1. EPA Phase II for Greenhouse Gas Emissions
Alison Thomas & Shane Groner November 2016
Image: Created Jack Morton Design for ES Follow the Charge campaign, used with permission

2. Agenda
Greenhouse Gas Emissions and Fuel Efficiency Standards for Medium and Heavy-Duty Engines and Vehicles - Phase II
What is Phase II?
How does it effect original equipment manufacturers (OEMs)?
How will it impact school bus fleets and districts?
Acronyms
ABT: Average, bank, trade (CO2 credits)
CO2: Carbon dioxide
EPA: US Environmental Protection Agency
GHG: Greenhouse gases

3. EPA Phase II 101
“…cut carbon pollution and improve fuel efficiency, while bolstering energy security and spurring manufacturing innovation.”
“The Phase 2 program promotes a new generation of cleaner, more fuel efficient trucks by encouraging the development and deployment of new and advanced cost-effective technologies through model year 2027.”
Source: EPA 420-F , August 2016

4. Phase II rolls out in 3 steps, beginning in 2021
Trailer standards
1st level of increased stringency
Credits begin
2024
2nd level of increased stringency
2027
3rd level of increased stringency
Standards dictate maximum levels of CO2 per ton-mile

5. Certification and standards are mandated based on vehicle classifications
Combination Tractors
Class 7 Day Cab
Class 8 Cab
Class 8 Sleeper
Heavy Haul
Trailers
Long Dry
Long Reefer
Short Dry
Short Reefer
Heavy Duty Pickups & Vans
Vocational
Light Heavy
Medium Heavy
Heavy Heavy
Each vehicle sold has CO2 emissions estimated through software
OEMs’ yearly fleet averages by category must be at or below the classification standard

6. 17% School buses are classified as vocational / medium heavy / urban
Light Heavy
Medium Heavy
Urban
Multi-Purpose
Regional
Heavy Heavy
Vocational classification portion of total fuel consumption and GHG emissions
17%
Category also includes: delivery trucks, refuse, utility trucks, transit buses, shuttle buses, emergency vehicles, dump trucks

7. CO2 emissions levels are calculated by software simulation: GEMS Model
Available for free download:
Standard Certification Model inputs include
Engine, transmission type, predictive cruise, start/stop, neutral idle, electrification, etc.
All vehicle classifications are evaluated on 3 drive cycles
Urban, regional, multi-purpose
Cycles weighted differently based on classification

8. Standard OEM certification program enacts progressively more restrictive levels of CO2
OEMs can differentiate engines, fuel types, transmission types, gear ratios, etc.
Credits can be averaged/ banked/ traded (ABT)
By 2027, phased approach equates to a 22% reduction vs. current baseline
Source: EPA Phase 2 Final Rule Aug 2016

9. Alternative “Custom Chassis” program is simplified and less stringent in 2027
Standards set by vocation (coach, motor home, school bus, etc.)
One generic vehicle represents each vocation
No trading or banking of credits
By 2027, phased approach equates to an 18% reduction vs. current baseline
Source: EPA Phase 2 Final Rule Aug 2016

10. Vocational vehicles: average 24% improvement at a 3% cost premium = 4 year payback
Source: EPA Phase 2 Final Rule Aug 2016

11. Regulations can be “technology advancing,” multiple options to achieve compliance
Electrification of Accessories
Pumps
Compressors
Power steering
Weight Reduction
Tires
Low rolling resistance
Tire pressure monitoring systems
High-Efficiency Axles
Low viscosity (friction) lubricants
Idle Reduction
Neutral at idle functionality
Start-stop functionality
Automatic engine shutdown
Transmissions
Advanced shift strategies
Additional gears
Engine & Fuel Systems
Alternative fuels, hybridization, electrification
Downsizing, down-speeding
Cylinder deactivation
OEM compliance strategies may include technology and/or ABT credits

12. School bus example: advanced transmission technology enables compliance through 2023
No changes or cost add required to achieve compliance until at least 2024!
Source: GEMS model, assuming MY 2021, 2024, and 2027 compliant engines