Financing the Infrastructure to Support Alternative Fuel Vehicles: How Much Investment is Needed and How Will It Be Funded?



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APPENBDIX A: ABBREVIATIONS


Abbreviation

Term

AFV

alternative fuel vehicle

AVTM

Advanced Technology Vehicles Manufacturing loans (USA)

B20

a blend of biodiesel (20%) and diesel (80%)

BEV

battery electric vehicle

BNDES

Brazilian Development Bank

CAFE

Corporate Average Fuel Economy (USA)

CFOR

Clean Fuels Outlet Regulation (California)

CH4

methane

CNG

compressed natural gas

CO2

carbon dioxide

DOE

U.S. Department of Energy

E85

a blend of ethanol (85%) and gasoline (15%)

EEG

Renewable Energy Sources Act (Germany)

EIB

European Investment Bank

eTec

Electric Transportation Engineering Corporation

Flex-fuel

flexible fuel

GGE

gasoline gallon equivalent

GHG

greenhouse gas

GWh

gigawatt-hour

H2

hydrogen

H2O

water

HEV

hybrid electric vehicle

ICE

internal combustion engine

kW

kilowatt

kWh

kilowatt-hour

LNG

liquefied natural gas

MLP

master limited partnership

N2O

nitrous oxide

NOx

nitrogen oxides

NPC

National Petroleum Council

PEV

plug-in electric vehicle

PHEV

plug-in hybrid electric vehicle

PPP

public-private partnership

Proalcool

Programa Nacional do Álcool (Brazil)

PSI

pounds per square inch

REIT

real estate investment trust

RFS

renewable fuels standard

SMR

steam methane reforming

VOCs

volatile organic compounds

APPENDIX B: COMPARISON OF GHG EMISSIONS FROM AFVS


Each of the alternative fuels discussed in this paper (i.e., compressed natural gas, electricity, hydrogen, and ethanol) has the potential to displace petroleum use and reduce GHG emissions. The environmental effects of AFVs vary by technology type. While AFVs powered by electricity or hydrogen may have no tailpipe emissions, every fuel type is responsible for some amount of emissions from a lifecycle perspective.190

While natural gas is a fossil fuel, compared with vehicles that rely on diesel and gasoline, natural gas vehicles produce lower levels of some types of emissions. Vehicles powered by CNG emit approximately 6 – 11 percent less lifecycle GHG emissions compared to gasoline-powered vehicles.191

Lifecycle emissions of PEVs vary drastically depending on how the electricity used for charging is generated: PEVs produce fewer lifecycle GHG emissions using electricity from power plants using relatively cleaner fuels (e.g., nuclear, renewable, and hydroelectric power plants), than they do when they rely on fossil fuel plants (e.g., coal, oil, or natural gas). Depending on the mix of fuels used to produce electricity, typical estimates suggest that BEVs could reduce GHG emissions by 20 – 50 percent and PHEVs could reduce GHG emissions by 20 – 60 percent, compared to gasoline vehicles.192

Hydrogen can be produced from many different energy resources, and its lifecycle GHG emissions vary widely depending on how it is produced. Hydrogen fuel cell vehicles reduce GHG emissions by 30 – 55 percent with hydrogen produced using SMR (natural gas feedstock) and up to 95 percent using hydrogen produced from renewable feedstocks.193

Ethanol releases GHGs when it is used to power vehicles, but unlike the fossil carbon released by petroleum-based fuels, much of the CO2 released in the combustion on ethanol is offset by the CO2 that was captured by the crops grown to produce ethanol. Corn-based ethanol can reduce lifecycle GHG emissions by up to 52 percent compared to gasoline. The use of cellulosic ethanol, which is produced from plants that are less reliant on petroleum-based fertilizers, could reduce GHG emissions by as much as 86 percent.194



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