On Sept. 28, recently appointed member of the Air Resources Board Ron
Loveridge, Mayor of Riverside, sent a huge "fan letter" about PHEVs
to the Board <http://www.calcars.org/calcars-news/534.html>. In
response, an ad-hoc coalition of six organizations sent the Board an
endorsement and an amplification of that message. Here are the
groups, followed by their memo, which offer a clear and very well
spelled out plan for actions at the statewide level. The Board is
expected to act soon on some of these issues.
Natural Resources Defense Council
American Lung Association of California
Coalition for Clean Air
Planning and Conservation League
Bluewater Network
California Electric Transportation Coalition

October 13, 2006
The Honorable Ronald Loveridge
cc: CARB Board Members; Catherine Witherspoon, Executive Officer

The undersigned organizations were delighted to learn that you
initiated a discussion about Plug-In Hybrid Vehicles (PHEVs) at the
ARB Board Meeting on September 28, 2006.

We agree that PHEVs are an exciting emerging technology that offers
the potential for reduced emissions of greenhouse gases and criteria
pollutants, and improved energy diversity. As you point out, there
are pockets of activity on PHEVs that have drawn considerable
interest and media attention, but to date there has been little
concerted or coordinated effort at a California state level.

We commend you for putting forward your "Plug-In California"
Initiative with the goal of establishing a significant, focused
effort at the state-level in California to develop and commercialize
this technology. We support your request that ARB staff work
collaboratively with the appropriate stakeholders, including the
Governor's Office, state legislature, auto manufacturers, battery
technology entities, state agencies such as the CPUC, CEC, and DGS,
Plug-In Partners, the electric utilities, environmental groups, and
CAPCOA members.

We agree with most of the activities you outlined which would
comprise your Plug-In California Initiative, and we recommend some
additions. We recommend that the California state-level effort
include the following components:

1. Dedicate at least $5 million of the $25 million ARB received
through AB 1811 toward the Research, Development, and Demonstration
of plug-in hybrids. To the extent possible, without holding back
immediate-term demonstration projects, leverage these funds with the
other activities being conducted by the U.S. Department of Energy,
the automobile manufacturers, battery technology firms, Plug-in
Partners, other State agencies, and the South Coast AQMD. Funding
should also be provided for the development of appropriate testing
and certification protocols for PHEVs. ARB should conduct or
oversee testing of emissions, fuel consumption, and performance
testing and evaluation of PHEVs (including the examination of the
different operational modes under discussion in recent months).

2. Establish a state commitment to purchase PHEVs when they are
commercially available for all of the State agencies fleets. The ARB
should work with the Department of General Services (DGS) to identify
the percentage or number of PHEVs which could reasonably be added to
the State vehicle fleet in the future when such vehicles become
available. The ARB should begin work now with DGS to streamline its
procurement procedures for plug-in hybrid vehicles for state and
local agencies. The ARB should also work with DGS to develop
mechanisms and incentives to encourage local governments to identify
the number or percentage of PHEVs which could reasonably be added to
local fleets, and to procure such vehicles. In the near-term, state
fleets should participate in demonstration projects with conversion
plug-in vehicles or with manufacturer demonstration vehicles. The
systematic collection of information and data that is possible in a
fleet setting is extremely important to ensuring the rapid
development of this technology.

3. Establish economically attractive off-peak electrical rates for
PHEVs, and other mechanisms, to encourage off-peak charging. The ARB
should work with the California Public Utilities Commission,
investor-owned utilities, and municipal utilities to develop these
rates and to establish testing/demonstration programs as needed to
evaluate the impacts of plug-in hybrids on utility systems, encourage
load management and energy efficiency, conduct information and
education activities, and to maximize economic and environmental
benefits to ratepayers.

These activities should also include additional demonstration and
evaluation of "Vehicle to Grid" (V2G) opportunities, potential
benefits, and costs. V2G has the potential of supplying the energy
stored/generated by PHEVs to the electrical grid for voltage support
or reducing on-grid electrical demand during on-peak periods. Not
only does V2G hold the potential to benefit our electricity systems,
but could provide a revenue source for PHEV owners that would make
these vehicles more economically attractive.

4. Provide consumer and fleet incentives to buy down the vehicle's
initial higher cost.

5. Establish a favorable environment for PHEV-associated businesses
here in California; this should include battery technology companies
as well as small volume vehicle manufacturers.

6. Prepare a California PHEV Development and Commercialization Plan,
identifying barriers to development and commercialization, possible
solutions, and goals/milestones within each of the phases outlined below.
Phase I - Research, Development, and Demonstration. (50-2,500 vehicles)
Phase II - Bridge to Commercialization. (2,000-20,000 vehicles)
Phase III - Sustained Commercial Introduction. (50,000-100,000 vehicles)

7. Establish and execute a public information/education plan which
shall provide information to the general public and fleet owners in
California about PHEV characteristics, benefits to consumers and
society, costs, safety, and operating/charging procedures.

8. Establish a California Plug-In Hybrid Working Group to assist in
the development and implementation of the activities described
above. The Working Group would be comprised of appropriate State
agencies, local air quality management districts, interested auto
manufacturers, research organizations, national laboratories,
appropriate federal agencies, battery technology entities, Plug-In
Partners, electric utilities, environmental groups and other
stakeholders as appropriate.

We believe that these recommendations build upon and further
strengthen the "Plug-In California" Initiative you presented to the
ARB Board and staff on September 28, 2006. We hope you and the other
Board Members, and the ARB staff, will consider these recommendations
in future deliberations on this proposal. We stand ready to work
with you and staff in the development and implementation of this
important PHEV initiative.

We commend you and the other Board members for your leadership in this area.

Sincerely,

Luke Tonachel, Natural Resources Defense Council
Bonnie Holmes-Gen, American Lung Association of California
Tim Carmichael, Coalition for Clean Air
Gary Patton, Planning and Conservation League
Danielle Fugere, Bluewater Network
David Modisette, California Electric Transportation Coalition



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Felix Kramer fkramer@...
Founder California Cars Initiative
http://www.calcars.org
http://www.calcars.org/news-index.html
http://www.hybridcars.com/blogs/power
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