94-2093. Electric and Hybrid Vehicle Research, Development, and Demonstration Program; Equivalent Petroleum-Based Fuel Economy Calculation  

  • [Federal Register Volume 59, Number 24 (Friday, February 4, 1994)]
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    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 94-2093]
    
    
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    [Federal Register: February 4, 1994]
    
    
                                                        VOL. 59, NO. 24
    
                                               Friday, February 4, 1994
    =======================================================================
    
    DEPARTMENT OF ENERGY
    
    Office of Energy Efficiency and Renewable Energy
    
    10 CFR Part 474
    
    [Docket No. EE-RM-94-101]
    
     
    
    Electric and Hybrid Vehicle Research, Development, and 
    Demonstration Program; Equivalent Petroleum-Based Fuel Economy 
    Calculation
    
    AGENCY: Department of Energy.
    
    ACTION: Notice of proposed rulemaking.
    
    -----------------------------------------------------------------------
    
    SUMMARY: The Department of Energy (DOE) is proposing to amend its 
    Electric Vehicle Research and Development Program to provide new 
    factors for calculating the equivalent petroleum-based fuel economy of 
    electric vehicles. The equivalent petroleum-based fuel economy value is 
    intended to be used in calculating the corporate average fuel economy 
    pursuant to regulations prescribed by the Environmental Protection 
    Agency. DOE is required to develop the procedure pursuant to section 
    503(a)(3) of the Motor Vehicle Information and Cost Savings Act, as 
    amended.
    
    DATES: Written comments (6 copies) must be received by DOE on or before 
    April 5, 1994. The public hearing will be held on March 23, 1994 at 
    9:30 a.m. at the address listed below. Requests to speak at the hearing 
    must be received by March 15, 1994.
    
    ADDRESSES: Written comments (6 copies) and requests to speak at the 
    hearing are to be submitted to: U.S. Department of Energy, Office of 
    Transportation Technologies, EE-30, Ms. Sheila Perez, 1000 Independence 
    Avenue SW., room 6B-094, Docket Number EE-RM-94-101, Washington, DC 
    20585, (202) 586-6723.
        The public hearing will be held in room 1E-245, Forrestal Building, 
    1000 Independence Avenue, SW., Washington, DC Please bring eight copies 
    of the prepared oral testimony to the hearing. Copies of the hearing 
    transcript and written comments received may be obtained or inspected 
    at the DOE Freedom of Information Reading Room, room 1E-190, 1000 
    Independence Avenue, SW., Washington, DC, 20585, (202) 586-6020, 9 
    a.m.-4 p.m., Monday-Friday, except holidays.
    
    FOR FURTHER INFORMATION CONTACT: Rogelio Sullivan, U.S. Department of 
    Energy, Office of Transportation Technologies, Electric and Hybrid 
    Propulsion Division, Mail Stop EE-321, 1000 Independence Avenue, SW., 
    Washington, DC 20585, (202) 586-8042.
        Eugene Margolis, Esq., U.S. Department of Energy, Office of General 
    Counsel, GC-41, 1000 Independence Avenue, SW., Washington, DC 20585, 
    (202) 586-9507.
    
    SUPPLEMENTARY INFORMATION:
    
    I. Background
    II. Discussion
        A. Requirements of the Motor Vehicle Information and Cost 
    Savings Act
        B. Test Procedures
        C. Calculation Procedures
        1. Driving Pattern Factor
        2. Electric Transmission Efficiency
        3. Accessory Factor
        4. Electricity Generation Efficiency and Relative Scarcity 
    Factor
        5. Petroleum Equivalency Factor Calculation
        6. Alternative Measure of Relative Scarcity and Value
        D. Public Access to Information
    III. Opportunities for Public Comment
        A. Written Comments
        B. Public Hearing
        1. Request to Speak Procedures
        2. Conduct of the Hearing
    IV. Procedural Requirements
        A. Environmental Review
        B. Regulatory Review
        C. Regulatory Flexibility Act
        D. Federalism Review
        E. ``Takings'' Assessment Review
        F. Review Under Section 32 of the Federal Energy Administration 
    Authorization Act
        G. Review Under Executive Order 12778
    
    I. Background
    
        In an effort to conserve energy through improvements in the energy 
    efficiency of motor vehicles, Congress in 1975 passed the Energy Policy 
    and Conservation Act (Pub. L. 94-163). Title III of the Energy Policy 
    and Conservation Act amended the Motor Vehicle Information and Cost 
    Savings Act (15 U.S.C. 1901, et seq.) by mandating fuel economy 
    standards for automobiles produced in, or imported into, the United 
    States. This legislation, as amended, requires that every manufacturer 
    or importer meet a specified corporate average fuel economy standard 
    for the fleet of vehicles which the manufacturer produces or imports in 
    any model year. Although electric vehicles are included under the 
    definition of the term ``automobile'' in the Motor Vehicle Information 
    and Cost Savings Act, they do not consume ``fuel'' as defined in the 
    Motor Vehicle Information and Cost Savings Act. Therefore, calculation 
    of an electric vehicle manufacturer's corporate average fuel economy is 
    impossible without a petroleum equivalency factor term.
        On January 7, 1980, the President signed the Chrysler Corporation 
    Loan Guarantee Act of 1979 (Pub. L. 96-185). Section 18 of the Chrysler 
    Corporation Loan Guarantee Act of 1979 added a new paragraph (2) to 
    section 13(c) of the Electric and Hybrid Vehicle Research, Development, 
    and Demonstration Act of 1976 (Pub. L. 94-413). Part of the new section 
    13(c) added subsection (a)(3) to section 503 of the Motor Vehicle 
    Information and Cost Savings Act. That subsection directs the Secretary 
    of Energy to determine equivalent petroleum-based fuel economy values 
    for various classes of electric vehicles. The intent of the legislation 
    is to provide an incentive for vehicle manufacturers to produce 
    electric vehicles by including the expected high equivalent fuel 
    economy of these vehicles in the corporate average fuel economy 
    calculation and thereby to accelerate the early commercialization of 
    electric vehicles.
        Section 18 of the Chrysler Corporation Loan Guarantee Act of 1979 
    further amended the Electric and Hybrid Vehicle Research, Development 
    and Demonstration Act of 1976 by adding a new paragraph (3) to section 
    13(c) which directed the Secretary of Energy, in consultation with the 
    Secretary of Transportation and the Administrator of the Environmental 
    Protection Agency, to conduct a seven-year evaluation program of the 
    inclusion of electric vehicles in the calculation of average fuel 
    economy. In May 1980, pursuant to the requirements of section 503(a)(3) 
    of the Motor Vehicle Information and Cost Savings Act, DOE proposed a 
    method of calculating the equivalent petroleum-based fuel economy of 
    electric vehicles. The rule was finalized in April 1981. The seven-year 
    evaluation program was completed and the calculation of the annual 
    petroleum equivalency factors was not extended past 1987. The 
    equivalent petroleum-based fuel economy equation terms in this 
    rulemaking change the way the electricity generation output, input and 
    relative value factor terms are calculated. The updated equation 
    incorporates off-peak electric vehicle charging and the relative 
    scarcity of electricity generation fuel sources.
        Administrative responsibilities for the corporate average fuel 
    economy program are assigned to the Department of Transportation and 
    the Environmental Protection Agency under the Motor Vehicle Information 
    and Cost Savings Act. The Secretary of Transportation is responsible 
    for prescribing the corporate average fuel economy standard and 
    enforcing the penalties for failure to meet these standards. The 
    Administrator of the Environmental Protection Agency is responsible for 
    calculating a manufacturer's corporate average fuel economy value. The 
    Department of Energy is responsible for developing and promulgating the 
    petroleum equivalency factor, the key component in the calculation of 
    equivalent petroleum-based fuel economy for electric vehicles.
    
    II. Discussion
    
    A. Requirements of the Motor Vehicle Information and Cost Savings Act
    
        Section 503(a)(3) of the Motor Vehicle Information and Cost Savings 
    Act (15 U.S.C. 2003(a)(3)) requires DOE to determine the equivalent 
    petroleum-based fuel economy values for various classes of electric 
    vehicles, taking into account the following parameters:
        (i) The approximate electric energy efficiency of the vehicles 
    considering the vehicle type, mission, and weight;
        (ii) The national average electricity generation and transmission 
    efficiencies;
        (iii) The need of the Nation to conserve all forms of energy, and 
    the relative scarcity and value to the Nation of all fuel used to 
    generate electricity; and
        (iv) The specific driving patterns of electric vehicles as compared 
    with those of petroleum-fueled vehicles.
        Section 503(a)(3) also provides for revision of such values if 
    necessary.
        Due to continued technology development and a strong interest in 
    the corporate average fuel economy of electric vehicles from industry, 
    DOE is proposing an updated method of calculating the petroleum 
    equivalency factor. Unlike the current version of 10 CFR part 474 which 
    required annual updating of the petroleum equivalency factor, the 
    updated methodology yields a fixed value valid through the year 2004.
    
    B. Test Procedures
    
        DOE is proposing to revise Sec. 474.3 to provide that the test 
    procedure to be used in determining equivalent petroleum-based fuel 
    economy shall be based on the Society of Automotive Engineers Electric 
    Vehicle Energy Consumption and Range Test Procedure J1634, effective 
    May 1993. In accordance with 1 CFR part 51, the DOE will incorporate by 
    reference this test procedure for the final rulemaking. Copies of the 
    material to be incorporated by reference are available at the location 
    indicated in the ``ADDRESSES'' section of this notice. The Society of 
    Automotive Engineers Test Procedure J1634 provides standard tests for 
    determining the energy consumption and range of electric vehicles based 
    on the same highway and urban cycles used for gasoline-powered 
    vehicles. The tests address electric vehicles only, and judge 
    performance on the total vehicle system and the battery.
        The current version of 10 CFR part 474 attempted to duplicate the 
    Environmental Protection Agency urban driving cycle. The Environmental 
    Protection Agency urban driving cycle was based heavily on stop-and-go 
    as opposed to highway vehicle usage. Roughly 91 percent of this cycle 
    was dedicated to stop-and-go testing and nine percent to freeway 
    testing. The Society of Automotive Engineers J227a driving pattern 
    closely duplicated the Environmental Protection Agency urban driving 
    cycle and was used for electric vehicle testing in both the stop-and-go 
    and freeway driving patterns.
        DOE is today proposing that Society of Automotive Engineers Test 
    Procedure J1634 replace Society of Automotive Engineers Test Procedure 
    J227a to determine equivalent petroleum-based fuel economy. The current 
    version of 10 CFR part 474 was based on the premise that electric 
    vehicles would only be appropriate for urban use, and therefore 
    excluded use of a separate highway test cycle when testing the electric 
    vehicle. The resultant measurements were typical of stop-and-go driving 
    with minimal freeway vehicle usage. In addition, the Society of 
    Automotive Engineers Test Procedure J227a has a shorter, repetitive 
    test cycle compared to the Society of Automotive Engineers Test 
    Procedure J1634. This shorter, repetitive test cycle of Test Procedure 
    J227a does not represent driving conditions for a gasoline-powered 
    vehicle as well as the test cycle proposed in Society of Automotive 
    Engineers Test Procedure J1634.
    
    C. Calculation Procedures
    
        Section 474.4 describes the steps necessary to calculate the 
    equivalent petroleum-based fuel economy of an electric vehicle. The 
    rule itself specifies a series of arithmetic steps one of which 
    requires the inclusion of a Petroleum Equivalency Factor. The Petroleum 
    Equivalency Factor is a single value incorporating the factors ii-iv 
    specified by Congress in the Act.
        While the determination of the energy efficiency of an electric 
    vehicle as specified in section 503(a)(3)(A)(i) is a straightforward 
    task based on physical testing, the measurement of the remaining 
    parameters listed in section 503(a)(3)(A) of the Motor Vehicle 
    Information and Cost Savings Act is subject to less precise 
    quantification. A discussion of DOE's consideration of these parameters 
    follows and is further documented in ``Electric Vehicles and the 
    Corporate Average Fuel Economy'' and ``Proposed Electric Vehicle 
    Petroleum Equivalency Factor Equation'' which are contained in Docket 
    No. EE-RM-93-301.
        At this time DOE is proposing the Petroleum Equivalency Factor 
    value to be used through the year 2004. The actual figures are provided 
    below.
        The Petroleum Equivalency Factor is determined as follows:
    
    TP04FE94.000
    
    where:
    
    DPF = driving pattern factor
    nt = average national electrical transmission efficiency
    AF = accessory factor
    Etotal = total output electricity generation mix (%)
    Ii = input electricity generation of fuel i (%)
    Vi = relative scarcity factor of fuel i
    
        Each of these factors is described in further detail below:
    1. Driving Pattern Factor
        Section 503(c)(3)(A)(iv) of the Motor Vehicle Information and Cost 
    Savings Act requires that DOE take into account ``the specific driving 
    patterns of electric vehicles as compared with those of petroleum-
    fueled vehicles.'' The driving pattern factor is the ratio of annual 
    vehicle miles travelled for an electric vehicle to that of a petroleum-
    fueled vehicle. Since there is an insufficient number of electric 
    vehicles in service for use as a sample, a factor of 100 percent (1.00) 
    will be used until such time DOE has collected sufficient data to show 
    otherwise.
    2. Electric Transmission Efficiency
        Section 503(c)(3)(A)(ii) of the Motor Vehicle Information and Cost 
    Savings Act requires DOE to take account of ``the national average 
    electrical generation and transmission efficiencies.'' Since energy is 
    lost in transmitting electricity, this factor has a negative effect on 
    the equivalent petroleum-based fuel economy. The national average 
    electrical transmission efficiency is 91.5 percent and is not expected 
    to change significantly over the next several years.
    3. Accessory Factor
        Sections 503(a)(3) (iii) and (iv) direct DOE to include ``the need 
    * * * to conserve all forms of energy'' and ``specific driving patterns 
    of electric vehicles as compared to petroleum-fueled vehicles'' in 
    equivalent petroleum-based fuel economy. Accordingly, DOE considered 
    the use of petroleum fueled accessories in the Petroleum Equivalency 
    Factor calculations. This factor is directed exclusively at heater/
    defroster installations that are powered by petroleum fuels and has 
    been assigned a usage factor (reduction) of approximately ten percent 
    per accessory. This results in three possible accessory factor values--
    1.00, .900, or .810--corresponding to whether the electric vehicle is 
    equipped with none, one, or two petroleum-powered accessories 
    respectively.
    4. Electricity Generation Efficiency and Relative Scarcity Factor
        The last term in the Petroleum Equivalency Factor formula takes 
    account of the remaining parameters listed in the Motor Vehicle 
    Information and Cost Savings Act: The national average electricity 
    generation efficiency and the relative scarcity and value to the Nation 
    of all fuel used to generate electricity. The term is the ratio of 
    total output electricity generation mix to input electricity 
    generation, weighed by a relative scarcity factor. The derivation of 
    values for this term, and therefore, for the Petroleum Equivalency 
    Factor, depends on the availability of data for (1) total electricity 
    generation, (2) energy sources used in electricity generation, (3) 
    electricity generation mix, (4) fuel source reserves, and (5) 
    consumption of electricity generation fuel sources.
        Section 503(a)(3)(A)(ii) of the Motor Vehicle Information and Cost 
    Savings Act requires DOE to take into account average electricity 
    generation efficiency. Electricity generation efficiency is defined as 
    the total output electricity generation mix (Etotal) divided by 
    the sum of the input electricity generation mix (I2i) values. The 
    updated Petroleum Equivalency Factor equation includes the effects of 
    off-peak electric vehicle charging in its calculation of average 
    electricity generation efficiency. The input electricity generation mix 
    values, based on off-peak electric vehicle charging, were multiplied by 
    the ratio of electricity generation fuel source (quadrillion BTUs) 
    output (Eqi) to input (Iqi) values (Table I), to obtain 
    output electricity generation mix values (Table II).
    
                      Table I.--Eqi, Iqi and Eqi/Iqi Ratio                  
    ------------------------------------------------------------------------
                                       Eqi\1\(quads)  Iqi\2\(quads)  Eqi/Iqi
               Fuel source                                            Ratio 
    ------------------------------------------------------------------------
    Coal.............................       5.318          16.150      0.329
    Nuclear..........................       1.968           6.186      0.318
    Hydroelectric....................       0.955           2.911      0.328
    Natural Gas......................       0.901           2.881      0.313
    Petroleum........................       0.400           1.251      0.320
                                      ---------------                       
        Total........................       9.542     .............   29.379
    ------------------------------------------------------------------------
    \1\Source: Monthly Energy Review, November 1991, Table 7.1, Electric    
      Utility Net Generation of Electricity, p. 89 (million kilowatthours). 
    \2\Source: Monthly Energy Review, November 1991, Table 2.6, Energy Input
      at Electric Utilities, p. 31 (quadrillion BTU).                       
    
    
                        Table II.--Calculation of Etotal                    
    ------------------------------------------------------------------------
                                                            Eqi/Iqi   Etotal
                    Fuel source                   Ii (%)     ratio     (%)  
    ------------------------------------------------------------------------
    Coal.......................................      50.17    0.329    16.52
    Nuclear....................................      23.33    0.318     7.42
    Hydroelectric..............................      14.52    0.328     4.76
    Natural Gas................................       5.72    0.313     1.79
    Oil........................................       6.29    0.320     2.01
                                                ----------------------------
          Total................................     100.00  .......    32.51
    ------------------------------------------------------------------------
    
        Section 503(a)(3)(A)(iii) of the Motor Vehicle Information and Cost 
    Savings Act also requires in part that ``the relative scarcity and 
    value to the Nation of all fuel used to generate electricity'' be taken 
    into account. The Petroleum Equivalency Factor accomplishes this by 
    multiplying each of the individual input energy generation mix value 
    terms used in calculating electricity generation efficiency by a 
    relative scarcity factor (Vi). The relative scarcity factor is 
    derived by determining the U.S. percent and numeric share of the world 
    reserve market (Table III), and calculating the rate at which the U.S. 
    is depleting each fuel source's reserves. These values are then 
    normalized to obtain the relative scarcity value for each fuel source 
    (Table IV).
    
         Table III.--Calculation of U.S. Share of World Reserve Market      
    ------------------------------------------------------------------------
                                                         U.S.               
                                                       percent    U.S. share
              Fuel source              World reserve   of fuel     of world 
                                         value\1\       source     reserve  
                                                       market     market\2\ 
    ------------------------------------------------------------------------
    Crude Oil, billion barrels......           967.7       26.3        254.8
    Dry Natural Gas, trillion cubic                                         
     feet...........................         4,083.0       26.0      1,061.6
    Recoverable Coal, million short                                         
     tons...........................     1,482,801.0       17.1   253,559.0 
    ------------------------------------------------------------------------
    \1\Source: 1989 International Energy Annual (February, 1991) Tables 35  
      and 36, pgs. 97-101. The world reserve value expressed in this table  
      is the average of the minimum and the maximum world reserve values    
      obtained from the 1989 International Energy Annual.                   
    \2\Source: U.S. Share of the World Reserve Market = World Reserve Value 
      x U.S. percent of Fuel Source Market.                                 
    
    
              Table IV.--Calculation of Relative Scarcity Value, V          
    ------------------------------------------------------------------------
                                  Years                     1               
                                  before    % of total -----------  Relative
           Fuel source          depletion  (abundance)  Abundance  scarcity,
                                                                       V    
    ------------------------------------------------------------------------
    Crude Oil.................        34        .176        5.68       .487 
    Natural Gas...............        45        .233        4.29       .368 
    Coal......................       114        .591        1.69       .145 
    Nuclear...................        NA          NA          NA       .010 
    Hydro.....................        NA          NA          NA       .010 
                               ---------------------------------------------
          Total...............       193   ...........     11.66   .........
    ------------------------------------------------------------------------
    
        It should be noted that direct reserve values are not available for 
    hydroelectric or nuclear power. Thus, relative scarcity values of .01 
    are assigned to each since zero values would theoretically mean 
    infinite supplies of each exist.
    5. Petroleum Equivalency Factor Calculation
        The Petroleum Equivalency Factor terms, including the driving 
    pattern factor term, average national electricity transmission 
    efficiency term, accessory factor term, and the electric generation 
    output, input and relative scarcity term, are multiplied together to 
    determine the proposed Petroleum Equivalency Factor (Table V). The 
    three different Petroleum Equivalency Factor values reflect the three 
    possible values of the accessory factor.
    
                                   Table V.--Petroleum Equivalency Factor Calculation                               
    ----------------------------------------------------------------------------------------------------------------
                                                                                        Total                       
                                                              Electrical               output                       
                                                              transmiss.   Accessory    elect    Sum of   Petroleum 
                    Driving pattern factor                    efficiency    factor    gen. mix  Ii x Vi  equivalency
                                                            (t)                (%)               factor   
                                                                                      (Etotal)                      
    ----------------------------------------------------------------------------------------------------------------
    1.000.................................................        .915        1.000                                 
                                                                               .900                                 
                                                                               .810       .325     .128       2.32  
                                                                                                              2.09  
                                                                                                             1.88   
    ----------------------------------------------------------------------------------------------------------------
    
    6. Alternative Measure of Relative Scarcity and Value
        Inherent in the calculation of the petroleum equivalency is a 
    measure of the relative scarcity and value to the Nation of all 
    electric generation fuels. This proposed rule uses a resource based 
    measure of scarcity and value. It utilizes the estimated reserves of 
    electric generation fuels and their rate of consumption as an estimate 
    of each fuel's scarcity and value. Though we are confident of the 
    soundness of this approach, we recognize that there is some support for 
    a measure of resource scarcity and value based on its market price. The 
    previous rule utilized this approach. It has been suggested that a BTU 
    adjusted market price of fuel might be a more realistic and measurable 
    reflection of the scarcity and value of electric generation fuels. 
    Under this approach, long term price projections such as those made by 
    the Energy Information Administration could be used instead of marginal 
    prices to address the problems associated with frequent updating of the 
    petroleum equivalency factor to reflect market prices. We seek comments 
    on this alternative market price based approach as well. Comments are 
    sought on the merits of the market price based approach and its impact 
    on the users of the petroleum equivalency factor.
    
    D. Public Access to Information
    
        To assist the public in commenting on this proposed rulemaking, 
    copies of the sources of information used in developing this rulemaking 
    (which will be incorporated by reference) are available in Docket No. 
    EE-RM-94-101 for public inspection and copying in the DOE Freedom of 
    Information Reading Room 1E-190, Forrestal Building, 1000 Independence 
    Avenue, SW, Washington, DC, between the hours of 9 a.m. and 4 p.m., 
    Monday through Friday.
    
    III. Opportunities for Public Comment
    
    A. Written Comments
    
        Interested persons are invited to participate in this rulemaking by 
    submitting data, views, or comments with respect to the proposed 
    rulemaking. Comments should be submitted to the address indicated in 
    the ADDRESSES section of this notice and should be identified on the 
    outside of the envelope and on documents submitted to DOE with the 
    designation ``Inclusion of Electric Vehicles in Corporate Average Fuel 
    Economy Calculation--Proposed Regulation Update'' (Docket No. EE-RM-94-
    101). Six copies should be submitted. All comments received on or 
    before the date indicated at the beginning of the notice and all other 
    relevant information will be considered by DOE before issuance of a 
    final rule. Pursuant to the provisions of 10 CFR 1004.11 any person 
    submitting information believed to be confidential and that may be 
    exempt by law from public disclosure should submit one complete copy 
    and eight copies from which information claimed to be confidential has 
    been deleted. In accordance with the procedures established by 10 CFR 
    1004.11, DOE shall make its own determination with regard to any claim 
    that information submitted be exempt from public disclosure.
    
    B. Public Hearing
    
    1. Request To Speak Procedures
        The time and place of the public hearing are indicated in the DATES 
    and ADDRESSES sections of this notice. DOE invites any person who has 
    an interest in the proposed rulemaking, or who is a representative of a 
    group or class of persons that has an interest in the proposed 
    rulemaking, to make a request for an opportunity to make an oral 
    presentation. Such a request should be directed to DOE at the address 
    indicated in the ADDRESSES section of this notice.
        The person making the request should briefly describe the interest 
    concerned and if appropriate, state why he or she is a proper 
    representative of a group or class of persons that has such an 
    interest, and a daytime telephone number where the requester may be 
    contacted. Six copies of a speaker's statement should be brought to the 
    hearing. In the event that any person wishing to testify cannot provide 
    eight copies, alternative arrangements can be made in advance of the 
    hearing.
    2. Conduct of the Hearing
        DOE reserves the right to select the persons to be heard at the 
    hearing, to schedule their respective presentations, and to establish 
    the procedures governing the conduct of the hearing. The length of each 
    presentation may be limited, based on the number of persons requesting 
    to be heard.
        A DOE official will be designated to preside at the hearing. This 
    will not be an evidentiary or judicial-type hearing but will be 
    conducted in accordance with 5 U.S.C. 553 and section 501 of the 
    Department of Energy Organization Act, 42 U.S.C. 7191. Questions may be 
    asked only by those conducting the hearing. At the conclusion of all 
    initial oral statements, each person who has made an oral statement 
    will be given the opportunity, if he or she so desires, to make a 
    rebuttal or clarifying statement. The statements will be given in the 
    order in which the initial statements were made and will be subject to 
    time limitations.
        Any further procedural rules needed for the proper conduct of the 
    hearing will be announced by the presiding officer.
    
    IV. Procedural Requirements
    
    A. Environmental Review
    
        Pursuant to section 7(a) of the Federal Energy Administration Act 
    of 1974 (15 U.S.C. 766(a)), a copy of this notice was submitted to the 
    Administrator of the Environmental Protection Agency for the 
    Administrator's comments concerning the impacts of this proposal on the 
    quality of the environment.
        This rulemaking has been reviewed in accordance with the 
    requirements of the DOE--National Environmental Policy Act Final Rule 
    as published in the Federal Register on April 24, 1992. Based on that 
    review, this rulemaking was found to qualify for a categorical 
    exclusion under Appendix A to subpart D, Item A5 of the Final Rule: 
    Rulemaking (interpreting/amending), no change in environmental effect. 
    The rulemaking does not change the environmental effect of the current 
    version of 10 CFR part 474.
    
    B. Regulatory Review
    
        Pursuant to the January 22, 1993, memorandum on the subject of 
    regulatory review from the Director of the Office of Management and 
    Budget (58 FR 6074, January 25, 1993), DOE submitted this notice to the 
    Director for appropriate review. The Director has completed his review. 
    Separately, DOE has determined that there is no need for a regulatory 
    impact analysis because the rule is not a major rule as that term is 
    defined in section 1(b) of Executive Order 12291.
    
    C. Regulatory Flexibility Act
    
        The Regulatory Flexibility Act (Pub. L. 96-345) (5 U.S.C. 601-612) 
    requires that an agency prepare an initial regulatory flexibility 
    analysis to be published at the time the proposed rule is published. 
    This requirement (which appears in section 603) does not apply if the 
    agency certifies that the rule will not, if promulgated, have a 
    ``significant economic impact on a substantial number of small 
    entities.''
        DOE certifies that this action will have little, if any, effect on 
    small business. It is directed at vehicle manufacturers that will be 
    concerned with a mix of petroleum and electric fueled vehicles in their 
    annual production.
    
    D. Federalism Review
    
        Executive Order 12612 (52 FR 41685, October 30, 1987) requires that 
    regulations or rules be reviewed for any substantial direct effects on 
    States, on the relationship between the national government and the 
    States, or on the distribution of power and responsibilities among 
    various levels of government. If there are sufficient substantial 
    direct effects, then Executive Order 12612 requires preparation of a 
    federalism assessment to be used in all decisions involved in 
    promulgating such a regulation or rule.
        DOE's responsibility with this action and 10 CFR part 474 serve 
    only to provide a method of interpreting 40 CFR part 600 (Fuel Economy 
    of Motor Vehicles) for electric vehicles. The action does not involve 
    any substantial direct effects on States of other considerations stated 
    in Executive Order 12612. Hence, no federalism assessment is required.
    
    E. ``Takings'' Assessment Review
    
        It has been determined that pursuant to Executive Order 12630 (52 
    FR 8859, March 18, 1988), this proposed regulation, if adopted, would 
    not result in any takings which might require compensation under the 
    Fifth Amendment to the United States Constitution.
    
    F. Review Under Section 32 of the Federal Energy Administration 
    Authorization Act
    
        Section 32 of the Federal Energy Administration Act of 1974 (15 
    U.S.C. 788) imposes certain requirements when a proposed rule contains 
    commercial standards or authorizes or requires the use of such 
    standards.
        The commercial standards proposed today incorporate commercial 
    standards to measure the energy consumption and range of electric 
    vehicles. The commercial standards are the Society of Automotive 
    Engineers Electric Vehicle Energy Consumption and Range Test Procedure 
    J1634.
        DOE has evaluated the promulgation of these standards in light of 
    the public participation criteria of section 32(b). The Department is 
    unable to conclude whether development of these standards fully 
    complied with section 32(b) regarding the manner of public 
    participation.
        Finally, as required by section 32(c), DOE will consult with the 
    Attorney General and the Chairman of the Federal Trade Commission 
    concerning the impact of these standards on competition, prior to 
    prescribing final test procedures.
    
    G. Review Under Executive Order 12778
    
        Section 2 of Executive Order 12778 instructs each agency subject to 
    Executive Order 12291 to adhere to certain requirements in promulgating 
    new regulations and reviewing existing regulations. These requirements, 
    set forth in sections 2(a) and (b)(2), include eliminating drafting 
    errors and needless ambiguity, drafting the regulations to minimize 
    litigation, providing clear and certain legal standards for affected 
    conduct, and promoting simplification and burden reduction. Agencies 
    are also instructed to make every reasonable effort to ensure that the 
    regulation specifies clearly any preemptive effect, effect on existing 
    Federal law or regulation, and retroactive effect; describes any 
    administrative proceedings to be available prior to judicial review and 
    any provisions for the exhaustion of such administrative proceedings; 
    and defines key terms. The DOE certifies that today's proposed rule 
    meets the requirements of sections 2(a) and (b)(2) of Executive Order 
    12778.
    
    List of Subjects in 10 CFR Part 474:
    
        Electric power, Energy conservation, Incorporation by reference, 
    Motor vehicles, Research.
    
        For the reasons set forth in the preamble, DOE proposes to amend 
    part 474 of chapter II of title 10 of the Code of Federal Regulations 
    as set forth below.
    
        Issued in Washington, DC, on January 14, 1994.
    Christine A. Ervin,
    Assistant Secretary, Energy Efficiency and Renewable Energy.
    
    PART 474--ELECTRIC AND HYBRID VEHICLE RESEARCH, DEVELOPMENT, AND 
    DEMONSTRATION PROGRAM; EQUIVALENT PETROLEUM-BASED FUEL ECONOMY 
    CALCULATION
    
        1. The authority citation for part 474 continues to read as 
    follows:
    
    
        Authority: Section 503(a)(3) Motor Vehicle Information and Cost 
    Savings Act, Pub. L. 94-163 (15 U.S.C. 2003(a)(3)), as added by 
    Section 18, Chrysler Corporation Loan Guarantee Act of 1979, Pub. L. 
    96-185; Department of Energy Organization Act, Pub. L. 95-91.
    
        2. Section 474.2 is amended by removing the definitions for 
    ``Steady- speed electrical efficiency value'' and ``Stop-and-go 
    electrical efficiency value'' and adding the following definitions in 
    alphabetical order:
    
    
    Sec. 474.2  Definitions.
    
    * * * * *
        Highway fuel economy test procedure driving schedule electrical 
    efficiency value means the average number of kilowatt-hours of 
    electrical energy required for an electric vehicle to travel 1 mile of 
    the highway fuel economy test procedure driving schedule, as determined 
    in accordance with Sec. 474.3(c).
    * * * * *
        Urban driving schedule electrical efficiency value means the 
    average number of kilowatt-hours of electrical energy required for an 
    electric vehicle to travel one mile of the urban driving schedule, as 
    determined in accordance with Sec. 474.3(b).
        3. Section 474.3 is revised to read as follows:
    
    
    Sec. 474.3  Test procedures.
    
        (a) The conditions and equipment in the Electric Vehicle Energy 
    Consumption and Range Test Procedure--J1634 of the Society of 
    Automotive Engineers shall be used for conducting the test procedures 
    set forth in this section.
        (b) The energy consumption test procedures prescribed in Society of 
    Automotive Engineers procedure J1634, Section 6, using the 
    Environmental Protection Agency Urban Driving Schedule, shall be used 
    for generation of the urban driving schedule electrical efficiency 
    value.
        (c) The energy consumption test procedures prescribed in Society of 
    Automotive Engineers procedure J1634, Section 6, using the Highway Fuel 
    Economy Test Procedure Driving Schedule, shall be used for generation 
    of the highway fuel economy test procedure driving schedule electrical 
    efficiency value.
        4. Section 474.4 is amended by revising paragraphs (a), (b) and (e) 
    to read as follows:
    
    
    Sec. 474.4  Equivalent petroleum-based fuel economy calculation.
    
        (a) Calculate the equivalent petroleum-based fuel economy of an 
    electric vehicle as follows:
        (1) Determine the urban driving schedule electrical efficiency 
    value, according to Sec. 474.3(b).
        (2) Determine the highway driving schedule electrical efficiency 
    value, according to Sec. 474.3(c).
        (b) Calculate the electrical energy efficiency value by:
        (1) Multiplying the urban driving schedule electrical efficiency 
    value by 0.55; and
        (2) Multiplying the highway fuel economy test procedure driving 
    schedule electrical efficiency value by 0.45; and
        (3) Adding the resulting two figures, rounding to the nearest 0.01 
    kWh/mile.
    * * * * *
        (e) Calculate the equivalent petroleum-based fuel economy value in 
    miles per gallon by multiplying the electric energy efficiency value by 
    one of the three petroleum equivalency factor values which reflect the 
    three production volume/accessory combinations specified in 
    Sec. 474.4(d):
        (i) 2.32;
        (ii) 2.09; or
        (iii) 1.88.
    
    [FR Doc. 94-2093 Filed 2-3-94; 8:45 am]
    BILLING CODE 6450-01-P
    
    
    

Document Information

Published:
02/04/1994
Department:
Energy Efficiency and Renewable Energy Office
Entry Type:
Uncategorized Document
Action:
Notice of proposed rulemaking.
Document Number:
94-2093
Dates:
Written comments (6 copies) must be received by DOE on or before April 5, 1994. The public hearing will be held on March 23, 1994 at
Pages:
0-0 (1 pages)
Docket Numbers:
Federal Register: February 4, 1994, Docket No. EE-RM-94-101
CFR: (4)
10 CFR 474.4(d)
10 CFR 474.2
10 CFR 474.3
10 CFR 474.4