OTHER
SHEAHAN
ENTERPRISES

NOVEMBER 2008


Alternative Fuel Vehicles

By David Manning

Few could have missed a recent media blitz by T. Boone Pickens and Aubrey McClendon of Chesapeake Energy advocating for a natural gas vehicle fleet. Both have spent tens of millions of dollars making the case that we can lessen our dependence on foreign oil by burning something other than gasoline on our highways.
Even though our economic crunch has brought the pump price below $4, we are all heading into a potentially cold winter, higher heating bills, with vivid memories of high gasoline prices all summer long. Oil represents only about 2% of the fuel used by the power sector nationwide, thus the highway sector deserves all the attention. Surrounded by economic and geopolitical uncertainty, we are all striving to reduce dependence on fuels from the Middle East, Venezuela, Russia and other aggressive international players who are not always our friends.
Full disclosure: National Grid predecessor companies have been instrumental in promoting Natural Gas Vehicles (“NGV’s”) for many years. Like most alternative-fuel vehicles, NGV’s have been limited by refueling infrastructure and thus best suited to fleets, including busses, school busses, trash haulers, airport vehicles, etc., which return to base each night. These vehicles have demonstrated much lower emissions, good performance, and—at today’s oil prices— lower cost. All from an abundant domestic fuel.
Honda makes a dedicated NGV Civic and developed a companion home-fueling spigot called “Phill.” The early market of environmentalists has now grown to those wishing to lower their costs and take a personal stand against imported fuels.
There is also serious work going on in electric vehicles, from GM’s Volt to “a Better Place.” Battery technology is a limiter because of weight and range. Better Place has decided to invest in “charging stations” rather than join a global effort to make batteries lighter and more efficient. Pilot projects in Israel and Hawaii allow you to lease a battery pack from the company which is quickly changed at “refueling stations” extending the range of the vehicle and eliminating the necessity of an overnight charge.
Congressman Steve Israel is pushing for the availability of natural gas vehicle fuel for school bus fleets and individual Long Islanders. He believes expansion of the use of such vehicles helps address foreign dependence on imported oil, the air quality on Long Island, and the high volatility in gasoline prices we have all experienced over the last six months.
China has just announced it will have an electric vehicle available for the equivalent of $22,000 on the market two years before the Volt, although there has been no mention of intent to export. In reality, Detroit has only built vehicles they could sell. Hopefully, this summer has been a wake-up call and Long Island consumers will not only demand, but invest in, real alternatives.

David Manning leads National Grid’s US External Team, with responsibility for federal relations and issues. He is also central to the company’s US and UK teams, handling all issues and functions external to the company from climate change to communications.


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