BOARD MEETING DATE: July 9, 2004
AGENDA NO. 3

PROPOSAL:

Execute Contract to Cosponsor Development and Demonstration of Natural Gas Hydraulic-Hybrid Refuse Collection Truck

SYNOPSIS:

Hybrid-electric passenger cars have been commercialized by Honda and Toyota which capture braking energy, store it electrically, and reuse it in propulsion with the use of electric motors. Hydraulic-hybrid systems are now under development which store braking energy as compressed gas and reuse this energy for propulsion through the use of special pumps in the drivetrain. Waste Management, Inc., in association with U.S. EPA, Parker Hannifin Corporation and Autocar LLC, is proposing the development and demonstration of a natural gas hydraulic-hybrid refuse collection truck. The total cost for this project is estimated to be $1,539,000. Staff is requesting Board approval to execute a contract to conduct this project at a cost not to exceed $250,000 from the Clean Fuels Fund.

COMMITTEE:

Technology, June 25, 2004, Recommended for Approval

RECOMMENDED ACTION:

Authorize the Executive Officer to execute a contract with Waste Management, Inc. to develop and demonstrate a natural gas hydraulic-hybrid system on a refuse collection truck in an amount not to exceed $250,000 from the Clean Fuels Fund.

Barry R. Wallerstein, D.Env.
Executive Officer


Background

Over 60 percent of the Basin’s NOx emissions inventory can be attributed to mobile sources, with heavy-duty trucks and buses accounting for approximately 20 percent of the NOx inventory. Low emission, alternative fuel heavy-duty engines have one-half or less the NOx emissions of their diesel counterparts and only a fraction of the particulate emissions. With these low emissions, natural gas engines have successfully been commercialized in the heavy-duty sector. Nonetheless, further reductions in NOx emissions and particulate are needed in the Basin to achieve the federal ambient air quality standards.

Hybrid technologies represent a method to further reduce emissions from existing low emission engines. Hybrid technologies use a combination of energy sources to propel vehicles, generally an internal combustion engine and another source. Honda and Toyota have commercialized hybrid-electric passenger cars, the Hybrid Civic and the Prius. During braking, these hybrid-electric vehicles capture energy normally lost as heat in conventional braking systems. An electric motor/alternator is used to slow the vehicle and generate electricity which is stored in a battery or capacitor pack. During propulsion, the stored electricity is used to power the electric motor and help propel the vehicle. Fuel economy and emissions can be improved by 25 to 40 percent. Wear and tear on the braking system is substantially reduced, further lowering operating costs.

In recent years, new types of non-electric, mechanical hybrid systems have been under development. One such technology is the "parallel hydraulic-hybrid" system, which uses a special hydraulic pump installed in the vehicle drivetrain, usually between the transmission and driveshaft. During braking, the pump slows the vehicle through pumping hydraulic fluid and compressing gas in a pressure tank. During propulsion, the process is reversed, pressure is released, and the hydraulic pump helps propel the vehicle. As with hybrid-electric systems, microprocessors control the energy collection and release based on the vehicle speed, brake pedal position, throttle position, and other factors.

A second type of mechanical hybrid system has also been under development. The "series hydraulic-hybrid" system does not use a driveshaft to connect the engine to the drive wheels. Instead, a hydraulic pump is connected to the engine. This engine-pump combination creates hydraulic pressure which compresses gas in a pressure tank. During propulsion, the pressure is released driving a second pump at the drive wheels. During braking, this second pump slows the vehicle by pumping hydraulic fluid and recompressing gas in the pressure tank. The advantage of the series hybrid-hydraulic system is that the engine can run in its most efficient and cleanest mode independent of vehicle speed. This results in improved fuel economy and reduced emissions, even more than the parallel hydraulic-hybrid system. The disadvantage is more complexity, although the system cost is equivalent to the baseline system with engine and automatic transmission. By incorporating a natural gas engine into a series hydraulic-hybrid system, extremely low emissions are anticipated.

Proposal

Waste Management, Inc., in association with U.S. EPA, Parker Hannifin Corporation and Autocar LLC, has proposed to develop and demonstrate natural gas series hydraulic-hybrid systems on two refuse collection trucks. The advantages are lower emissions, lower fuel consumption, and reduced brake maintenance.

This project will be completed through six tasks. In Task 1, the overall system will be modeled and defined. Under Task 2, technical system specifications will be established. Time-critical components will then be manufactured and procured under Task 3. In Task 4, a refuse truck will be assembled and the series hydraulic-hybrid system installed. The truck will be road tested under Task 5 and emission testing will be performed using a heavy-duty chassis dynamometer system. Lastly, in Task 6, the natural gas series hydraulic-hybrid refuse truck will be demonstrated up to 12 months in actual refuse collection service.

Benefits to AQMD

The proposed project is included in the March 2004 update of the Technology Advancement Plan under the project entitled, "Develop and Evaluate Heavy-Duty Hybrid Vehicles." The AQMP relies upon the expedited implementation of advanced technologies in Southern California to achieve air quality standards and to continue reductions in air toxic exposure.

The use of hydraulic-hybrid technology in refuse collection trucks is expected to reduce emissions by at least 25 percent. When applied to refuse trucks with modern natural gas engines (1.8 g/bhp-hr NOx), NOx emissions are reduced by about 0.1 ton per year per truck. If this technology is applied to refuse collection trucks with modern diesel engines (2.5 g/bhp-hr NOx), NOx emissions are reduced about 0.14 tons per year per truck. Emission reductions would be even greater if this technology were retrofitted to older trucks. Beyond this, fuel usage is expected to be reduced by at least 25 percent and brake maintenance reduced by more than 80 percent. Cost reductions with less fuel used and longer brake life could enable the hydraulic-hybrid technology to have lower overall cost than a conventional refuse collection truck. The life of refuse trucks in the Basin is about 12 years.

Sole Source Justification

Section VIII.B.2 of the Procurement Policy and Procedure identifies four major provisions under which a sole source award may be justified. This request for a sole source award is made under provision B.2.d.: Other circumstances exist which in the determination of the Executive Officer require such waiver in the best interest of the AQMD. Specifically, these circumstances are: B.2.d.(1) Project involving cost sharing by multiple sponsors.

This program is cosponsored by several entities, where AQMD’s contribution will be leveraged at a ratio of approximately 1 to 5. Project funding will be supplied by Parker Hannifin Corporation, Autocar LLC, and Waste Management, Inc. Parker Hannifin is a major manufacturer of hydraulic components and systems. Autocar is a manufacturer of the Xpeditor refuse collection truck. Waste Management is part of the largest refuse collection business in the United States. The U.S. EPA will be acting in an advisory capacity and provide critical system modeling.

Resource Impacts

Total cost for the proposed project is approximately $1,539,000. AQMD’s contribution from the Clean Fuels Fund shall not exceed $250,000. The total estimated cost-share for this proposed project is:
 

Parker Hannifin Corporation $690,000
Autocar LLC 509,000
Waste Management, Inc. 90,000
AQMD       250,000

Total

$1,539,000

Sufficient AQMD funds are available in the Clean Fuels Fund, which is established as special revenue from the state-mandated Clean Fuels Program. The Clean Fuels Program, under Health and Safety Code Sections 40448.5 and 40512 and Vehicle Code Section 9250.11, establishes mechanisms to collect revenues from mobile sources to support projects to increase the utilization of clean fuels, including the development of the necessary advanced enabling technologies. Funds collected from motor vehicles are restricted, by statute, to be used for projects and program activities related to mobile sources that support the objectives of the Clean Fuels Program.

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