The Oregon Department of Energy

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The Institute for the Analysis of Global Security (IAGS) is a Washington based non-profit public educational organization dedicated to research and public.

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Presentation transcript:

The Oregon Department of Energy John Kaufmann Rick Wallace ORULE, June 17, 2008

Our Mission Ensure Oregon has an adequate supply of reliable and affordable energy and is safe from nuclear contamination, by helping Oregonians save energy, develop clean energy resources, promote renewable energy and clean up nuclear waste. Our Mission - Essentially to help Oregonians use Energy wisely. Through sponsoring efforts in conservation Renewable resources Energy Loans Nuclear Safety Facility Siting

Oregon Dept. of Energy History  1975-Oregon Department of Energy established  1979-Energy Loan Program and Business Energy Tax Credit created  1991-Transportation category begins, AFV’s and conversions  2001-Pass-through option is established

Oregon Energy Use by Sector Oregonians spent about $10 Billion in 2006 2008?

Oregon Transportation Policy Reduce Vehicle Miles Traveled - Land use, mass transit, bicycles, telework, carpooling, rail – Over 7 million Gal/yr saved 2007 Vehicle Efficiency - High mile per gallon vehicles (ie. hybrids) - Efficient Truck Technology (APU, Aero, Tires) – Almost 3 million gal/yr saved 2007 Alternative Fuels - Biodiesel, Ethanol, CNG, Propane etc. By this fall over 160 million gal/yr petroleum displaced

U.S. Oil Demand by Sector

Transportation Energy Use

Oil Demand by Sector Since 1973 Between 1973 and 2001 the amount of oil consumed by the utility industry dropped by 76%, the commercial sector fell by 52% and the residential sector declined by 43%. Industrial oil use increased by 8.5%. In the same period transportation rose by 46.4% despite significant improvements in vehicle efficiency, 12.6 mpg in 1974 to 24.7 mpg in 2001. Transportation accounts for 69% of domestic petroleum consumption. If transportation sector remained constant oil consumption would have decreased by 24.3% from 1973.

Source: Robert L. Hirsch Ph. D.

16 of Last 19 Months Consumption is Higher than Production

Fuel Prices Take Toll on Truckers More than 45,000 vehicles, or 3 percent of the tractor fleet, have disappeared from the highways since early last year. Source: America’s Commercial Transportation Research 935 operators with five or more trucks shut down in the first quarter, up from 385 a year earlier. Source: American Trucking Association

Business Practices Will Need to Adjust As transportation becomes more expensive, managing a just-in-time supply chain becomes more challenging Shippers carry extra inventory Order less frequently Use intermodal modes of transport

What is the Future of Rail in Oregon How do we increase capacity Train control capacity