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Ready To Roll: The Benefits of Today’s Advanced-Technology Vehicles for Rhode Island

2003-07-03

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News Release

Executive Summary

As the new home of RIPIRG's environmental work, Environment Rhode Island can be contacted regarding this report.

Despite tighter automobile emission standards over the last three decades, Rhode Island continues to face significant automobile-related air pollution problems. Increasing the use of advanced-technology vehicles—those that use cleaner, alternative fuels or new technological advances to achieve dramatically improved environmental performance—could alleviate the state’s air pollution problems while reducing Rhode Island’s contribution to global warming and enhancing the state’s energy security.

Policies such as the Zero-Emission Vehicle program (part of the Low-Emission Vehicle II emission standards adopted by California, Massachusetts, New York and other states) can help bring increased numbers of advanced-technology vehicles to Rhode Island.

Emissions from inefficient, polluting gasoline-powered vehicles pose serious threats to Rhode Island’s environment and economy.

Smog: During the summer of 2002, air pollution monitors in Rhode Island registered 29 exceedences of EPA health standards for smog on 17 separate days. Light-duty vehicles such as cars, pick-up trucks, minivans and sport utility vehicles (SUVs) are responsible for about one-fifth of all emissions of nitrogen oxides and one-quarter of all emissions of volatile organic compounds (VOCs) to the air nationally. Nitrogen oxides and VOCs are the chemical components of smog.

Global warming: Transportation is responsible for about 31 percent of Rhode Island’s emissions of greenhouse gases, which cause global warming. The majority of transportation sector emissions come from the burning of gasoline to power cars and light trucks. Global warming poses severe potential threats to coastal and forest ecosystems and public health in the state. Rhode Island has joined with other New England states and eastern Canadian provinces in committing to reduce greenhouse gas emissions to 10 percent below 1990 levels by 2020, with further reductions in decades to come. These goals, however, cannot be met without reducing emissions from the transportation sector.

Energy security: Rhode Island’s overreliance on inefficient gasoline-powered cars leaves the state susceptible to oil price spikes and supply disruptions. These problems will become more severe over the next several decades as global petroleum supplies tighten.

Advanced-technology vehicles can alleviate many of these problems.

Reduced air pollution: Advanced-technology vehicles can significantly reduce emissions of smog-forming pollutants and air toxics from Rhode Island cars and light trucks. The current generation of hybrid-electric vehicles—such as the Toyota Prius and Honda Civic —are approximately 90 percent cleaner than the average vehicle on sale in Rhode Island today. Clean conventional vehicles with state-of-the-art emission-reduction technology are now being manufactured that attain similar pollution reductions.

Lower greenhouse gas emissions: Advanced-technology vehicles can also reduce Rhode Island’s emissions of greenhouse gases, which cause global warming. Vehicles that take advantage of the benefits of hybrid-electric technology can produce about half as much global warming-inducing carbon dioxide per mile as conventional vehicles.

Improved energy security: Many advanced-technology vehicles also enhance Rhode Island’s energy security by improving fuel efficiency or using alternative fuels such as natural gas, electric power or hydrogen.

Several types of advanced-technology vehicles are "ready to roll," yet availability of these vehicles in Rhode Island is limited.

• Hybrid-electric vehicles: More than 65,000 hybrid-electric vehicles have been sold in the U.S. since 1999. As many as 60 percent of potential vehicle buyers in a recent survey stated that they would consider buying a hybrid, yet only three models of hybrid vehicles are currently available to Rhode Island consumers.

• Natural gas vehicles: More than 120,000 natural gas vehicles are currently on American roads in a variety of styles and configurations. Yet, only one automaker is thus far offering them for sale to the general public. Lack of refueling opportunities has hindered the further spread of these vehicles, and limitations in the supply of natural gas make them unsuitable as a long-term alternative.

• Clean conventional vehicles: Seven automakers now manufacture vehicles that meet California’s rigorous partial Zero-Emission Vehicle (PZEV) emission standards. However, most of these vehicles have only been made available to consumers in states that have adopted Zero-Emission Vehicle programs, and are not available to Rhode Island consumers.

• Battery-electric vehicles: Automakers have sold more than 10,000 zero-emission battery-electric vehicles to consumers in California and other states over the last decade. However, no major automaker is currently selling battery-electric vehicles to consumers.

• Other types of vehicles—such as “plug-in” hybrids and hydrogen fuel-cell vehicles—also show the potential for significant environmental benefits, but will require further research and development before they become commercially feasible.

The Zero-Emission Vehicle (ZEV) program would put tens of thousands of advanced-technology vehicles on Rhode Island’s roads by the end of the decade, at minimal cost to automakers and potential net benefits to consumers.

More clean cars: The ZEV program would require automakers to sell approximately 14,400 hybrid-electric vehicles and 78,700 clean conventional vehicles in Rhode Island between 2007 and 2011, with the numbers increasing over time.

• Low cost: Installing the technology to meet these targets would cost automakers approximately $3.65 million in 2007, increasing to $6.36 million in 2011. The incremental cost of the program in 2007 represents about 0.2 percent of sales by Rhode Island new-car dealers in 2001 and 0.0005 percent of the annual gross revenue of the six major automakers. Offsetting financial benefits stemming from technology improvements that can be exported to other vehicle lines, assistance in complying with other regulatory standards, and consumers’ willingness to pay more for some ZEV-compliant vehicles will reduce these costs further.

• Consumer benefits: Consumers are unlikely to be negatively affected by the ZEV program. Most automakers have chosen not to pass on the additional cost of conforming with PZEV emission standards. Should the cost of hybrid-electric vehicles decrease (as is anticipated), and gas prices rise, many consumers will see a net financial benefit from purchasing more efficient hybrid-electric vehicles.

Adoption of the combined Low-Emission Vehicle II and Zero-Emission Vehicle programs is essential to getting clean, advanced-technology vehicles onto Rhode Island’s roads.

• The ZEV program would ensure a consistent supply of clean vehicles for Rhode Island consumers, create economies of scale necessary to allow the construction of alternative-fuel infrastructure, set high standards for vehicle technology, and help guide the development of even cleaner automotive technologies in the years to come.

The goals of a ZEV requirement in Rhode Island are attainable, and achieving them would be beneficial to the state. To ensure successful implementation of the program, the state should take a leadership role in coordinating the expansion of alternative-fuel infrastructure and educating the public about clean cars, and work to secure resources to support those efforts.