Propane Autogas: The only financially viable, clean ... · ThyssenKrupp Elevator Americas...

Propane Autogas: The onlyfinancially viable, clean, alternative fuel with a business case to prove it.

Clean & Green: Where Does Propane Come From?

• More than 90% of domestic propane consumed is produced in the U.S.

• One third of the world supply is produced in Texas

• More than 50% of U.S. propane comes from processing natural gas

Economic Justification: Comparison of Wholesale Pri ces

Economic Justification: Crude Oil Prices

When the economy rebounds crude will continue to rise.Can your budget handle $4.00+ gasoline?

Refueling Options: Fueling Your Fleet

• Install private scalable infrastructure for your fleet

• Fill at any Ferrellgas location nationwide

• On-site resupply via Ferrellgas delivery truck

• 24/7 emergency roadside assistance from Ferrellgas

Ford Assembly Plant, Wayne MI Positive Connections, MN Shell Gas Station, Phoenix, AZ

ROUSH CleanTech, MI Portland Schools, OR Prospect Schools, TX

Refueling Options: Dispenser Examples

Contact

Tony DaleNational Director of Autogas

[email protected]

www.FerrellAutogas.com

PROPANE AUTOGASFLEET IMPLEMENTATION:

What You Need To Know.

About ROUSH

Corporate Overview

Corporate Wheel of Capability

Alternative Fuel Fantasy…?

Fuel Costs:– Reduced by 30 to 40%– Positive ROI with or without government incentives

Origin– 97% from North America

Performance– Same horsepower, torque, towing capacity– No impact to payload / storage space

Service– Same warranty coverage– Same diagnostic equipment

Refueling– Third most-commonly available (behind gas & diesel)– Lower cost infrastructure than any other fuel

Emissions– 24% reduction in GHG– 20% reduction in NOX

PROPANE AUTOGASDELIVERS ON ALL OF THESE

ROUSH CleanTech Products

Liquid Propane Autogas Vehicles• Light & medium duty Ford trucks & vans, school bus• Factory Ford warranty maintained• No loss of HP / torque / towing capacity• Serviceable with existing diagnostic equipment• EPA & CARB Certified

Ford E-150 / E-250 / E-350 Ford E-350 DRW Cutaway For d E-450 DRW Cutaway Ford F-450 / F-550 Blue Bird Visi on School Bus

Picking a Partner

– Is it certified?– Is it tested?– Is it proven?

Technology Fuel Provider After The Sale

– Warranty– Serviceability– Customer Care

– Reliable– Infrastructure– Technology

Propane Autogas: Scalability

ECONOMIC SUSTAINABILITYPositive ROI, Even Without

Government Incentives.

ThyssenKrupp Elevator Americas

Tom Armstrong, Director of FleetOctober 3, 2011

GREENFLEET Conference 2011





� ThyssenKrupp Elevator Americas, is the largest producer of elevators in North America.

� over 14,000 employees� more than 200 branch and service locations� sales of over 2.5 billion US dollars

� ThyssenKrupp Elevator Americas is part of ThyssenKrupp Elevator AG, one of the leading elevator companies in the world.

� represented at over 800 locations in more than 60 countries� with nearly 40,000 employees� generated sales of approximately 7.0 billion US dollars

Its capabilities include passenger and freight elevators, escalators and moving walks, stair and platform lifts, passenger boarding bridges as well as quality service for all products.


Our Sustainability goal is to optimize the efficient utilization of all resources by using each to its fullest potential and by wasting nothing.

Our Values and Vision

Vision

Sustainability Values:

We recognize that we are a company rich in precious resources. Our resources begin with people and continue along the value chain to include innovation, materials, time and energy. Our Sustainability goal is to optimize the efficient utilization of all resources by using each to its fullest potential and by wasting nothing.


Our Challenge; applying this same philosophy to our Fleet and improving our carbon foot print

ThyssenKrupp Elevator Americas is an industry leader in sustainability for vertical transportation. With Fleet being a major contributor to our overall carbon footprint it was necessary to establish goals for environmental impact reductions.

� Identify and implement the use of alternative fueled vehicles.


Alternative Fuels

With all the choices it’s difficult to determine which direction to follow

Identify the best alternative fuel for our company


The Five C’s of Analyzing Alternative Fuel

C

C

C

C

CIs it

CLEAN?

Is it COSTeffective?

Does itCONSERVEresources?

Does it make COMMON SENSE?

Can you COMMIT?

ROI

?


Alternative Fuel Analysis

Fuel Clean Conserve Cost Effective Common Sense Commit

Bio Diesel N/A N/A N/A N/A N/A

CNG

E-85

Electric

Hybrid

Hydrogen

Propane

???? ????

????

???? ????

Propane is the only alternative fuel that qualified for all 5 Cs


Where we are headed

Seattle6 Vehicles

Los Angeles8 Vehicles

San Diego10 Vehicles

Phoenix19 Vehicles

Where we are today

ROI

Lower fuel Cost

Federal Grants

State Incentives

HOV Lane Access

Reduced Registration

Cost

Phoenix

ROI

Lower fuel Cost

Federal Grants

State Incentives

HOV Lane Access


Cost Los Angeles

ROI

Lower fuel Cost

Federal Grants

State Incentives

HOV Lane Access


Cost


Our vehicles go home with our drivers each night –this means we need local propane fuel infrastructure.


� Partnering with local suppliers is critical to the success of our program.


Phoenix Propane Fueling Infrastructure

We identify drivers operating in close proximity to existing and future fueling infrastructure

This same approach is used as we enter new markets

We target cities with existing propane infrastructure or work with suppliers to improve

infrastructure

Wayne CorumDirector

Equipment Services Department

City of Fort Worth

Fort Worth, Texas• Population: 746,290 (NCTCOG)

• 16th Largest City in the United States

• 5th Largest City in Texas

• 334 Square Miles (similar in size to NYC)

• Named an “All America City” in 2011

• County Population – 1.7 Million

• DFW Metroplex – 4 th largest metropolitan area in the United States (behind only NYC, LA and Chicago)

City Council Strategic Goals

• Fort Worth City Council has five strategic goals– Make Fort Worth the Nation’s Safest Major City– Improve Mobility and Air Quality– Create and Maintain a Clean, Attractive City– Strengthen the Economic Base, Develop the Future Workforce,

and Create Quality Job Opportunities– Promote Orderly and Sustainable Development

• Alternative Fuel Vehicle Program works to meet Strategic Goal of Improving Mobility and Air Quality

• Green Fleet Policy being developed in 2012

Fort Worth Fleet - Diverse

• Standardized Fleet– All or most vehicles similar– Risk: Total success or total failure– Easier to obtain economies of scale for savings and grants

• Diverse Fleet– Many types of vehicles in fleet (municipal fleets)– Risk: Minimal– Need to find right alternative fuel vehicle (AFV) for application– Few economies of scale – Few large grant opportunities

Propane Use History

• Began Propane Use in 1995• Result of 1992 Clean Air Act• Compared Propane to CNG

– Range– Fueling Infrastructure

• Built 5 sites initially

• Planned to convert 882 vehicles to propane– Bi-fuel – Dedicated

History• Discontinued conversions after 558 vehicles due to

performance issues– Starting vs. Operation– Performance

• Reinstituted propane conversions in 1998– OEM (Ford) conversions– Primarily on Ford F150– Compuvalve

• Ford conversions discontinued in 2005• Roush conversions began in 2010• 179 propane vehicles in current fleet

New Propane Effort• Roush Clean Tech• Converted two 2008 Ford F150 pickups to operate

on liquid injection systems• Roush donated one kit and the City purchased one• Training

– 4 Equipment Services mechanics– Texas Motors Ford mechanics

• The new technology – performed well for engine performance– Fueling infrastructure needs to match vehicle technology

• Lessons learned about fueling infrastructure

New Propane Effort

• Ferrellgas• Fuel provider• Fueling Infrastructure

– Ferrellgas assisted in upgrade– 5 fuel sites built originally– 4 current sites operational

• 1 upgraded in 2011• 3 scheduled for upgrade in 2012

• Connected to Fuel Management System– Fort Worth Fuel Warehouse system

Total Cost of Ownership

• Acquisition• Maintenance

– Warranty– Preventative Maintenance– Unique parts

• Availability• Cost

• Operation– Fuel Economy– Operator Acceptance

• Resale Value

Cost Savings• Two Ford F-150 Trucks• Used by Transportation/Public Works Department in their

Storm Water Division• June 2010 to September 2011• Miles Driven – 23,621 miles combined• Fuel economy

– 8.95 MPG vs. 12.01 MPG UNL

• Avg. Fuel Price (with $0.50 rebate)– $1.265 vs. $2.748 UNL

• Total cost savings vs. Unleaded - $1,907.09• Savings per mile - $0.081

Questions

American Residential Services LLC

Propane Autogas:Our Alternative Fuel of Choice

Green Fleet ConferenceOctober 3, 2011

40

American Residential Services LLC The Problem:Rising Fuel Costs

41

Fuel costs have risen $.60 to $1.00 / gallon year-o ver-year.

American Residential Services LLC The Problem:Rising Fuel Costs

42

�“What Can We Control?”� The type of fuel we use.

�“How Do We Gain Control?”� Find a new fuel type for the fleet.


�GPS, Route Optimization, Downsizing, Etc.� Minimal impact� Not as helpful for “on-demand” business like ours

�Fuel Types� EV� Hybrid� Diesel� CNG� Propane Autogas

43

Our Options:


Fuel Costs Infrastructure Load Storag e Range Vehicles

EV

Hybrid

Diesel

CNG

Propane Autogas

44

Fuel Type Analysis


�Meets All Requirements

�We’re a Ford Fleet Buyer

�OEM Solution� ROUSH CleanTech� Engineering Capability� Installation Ease� Component Fitment� Seamless

45

Decision: Propane Autogas


�Houston, TX� 22 Vehicles

�Large branch�Box trucks needed�Grant money available�Strong management team

�Sylmar, CA� 2 Vehicles

�Vehicle needs�Strong management team�Flexibility for new situations

46

Test Markets


�Important Traits of Test-Market Management Teams:� Trust� Good feedback� Flexibility � Able to handle new problems / issues� Comfortable in unfamiliar territory� Educated on processes

47

Test Markets


�Now:� Public refueling infrastructure� Fuel deliveries (2 – 3x per week)

�Future:� On-site infrastructure to be installed

�Challenges:� Non autogas-ready equipment� Payments (MCC codes)

48

Refueling


�Savings:� Summer: ~ $2.03� Summer: ~ $1.10 per gallon TX� Now: ~ $.75 per gallon TX� Now: ~ $1.95 per gallon CA� Total: Over $30,000 in savings since July, 2011

�Fuel Economy:� No real differences seen; 7 to 8 mpg average

�Positive Feedback (Unsolicited):� “Quieter”� “Less odor”� “More power”

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Refueling


�2012 and Beyond:� Targeting more vehicles for CA and TX� Adding over 100 vehicles in those two states alone� Reviewing additional markets / locations

�Basis for Expansion:� Incentives� Fuel costs� Vehicle needs

�Will continue to evaluate other alternative fuels based on company needs

50

Conclusion

Propane Autogas: The only financially viable, clean ... · ThyssenKrupp Elevator Americas...

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