| Executive Summary |
1 |
| |
OVERVIEW |
1 |
| |
Meeting Society's Goals |
3 |
| Other Key Issues |
4 |
| SUMMARY AND CONCLUSIONS |
4 |
| |
The Perceived Benefits of Alternative Fuels |
6 |
| Introducing Alternative Fuels Into the Light Duty Fleet |
11 |
| Chapter 1. Introduction |
23 |
| Chapter 2. Why Support Alternative Fuels? |
31 |
| |
OZONE CONTROL IN PERSPECTIVE |
31 |
| |
Why Control Ozone? |
32 |
| Ozone and Its Precursors |
33 |
| Controlling Volatile Organic Compounds |
34 |
| Controlling Nitrogen Oxides |
40 |
| The Role of Alternative Fuels |
40 |
| ENERGY SECURITY IN PERSPECTIVE |
42 |
| |
Should Energy Security Be a Major Concern for U.S. Policymakers? |
42 |
| Energy Security Effects of Alternative Fuels |
48 |
| THE GREENHOUSE EFFECT IN PERSPECTIVE |
49 |
| |
Introduction |
49 |
| Key Uncertainties |
50 |
| Benchmarkarming: The Effect of Doubled Cob |
53 |
| Reducing CO2 Emissions in the Near-Term |
53 |
| The Transportation Sector and Global Warming |
54 |
| U.S. Transportation Energy Use and CO2 Emissions |
55 |
| Alternative Fuels |
56 |
| Chapter 3. Substituting Methanol for Gasoline in the
Automobile Fleet |
59 |
| |
EFFECTS ON AIR QUALITY |
60 |
| |
Organic Compounds and Ozone Reduction |
61 |
| Nitrogen Oxides (NOX) |
69 |
| Carbon Monoxide |
69 |
| Toxic Emissions |
70 |
| Greenhouse Emissions |
71 |
| OTHER ENVIRONMENTAL SAFETY EFFECTS |
72 |
| COST COMPETITIVENESS |
73 |
| INFRASTRUCTURE |
79 |
| ENERGY SECURITY IMPLICATIONS |
80 |
| METHANOL OUTLOOK AND TIMING |
83 |
| APPENDIX 3A: FACTORS AFFECTING METHANOL COSTS |
84 |
| |
Feedstock Costs |
84 |
| Production Costs |
87 |
| Capital Charges |
88 |
| Long-Distance Shipping |
92 |
| Distribution Costs |
92 |
| Retail Markup |
93 |
| Methanol/Gasoline Conversion Factor |
93 |
| Chapter 4. Natural Gas as a Vehicle Fuel |
97 |
| |
VEHICLES |
97 |
| EFFECTS ON AIR QUALITY |
99 |
| SAFETY |
101 |
| COST COMPETITIVENESS |
101 |
| SOURCES OF SUPPLY AND STRATEGIC CONSIDERATIONS |
102 |
| REFUELING AND INFRASTRUCTURE |
103 |
| NATURAL GAS OUTLOOK AND TIMING |
104 |
| Chapter 5. Ethanol as a Gasoline Blending Agent or
Neat Fuel in Highway Vehicles |
107 |
| |
EFFECTS ON AIR QUALITY |
107 |
| COST COMPETITIVENESS |
108 |
| ENERGY AND ENVIRONMENT EFFECTS |
111 |
| DEMAND LIMITS |
114 |
| ETHANOL OUTLOOK AND TIMING |
114 |
| Chapter 6. Electric Vehicles |
117 |
| |
VEHICLE CHARACTERISTICS |
117 |
| ADVANCED TECHNOLOGY |
118 |
| MARKET COMPETITIVENESS |
119 |
| HYBRID VEHICLES |
120 |
| INFRASTRUCTURE |
122 |
| EFFECTS ON EMISSIONS AND AIR QUALITY |
123 |
| ELECTRICITY OUTLOOK AND TIMING |
124 |
| Chapter 7. Hydrogen as a Vehicle Fuel |
127 |
| |
FUEL SOURCE |
127 |
| VEHICLES AND FUEL STORAGE |
127 |
| EMISSIONS AND PERFORMANCE ATTRIBUTES |
128 |
| SAFETY |
128 |
| DEVELOPMENT REQUIREMENTS |
128 |
| COST COMPETITIVENESS |
129 |
| HYDROGEN OUTLOOK AND TIMING |
130 |
| Chapter 8. Reformulated Gasoline |
131 |
| |
ARCO's "EMISSION CONTROL 1" GASOLINE |
132 |
| REFORMULATION POTENTIAL |
132 |
| COSTS |
134 |
| SECONDARY IMPACTS |
136 |
| ADDITION OF OXYGENATES |
136 |
| |
| BOXES |
|
|
A |
Alternative Transportation Fuels |
5 |
|
1-A |
Comparing Vehicles Fueled with Gasoline and Alternative Fuels |
29 |
|
2-A |
Greenhouse Gases |
51 |
|
3-A |
How Does EPA Arrive at Its Estimates for the Ozone-Reduction
Impact of Methanol Vehicles |
62 |
|
6-A |
GM's Impact: A Niche Vehicle |
121 |
|
8-A |
What is Reformulated Gasoline |
149 |
| |
| FIGURES |
| |
1 |
Volatile Organic Compound (VOC) Emissions in Nonattainment
Cities in 1994, by Source Category, After All Additional Control
Methods are Applied |
7 |
| 2 |
EIA Projects of Petroleum Supply, Consumption, and Import
Requirements to 2010 Base Case |
8 |
| 3 |
World Exportable Gas Surplus as of Dec. 31, 1987 |
9 |
| 4 |
Technical Differences Between Flexible-Fuel and Conventional
Automobiles |
12 |
| 5 |
Potential Low-Cost Suppliers of Methanol |
14 |
| 6 |
Converting Methane to Methanol |
17 |
| 7 |
Effect of Electricity Source on Greenhouse Impact of Electric
Vehicles |
21 |
| 2-1 |
Acute Effects of Ozone Exposure |
33 |
| 2-2 |
Areas Classified as Nonattainment for Ozone Based on 1983-85
Data |
35 |
| 2-3 |
VOC Emissions in Nonattainment Cities, by Source Category, in
1985 |
36 |
| 24 |
VOC Emissions Reductions in 1994 Compared to 1985 Emissions, by
Control Method |
37 |
| 2-5 |
Summary of Estimated Nationwide Nitrogen Oxides (NOX) Emissions
by Source Category, by Year |
41 |
| 2-6 |
EIA Projections of Petroleum Supply, Consumption, and Import
Requirements to 2010, Base Case |
42 |
| 2-7 |
Distribution of World Oil Reserves, 1988 |
44 |
| 2-8 |
Current Contribution to Global Warming |
54 |
| 2-9 |
Contribution of the Transportation Sector to CO2
Emissions |
55 |
| 3-1 |
"Relative Reactivity" (Ozone-Forming Capability) of Emissions
from M85-Fueled Vehicles v. Gasoline-Fueled Vehicles |
66 |
| 3-2 |
Sensitivity of Relative Reactivities of M85 Emissions to
Formaldehyde Emissions Levels |
67 |
| 3-3 |
Year 2000 Reductions in Peak 1-Hour Ozone Concentrations From
M85 Use |
68 |
| 3A-1 |
Comparison of Discounted Cash Flow Rates of Return with Capital
Charges Based on a Percentage of Total Fixed Investment Plus Working
Capital |
89 |
| 5-1 |
Process Diagram for the production of Fuel Ethanol from Grain |
111 |
| 6-1 |
Effect of Electricity Source on Greenhouse Impact of Electric
Vehicles |
130 |
| |
| TABLES |
| |
1 |
Pros and Cons of Alternative Fuels |
2 |
| 2 |
Two Scenarios for Methanol Costs, $/Gallon |
16 |
| 3 |
Environmental Impacts of Agriculture |
18 |
| 1-1 |
Major Users of Alternative Fuels |
24 |
| 2-1 |
Options for Amending the Clean Air Act: Currently Available
Control Methods |
38 |
| 2-2 |
Options for Amending the Clean Air Act: New Directions |
39 |
| 3-1 |
Organic Emission Levels for Gasoline and Methanol-Fueled
Vehicles |
64 |
| 3-2 |
Component and Total Methanol Supply Costs during a Transition
Phase |
75 |
| 3-3 |
Component and Total Methanol Supply Costs in unestablished
Market Environment |
76 |
| 3-4 |
Market Shares of Oil and Gas Production and Reserves by Region
in 1985 |
81 |
| 3-5 |
Proved Gas Reserves and Exportable Surpluses |
82 |
| 3A-1 |
Estimated 1987 Gas Costs and prives |
86 |
| 5-1 |
Environmental Impacts of Agriculture |
111 |
| 5-2 |
Potential Environmental Effects of Logging and Forestry |
114 |