1. Transforming Transportation and Our Regional Opportunity J.W. Rogers, Jr. Associate Laboratory Director Energy and Environment Science & Technology September 5, 2008

2. 2 Western Inland Energy Corridor –world-class conventional and unconventional fossil energy reserves –significant renewable resources –energy infrastructure offering opportunities for integration –people and R&D institutions

3. 3 Selected World Class Energy Corridor Resources Oil sandsCoal basins Oil shale Denver Boise Helena Casper Billings Calgary Edmonton SLC Rapid City Bismark Grand Forks Regina Saskatoon Uranium Coal basins The assessed coal in the Northern Rockies and Great Plains represents a total of about 660,000 million short tons Oil shale May contain in place the equivalent of 2 trillion barrels of oil Sustained production estimated at 2.5 million barrels per day Alberta Oil Sands 174 Billion Barrels (proven) Bitumen production = >1 million barrels/day Saskatchewan uranium World’s richest concentration 25-30% of world production

4. 4 CO 2 Byproduct Management Energy Input Carbon Loss Energy Input Carbon Loss Energy Input Carbon Loss Energy Input Carbon Loss Other Carbon Source Extraction (Fossil/Biomass) Pre-Processing Conversion Distribution End Use Vent to Atmosphere Sequestration Energy Use Efficiency Energy Production Efficiency Recycle Path (CO 2 Co-Electrolysis or other) Carbon-cycle Management

5. 5 U.S. Department of Energy and PHEVs The Advanced Vehicle Testing Activity (AVTA) conducts vehicle testing to support its goal of reducing the nation’s dependency on foreign oil Including the testing and demonstration of PHEVs Currently 140 vehicles – 160 vehicles by end of year. INL will monitor performance data in >75% of these vehicles Key Findings, to date: –Vehicles must be charged to maximize mpg –Aggressive driving significantly reduces mpg –PHEVs will get 100+ mpg for first ~40 miles of driving when charged and driven correctly Future Plans –Continued testing of conversion vehicles in preparation for testing OEM PHEVs –Initiating other PHEV testing such as expanded battery and vehicle to grid testing INL provides independent assessments and guidance to government decision makers; and provides innovation and risk reduction assistance to industry to accelerate commercial deployment of energy options

6. 6 Regional Focusing: Washington State and the Northwest Testing will be expanded to include at least 28 vehicles in Washington: –State of Washington CTED –Port of Chelan County –City of Wenatchee –Green IT Alliance –Benton County PUD –Douglas County PUD –Chelan County Public Works –University of Washington –Walla Walla Comm. College –Wenatchee Valley College –State of Washington –Energy Northwest Eight HICE’s in BC being monitored Data loggers to be added to selected PHEVs deployed in Oregon For a period of time, Washington State will host the largest concentration of PHEVs in North America

7. 7 Diverse Carbon Resource → Nuclear Hybrid Energy Systems → Strategic Energy Parks = Resilient & Secure Energy Our Vision: Hybrid Energy Systems: a Bridge to Energy Security Nuclear Island -Present or future generation -Process heat and/or electricity Renewable-Electric Integration -Electrolysis or co-electrolysis driver -Additional electricity to grid Hydrogen Generation Plant -Upgrade of fossil and bio feedstocks -Catalytic feedstock for CTL Liquid Fuels & Chemicals Plant -Coal and biomass to liquids -Process chemicals Carbon Feedstock -Coal -Oil Sands, Oil Shale -Biomass

8. 8 Context: A Balanced Energy Portfolio that Requires Transportation Innovation Right Energy, Right Place, Right Time Today2030 2050 2060

9. 9 DOE’s Advanced Vehicle Testing Activity has established PHEV testing programs jointly with Seattle- Tacoma area stakeholders (~14 vehicles) Integrates Seattle’s V2Green data monitoring technology INL is currently conducting more in- depth testing with its partners associated with PHEVs and local infrastructure First of 14 vehicles arrived May 30, placed with City of Seattle Regional Focus: Seattle-Tacoma Area PHEV Testing

10. 10 A Coordinated Regional Testing Platform Can Help Accelerate PHEV Deployment Additional work is required to better understand and address PHEV introduction, including the interface between PHEVs and local/regional infrastructure The testing platform provides a technical underpinning to help decision makers craft more informed policy, fleet management, and investment decisions With local and regional partners, INL can extend PHEV testing program – with objectives that include: –Reducing dependency on foreign oil –Reducing emissions –Assisting congestion reduction There is an opportunity to merge Federal, State and local interests INL stands ready to work with regional stakeholders in exploring greater PHEV integration opportunities Future regional energy decisions will be made in an increasingly complex environment requiring more sophisticated, science- based, decision-making tools