Proposal:

Execute Contract to Cost-Share Implementation of a Program to
Improve Energy Efficiency and Emissions of Natural Gas Engines

Synopsis:

The U. S. Department of Energy (DOE) has initiated a project with the American Trucking Association’s Trucking Research Institute (TRI) and the Gas Research Institute (GRI) to initiate a program to enhance natural gas engine energy efficiency and emissions performance. DOE proposes that TRI manage a solicitation to the heavy-duty engine industry and resulting research projects. Total project cost is $1.2 million, with AQMD costsharing of $400,000.

Committee:

Technology, January 17, 1997, Recommended for Approval

Recommended Action:

Authorize the Chairman to execute a contract with the Trucking Research Institute in an amount not to exceed $400,000 to implement and manage a program to improve natural gas engine energy efficiency and emissions performance.

James M. Lents, Ph.D.
Executive Officer

Background

Although heavy-duty trucks represent less than 10% of the total vehicle population registered in the Basin, they contribute 13% of the CO, 40% of the NO_x, and 87% of the particulate inventory. In recognition of the contribution of heavy-duty truck emissions to the inventory, and the fact that trucks from out-of-state are significant contributors to the emissions inventory, the ARB and the U. S. EPA entered into an agreement with the major heavy-duty engine manufacturers to set a national NO_x standard of 2.0 g/bhp-hr in 2002. The SIP seeks to reduce these levels further to 1.0 g/bhp-hr.

The AQMD and others have supported development and demonstration of natural gas heavy-duty engine technology. Over the past decade, major U.S. engine manufacturers (OEMs) have developed a first generation of heavy-duty natural gas engines for use in transit buses and heavy-duty commercial trucking. These current generation natural gas technology engines can achieve emissions well below 2.0 g/bhp-hr; however, there is a significant performance penalty to achieve those levels. Conversely, if performance is optimized, emissions suffer. These technology barriers currently inhibit strategies to encourage widescale use of natural gas in intra- or interstate trucking operations.

Proposal

DOE proposes that the AQMD co-fund a program to achieve significant energy efficiency enhancements to the heavy-duty natural gas engine, while retaining low-emission qualities. The program will be managed and coordinated through the American Trucking Association’s Trucking Research Institute. The proposed engine development program will be directed to engine OEMs and require substantial investment on their part in research to make the magnitude of efficiency improvements necessary to achieve optimum performance and emissions. The proposed program would be co-funded by DOE, GRI, and the AQMD, with in-kind costshare by TRI. This program will target development of natural gas engines with enhanced thermal efficiency, while concurrently retaining emissions of 2.5 grams NO_x or lower. These improvements are necessary if natural gas engines are to successfully compete with diesel engines and achieve full commercialization.

The proposed program will be initiated by meetings with heavy-duty engine OEMs to determine the requirements for (1) near-term prototype engine development for enhanced efficiency that can be completed in two years or less, and (2) long-term goals for advanced natural gas heavy-duty engines. A goal of this program will duplicate DOE’s goals for diesel engine efficiency, i.e., reaching 55% engine efficiency, while retaining the current low emissions characteristics of natural gas engines. The result of this task will be a "Statement of Work" to form the basis for soliciting bid proposals from the major engine manufacturers.

The OEMs will carry out the necessary research, development and planning to enable them to prepare a bid package which contains their technical approach to achieving both near-term prototype energy efficient, low emission heavy-duty natural gas engines and illustrates how this will lead to the design and development of a prototype heavy-duty natural gas engine exhibiting energy efficiency near 55%, and low emissions. During this process, TRI will maintain close contact with the engine manufacturers to monitor their progress, and provide assistance as requested in the preparation of formal proposals to the project cosponsors. Proposals will be evaluated by an advisory committee comprised of representatives of DOE, GRI, AQMD, the California Trucking Association and others.

TRI will provide technical and administrative management of the selected near-term engine development projects, and provide the project cosponsors with quarterly progress reports. At the completion of the near-term engine development program, the project sponsors will assess the feasibility of proceeding with longer-term, advanced engine development. The advanced engine development and demonstration would be conducted in a separate, follow-on project.

The proposed project is included in the October 1996 update of the Technology Advancement Plan for the Clean Fuels Program as project M1-3, "Advanced Heavy-Duty Truck Development and Demonstration Program." Although there are no direct emissions benefits to be realized during this engine development program, increased efficiency of natural gas engines will enhance their market attractiveness, and the realization of emissions reductions from use of the engines. The goal of this program is to increase efficiency while retaining the low demonstrated emissions of below 2.0g/bhp-hr for NOx of heavy-duty natural gas engines.

Sole Source Justification

Section II, Step 3,(C) of the Consultant Selection Policy and Procedure identifies four provisions under which a sole-source award may be justified: (1) cost to prepare documents exceeds cost for consultant, (2) delay would result in the endangerment of public health, (3) services are only available from sole source, and (4) other circumstances exist identifying sole source as in the best interests of the AQMD. This request for sole-source award is made under provision (4).

It is in the best interests of the AQMD to join this engine development project, which is co-funded by DOE and GRI, for the following reasons. First, the AQMD will be an active participant in determining the direction of this national program and will be able to ensure that the developments focus on the NO_x and PM emissions reductions from heavy-duty trucks required in the basin. By joining the DOE in cosponsoring the Trucking Research Institute, the AQMD will be able to participate in the selection of the proposals for advanced natural gas engine development submitted by the engine manufacturers to TRI. Since interstate trucks are significant contributors to emissions in the Basin, it is advantageous for the AQMD to participate in this national program to support natural gas engine technology developments that could ultimately lead to the increased and widespread use of clean burning fuels. As noted below, the AQMD is also able to leverage its funding resources for this project with $800,000 in cost-sharing provided by the DOE and GRI. Finally, the DOE and TRI bring unique resources and capabilities that are required to successfully complete the proposed project, as described in the following paragraphs.

The DOE Office of Transportation Technologies has focused heavy-duty engine development programs on accelerating industry efforts to improve efficiency, reduce emissions, and enhance the alternative fuel capability of heavy-duty engines by supporting government, industry, and university laboratory research and development. The primary focus of the program is to support engine efficiency improvement and development of technologies to improve exhaust emissions. To achieve these objectives, DOE is pursuing a program to support natural gas heavy-duty engine development with U. S. OEMs. DOE has selected the Trucking Research Institute to initiate and coordinate this research effort. DOE has requested GRI and the AQMD to join this effort.

The Trucking Research Institute is a Charitable Trust Research and educational organization that supports the U. S. commercial trucking industry through objective research activities into matters affecting trucking. Ongoing research programs include topics such as advancement of alternative fuels, intelligent transportation systems for commercial vehicle operations, and driver fatigue and alertness. As the research arm of the American Trucking Association, TRI has direct access to ATA member companies, which include all major OEM chassis and engine manufacturers. ATA’s Engineering Department, which directly supports TRI’s engine and vehicle-related research, enjoys unprecedented working relationships with every industry involved in the manufacture of commercial trucks and components.

Resource Impacts

The total cost of this project is $1.2 million, with AQMD costshare of $400,000. Sufficient funds are available in the FY 1996-97 Budget. A breakdown of direct costshare sponsors is as follows:

Cosponsor	Funding Amount
U.S. Department of Energy	$400,000
Gas Research Institute	400,000
South Coast Air Quality Management District	400,000
Total	$1,200,000