1. The Status and Future of Transportation Fuel Technologies for Wisconsin Maria Redmond Wisconsin State Energy Office 2013 Sustainability Summit and Exposition Milwaukee, WI March 6, 2013

2. www.stateenergyoffice.wi.gov Wisconsin State Energy Office (SEO) The SEO’s Mission is to invest in Wisconsin by: Increasing energy efficiency; Developing renewable and alternative energy sources; Promoting energy-related economic development & jobs; and Reducing reliance on imported oil. The SEO manages over $85 million in federal energy-related grants and loans The SEO works with policy makers, businesses interested in energy opportunities, innovators, public/private initiatives and federal agencies to implement cost‐effective, reliable, balanced and environmentally‐friendly clean energy projects.

3. Wisconsin has no fossil fuel deposits Wisconsin has one small oil refinery Energy Security: WI Petroleum Use Source: Wisconsin Energy Statistics 2010 Energy Expenditure Figure on Page 131 (right) www.stateenergyoffice.wi.gov

4. Current Economics: WI Transportation Petroleum is Wisconsin’s largest energy expenditure On-road diesel consumption: 744 million gallons On-road gasoline consumption: 2.5 billion gallons WI consumers spend ~$10 billion annually for petroleum Price volatility creates economic uncertainty for fleets www.stateenergyoffice.wi.gov

5. WI Alternative Transportation Fuels E85 (85% ethanol, 15% gasoline) Biodiesel (B5, B20, B100) Natural Gas (CNG, LNG, Bio-Gas) Propane Autogas (LPG) Hybrid Electric Electric Hydrogen Source: Alternative Fuels and Biofuels Use Report 2011

6. Overall Benefits Energy Security - Domestic production and use Environmental -Reduction in harmful tailpipe emissions Economic - Lower cost of fuels - Domestic production and use www.stateenergyoffice.wi.gov

7. WI’s Alternative Fuel Consumption (millions of gallons) Source: WI State Energy Office 20072008200920102011 LPG2.332.522.24 1.58 CNG0.200.170.180.290.55 Ethanol161.23216.99229.68254.31213.4

8. Wisconsin Registered Vehicles Source: *As of March 2012, State Energy Office/DOT Registration Database Fuel TypeRegistered Vehicles* Unleaded5,637,634 Diesel324,837 Ethanol (E85) Flexible Fuel214,538 Hybrid Electric17,852 Propane (LPG)212 Compressed Natural Gas179 Electric36

9. Biofuels - E85 and Biodiesel Stations E85 = 136 Biodiesel= 4

10. Electric Vehicle Charging Sites Source: Alternative Fuels Data Center 78 publically accessible charging points throughout the state

11. Propane Stations Source: Alternative Fuels Data Center 49 public propane stations throughout the state

12. Natural Gas Stations 26 public CNG stations throughout the state. 6 private CNG stations 2 private biogas stations 1 public LNG station 13 new stations since January 2012 est. 15-20 new stations in 2013 Potentially 100 -200 new stations in next 5 years Wisconsin CNG Station Map Source: USDOE EERE Alternative Fuels Data Center www.stateenergyoffice.wi.gov

13. State Programs to Support Advances in Transportation Fuels and Vehicles

14. Wisconsin Clean Transportation Program $300 million USDOE Clean Cities Grant Program 25 awards across the US, WI received largest award $15 million awarded to WI 36 partners, 315 vehicles, 18 alternative fuel locations Additional $17 million leveraged by public and private fleets Goals: -Reduction of Petroleum Use in Transportation -Cleaner Air Through Reduced Emissions -Acceptance of Alternative Fuels -Acceptance of Advanced Vehicle Technology

15. State Energy Program CNG Infrastructure Challenge ($1.1 million) - 7 awards for 9 new CNG (pipeline and biogas) refueling sites Hydrogen Fuel use in Municipal Fleets ($75,000) - 1 award to the City of Beloit for a feasibility and demonstration project Electric Vehicle implementation for State Fleet ($120,000) - 5 awards to state agencies to purchase 6 electric vehicles

16. Biofuels Programs Biofuels Retail Availability Improvement Network (BRAIN) – ($1 million) - For fuel retailers capable of locating the E85 or biodiesel refueling outlets available to consumers - Applications due 12/31/13 Biodiesel Blending Program ($600,000) - For bulk fuel terminal facilities interested in increasing biodiesel blending capabilities - 2 projects selected in Milwaukee at Granville and Port Terminals - Project completed 12/12 -

17. Governor directed stakeholder initiative organized by the SEO and WI Clean Cities to promote the use of CNG, LNG and Biogas as transportation fuels in WI Natural Gas for Transportation Roundtable Launched in April 2012, 4 major events held with 125 participants at each event SEO and Wisconsin Clean Cities collaborated to host four meetings around the state Very high level of interest from transportation companies, petroleum markets, fleet owners, equipment suppliers Identified areas of need, especially in codes and certain regulatory requirements, for example – - Training & Maintenance facility upgrade requirements

18. 2013 Initiatives www.stateenergyoffice.wi.gov Additional grant funding to support natural gas and propane vehicle purchases and conversions Natural Gas for transportation regulatory guidelines, checklists, and case studies Continued funding for ethanol and biodiesel infrastructure Work with policy makers to come up with a financial incentives to further support alternative fuels and infrastructure deployment in the state

19. NEW! Forwarding Wisconsin's Fuel Choice $500,000 award from USDOE Clean Cities Grant Program Program Team – SEO, Wisconsin Clean Cities and WI Technical College System Goals to expand alternative fuels use by: - Expand accessibility to alternative fuels off highways; - offer training for first responders, public safety officers, and permitting officials; and - assist public fleets in developing and implementing petroleum reduction strategies and policies. Launch in Q1 2013

20. Making strides, but still a long way to go! Petroleum is available everywhere across Wisconsin for the vast majority of existing and available new vehicles Alternative fueling stations and available vehicles are much more limited Substituting alternative fuels for conventional vehicle fuel in Wisconsin will take time, effort and money www.stateenergyoffice.wi.gov

21. Continuous Growth in WI  Develop Partnerships - smoother transition to new technologies with wider knowledge base - wider acceptance of advanced vehicle technologies and clean fuels - Ability to secure funding  Address availability and limitations of technology – both infrastructure and vehicles  Sound public policy to support development efforts  SEO will continue to develop programs to support alternative fuels efforts  Economic, environmental and security benefits make it worth the investment

22. Thank you! Maria Redmond maria.redmond@wisconsin.gov 608-266-1521 www.stateenergyoffice.wi.gov