford

Page 12: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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IVM Requirements

2015 through 2017 Currently: 14% credit requirement Proposal: Reduce credit requirement

to 12% PZEVs = 60% of IVM new vehicle sales

2018 through 2025 Intermediate volume manufacturers

can meet their entire requirement with TZEV credits

Page 13: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Possible Ramp-In Options

Continuing IVMs and Transitioning LVMs

1. No cap for converted PZEV credits in 2018 and 2019 for IVMs, so that their entire requirement could be met with converted credits

2. Only 75% reduction to upgrade from PZEV to TZEV

Page 14: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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ZEV Credit Factors

2012-2017: No change 2018 and beyond: Credit based

on range only Credit range between 1 and 4 ,

with 50 mile (UDDS) min, and 350 mile (UDDS) max

Page 15: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

ZEV Credits

0

1

2

3

4

5

6

7

8

0 50 100 150 200 250 300 350 400

UDDS mi Range

Cre

dit

((<

=20

17)/

201

8/ P

rop

ose

d L

inea

r 1-

4)

CityEV UDDS= 50C= 2 / 1

FCV UDDS= 200C= 5 / 3 / 2.5

Leaf UDDS=100C= 3 / 1.5

FCV UDDS= 350C= 7 / 3 / 4

iMIEV UDDS>= 75C= 2.5 / 1.25

Existing 2009-2017

Existing 2018+

NEW Credits (1-4)

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Page 16: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Placed in Service (Current)

Review: ZEVs receive 1 credit for being delivered for sale, and receive additional credits after being placed in service

Review: NEVs must be placed in service

Page 17: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Placed in Service (Proposed)

2018 and Beyond: NEVs required to be placed in

service ZEVs no longer required to be

placed in service Manufacturers are to submit list

of VINs for ZEVs delivered for sale

Page 18: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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TZEVsThe New Enhanced AT PZEVs

Definition TZEV = Transitional Zero Emissions

Vehicle Requires use of a ZEV fuel

Electricity (PHEV) Hydrogen (dedicated)

Meets SULEV emission level 15yrs/150k mi Emissions Warranty 10yrs/150k mi Battery Warranty Earns at least 0.5 credits

Page 19: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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TZEV Credits Simplify credits by eliminating low fuel cycle

emissions allowance and advanced componentry allowance

Adjust overall credit range Current: 1-2.5 credit Proposed: 0.5- 1.25 credit (*considering lower min

credit)

HICEs must have 200 mile range and receive 0.75 credits Plug-in HICE Credits = 0.75 credits + zero emission

VMT allowance Total credit will not exceed 1.25

Page 20: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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PHEVsQualifications: >=50kWe (electric kilowatts) drive Traction Drive System voltage >=60 EAER (equivalent all electric range) >=10 miles

(unadjusted UDDS range) All consumer accessible operating modes must be

recharge dependantCredits:Based on UDDS Credit = [UFRcda-d

*ERF*C1] + C2Based on US06 Credit = [UFRcda

*ERF*C1] + C3

UF = Utility Factor, based on range

Rcda-d=Discounted Range Charge Depletion Actual

ERF = Electric Range Fraction (EAER/Rcda)

C1= 1.5 C2=0.136 C3=0.236

Page 21: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

Proposed TZEV-PHEV Credit VS UDDS Miles (6e)

0.0000

0.2000

0.4000

0.6000

0.8000

1.0000

1.2000

1.4000

1.6000

0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 100.0

Miles, Rcda, UDDS cycle (US06 values converted to UDDS by 1.33X factor)

Cre

dit UDDS Curves

(80%/ 90%/ 100% ERF)

US06 Option

Chevy Volt (?)

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Page 22: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Advanced Componentry Allowance

Eliminating Type C advanced componentry allowance after MY 2011

Page 23: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Travel Provision

Type I, I.5, and II: extended through 2017 MY, sunset in 2018 MY

Type III: no change, sunset in 2018 MY

Type IV and V (ie. Fuel cell vehicles): travel until sufficient complimentary policies established in S177 states

No travel for TZEV, AT PZEV, or PZEV

Page 24: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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ZEV Bank

For simplification, NMOG no longer used in ZEV bank accounting

Process: After 2013 MY reporting is complete,

manufacturers’ bank balances will be divided by 0.035

In 2014 MY and beyond, transactions with the ZEV bank will be in terms of ZEV credits

Page 25: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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PZEV and AT PZEVs

PZEVs and AT PZEVs will remain as compliance options in regulation through MY 2017

Only TZEVs and ZEVs will remain in the ZEV program 2018 and beyond

Page 26: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Historical Credits

Historical PZEV and AT PZEV credit banks converted after MY 2017 compliance

PZEVs: 93.75% Discount Example: 60 PZEVs = 1 TZEV

AT PZEVs: 75% Discount Example: 5 AT PZEVs = 1 TZEV

Converted credits: only able to fulfill 50% TZEV category IVMs allowed to fulfill entire requirement

with converted credits through MY 2019

Page 27: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

Likely Compliance ScenarioMin ZEV Compliance with expected FCV/BEV split

0

50,000

100,000

150,000

200,000

250,000

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

Annu

al V

ehic

le S

ales

3%

6%

9%

12%FCVs

BEVs

TZEVs

15%

5

An

nu

al %

of N

ew

V

eh

icle

Sale

s

Up to 50% of TZEV – Converted Credits

Page 28: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Advanced Demonstration CreditsCurrent: Available for TZEVs and ZEVs (Type I - V) Advanced Demo (AD) credits set to

expire after MY 2014Proposed: Sunset TZEV AD Credits after MY 2014 Extend AD Credits for ZEVs (Type I – V)

through MY 2017 Sunset AD Credits for ZEVs at end of MY

2017

Page 29: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Transportation System Credits

Lessen value of TS Credits for MY 2015-2017

Sunset TS Credits for ZEVs and TZEVs at end of MY 2017

2015-2017 Shared Use, Intelligent Technologies

Linkage to Transit

TZEVs 0.50 0.50

ZEVs 0.75 0.75

Page 30: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Charging Requirements

Updating 1962.2 to reflect charging requirements for all ZEVs SAE J1772 - January 15, 2010

Version Effective MY 2012 Required for all MY 2014 and

beyond NEVs

Page 31: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Penalty Equation

1 Full ZEV Credit = $5000 PenaltyDRAFT Regulatory Language:2012-2013 (No. of ZEV credits required to be generated

for the model year) – (Amount of ZEV credits submitted for compliance for the model year) / (the fleet average requirement for PCs and LDT1s for the model year)

2014 + (No. of ZEV credits required to be generated

for the model year) – (Amount of ZEV credits submitted for compliance for the model year)

Page 32: 1 ZEV Regulation 2010 Staff Proposal Public Workshop November 16, 2010.

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Contact Us

Anna Wong

Lead ZEV Staff

Air Pollution Specialist

916-323-2410

[email protected]

Elise Keddie

ZEV Section Manager

916-323-8974

[email protected]