Voucher Incentives for Advanced Vehicle Fleets Are Working, Panel Says

From left to right: Mike Britt, UPS; Samantha Bingham, Chicago Dept. of Transportation; Tom Brotherton, CALSTART; Glen Ellis, Hino and Bill Van Amburg, CALSTART

CNG and LNG advanced vehicles dominate fleet media sites these days, such as the BNSF Railway's pilot program involving a LNG locomotive conversion and UPS LNG trucks in the western U.S. However, the City of Chicago's voucher program is eliciting great reviews from end users as it envisions more electric fleets for low-mileage runs with regular routes.

"We see economics there for natural gas and propane, but we really see the economics for electric," says Samantha Bingham, environmental policy analysis, City Dept. of Transportation, Chicago. Bingham was part of a panel, entitled, "Voucher Incentive Programs," at the High Efficiency Truck Users Forum (www.calstart.org), held at the McCormich Place Hyatt Regency, from Oct. 7-9. 

The fleet voucher system replaces tax credits and rebates — failed attempts at stimulating technology adoption— and panelists agreed on the success with the voucher program, so far.  

The four-person panel at the event included a representative from Mike Britt, dir. of maintenance and engineering at UPS and he added that an "incremental voucher should be eliminated and the entire amount of money should go directly to the advanced vehicle OEM." Also included on the panel was Glen Ellis, vp at Hino, a manufacturer of light and medium-duty trucks and Tom Brotherton, regional director, CalStart. 

The voucher system works by providing the fleet manager a reduced rate for more expensive, alternative vehicles and the manufacturer receives the full price at sale, not later with a rebate or tax credit. For example, a fleet manager will pay $60,000 for an electric refuse truck and a voucher will cover the other $40,000 for a total of $100K to the manufacturer. 

With another 20 remaining City of Chicago contracts, the competition was ample at the event's ride-and-drive — see video and images below — held in the south parking lot of Soldier field parking lot. These advanced vehicle truck and trailer suppliers were there: Hino Trucks, Southern Company, Altec, Parker Hannafin, Boulder Electric Vehicle, Eaton, Freightliner and Workhouse, to name a few.