FISCAL YEAR 2017
ALTERNATIVE FUEL
VEHICLE ACQUISITION
REPORT

February 2018

United States
Environmental
Protection Agency




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Environmental Protection Agency	EPA AFV Acquisition Report — FY 2017

Contents

Executive Summary	1

Legislative and Executive Order Requirements	2

FY 2017 Compliance With EPAct 1992	3

FY 2017 Compliance With EISA 2007	4

FY 2017 Compliance With EO 13693 	5

Success Stories	5

Appendices

Appendix A: FY 2017 EPAct-Reported Vehicle Acquisitions	A-l

Appendix B: Previous EO Metrics	B-l

Appendix C: Acronyms	C-l

List of Tables

Table 1. The EPA's FY 2017 Performance in Meeting Federal Fleet Requirements	1

Table 2. Summary of Federal Fleet Requirements	2

Table 3. The EPA's FY 2017 Performance in Meeting EPAct 1992 Requirements	3

Table 4. The EPA's FY 2017 Performance in Meeting EISA 2007 Requirements	4

List of Figures

Figure 1. The EPA's EPAct 1992 Actual and Projected Compliance, FY 2005-2020	3

Figure 2. The EPA's FY 2017 Performance in Meeting EO 13693 Requirements	5


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Environmental Protection Agency	EPA AFV Acquisition Report — FY 2017

Executive Summary

This is the U.S. Environmental Protection Agency's (EPA's) fiscal year (FY) 2017 annual report on the
agency's performance in meeting the environmental stewardship transportation requirements of the
Energy Policy Act of 1992 (EPAct 1992), the Energy Independence and Security Act of 2007 (EISA 2007),
and Executive Order (EO) 13693. This report was developed in accordance with EPAct 1992 (42 U.S.C.
13211-13219) as amended by the Energy Conservation Reauthorization Act of 1998.

EPAct 1992 requires that in FY 1999 and beyond, 75 percent of all non-exempt vehicle acquisitions by
federal agencies must be alternative fuel vehicles (AFVs). EO 134231 required federal agencies to
increase alternative fuel consumption by 10 percent annually compared to the previous year's
alternative fuel usage requirement. EO 13423 also set a goal for federal agencies to reduce petroleum
consumption by 2 percent annually relative to an FY 2005 baseline. However, EO 13423 was superseded
by EO 13693, which altered the sustainability metrics from a focus on fuels to a focus on greenhouse gas
(GHG) emissions reduction. EO 13693 now mandates a progressive reduction of per-mile GHG emissions
totaling at least 30 percent by FY 2025, using an FY 2014 baseline. EO 13693 also requires
implementation of vehicle telematics systems and acquisition of plug-in hybrid electric vehicles (PHEVs)
and zero emission vehicles (ZEVs). Finally, EISA 2007 prohibits the acquisition of any light-duty vehicle or
medium-duty passenger vehicle that is not designated as a low-GHG-emitting vehicle (LGHGV), except
where a specific non-LGHGV vehicle configuration is required to fulfill mission requirements. Table 1
summarizes the agency's performance in meeting these requirements.

Table 1. The EPA's FY 2017 Performance in Meeting Federal Fleet Requirements

Driver

Performance

FY 2017 Goal/Requirement

EPA FY 2017 Performance

EPAct

AFV
Acquisitions

75% of the 67 non-exempt,
light-duty vehicles acquired in

FY 2017 (i.e., 51
AFV credits and acquisitions)

Acquired 53 AFVs and AFV
credits, or 79.1% of non-exempt
acquisitions

EISA

LGHGVs
Acquisitions

100% of non-exempt light-duty
and medium-duty passenger
vehicles must be LGHGVs

Achieved 100% LGHGV
acquisition rate for non-exempt
vehicle acquisitions

EO

Per-Mile

GHG
Emissions

4% reduction from the 2014
baseline of 416.89 gC02e/mile
(i.e., a target of
400.22 gC02e/mile)

Reduced per-mile GHG
emissions by 9.39% from FY
2014 baseline, achieving 377.74
gC02e/mile

The EPA has achieved significant progress towards an energy- and cost-efficient fleet, which is a result of
the agency's determined and strategic efforts in vehicle acquisitions, operations and communication.
The EPA has met or exceeded all federal fleet requirements and anticipates even greater strides in the
near future.

1 EO 13423 was revoked by EO 13693 effective March 19, 2015, but EO 13423 compliance in FY 2016 is noted in Appendix B.

1


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Environmental Protection Agency

EPA AFV Acquisition Report — FY 2017

Legislative and Executive Order Requirements

Congress and the President have established laws and policies regarding federal fleet sustainability that
make GHG emission reductions a priority for federal agencies. Table 2 summarizes federal fleet
requirements for vehicle acquisitions, GHG emissions and fuel consumption:

Table 2. Summary of Federal Fleet Requirements

EPAct 1992, as amended by the Energy Conservation Reauthorization Act of 1998, and Section 2862

of the National Defense Authorization Act of 2008

Acquire 75% of light-duty vehicles as AFVs, unless exempted.

EPAct of 2005, Section 701

Use alternative fuels to operate dual-fueled vehicles unless the vehicles qualify for a waiver.

Energy Independence and Security Act (EISA) of 2007, Sections 141, 142 and 246

Prohibit acquisition of light-duty or medium-duty passenger vehicles that are not LGHGVs.
Reduce petroleum consumption by 20% and increase alternative fuel use by 10% by FY
2015 and thereafter.

EO 13423 Strengthening Federal Environmental, Energy and Transportation Management

Reduce annual petroleum consumption by at least 2% each year through FY 2015, compared
to FY 2005 consumption levels.

Increase annual consumption of alternative fuels by 10% relative to the previous fiscal year
alternative fuel target.

EO 13514 Federal Leadership in Environmental, Energy, and Economic Performance

Reduce greenhouse gas emissions through reduced petroleum consumption.
Reduce annual petroleum consumption by at least 2% each year through FY 2020,
compared to FY 2005 consumption levels.

Presidential Memorandum on Federal Fleet Performance (May 24, 2011)2

•	Acquire only AFVs for light-duty vehicle acquisitions starting December 31, 2015.

•	Ensure executive fleet vehicles are midsized sedans or smaller, except where larger sedans
are essential to the agency mission.

•	Establish a vehicle allocation methodology (VAM) to determine the appropriate size and
number of vehicles.

EO 13693 Planning for Federal Sustainability in the Next Decade

Determine optimal fleet inventory and eliminate unnecessary vehicles.

Reduce per-mile GHG emissions by 4% by the end of FY 2017; 15% by the end of FY 2021;

and 30% by the end of FY 2025, using an FY 2014 baseline.

Deploy telematics in all new light-duty and medium-duty acquisitions by March 19, 2017.
Ensure fleet data is reported in agency fleet database, Federal Automotive Statistical
Tool, Federal Motor Vehicle Registration System and FleetDASH.

Ensure that 20% of new passenger vehicle acquisitions are ZEVs or PHEVs starting CY
2021 and 50% of new passenger vehicle acquisitions are ZEVs or PHEVs starting CY 2026.
Plan for installation of ZEV/PHEV refueling infrastructure and opportunities for vehicle-to-
grid technology.

2 Revoked by EO 13693. However, VAM and AFV acquisition requirements were retained in the EO.

2


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Environmental Protection Agency

EPA AFV Acquisition Report — FY 2017

FY 2017 Compliance With EPAct 1992

The EPA has exceeded EPAct 1992 acquisition requirements each year since FY 1999, and the agency
projects this trend to continue. As summarized in Table 3, in FY 2017 the agency acquired 53 AFVs,
earning 53 EPAct credits to count as a percentage of the 67 subject vehicle acquisitions.

Table 3. The EPA-s FY 2017 Performance in Meeting EPAct 1992 Requirements

EPAct-Covered Non-Exempt Vehicle Acquisitions

67

AFVs Acquired

53

Additional Credits Earned

0

Total AFVs and Credits (as % of non-exempt acquisitions)

79.1%

The agency achieved 79.1 percent acquisition of AFVs in FY 2017. This meets and exceeds the EPAct
1992 requirement of a 75 percent AFV acquisition rate, and is consistent with past performance in fiscal
years 2005 through 2016. The EPA anticipates exceeding EPAct 1992 AFV acquisition requirements
through FY 2020.

Figure 1 depicts EPA AFV acquisitions from FY 2005 through FY 2017 and forecasts acquisitions for FY
2018 through FY 2020. Appendix A provides information on the number and types of light-duty vehicles
acquired by the agency.

140%

121%

120%

100%

80%

60%

40%

20%

0%

115%

109%	107% 107%

84% 84%

109% 110%

109%

93% 93%

94%

99%

77%

79%

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

¦ 75% Requirement I AFV Acquisition %

Figure 1. The EPA's EPAct 1992 Actual and Projected Compliance, FY 2005-20203

3 Includes credits for petroleum-dedicated AFVs (also known as LGHGVs) and biodiesel use. Percentages can exceed 100 percent of covered
acquisitions when the EPA receives AFV credits for non-covered acquisitions and other events.

3


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Environmental Protection Agency

EPA AFV Acquisition Report — FY 2017

FY 2017 Compliance With EISA 2007

Federal fleets are prohibited by EISA 2007 Section 141 from acquiring light-duty and medium-duty
passenger vehicles that are not designated as LGHGVs. These are vehicles with GHG emissions that fall
below specified thresholds based on vehicle and fuel type, as determined by the EPA's Office of
Transportation and Air Quality. An exemption to this mandate can be granted if no LGHGV is available
that meets agency mission requirements for a given location (also known as a "functional needs
exception"). Table 4 below details the EPA's performance toward EISA 2007 vehicle acquisition goals.

Table 4. The EPA's FY 2017 Performance in Meeting EISA 2007 Requirements

Total FY 2017 Subject Acquisitions

116

Total EISA Exempt FY 2017 Acquisitions

83 (out of 116)

Total EISA Non-Exempt FY 2017 Acquisitions

33 (out of 116)

EISA 141 Compliant Acquisitions

33 (out of 33)

FY 2017 Compliance Target

100%

FY 2017 Actual Performance

100%

In FY 2017, the EPA acquired 33 vehicles subject to EISA 2007 requirements, and all 33 vehicles were
LGHGVs, resulting in an LGHGV acquisition rate of 100 percent and full compliance with EISA 2007. The
EPA will continue to monitor all vehicle acquisitions to ensure that EISA and EPAct acquisition
requirements are met.

4


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Environmental Protection Agency

EPA AFV Acquisition Report — FY 2017

FY 2017 Compliance With EO 13693

EO 13693 mandates that federal fleets progressively reduce GHG emissions on a per-mile basis for a
total reduction of 30 percent by FY 2025. Though experiencing a slight increase in per-mile GHG
emissions in FY 2016 over the previous fiscal year, the EPA resumed a downward emissions trend in FY

2017,	exceeding the year's reduction target of 4 percent from the FY 2014 baseline with a total 9.39
percent reduction. The EPA is on track to achieve more than the 6.75 percent target reduction in FY

2018.	Figure 2 provides the EPA's current performance and projected targets through FY 2025.

The EPA reduced emissions from the FY 2014 baseline of 416.89 grams of carbon dioxide equivalent per
mile (CChe g/mile) to 377.74 CChe g/mile in FY 2017. The EPA will continue to develop and implement
strategies to reduce GHG emissions by acquiring and utilizing fuel-efficient vehicles and alternative fuels.

450
400

416.9
416.9

416.9





















408.6

400.2

388.8

377.3

365.8

354.4











a; 350
^ 300

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a.

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£ 200


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Environmental Protection Agency

EPA AFV Acquisition Report — FY 2017

The EPA will reposition the agency's fleet sustainability strategy to ensure compliance with EO 13693's
shift in focus from absolute petroleum reduction and alternative fuel growth to per-mile GHG efficiency.
Efficient and strategic acquisitions, petroleum use reduction, and alternative fuel use will all continue to
play vital roles in the EPA's approach moving forward.

Though EO 13423 was superseded by EO 13693, the EPA continued to track the agency's performance
under the previous EO 13423 requirement to reduce petroleum consumption by 24 percent compared
to 2005 consumption levels. In FY 2017, the EPA reduced its covered petroleum consumption by 38.4
percent, exceeding the requirement by an extra 73.9 percent beyond the would-be FY 2017 target of 24
percent petroleum reduction from the baseline. The EPA had already met both the final 22 percent total
reduction goal of EO 13423 in FY 2009 (seven years earlier than would have been required) and the final
30 percent petroleum reduction goal of EO 13514 in FY 2011 (nine years earlier than required). The
agency will continue to reduce petroleum use as much as is feasible.

The EPA continued to advance intra-agency communication in FY 2017 between the EPA Headquarters
fleet team and satellite fleet locations. As part of these efforts, the EPA continued its fleet site visit
program, Fleet Compliance and Operations Review Enterprise (FleetCORE). The EPA reviewed two
regional fleet locations and conducted a comprehensive fleet management assessment for both sites.
The review team issued FleetCORE reports that highlighted best practices and provided
recommendations for improving operations and compliance efforts. Additionally, the Agency Fleet
Manager conducted quarterly conference calls with Regional Fleet Managers to discuss agency progress,
current issues, conditions in the field and potential strategies to increase alternative fuel consumption
and reduce petroleum use. The headquarters fleet team conducted a training session for EPA Fleet
Managers via video teleconference on April 19, 2017. The objective of the training session was to share
best practices in fleet management and reiterate the agency's goals regarding environmental
compliance.

In accordance with the Presidential Memorandum on Federal Fleet Performance and GSA Bulletin B-30,
the EPA conducted a vehicle allocation methodology (VAM) study (required at least once every five
years) in FY 2016 with the goal of identifying and eliminating under-utilized and unnecessary motor
vehicles. One year after the study and detailed research and analysis of the fleet, the EPA reduced its
overall fleet inventory by 19 vehicles over the course of FY 2017. Combined with the 170 vehicles the
agency eliminated from FY 2012 through FY 2016, the EPA has reduced its fleet by a total of 189 vehicles
(16.5 percent of the FY 2011 baseline fleet inventory of 1,145 vehicles) since the issuance of the
Presidential Memorandum. The EPA's right-sizing efforts and fleet reductions are projected to provide
significant cost savings over the next five years based on lease cost savings alone.

In FY 2017, the EPA worked with the GSA to develop pathways to leasing additional plug-in hybrid
electric vehicles (PHEVs) and electric vehicle supply equipment (EVSE, also known as charging stations).
PHEVs can help reduce the agency's GHG emissions by using only electricity to power the vehicle for
most common vehicle trips. PHEVs are just one of many advanced vehicle types that are making
transportation more efficient and environmentally advantageous than ever before. The EPA will
continue to partner with the GSA to promote and test clean vehicle technologies and assist in the
expansion of next-generation AFVs.

6


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Environmental Protection Agency

EPA AFV Acquisition Report — FY 2017

Appendices

Appendix A provides detailed information on actual acquisitions of light-duty AFVs in FY 2017, as
required by EPAct 1992. As shown in Appendix A, the EPA acquired a total of 115 light-duty vehicles in
FY 2017. Of these, 67 were EPAct-covered acquisitions, thus establishing a 51-minimum AFV credit
requirement to meet EPAct's 75 percent requirement. For FY 2017, the agency acquired 53 AFVs, and
thus 53 EPAct credits, resulting in a 79 percent AFV acquisition rate.

Appendix B details the EPA's performance against metrics of rescinded EO 13423. Though no longer
necessary to track, these metrics are still useful in illustrating the progress of the agency's fuel
strategies.

Appendix C defines a list of commonly used acronyms for terminology related to alternative fuels and
federal fleets.


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Environmental Protection Agency	EPA AFV Acquisition Report — FY 2017

Appendix A: FY 2017 EPAct-Reported Vehicle Acquisitions

Light-Duty Vehicle Acquisitions and Exemptions



Leased

Purchased

Total

Total Light-Duty Vehicle Acquisitions

115

10

115

Fleet Exemptions: Fleet Size

0

0

0

Fleet Exemptions: Foreign

0

0

0

Fleet Exemptions: Geographic

3

0

3

Vehicle Exemptions: LE Vehicle

43

0

43

Vehicle Exemptions: Non-Covered Vehicle

0

0

0

Vehicle Exemptions: Non-MSA Operation

2

0

2

Total EPAct-Covered Vehicles

67

0

67

Alternative Fuel Vehicle Acquisition Detail

Vehicle Type

Fuel

Law
Enforcement

Leased

Purchased

Total

EPAct Credits

Light and Medium Duty Vehicles

Sedan/St Wgn Compact

E85 FF

No

1

0

1

1

Sedan/St Wgn Compact

E85 FF

Yes

1

0

1

0

Sedan/St Wgn Compact

GAS HY

No

2

0

2

2

Sedan/St Wgn Compact

GAS HY

Yes

1

0

1

0

Sedan/St Wgn Compact

GAS PH

No

1

0

1

1

Sedan/St Wgn Midsize

E85 FF

No

5

0

5

0

Sedan/St Wgn Subcompact

E85 FF

No

1

0

1

1

Sedan/St Wgn Subcompact

GAS AF

No

1

0

1

1

LD Minivan 4x2 (Cargo)

E85 FF

No

1

0

1

1

LD Minivan 4x2 (Passenger)

E85 FF

No

7

0

7

7

LD Minivan 4x2 (Passenger)

E85 FF

Yes

2

0

2

0

LD Pickup 4x2

E85 FF

No

1

0

1

1

LD Pickup 4x2

E85 FF

Yes

3

0

3

0

LD SUV 4x2

E85 FF

No

1

0

1

1

LD SUV 4x2

E85 FF

Yes

2

0

2

0

LD SUV 4x2

GAS AF

No

5

0

5

5

LD Van 4x2 (Passenger)

E85 FF

No

1

0

1

1

LD Pickup 4x4

E85 FF

No

2

0

2

2

LD Pickup 4x4

E85 FF

Yes

2

0

2

0

LD SUV 4x4

E85 FF

No

26

0

26

26

LD SUV 4x4

E85 FF

Yes

9

0

9

0

LD SUV 4x4

GAS AF

No

1

0

1

1

MD Pickup

E85 FF

Yes

1

0

1

0

MD Van (Cargo)

E85 FF

No

2

0

2

2

Totals:

79

0

79

53

EPAct Acquisition Credits Summary

Base AFV Acquisition Credits:

53

Zero Emission Vehicle Credits:

0

Dedicated Light Duty AFV Credits:

0

Dedicated Medium Duty AFV Credits:

0

Dedicated Heavy Duty AFV Credits:

0

Biodiesel Fuel Usage Credits:

0

Total EPAct Credits:

53

Overall EPAct Compliance Percentage:

79%

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Environmental Protection Agency

EPA AFV Acquisition Report —

FY 2017

Appendix B: Previous EO Metrics

EO 13693 revoked EOs 13423 and 13514 on March 19, 2015. These previous orders required annual 2
percent reductions in petroleum consumption from an FY 2005 baseline initially through FY 2015 (EO
13423), then extended to FY 2020 (EO 13514). Though revoked nearly two years prior, the 2 percent
reduction metric of these two orders is noted in this report, primarily to track the EPA's continuing
strong performance in petroleum reduction efforts. By FY 2017, the EPA would have been required to
reduce petroleum consumption by 24 percent relative to an FY 2005 consumption baseline. The EPA's
actual reduction was 41.8 percent below FY 2005 levels. The EPA thus exceeded the cumulative 20
percent petroleum reduction target required by EO 13423 in FY 2009 (two years after the EO was issued
and six years earlier than required) and surpassed the cumulative 30 percent reduction requirement
goal of EO 13514 in FY 2011 (two years after the EO was issued and nine years earlier than required).
The EPA remains diligent in implementing new strategies to reduce the agency's petroleum use.

Table E-l summarizes the EPA's performance against the petroleum consumption goals of EO 13423.

Table B-l. The EPA's FY 2017 Performance in Meeting EO 13423 Requirements

Petroleum Consumption

FY 2005 Baseline

513,346 GGEs

FY 2017 Petroleum Consumption Goal

390,143 GGEs (24% reduction from baseline)

FY 2017 Actual Petroleum Consumption

298,694 GGEs (41.8% reduction from baseline)

EO 13423 Compliant?

Yes

The EPA continues to strive for alternate fuel usage where such fuels are reasonably accessible for AFVs.
However, as the now-revoked EO 13423 had stipulated, it has been a struggle to achieve year-over-year
increases in such consumption due to an ongoing trend of decreasing accessibility of alternative fuel
infrastructure for the EPA's fleet. Despite this, the agency still managed to utilize 23,008 GGEs of
alternative fuel in FY 2017, thereby offsetting a sizable portion of petroleum that would have otherwise
been consumed. The EPA is committed to strategies and tools to identify opportunities for increased
alternative fuel consumption nationwide.

Table E-2 summarizes the agency's covered fuel consumption by type of fuel (alternative and
conventional) in motor vehicles from FY 2005 through FY 2017.

Table B-2. The EPA's Total Covered Fuel Use, FY 2005 through FY 2017 (in GGEs)

Fuel Type

FY
2005

FY
2006

FY
2007

FY
2008

FY
2009

FY
2010

FY
2011

FY
2012

FY
2013

FY
2014

FY
2015

FY
2016

FY
2017

CNG4

17,970

10,371

188

250

90

244

143













E85

26,498

8,340

16,563

36,563

48,619

40,020

51,427

50,871

47,521

45,158

32,783

25,725

22,800

Biodiesel

126

519

2,050

2,609

2,381

2,204

2,180

1,722

1,425

866

641

299

98

Hydrogen

0

0

0

18

74

54

0

0

0

0

0

0

0

Electricity







¦







70

107

117

240

207

110

Total Alt.
Fuel Use

44,594

19,230

18,801

39,440

51,164

42,522

53,750

52,663

49,053

46,141

33,664

26,231

23,008

Total Covered
Petroleum

513,346

451,996

469,557

413,130

395,242

385,172

345,602

347,856

313,891

286,281

312,449

316,035

298,694

4 Compressed Natural Gas.

B-l


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Environmental Protection Agency	EPA AFV Acquisition Report — FY 2017

Appendix C: Acronyms

Acronym

Phrase

AFV

Alternative fuel vehicle

CNG

Compressed natural gas

C02e g/mile

Carbon dioxide equivalent grams per mile

CY

Calendar year

E85/E85 FF

Ethanol (85% ethanol, 15% petroleum)/E85 flex-fuel

EISA

Energy Independence and Security Act of 2007

ELE DE

Electric dedicated

EO

Executive Order

EPAct

Energy Policy Act

FleetCORE

Fleet Compliance and Operations Review Enterprise

FY

Fiscal year

GAS HY

Gasoline hybrid electric vehicle

GAS PH

Gasoline plug-in hybrid electric vehicle

GGE

Gasoline gallon equivalent

GSA

Government Services Administration

GHG

Greenhouse gas

HEV

Hybrid electric vehicle

LD/MD/HD

Light-, medium-, or heavy-duty (as determined by gross vehicle weight)

LE

Law enforcement

LGHGV

Low greenhouse gas-emitting vehicle

MSA/CMSA

Metropolitan Statistical Area/Consolidated Metropolitan Statistical Area

PHEV

Plug-in hybrid electric vehicle

SUV

Sport utility vehicle

VAM

Vehicle allocation methodology

VTC

Video teleconference

ZEV

Zero emission vehicle

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