CR England - Amerit Fleet Solutions
Transcription
CR England - Amerit Fleet Solutions
AMERIT FLEET SOLUTIONS AND FLEET FINANCIALS PRESENT VOL. 3 EXCLUSIVELY FOR TOP FLEETS IN NORTH AMERICA How C.R. England Optimizes Fuel Efficiency WHY YOU SHOULD DEMAND ACCURATE FLEET DATA FERRELLGAS PUSHES PAST WINTER PROPANE CHALLENGES CLEANER HEAVY-DUTY TRUCK TECHNOLOGIES ARE COMING CONTENTS 4 Leading Highlights 8 Custom Maintenance: What You Need, Where You Need It Through purpose-built Fleet Service Centers and other custom maintenance programs, Amerit Fleet Solutions offers an answer to a frequent fleet challenge in how to effectively maintain a sprawling fleet. 4 10 How C.R. England Optimizes Fuel Efficiency To utilize various aerodynamic modifications and other fuel reduction strategies, C.R. England carefully researches, tests, pilots, and observes all aspects to any project before and after implementing. 14 Demanding Accurate Fleet Data from Third-Party Suppliers 10 Amerit Fleet Solutions outlines the importance of demanding comprehensive fleet data from outside vendors. Don’t get caught with a “black hole” in your fleet data and undermine your fleet’s performance. 16 Ferrellgas Pushes Past Winter Challenges While delivering propane in the snow is not uncommon for many Ferrellgas drivers, this winter brought extra challenges to the industry with high demand, road closures, and supply issues affecting routes. 16 18 State of Clean Technologies in the Heavy-Duty Market CALSTART President and CEO John Boesel provides a breakdown of heavy-duty powertrains and takes a look at where hybrids, natural gas, di-methyl ether and renewable fuels currently stand. 2 LEADING FLEETS WINTER 2014 18 LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM CEO VIEWPOINT Unseen Hero in Winter Storms A By Dan Williams CEO, Amerit Fleet Solutions sk anybody on the street these days and they will tell you a story of how difficult and dangerous this winter has been. When our country is hit with record storms from early fall to spring it makes the little details of ordinary life much more challenging. And if life was hard for the average person, operating a fleet in these conditions can be a down-right magic trick! I am proud that Amerit is often the unseen hero in challenging times. As a dedicated ally and partner, our mission is to support our clients’ fleets as they push to restore or continue services to communities hardest hit by the savage storms. We know first hand that extreme conditions never sleep, and so neither do we. When the weather gets tough, our team gets going. I would like to recognize the efforts of the Amerit teams across the 20+ states hit hardest by storms this winter. They worked tirelessly around the clock to repair and return downed vehicles to service, keep generator pools running and they even delivered fuel to fleet vehicles when no one else would. At Amerit, we pride ourselves on our outstanding dedication to servicing our customers. It is our mission to make the challenging business of running a fleet in the worst winter on record, a little easier. The Amerit employees who went above and beyond the call embody the very best of what we all aspire to: dedication, service, excellence. This issue of Leading Fleets is packed full of information and articles that we hope will act as a resource for you as you make decisions for the coming year and beyond. On page 16 you can read about how Ferrellgas managed its propane delivery fleet to meet the record demands this winter and challenges the company faced with diesel fuel gelling. Then, the cover story on page 10 takes a deep dive into how C.R. England is reducing its fuel use through aerodynamics, idle reduction, and driver recognition. If the hardships this winter have made you and your company think about the economic impacts of global climate change, you will find that the article from John Boesel, President and CEO, CALSTART on page 18 provides some useful information about developments in clean fuel technologies. And if you are interested in learning more about Amerit Fleet Solutions and how we reduce downtime and alleviate maintenance burdens, take a look at our article on page 8. LF Business and Editorial Office 3520 Challenger St., Torrance, CA 90503 Phone: 310-533-2400 Fax: 310-533-2503 E-mail: [email protected] LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM LEADING FLEETS WORRY-FREE FLEET MAINTENANCE WINTER 2014 3 LEADING HIGHLIGHTS FedEx Express Testing Two Electric Technologies I n two electric initiatives, FedEx Express will test fuel cell range extenders from Plug Power and Nissan’s electric compact cargo van, e-NV200. Fuel Cell Range Extenders 4 LEADING FLEETS WINTER 2014 Photo courtesy of Nissan FedEx Express is expected to nearly double the amount of service territory of some of its electric delivery trucks once Plug Power Inc., a power solutions company based out of Latham, N.Y., completes development of its fuel cell range extenders. In a $3 million project funded by the U.S. Department of Energy, Plug Power is developing hydrogen fuel cell range extenders for 20 FedEx Express electric delivery trucks. Smith Electric Vehicles is also a project partner. The Smith all-electric trucks currently boast about an 80-mile charge. FedEx Express has been using Smith’s Newton Step Van in the U.S. since mid-2012. The finished range extender will power the trucks with lithium-ion batteries and a 10-kWh hydrogen fuel cell system. “Early customer experiences with electric delivery vehicles have been overwhelmingly positive,” said Andy Marsh, Plug Power CEO. “But only 1% of these vehicles are electric today; we think that this range extender provides the added distance and quick refueling capabilities needed to really grow this market.” This FedEx Express wrapped Nissan e-NV200 was on display at the 2014 Washington Auto Show. Battery-Electric Compact Cargo Van FedEx Express will begin testing the Nissan e-NV200 under real-world conditions in its Washington, D.C. service area. This test marks the first time the vehicle will run in North America. FedEx Express and Nissan have conducted similar e-NV200 tests with fleets in Japan, Singapore, the United Kingdom, and Brazil. The field tests will subject the van to routine requirements of a delivery vehicle. The results will be used to help determine the viability of using an EV in this role in the U.S. Rotating the Nissan e-NV200 into the delivery fleet is part of the FedEx EarthSmart program, a global sustainability platform designed to guide the company’s environmental commitment in the communities where it operates. For Nissan, this effort aligns with its “Blue Citizenship” corporate social responsibility program with a focus on increasing the number of vehicles that emit no greenhouse gases by exploring additional vehicle segments that EV technology may be applied. FedEx Express currently has 167 electric vehicles and 365 hybrid electric vehicles in the U.S., France, Germany, Italy, Japan, and China, as well as the units that will be deployed in Brazil starting in January. By the end of FedEx’s fiscal year (May 31, 2014), the company said it plans to increase these numbers to 222 and 393, respectively. From 2005 to 2012, the introduction of this type of vehicle in the fleet enabled the company to save nearly 2.4 million liters of fuel. Nissan e-NV200 is scheduled to begin mass production later this year in Europe, according to the delivery company. LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM AT&T’s Webber Named 2013 Fleet Executive of the Year AT&T’s enterprise-wide policy and operating effectiveness for the company’s domestic and international fleet operations. He oversees acquisitions, end-toend lifecycle management of vehicles and wheeled equipment, fuel management, and provides direction for the development and implementation of the deployment of alternative fuels. He also handles nationwide emergency vehicle and generator staging, deployment, and vehicle fueling during natural disaster recovery efforts. A panel of industry judges evaluated submissions for the award using several criteria, including cost-saving initiatives, Photo courtesy of Automotive Fleet & Leasing Association J erome Webber, vice president of global fleet operations for AT&T, received Fleet Financials’ 2013 Fleet Executive of the Year award, which recognizes exceptional leadership by managers who have a title of vice president or higher and/ or have other responsibilities beyond fleet. The award was presented during the Automotive Fleet & Leasing Association (AFLA) 2013 Annual Conference in Scottsdale, Ariz. The 2013 Fleet Executive of the Year award is exclusively sponsored by The CEI Group and Fleet Financials magazine. Webber provides oversight of At right, Jerome Webber, vice president of global fleet operations for AT&T, received the 2013 Fleet Executive of the Year, presented at the Automotive Fleet & Leasing Association 2013 Annual Conference. Ed Bobit, founder of Automotive Fleet magazine, congratulates Webber on the win. policy setting, creation of innovative programs, and cultivation of fleet manager training and management. AmeriGas ‘Airborne Team’ Delivers Propane to Hard-Hit Areas T Photo courtesy of AmeriGas he AmeriGas “Airborne to Rumbelow. In some states, disTeam,” a propane delivery tricts only partially filled customvolunteer program that has ers’ tanks to provide a limited been around for more than a amount of propane to as many decade, sent 51 volunteers who customers as possible. When had put in 765 days assisting 31 more supply became available, districts in need across 15 states, return trips to finish filling those as of mid-February. tanks were added to an already Generally, service techs depacked delivery schedule, creatployed for Airborne assistance The Toledo, Ohio AmeriGas Airborne Team. ing a need for help in making are those able to drive a bobtail those deliveries. and assist districts in dire need with deliveries. Attracting Airborne volunteers can be chalThis year, for the first time, area safety advisors lenging, Rumbelow said. In the past, there hadn’t also pitched in. “We have more than 40 area safe- been any incentives to reward drivers or to comty advisors who have been taken off their regular pensate district managers who sent their team duties, and those who can drive were put into members across the country to assist. This year, trucks,” said AmeriGas Supply Chain Vice Presi- the program was enhanced to include a bonus dent Kevin Rumbelow. for volunteers who leave their home locations This is the first year Airborne employees were for two weeks or longer — and a budget adjustdeployed as a result of supply issues, according ment for the districts sending staff. LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM LEADING FLEETS WINTER 2014 5 LEADING HIGHLIGHTS Fleets Test CNG Waters S Photo courtesy of SUPERVALU UPERVALU and Con-way Freight recently announced new compressed natural gas (CNG) additions to their overthe-road truck fleets. SUPERVALU Adds 35 CNG Trucks and Fast-Fill Station Food for approximately 500 grocery stores in Virginia, Maryland, Delaware, West Virginia, Washington, D.C., and North Carolina, is now delivered by a fleet of CNG Class 8 Volvo trucks. The fleet of 35 trucks is based out of SUPERVALU’s Mechanicsville, Va., distribution center. To power the new trucks, Trillium CNG, a provider of CNG fueling solutions, built and will operate a fast-fill CNG station at the Mechanicsville distribution center. Utilizing Trillium’s fast-fill hydraulic intensifier, the new station will fuel trucks at a rate of 8-10 gallons per minute. “This project is not only good for the environment, but also for the bottom line, as each natural gas-powered truck will cut greenhouse gas emissions (GHGs) and reduce fuel usage for our fleet,” said Mike Lech, vice president of logistics for SUPERVALU’s eastern region. The conversion to natural gas is expected to reduce the fleet’s annual oil consumption by more than 1 million gallons and result in 1,300 fewer tons of GHGs. In addition to the environmental benefits, the new CNG fleet and fast-fill station are expected to reduce SUPERVALU’s operating costs due to 6 LEADING FLEETS WINTER 2014 SUPERVALU now has 35 new CNG Class 8 Volvo tractors operating out of Virginia. the lower cost of CNG fuel. Volvo Trucks designed the new trucks specifically to meet SUPERVALU’s grocery hauling needs, and were all built at Volvo’s Dublin, Va. plant. SUPERVALU operates 20 distribution centers across the United States and has slightly more than 400 trucks in its national company-owned fleet, excluding its Save-A-Lot network that operates separately. The Mechanicsville distribution center has a total of 105 tractors in its fleet, and has set a goal of converting approximately 65% of its total fleet to natural gas by 2015. Con-way Freight’s New Tractors to Provide Operating Experience Con-way Freight has added two Freightliner Cascadia 113 natural gas-powered tractors to its fleet. These two tractors — equipped with the Cummins Westport ISX12 G engine — add to the two CNG mediumduty trucks operating on a test basis in Chicago that the company acquired two years ago. “We’re dipping our toes,” said Gary Frantz, Con-way Freight director of corporate communications. He added that the company took delivery of these two new CNG tractors to gain operational experience for heavy-duty, real-world fleet operations. The new units will run in Con-way’s nightly, line-haul network in the Texas area. “We believe natural gas has a viable future for heavy-duty commercial freight operations like ours,” said Randy Mullett, Con-way’s vice president of government relations and public affairs. “As the infrastructure matures and the units become more cost competitive, we expect the opportunities for expanded use will increase.” Freightliner began production of the Freightliner Cascadia 113 natural gas-powered tractors in August 2013, and these Con-way Freight units are the first Cascadia day cabs with factory-installed CNG tanks to hit the road. “We’re proud to see our first Cascadia CNG tractors with factory-installed fuel tanks join the ranks of one of the most reputable, top fleets in the nation,” said Steve Mignardi, Freightliner Trucks director of national accounts. LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM Crete Carrier to Start Veteran Driver Training Program C forces, more than 100 years with Crete Carrier, and more than 20 million miles driven. Crete Carrier is widely known for its veteran hiring and recently earned the 2014 Military Friendly Employer title by Victory Media, publisher of G.I. Jobs and Military Spouse. Crete Carrier, along with its Shaffer Trucking and Hunt Transportation operations, said they aggressively seek to hire military talent and have found that hiring from the military com- efforts, the percentage of new hires with prior military service, retention programs, and company policies on National Guard and Reserve service. Nearly 30% of Crete’s employees are veterans. “As a company, we feel privileged to offer employment to those transitioning from the military,” Phillips said. “Veterans can feel stranded once back in civilian life, and it is important that we offer them a solid career with long-term benefits.” Photo courtesy of Crete Carrier rete Carrier Corp., a provider of truckload and logistics services, and its refrigerated division, Shaffer Trucking, announced in late December 2013, approval from the Department of Veterans Affairs to provide on-the-job training to veterans and other eligible applicants. This 12-month program provides approved veterans and other eligible applicants access to GI Bill benefits. According to Crete Carrier Driver Development Manager Issac Phillips, with this program in place service members transitioning from the military will not only receive truck training but may be eligible to receive additional compensation from their GI Bill. The program is coupled with Crete Carrier’s “Patriot Fleet,” which launched in 2013 and is aimed at recognizing drivers who served in the military. “This program, along with the Patriot Fleet are two ways Crete and Shaffer are giving back and supporting the men and women that served this country,” Phillips said. The Patriot Fleet is now at a total of 10 honorary trucks, which are black International ProStar tractors with wrap graphics, which include decals to salute the U.S. Armed Forces and customized dog tags that list the drivers’ military branches, years served, and miles with the company. The Patriot Fleet drivers collectively represent more than 130 years of experience in the armed Crete Carrier now has 10 tractors in its Patriot Fleet, which is aimed at recognizing drivers who served in the military. The truck wrap decals include customized dog tags that list the drivers’ military branches, years served, and miles with the company. munity gives them a strategic competitive advantage. “I’m honored that our family of companies has been recognized, yet again, for our dedication to hiring military personnel,” said Tonn Ostergard, Crete Carrier president and CEO. The title is given to the top 100 companies surveyed, based on criteria including: the strength of company military recruiting LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM Crete and Shaffer have received numerous awards as a national leader in supporting current and former members of the military. This year alone, Crete Carrier received the American Legion Employer of Veterans Award for the “Large Business” category and was recognized as a finalist for CivilianJobs.com’s Most Valuable Employers for Military list. LEADING FLEETS WINTER 2014 7 WORRY-FREE FLEET MAINTENANCE Amerit’s Custom Maintenance Programs: What You Need, Where You Need It Through our four service platforms, Amerit Fleet Solutions addresses the fleet pain point of managing a large number of maintenance providers and local shops. Tell us what you need and where, and we will build a maintenance solution for your fleet. T oday’s fleets all face the same challenge: How do you maintain your assets when you are not able to use in-house technicians? The answer is typically to use a large number of small, local service providers. This model causes many challenges though, since the system drains management resources and creates significant administrative burdens. Priority is often an issue. Quality and consistency can be poor and difficult to track. Standardized, accurate data is impossible to get or may require manual entry. And costs are high. 8 LEADING FLEETS WINTER 2014 Amerit addresses these issues with a simple solution: Tell us what you need and where you need it and we will build a solution that addresses your requirements — anywhere in the country. We believe every customer, no matter who they are or where they are, have locations with a problem, whether it is poor quality, high prices, low priority, long wait times for service, etc. Our focus is on solving those problems by creating a service model that provides quality, priority, accuracy and reliability while reducing costs. How do we do this? By deploying a mix of our four service platforms. 1. Fleet Service Centers: Our Amerit Fleet Service centers are purpose-built specifically to provide dedicated services to a small number of local fleets. Like having your own garage right around the corner, the Amerit Fleet Service Centers bring you the priority, quality and comprehensive services that your fleet demands. 2. Mobile Service Centers: A virtual rolling garage, the Amerit Mobile Service Center (MSC) is ideal for fleets that are either decentralized or located in areas that are LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM WORRY-FREE FLEET MAINTENANCE not supported by a garage. Each MSC is built and equipped to service all your assets right in your yard. Each MSC is also equipped with a tablet or laptop for instant, real-time data entry and accuracy, so you have more visibility and control over your remote assets. 3. On-Site Workforce: The Amerit On-Site Workforce platform brings our technical and workforce management experts into your existing garages. With our nationwide management structure and professional recruiting team, Amerit brings standardization across multiple locations. Through hiring the right techs, we reduce the amount of expensive outsourced services by providing 98% of your fleets’ needs on-site. We will also reduce the burdens and risks from hiring, training and managing a technical workforce, allowing your management team to focus on driving your core business forward. 4. Amerit-Vended Maintenance Management: For large, complex fleets with equipment in a few assets in remote areas, this service deploys our team of best-in-class maintenance managers to manage third-party services. Our team will ensure quality and consistency, optimize warranty capture, and alleviate managerial burdens of reviewing, scheduling and negotiating services. Designing the Perfect Service Program: FleetPoint Analysis System Building a custom service structure begins with a precise system that takes the guesswork out of configuring the perfect service solution. With our FleetPoint Analysis System, Amerit is able to accurately measure the requirements of even the most varied and complex fleets. Beginning locally, we work closely with local fleet managers to gain a deep understanding of their situation, challenges and concerns. Through these meetings we seek a clear understanding of the operating environment including downtimes, usage patterns, and other regional and environmental conditions. Using a labor algorithm developed through our experience in maintaining more than 100,000 assets, Amerit analyzes the customer’s fleet list to determine labor requirements needed to maintain the asset, taking into account important variables like age, mileage and the application. Amerit then maps where the workload is needed and identifies groups of assets that can be economically serviced by a combination of Amerit’s service platforms. We then present this solution to our customer detailing the size of the workforce, suggested work schedules and any other unique solutions we think will benefit your fleet. Developing a National Solution When we work with a new client, the logical place for us to start services is to look at regions or locations where the fleet is receiving poor services or is experiencing challenges. Building a solution that solves those problem areas is “phase one.” For companies that are experiencing multiple trouble spots, are looking to standardize services across more locations, or are looking for savings on a larger scale, we grow this model to analyze larger areas, state-by-state or region-by-region. Connecting service programs in this way — either across a region or across the country — will deliver greater increases in performance, quality and standardization while decreasing costs, downtime, LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM management burdens and risks. How Many Units Do I Need? We are often asked “How many units do I need to have for you to develop a custom solution for me?” The answer is surprisingly few. A dedicated solution can be economical with as few as 20 assets in some circumstances. Amerit actively works with some of the largest fleets in the country that are looking for similar solutions, so we are often able to match a small number of customers together to economically develop a solution even where each customer has only a handful of assets. For this reason we encourage prospects to bring to us their problem areas, regardless of how many assets they have at that location. How is Amerit Able to Do This? Some customers believe this is “too good to be true,” and ask how Amerit is able to do this profitably. The answer is our footprint. Amerit has more than 1,300 technicians supporting assets at 500plus locations. We have technicians and managers in most markets today and this scale means we can cost effectively expand. By leveraging our footprint, we are able to go wherever our customers need us. Highly regarded for our ability to address customer problem areas anywhere in the nation, Amerit has become the largest provider of dedicated contract maintenance in the United States by providing innovative, customized and comprehensive fleet maintenance services on a local and national scale. LF For information on how Amerit Fleet Solutions can help your fleet, contact Bob Brauer at (714) 412-9523 or [email protected]. LEADING FLEETS WINTER 2014 9 COVER STORY How C.R. England Optimizes Fuel Efficiency C.R. England continuously and carefully tests and adopts truck modifications and other fuel-saving programs and technologies to lower its fuel use, and increase productivity and driver satisfaction. Its latest initiative: TrailerTails. By Kelsey Nolan C .R. England, one of the largest temperature-controlled carriers in the world, continues to take stock and critically analyze new ways to reduce fuel consumption. From TrailerTails, an aerodynamic technology, to opening an IdleAir facility in Texas and celebrating the 11th giveaway in its Harley-Davidson Fuel Efficiency program, C.R. England has implemented several initiatives to save on fuel costs, lower emissions, and promote driver satisfaction throughout the company. Headquartered in Salt Lake City, C.R. England pursues these applications to help streamline its fleet of about 4,500 trucks — nearly 90% of which are Freightliners — and approximately 8,300 trailers. The company offers multiple carrier services, from intermodal to longhaul, regional, and dedicated. 10 LEADING FLEETS WINTER 2014 involved dedicated trucks and TrailerTails: trailers, which included equally Research, Test, Pilot weighted blocks in the back for a C.R. England meticulously remore real-world approach. One searches and tests any technology truck was considered the control it adopts. When the company was truck, while the other included approached in 2010 by ATDynamthe TrailerTails, the test truck. ics, creator of TrailerTails, within a Although fuel benefits were year of preliminary research C.R. found in the 2011 testing, C.R. England representatives traveled England held off on adding the down to Texas to observe a fleet TrailerTails due to challenges in using the truck add-on. The aerofl eet makeup, which made the dynamic product attaches to the time to achieve an ROI back of the trailer to help longer than what was deminimize drag, thereby resired at the time. Later in ducing fuel usage. 2011, the company adaptAccording to C.R. Enged a new testing protocol land Director of Fuel Aland decided to take anlen Nielsen, the company other stab. recognized certain fleet The second test, a SAE benefits and began runType-2 test where each ning controlled testing Allen Nielsen, truck has a removable in 2011 through what’s 12-gallon fuel cell turned called an SAE Type-4 test. C.R. England on via an onboard switch The TrailerTrail testing Director of Fuel LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM Photos courtesy of C.R. England by the driver, was done in 2011 and again in early 2012. In this test the trucks travel six, 40-mile segments of driving. At the beginning and end of each 40-mile test drive, the fuel cells are weighed. The difference in weight on the control truck’s fuel cell is then compared to the test truck, giving a result that lowers the risk of driver behavior and other variables from tainting the results. For the TrailerTails test run, C.R. England saw close to a 3% increase in fuel efficiency with the Type-2 test, but still faced challenges with fleet makeup before moving forward with the technology until the end of 2013, when the company kicked off the use of the technology with a pilot phase. C.R. England ordered 200 TrailerTails from ATDynamics — 100 of which had been installed as of this writing. Nielsen explains that the logistics of the technology is quite simple: Once installed, the driver pulls a lever and the TrailerTail is deployed. “If the tail is not deployed, it’s not saving us money,” he says. “It’s one of the risks you take when you rely on the driver to make sure it’s deployed.” ATDynamics has an auto-deployment feature so the TrailerTails will deploy once the truck reaches 20 or 30 miles per hour, but C.R. England instead takes extra time with drivers to ensure the tails are used. To open up the trailer doors, the tail folds in automatically when the doors are opened. While C.R. England has proven a fuel benefit with the TrailerTails, the company will track over the next three to six months the in-service benefit, which can be a lot harder than controlled testing. “More than fuel efficiency, we want to make sure these do not create additional frustrations out on the road for our drivers,” Nielsen says, adding that they will observe any for C.R. England. The company is looking to put additional branded wheel covers on the fleet’s new trailers that the company is purchasing later this year. Truck skirts have also saved the company about 3-5% in fuel costs. (Top) C.R. England conducted several controlled tests on the TrailerTrails before eventually starting a pilot phase and purchasing 200 of them at the end of December 2013. (Above) To give a more real-world effect in controlled testing, the trailers are filled with equally weighted and distributed blocks. maintenance issues as well. Other fuel reduction strategies C.R. England utilizes are aerodynamic wheel covers currently fitted on approximately 1,000 trucks. “We’re constantly testing new tractor/trailer combinations, and different aerodynamic devices have been a big part of our company,” Nielsen says. The wheel covers, which help with aerodynamics around the wheel and tire, are generating between .75% and 1% fuel savings LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM No Idling, With Comfort In February, C.R. England officially opened a new IdleAir facility with 24 stations at its Laredo terminal, which was chosen as a pilot because of high temperatures almost year round. The purpose of IdleAir is to accommodate drivers who would otherwise idle in order to stay warm or cool while they wait to reload or simply take a break — and gives them access to amenities such as Internet, TV, and other entertainment options. Every time drivers use an IdleAir station, they save a couple dollars an hour depending on the current fuel cost. “We figure every hour a truck idles is about a gallon of fuel,” Nielsen says. With the cost of fuel upwards of $4 per gallon, IdleAir costs C.R. England less than $2 per gallon. “That’s a huge savings for us,” he says, adding that it’s also helpful for hours of service so drivers spend less time searching for a truck stop. In other idle reduction efforts, C.R. England requests that driv- LEADING FLEETS WINTER 2014 11 COVER STORY ers not idle in company terminals. C.R. England has installed cab heaters in its trucks for the last 14 years to help reduce idling when the temperatures turn cold. With a drastically reduced cost over APUs, cab heaters help C.R. England keep idle time low as well as help retain a tight, 3-year replacement cycle on most tractors. The company is also looking at buying additional technology this year that would include a thermostat similar to a central air system in a home, in which the truck will turn on and off as necessary to keep the cab at a desired temperature. This would keep the driver comfortable without having to keep the engine on. In addition to aerodynamic and anti-idling efforts, C.R. England is testing out two Freightliner CNG trucks in Salt Lake City that were deployed last February and has been running five Kenworth HDPI LNG trucks in California since 2010. In fact, also in February, C.R. England signed a multi-year LNG bulk fueling agreement with Shell to continue support for its LNG trucks in California. Rewarding Drivers, Creatively C.R. England adopted a quarterly Harley-Davidson Fuel Efficiency Recognition program in 2011. This Harley giveaway presents a large — and fun — incentive for top C.R. England drivers. The latest giveaway in January 2014 marked the company’s 11th Harley giveaway. Nielsen says that while C.R. England values the idea of a fuel efficiency recognition program, with so many different carrier services it was originally difficult to make it fair across all drivers. “We determined what we thought was a good MPG and idle level that most drivers could achieve, and based on that, drivers would gain entries 12 LEADING FLEETS WINTER 2014 into the drawing,” he explains. Each driver can earn up to six entries per quarter if they have been with the company since the start of that given quarter. From the entries, five drivers are randomly selected and brought to Salt Lake City, where each driver is highlighted at the event and given gift bags with items valued between $500 and $1000. IdleAir is a third-party company that alleviates the need to idle during driver downtime and provides amenities such as Internet, cable television and other entertainment options. At C.R. England’s Laredo, Texas terminal, the company has 24 IdleAir stations. For the grand finale, each driver chooses a key out of a hat and whoever draws the key that starts the Harley, wins. After each giveaway, the company issues a press release and includes an announcement in the company’s internal newsletter. Additionally, the company congratulates the winners via its onboard computer system from Qualcomm. At one point, a winner’s photo with the Harley even made it to a Times Square billboard in New York City. Drivers are able to stay involved in the competition since they can track their own statistics by logging onto the company website. The website also includes efficient driving tips and past Harley winners. Of course, with so many drivers, it’s hard to determine to what degree the program is having an effect. “It’s difficult to gauge how many of them are really trying, and I’m sure it ebbs and flows,” Nielsen says. “But every time we bring in five new drivers, they tell us they are working hard and hoping to get the Harley.” According to Brandon Harrison, C.R. England’s COO, C.R. England offers other reward incentives including a quarterly Million Miler program, Driver of the Month and Driver of the Year, as well as support office employee recognition, pay-for-performance in which drivers who hit certain thresholds in safety and service have an opportunity to make more money, and most recently, a creative recognition program. Harrison explains that the creative program was born recently after two drivers submitted a rap — yes, rap — that they wrote on the road and recorded at home. After C.R. England got wind of the rap, the company recognized the duo’s talent and asked them to perform in Salt Lake City. That performance kicked off a “creative” program. After drivers submit their work, other employees go online and vote for who they think has the best art or project. The company then recognizes the best submissions. “We’ve seen some really, really neat projects and we’re encouraged by the driver feedback we’ve gotten,” Harrison says. Company Advances with Technology C.R. England is implementing new safety compliance tracking and other safety software investments, but also sticks to a tried and true LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM practice: keeping safety a daily focus. “Safety training is something we evaluate on an on-going basis. We look at it day-to-day, week-toweek, and month-to-month,” Harrison explains. C.R. England’s driver safety program starts with the company driver schools and is an ongoing process and focus throughout a driver’s career with C.R. England. The driver schools also keep in line with ensuring that drivers are using efficient driving practices. Harrison explains that C.R. England gives drivers comprehensive written and verbal tests, driving evaluations, and a number of other safety items and curriculum. Plus, each driver is provided a monthly safety video, created by a professional in-house media team. The videos can be accessed online or at any C.R. England terminal. A new Learning Management In a driver-focused effort to reduce fuel use, C.R. England implemented in 2011 System (LMS) allows the company a quarterly Harley-Davidson Fuel Efficiency Recognition program, in which drivers to administer curriculum at any compete to win the keys of a Harley hog. point and it enables C.R. England ernance have become crucial for er carrier, have gaps in our netto track compliance — making company safety goals. work; so we can’t get every piece sure drivers are following up with Technology has also aided the of equipment into our maintethe curriculum the company iscompany’s maintenance efficiennance terminals in the case of an sues. Management has access to cies. Virtual Technician, a prounexpected mechanical failure,” how drivers score on these tests and gram developed by Detroit Diesel, Harrison says. the LMS provides touch-points for is an on-board diagnostic program To monitor the equipment what areas need to be addressed. that allows C.R. England to run individually, C.R. England also In order to assess what kind of asdiagnostics on its tractors while uses telematics on the trailers in sistance drivers need, safety manthey are out on the road. One adaddition to Qualcomm units and agers have been strategically posivantage of Virtual Technician is satellite tracking in tractors. Plus, tioned throughout the country in that it shows the company dealer customers can rest assured about areas where there is high density networks and their schedules. “It the integrity of their cargo, thanks for driver support and evaluations. shows us not only what’s to C.R. England giving them the According to Harrison, wrong, but also the best ability to track refrigerator temmany safety tech investway to minimize downperatures and access this informaments have been made, time for drivers.” tion for their shipments. such as critical event reWith five full-service With its commitment to fuel effiporting and a safety work maintenance terminals ciency and fleet sustainability, and bench which allows safety throughout the country, a focus on drivers from the point managers to stay on top C.R. England tries to of hire to the millionth mile and of the critical events and funnel as much activity beyond, C.R. England is able to coach drivers. and equipment through maintain its customer service and Additionally, in-cab nav- Brandon employee satisfaction while taking igation, roll stability on Harrision, C.R. those terminals as posa load off its bottom line. LF tractors, and speed gov- England COO sible. “We, like every othLEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM LEADING FLEETS WINTER 2014 13 WORRY-FREE FLEET MAINTENANCE Accuracy & Access: Demanding Comprehensive Data from Third-Party Suppliers If you put time and effort into developing and maintaining an accurate, reliable database, why settle for anything less when using outside vendors? By Amein Punjani, Chief Operating Officer of Amerit Fleet Solutions C aptive operations provide fleet managers and leadership with a high degree of control and visibility. The management of employees or outsourced labor/contractors through standard processes, training, and mandatory interaction with a fleet management system (FMS) yields the kind of dashboard data that many fleet operators rely on to make complex and time-sensitive decisions. However, when fleet managers 14 LEADING FLEETS WINTER 2014 move outside the captive shop for services, data collection and accuracy go out the window. Often, fleet managers then find themselves caught with a “black hole” in their fleet data. The greatest danger this situation creates is having a blind spot in vehicle history that undermines your overall management process and fleet performance. Unfortunately, many fleet managers have grown to accept this problem as just a part of the frustrations in managing their fleet. But, as Amerit Fleet Solutions has proven through servicing some of the largest fleets in the country, our FleetCommand Data Management System allows our clients to take back control of their outsourced assets — providing visibility and control that is lacking from other third-party vendors. The Importance of Accuracy and Access Accurate data is important for a variety of reasons. The fleet indus- LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM WORRY-FREE FLEET MAINTENANCE try is geared toward measurement: cost per mile, preventive maintenance frequency, miles per gallon, etc. These common metrics are pervasive throughout the industry but mean nothing without accuracy and access. Let’s look at a few common ways that data — or lack thereof — impact everyday management decisions. 1. Warranties When filing warranty claims you need to know your “Three Cs”: complaint, cause, and correction. You need to record what you did, but just as importantly, you need to also know the background details of the asset by asking these questions: • What is the vehicle’s service history? • What specific services or repairs were performed? • Why did that vehicle come in in the first place, and is this a repeat occurrence? Without these data points you do not have a full historical picture of this vehicle’s issues, costs, and remedies, which leaves you at a road block — you cannot submit a warranty claim without these key data points. Because most third-party vendors do not provide historical details on their invoice, fleet managers and their staff have to endure the additional burdens of requesting and inputting each data point before submitting a claim. 2. Employees Data is also important to ensure accountability. This is particularly true if you are managing a technician workforce, but is also a key factor to managing outside vendors. Knowing what task times were recorded and whether the technician doing the task performed that service within the standard task time not only helps you hold vendors and employees accountable, it also helps you gauge overall performance. This gives you a clear view into your costs and any possible improvements. 3. Costs When proving ROI, accurate and comprehensive data is mission critical. When you pull the costs for a vehicle you must have confidence that those costs are accurate and reflective of the actual vehicle history. At Amerit, we often code costs to the vehicle itself — not to a general department code. This helps our clients know the true cost of operating that vehicle to make informed decisions, like should they buy that vehicle type again? Or should they go with a different type of vehicle because of repeat problems and a high cost of ownership? Conversely, accurate and complete data will also prove that a cost-savings initiative did indeed save money and deliver greater profitability. If you put time and effort into developing and maintaining an accurate, reliable database, why settle for anything less when using outside vendors? ‘Captive Shop’ Data from Off-Site Vendors The industry is advancing. Retail service providers utilize systems of their own, which “talk” to your systems — if you ask for it. The world has moved beyond expensive EDI interfaces to more nimble ways to exchange information. For example, .csv files extracted to FTP sites for upload can do the trick as well as .xml data file transfers. But what if an outside vendor could provide you with both your maintenance data and your invoice seamlessly either weekly, daily, or in real time directly into your FMS? VMRS codes, part LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM numbers and descriptions, notes, meter and other data could flow directly into your system. You would essentially have the “captive shop” experience with your data, giving you the same visibility and control from our off-site Fleet Service Center or Mobile Service Center (you can read more about those services on page 8). Delivering Data Every Day As an outsourced maintenance provider to some of the largest fleets in the country, Amerit provides complete, accurate and realtime data to all our clients through our FleetCommand Data Management System. We partner with our clients to deliver standard and specialized, real-time data. And all our technicians are thoroughly trained and held accountable for accuracy and thoroughness. During each repair or service, Amerit’s clients are able to view the vehicle’s progress in real time with precise data and time spent on the unit. All invoices, data files and reporting are transmitted electronically and/or as hard copies as frequent as the client needs. This flexibility provides an unprecedented level of detail from an outside supplier. At Amerit we pride ourselves in our ability to address and solve our customer’s needs and problem areas. With our FleetCommand System, Amerit is able to provide the same in-house data quality, reliability, accuracy, and control. LF Providing innovative, customized, and comprehensive fleet maintenance services on a local and national scale, Amerit is the only nationwide maintenance provider creating full-service programs that answer the toughest challenges from the largest fleets in the U.S. These programs increase their uptime, reduce managerial burdens, and ensure quality and accuracy while delivering savings. LEADING FLEETS WINTER 2014 15 FLEET PROFILE Ferrellgas Pushes Past Winter Challenges Coupled by a higher demand, road closures, and other supply issues, propane companies were faced with seemingly relentless challenges this winter. Ferrellgas stepped up to meet this demand, and to keep customers warm and happy. By Joanne Tucker M eeting propane demand through the “polar vortex” this winter brought extra challenges to companies like Ferrellgas and other propane businesses. But in staying focused on winter operation protocols, moving fleet where needed, and allowing for routing flexibility, Ferrellgas was able to face these hurdles head on. The company’s fleet totals around 3,500 trucks spread out nationally, including its Blue Rhino brand, which provides propane tank exchange. Dealing with the Cold Many states struggled with snow and ice storms throughout the winter this year, and in an industry that relies on trucks and roads to make deliveries, when roads are closed, getting product to customers can pose quite the dilemma. “There’s not a whole lot the propane industry can do with the roads,” says Mike Abrams, Ferrellgas director of fleet services, adding that the solution is to either take a longer route or just wait. Ferrellgas drivers working in these areas are fairly used to adverse weather Mike Abrams, conditions. “They Director of can still find the Fleet Services 16 LEADING FLEETS WINTER 2014 tanks in four-foot snowdrifts. It’s kind of the norm for our drivers to have to go through snow to bring in the hoses,” Abrams says, who has been fleet director for five years and with Ferrellgas for 17. To forecast demand ahead of schedule and before customers run out, Ferrellgas utilizes tankmonitoring technology. However, Abrams says that keeping up with demand was exacerbated this year due to a large amount of customers whose suppliers either weren’t able to keep up or ran out of an immediate supply, and called on Ferrellgas to step in. “We always make sure the customers we contract with are taken care of,” he says. This winter was a special case, with many media headlines stating that there was a propane “shortage.” According to Ferrellgas, though, while there were several factors at play including an unusually high demand in the fall and unrelated pipeline issues, calling it a shortage could be argued as a misnomer. “There was and there is plenty of propane in the U.S.,” says Scott Brockelmeyer, Ferrellgas vice president of communications and marketing. “It was really a situation and scenario where propane was not where we needed it to be.” So adding road closures and weather issues to the mix made it a perfect storm of challenges. For example, when the company would normally pull product out of Kansas and deliver it to Indiana, the fleet was traveling all the way down to Texas to get it. “That puts longer timelines in the delivery process, and adds to the cost,” Abrams says. For Ferrellgas, having a large fleet aided its winter deliveries. Whether it was changing routes to retrieve propane elsewhere, or shifting portions of the fleet from lower-demand areas to where trucks needed to be. “This was a challenge for a number of retailers in our industry,” Brockelmeyer says. Keeping Engines Running Diesel fleets across the northernmost and coldest states had to grapple with gelling, which is when diesel fuel hardens in the fuel lines, preventing the truck from starting. For Ferrellgas, this wasn’t an issue in areas used to the frigid temperatures, where the company uses certain diesel additives in the tanks to prevent the fuel from gelling. “But for our guys in Indiana, Illinois and Ohio, that’s an unusual thing for them to face, so when -20 degree temperatures hit us overnight where use of additives is not normal protocol, we definitely had fuel gelling issues,” Abrams adds. To fix the issue, patience is a required tool. “Once the fuel is gelled, you can’t just add something to your fuel tank and start the vehicle,” Abrams says. “You LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM Ferrellgas drivers are often used to working in snow-packed areas, but this year brought extra challenges in areas not used to the frigid temperatures. Photos courtesy of Ferrellgas need to get it to a shop where they can warm the fuel injectors.” While products exist to help aid the process, those still involve some mechanical disassembly, so either way, time and getting the truck to a shop and warmed up is key — and not always easy. “Sometimes, you just have to get it towed somewhere,” he says. Ferrellgas also boasts a robust preventive maintenance program. With its longest replacement cycle of 13-15 years on Class 7 bobtails and any other upfitted trucks, staying on top of scheduled maintenance year-round is the cornerstone to the success of the strategy, which also aids during extreme weather. The fleet keeps a pool of deployable trucks ready, particularly the bobtails, and cylinder and boom trucks. “We’ve got trucks that are either ready to go, or they’re in the pipeline being built,” Abrams says. “It allows our field to operate with a certain level of confidence when they know that if they are going to need a truck, we can get them one in relatively short order.” Keeping Drivers Safe With icy roads affecting states that rarely see them, Ferrellgas’ driver training and safety protocols were all the more useful. During the winter, the company focuses on stopping distance, tire chains, checking the battery charge, and of course the year-round risks involved with distracted driving and how that can be even riskier on icy roadways. But safety for Ferrellgas is really a focus at the local level. As a decentralized company, local managers get the face-to-face time with drivers and are therefore better candidates to execute. Propane in Fleet Not surprisingly, about 17% of the Ferrellgas fleet includes either dedicated or propane bi-fuel trucks. Aside from the obvious reason, the company uses propane in fleet because of easy access to infrastructure as well as the costeffectiveness of installing a private pump. “Ask anyone who owns an RV and they’ll tell you there’s thousands of places around the country to refuel,” Abrams says. The company is also enjoying the comparable operating cost per-mile to gasoline. “As long as the vehicles are well maintained, we don’t see any issues with longterm viability,” Abrams says, adding that another bonus for using LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM propane is that in cold weather, it can’t gel up like diesel. The ‘Right’ Kind of Growth Established 75 years ago, Ferrellgas has seen significant growth over the years. While the company has made multiple acquisitions, including two just since August 2013, in the last year or so the company has been experiencing some fleet “right-sizing.” “We’ve been growing our efficiencies and reducing our fleet, which is, I think, the best of both worlds,” Abrams says, adding that investing in technology has been a key driver in this initiative. Through improved routing software and tank-monitoring technology, the company is able to eliminate a lot of unnecessary driving. “The investment in technology has allowed us to deliver the same number of gallons with far fewer vehicles because of those efficiencies,” Abrams says. Another contributor to streamlining aspects of the fleet is refining roles and responsibilities of local managers. According to Abrams, the result is a system allowing more time for dispatchers and other logistics employees to focus on improving efficiencies even further. LF LEADING FLEETS WINTER 2014 17 LEADING THOUGHTS CLEANER, BETTER Truck Technologies Are Coming By John Boesel, President and CEO, CALSTART We’ve seen the innovations for passenger cars and other light-duty applications, but what’s the state of cleaner technologies in the heavy-duty market looking like? Let’s just say, we’re entering a period of significant change. T 18 LEADING FLEETS WINTER 2014 Photo courtesy of Volvo Trucks he energy and environmental challenges confronting all major industrial nations are resulting in policymakers taking a closer look at what can be done to make trucks cleaner and better for public health and the environment. National and economic security priorities are also prominent as many civic leaders from Beijing to Washington, D.C. want to reduce their dependence on imported oil and keep their energy dollars at home. Significant action has already been taken to reduce emissions and increase the efficiency of the passenger car market. The 2025 goal in the United States is for each car company’s mix of vehicles sold to operate on a 54.5 mpg basis on average. This target is roughly consistent with similar goals established in Japan, China, and the European Union. These policy goals are already having a substantial impact on the light-duty vehicle sector. The market share of high-efficiency gasoline direct injection engines has grown by about six-fold to 32% from 2007 to 2012. Electric and hybrid cars now account for about 4% of all new car sales. At a modest incremental cost of $1,600, Ricardo, the global automotive consulting firm, has pro- This is one of the latest fuel technologies to hit the truck market and is being spearheaded by Volvo. Pictured is a Volvo VNL 300 with the D13 di-methyl ether (DME) engine. duced a Ford Focus that will be capable of getting 60 mpg with only a mild hybridization of the gasoline powertrain. And, Ford just recently announced plans to cut the weight of its best-selling F-Series pick-up trucks by 700 pounds. Imagine how much better mileage your car would get if it didn’t have two guys in the back seat, each weighing 350 pounds! Current estimates suggest the mpg of a Ford F-150 will jump from 23 to 30 mpg. With big goals being established, and innovation and investment occurring in the light-duty vehicle sector, the same questions are often raised about trucks and buses. What is the new fuel or technology that can really make a difference in the heavy-duty vehicle sector? Will we see a similar level of improvement, and at what pace? Refining the Old The best “new energy source” for trucks and buses still lies in efficiency — making the existing dominant powertrain more efficient, and requiring less fuel. New and existing engine manufacturers are now working on LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM Hybrid & Electric Over the next decade, we expect to Photo courtesy of CALSTART more efficient and innovative engine designs. Capturing waste-heat and using it to generate power can yield significant new efficiencies, for example. Start/stop technology will reduce fuel consumption during idling and will be seen in a number of trucks this decade. And, opportunities remain to lower the non-cargo weight of the trucks and increase the aerodynamics, while reducing their rolling resistance through better tires. When we look to fuels beyond diesel for the truck sector, it is important to keep in mind what we are aiming for. The fuels of the future need to emit less than or an equal amount of particulate pollution currently generated by the much cleaner diesel engines that meet the U.S. 2010 emission standard. From a total lifecycle basis, the fuels also need to produce fewer harmful greenhouse gas emissions. Lastly, the fuels need to be scalable and able to meet a significant portion of market demand while being economical. The truck sector already is extremely diverse, ranging from Class 2 urban delivery vans to Class 8 long-haul tractor trailers. The growth of the new fuel market can actually benefit from this diversity. Different fuels can quite easily be used in different segments and different applications. Extensive research and deployment tests have shown repeatedly that an effective fuel choice is all about duty-cycle and how the vehicles get used. A decade ago, it was not that important for fleets to fully understand the duty-cycles of their trucks because they basically had one fuel choice. Today, there is a growing array of fuels, each of which, like the existing dominant fuel, offers its own strengths and weaknesses. Frito Lay, Staples and UPS are among the fleets currently taking advantage of electric power in fleet. see electric and hybrid technology expand in the regional urban delivery and possibly in the drayage markets. Electric and hybrid drivetrains are simply more efficient, capable of capturing braking energy and require less energy to create traction power. Frito Lay, Staples, and UPS are among the fleets currently taking advantage of electric power. Presently, the states of California and New York, along with the City of Chicago are helping to support growth of the electric truck market by offering incentives. Oddly, Congress has decided that an individual should get a tax credit if they purchase an electric car, but they do not offer any such tax credit to a fleet that wants to purchase an electric truck. Hybrid technology got off to a pretty fast start but its growth has slowed a bit recently. We expect to see it grow during the next decade as more suppliers enter the market and provide better technology. The truck market has yet to benefit from a Toyota-level of commitment to the technology. As a result of continuous improvement and sustained investment, Toyota is now selling its 4th generation hybrid drivetrain and has sold more than 6 million Prius models worldwide. LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM Over time, we will continue to see new and improved hybrid systems in the truck market, but it looks like it will take longer to penetrate than it has in the car market. Presently, there are a number of plug-in variations of passenger cars. Some are all electric, while others like the Volt have a limited zero-emission range and then operate as a gas hybrid past the electric range. A growing number of megacities around the world need trucks that have a zero-emission capability when operating in the most heavily polluted corridors. It is likely that over the next decade we will see a number of different plug-in hybrid variants in the truck sector. Natural Gas The growth of the natural gas market in class 5-8 trucks over the past three years has been exceptional. Fleets ranging from Pepsi to Monarch Beverage (the largest distributor in Indiana) to UPS have been taking advantage of natural gas not only because it produces fewer particulates, but simply because the economics have been so attractive. It is not uncommon for fleets to secure long-term pricing arrangements for natural gas that is less than a dollar per diesel gallon equivalent. From a total environmental per- LEADING FLEETS WINTER 2014 19 LEADING THOUGHTS spective, some questions have been raised recently about natural gas. On the plus-side, in a recent analysis we completed for the California Energy Commission, CALSTART identified the potential for natural gas to produce even lower emissions than the 2010 standard. This is a very encouraging development, particularly for metropolitan areas like Houston, Fresno, and Los Angeles, where air pollution remains a major concern. On the greenhouse gas side of the equation, a number of studies underway are examining whether there are losses of methane from the process of producing the gas to using it in the truck. Under cur- from fossil sources, it is generated from digesters where biological material decomposes. In California, Waste Management Inc. is running a large number of trucks on ultralow carbon biomethane that is generated from one of its landfills. Biodiesel & Renewable Fuels Somewhat quietly, the biodiesel and renewable diesel sectors have continued to grow over the last five years. Using different processes, but largely the same feedstock, the production of both renewable and biodiesel has continued to grow. Production of these fuels exceed- Today, there is a growing array of fuels, each of which, like the existing dominant fuel, offers its own strengths and weaknesses. rent scenarios, natural gas trucks and buses tend to produce about 20% fewer greenhouse gas emissions than diesel trucks. A game changer for natural gas could be the development of heavy-duty engines specifically designed to operate on natural gas and take advantage of its high octane content. Preliminary studies suggest that optimized natural gas engines could be 30 times more efficient than they are today. Di-Methyl Ether Volvo is currently taking lead in the use of a fuel called Di-Methyl Ether (DME) which produces virtually no particulate matter and can be used in a slightly modified diesel engine. DME can be produced from natural gas — or for even lower greenhouse gas reductions, can use biomethane as its feedstock. Biomethane is effectively just like natural gas, but instead of coming 20 LEADING FLEETS WINTER 2014 ed 1 billion gallons in 2012. The industry is quickly moving away from sole reliance on soybeans and taking advantage of waste materials for a growing percent of production. Both biodiesel and renewable diesel are “drop-in” fuels that can be easily blended with conventional diesel. Looking further down the biofuel road, firms like Sapphire Energy and Solazyme are now producing “algae” crude, and testing them in a wide array of modes — ranging from aircraft carriers to passenger cars. From a technical perspective, these new renewable fuels are working and proving reliable. At this point, the challenge is to bring down the price and to find ways to produce the algae in volumes that can have a major impact on the market. Leveraging Progress Lastly, the truck industry may be able to leverage progress being made in the transit bus sector. During the last 20 years, the U.S. transit bus sector has played a leading role in testing out and proving the viability of natural gas and hybrid powertrains in heavy-duty platforms. Presently, both electric and hydrogen fuel cells are being used by a growing number of transit properties in the U.S. With funding provided by the Federal Transit Administration, CALSTART will soon test two different configurations of fuel cell/ battery dominant buses, one at SunLine Transit and one at Connecticut Transit. In this case, a small fuel cell, powered by hydrogen, will recharge the batteries and enable a bus to operate all day with zero emissions. TTSI, a drayage firm based in Southern California, is currently testing out a similar technology configuration produced by Vision Motors. We are entering a period of significant technological change with major environmental promise. Many suppliers seek to leverage and build upon what is being done with light-duty vehicles and apply those innovations to the heavy-duty sector. In 10 years, while diesel will still be the dominant fuel used in the U.S. trucking industry, fleets will have a lot more choices, including the option to do more with less fuel than they are using today. LF John Boesel is president and CEO of CALSTART, the nation’s leading clean transportation consortium. CALSTART offers a broad array of technical, policy, and consulting support to more than 120 member companies. Headquartered in Pasadena, Calif., the nonprofit organization has offices in New York, Colorado, and Northern California, and administers projects all over the United States. LEADINGFLEETS.COM • AMERITFLEETSOLUTIONS.COM www.policemag.com/freeinfo/