xvEPA
    u Mud Strf'i.-s, (          Office of Transportation                               EPA420-F-04-040
    Ajso'mv""'01*1fJrflU"' n   and Air Quality                                      May 2004

                                and
                      Clean Air Nonroad Diesel  Rule

                      Air Pollution from Nonroad Diesel Engines (Inventory)
                         47 percent of mobile source diesel paniculate matter (PM) comes
                          from nonroad diesels
                        * 25 percent of mobile source nitrogen oxides (NOx) comes from
                          nonroad diesels

                      Population Affected
                        * 65 million people live in counties violating air quality standards for
                          PM2.5
                        * 159 million people live in nonattainment areas for 8-hr ozone

                      Industry Characterization
                         Over 650,000 pieces of nonroad diesel equipment covered by this
                          rule are sold in the United States per year
                       *  About 6 million pieces of nonroad diesel equipment in categories
                          covered by this rule are currently in use
                       *  About 50 nonroad diesel engine manufacturers are affected by this
                          rule (worldwide)
                         63 refiners are expected to produce low sulfur nonroad/locomotive/
                          marine diesel fuel beginning in 2007

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Environmental Benefits
When the fleet of older nonroad engines has fully turned over by 2030, this
rule will result in:
  *  129,000 tons of Fine PM (PM2.5) reduced annually, which is equivalent
     to removing 2.4 million highway diesel trucks from the road
  *  73 8,000 tons of NOx reduced annually, which is equivalent to removing
     700,000 highway diesel trucks from the road
  *  The NOx reduction from a single typical bulldozer is equivalent to
     removing 25 MY 2003 cars from the road

Public Health Benefits
When the fleet of older nonroad engines has fully turned over by 2030,
this rule will annually prevent:
    12,000 premature deaths
  *  8,900 hospitalizations
    15,000 heart attacks
  *  6,000 children's asthma-related emergency room visits
  *  280,000 cases of respiratory problems  in children
  *  1 million work days lost
  *  200,000 cases of asthma symptoms in children
    5.8 million days that adults have to restrict activity because of their
     respiratory systems

Annual Costs and Benefits
When the Fleet of Older Nonroad Engines Has Fully Turned Over by
2030:

     Overall fuel cost increase                   7 cents/gallon
  -   Equivalent fuel cost savings from          - 3 cents/gallon
     reduced equipment maintenance costs
     (due to low sulfur diesel fuel)

     Net fuel cost increase                        4 cents/gallon
     Equipment cost increase is 1 -3 percent of total equipment price (for
     most mobile equipment categories)
     Annual cost of program is $2 billion
     Annual monetary value of benefits is $80 billion

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Heavy-Duty Diesel Truck and        Rule

  * The new heavy-duty diesel truck and bus emissions standards will be
    phased in between 2007-2010
  * Clean highway diesel (15 ppm) will be available at retail stations on
    September 1, 2006
  * When the fleet of older engines has fully turned over by 2030, this
    program will annually  prevent:
       o 8,300 premature deaths
       o 9,500 hospitalizations
       o 1.5 million work days lost
  * When the fleet of older engines has fully turned over by 2030, this
    program will annually  reduce:
       o 2.6 million tons of nitrogen oxides (NOx)
       o 115,000 tons non-methane hydrocarbon
       o 109,000 tons particulate matter
  * Cost of the heavy-duty diesel truck and bus program:
       o Cost of new truck today = ~$ 150,000
       o Cost of new bus today = -$250,00
       o Cost of standards per vehicle = $1,200 - $1,900
       o Cost of producing and distributing diesel fuel = ~4 1A - 5
         cents/gallon
Voluntary Diesel Retrofit Program

  *  160,000 existing diesel engines have been retrofitted
  *  Existing engines remain in a fleet for up to 25 years
  *  Using approved retrofit technologies can reduce emissions over 90
     percent
  *  15 states have areas currently benefiting from the early introduction
     of low sulfur diesel fuel
  *  29 states and the District of Columbia are currently active in the
     Diesel Retrofit Program
Clean School      USA Program

   24 million children ride school buses each day
  * Almost 400,000 diesel school buses are in use
  * Average age of U.S. school bus is 10 years

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    School buses idle an average of 1.5 hours per day
    17 million gallons of fuel is saved when idling time is reduced by 30
    minutes per bus/per day
    EPA issued 17 school bus grants in 2003
    -5,000 school buses are affected by 2003 Clean School Bus USA
    grants
    21 states are currently implementing school bus retrofit programs
SsnartWay Transport Program

  * SmartWay Transport programmatic goal is to reduce 33-66 million
    metric tons of carbon dioxide by 2012
  * SmartWay Transport programmatic goal is to reduce 200,000 tons
    of nitrogen oxides (NOx) annually by 2012
  * Additional benefits and savings of program include 150 million
    barrels of oil saved
   Examples of SmartWay Strategies:
       o  Wide based tires
       o  Weight reduction
       o  Reducing highway speed
       o  Driver training
       o  Idle reduction
       o  Automatic tire inflation systems
       o  Improved aerodynamics
       o  Hybrid powertrain technology
  * 62 freight shippers and carriers are current SmartWay Transport
    partners
   22 idle reduction projects currently

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