[Federal Register Volume 64, Number 134 (Wednesday, July 14, 1999)]
[Proposed Rules]
[Pages 37905-37911]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-17786]
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DEPARTMENT OF ENERGY
Office of Energy Efficiency and Renewable Energy
10 CFR Part 474
[Docket No. EE-RM-99-PEF]
[RIN: 1904-AA40]
Electric and Hybrid Vehicle Research, Development, and
Demonstration Program; Petroleum-Equivalent Fuel Economy Calculation
AGENCY: Department of Energy.
ACTION: Notice of Proposed Rulemaking and Withdrawal of Previous Notice
of Proposed Rulemaking.
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SUMMARY: In response to public comments, the Department of Energy (DOE)
revises its proposal to amend its regulations on electric and hybrid
vehicles to provide a petroleum-equivalency factor (PEF) and procedures
for calculating the petroleum-equivalent fuel economy of electric
vehicles. The petroleum-equivalent fuel economy values of an automobile
manufacturer's electric vehicles may then be included in the
calculation of that manufacturer's corporate average fuel economy
(CAFE) according to regulations prescribed by the Environmental
Protection Agency and the Department of Transportation.
DATES: To ensure your comments are considered, we must receive 7 copies
of your comments on or before September 13, 1999.
You may present oral views, data, and arguments at the public
hearing which will be held in Washington, DC, on Tuesday, August 17,
1999 beginning at 9:30 a.m. If you would like to speak at this hearing,
contact Ms. Andi Kasarsky, (202) 586-3012, by Friday, August 13, 1999.
In addition, you may request an opportunity to speak at the hearing
itself. Each oral presentation is limited to 10 minutes. The hearing
will last as long as there are persons requesting an opportunity to
speak. The notice of proposed rulemaking published in the Federal
Register on February 4, 1994 (59 FR 5336) is withdrawn as of July 14,
1999.
ADDRESSES: Send written comments to: Mr. Rogelio Sullivan, U.S.
Department of Energy, EE-32, Docket No. EE-RM-99-PEF, 1000 Independence
Avenue, SW, Washington, DC 20585. Questions concerning submitting
written comments should be addressed to Ms. Andi Kasarsky, (202) 586-
3012. We will hold a public hearing at the following address: U.S.
Department of Energy, Room 1E-245, 1000 Independence Avenue, SW,
Washington, DC. Please bring seven copies of the prepared oral
statement to the hearing.
You may read and copy written comments received, a copy of the
public hearing transcript, technical reference materials mentioned in
this notice, and any other docket material received as a result of this
notice at the DOE Freedom of Information Reading Room. The current
docket material will be filed under ``EE-RM-99-PEF.'' Copies of the
hearing transcript and written comments received regarding the February
4, 1994 proposed rule are filed under Docket No.
EE-RM-94-101. Earlier materials related to the calculation of the
PEF are contained in Docket No. EE-RM-93-301 and are also available at
the DOE Freedom of Information Reading Room, room 1E-190, (202) 586-
3142, between the hours of 9:00 a.m.-4:00 p.m., Monday through Friday
except Federal holidays.
For more information concerning public participation in this
rulemaking proceeding, see section III of this notice of proposed
rulemaking (Opportunities for Public Comment).
FOR FURTHER INFORMATION CONTACT:
Mr. Rogelio Sullivan, U.S. Department of Energy, Office of
Transportation Technologies, Office of Advanced Automotive
Technologies, EE-32, 1000 Independence Avenue SW, Washington, DC 20585,
(202) 586-8042
Mr. Eugene Margolis, U.S. Department of Energy, Office of General
Counsel, GC-72, 1000 Independence Avenue SW, Washington, DC 20585,
(202) 586-9526
SUPPLEMENTARY INFORMATION:
I. Background
II. Discussion
A. Requirements of the Motor Vehicle Information and Cost
Savings Act, as amended
B. PEF Development Process
C. Test Procedures
D. Calculation Procedures
1. General Form of the PEF Equation
2. Gasoline-Equivalent Energy Content of Electricity Factor
3. ``Fuel Content'' Factor
4. Petroleum-Fueled Accessory Factor
5. Driving Pattern Factor
6. Use of the PEF
7. Sample Calculations
III. Opportunities for Public Comment
A. Participation in Rulemaking
B. Written Comment Procedures
C. Public Hearing
1. Request to Speak Procedures
2. Conduct of the Hearing
IV. Procedural Requirements
A. Environmental Protection Agency Review
B. National Environmental Policy Act Review
C. Regulatory Review
D. Regulatory Flexibility Act
E. Federalism Review
F. ``Takings'' Assessment Review
G. Review Under Executive Order 12988
H. Review Under the Unfunded Mandates Reform Act of 1995
I. Review Under the Treasury and General Government
Appropriations Act, 1999
[[Page 37906]]
I. Background
In an effort to conserve energy through improvements in the energy
efficiency of motor vehicles, Congress passed the Energy Policy and
Conservation Act (Pub. L. 94-163) in 1975. Title III of the Energy
Policy and Conservation Act amended the Motor Vehicle Information and
Cost Savings Act by mandating fuel economy standards for automobiles
produced in, or imported into, the United States. (The Act's provisions
appeared initially in the United States Code at 15 U.S.C. 1901 et seq.
In 1994, Pub. L. 103-272 codified the Act's provisions in Title 49,
U.S.C., Subtitle VI, Part C.) This statute, as amended, requires that
every manufacturer or importer meet a corporate average fuel economy
standard for the fleet of vehicles produced or imported 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 Act.
Therefore, calculation of an electric vehicle manufacturer's corporate
average fuel economy is impossible without a petroleum equivalency
value.
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, which has been
codified at 49 U.S.C. 32904(a)(2), directs the Secretary of Energy to
determine petroleum-equivalent 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 their corporate average fuel economy calculation. This will help 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, as required by section 503(a)(3) of the Motor
Vehicle Information and Cost Savings Act, DOE proposed a method of
calculating the petroleum-equivalent fuel economy of electric vehicles.
The rule was finalized in April 1981 (46 FR 22753). The seven-year
evaluation program was completed and the calculation of the annual
petroleum equivalency factors was not extended past 1987.
DOE published a proposed rule for a permanent PEF for use in
calculating petroleum-equivalent fuel economy values on February 4,
1994, (59 FR 5336) and obtained oral and written comments from
interested parties. Following consideration of the reviewers' comments,
DOE's own internal re-examination of the assumptions underlying the
proposed rule, and existing regulations for other classes of
alternative fuel vehicles, DOE decided to modify the approach proposed
in 1994 with several changes. DOE believes that the approach presented
today is simpler, more consistent with the regulatory treatment of
other alternative fuel vehicles, and better embodies the Congressional
intent.
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. DOE
is responsible for developing and promulgating the petroleum
equivalency factor, the key component in the calculation of petroleum-
equivalent fuel economy values for electric vehicles.
II. Discussion
A. Requirements of the Motor Vehicle Information and Cost Savings Act,
as Amended
Section 503(a)(3) of the Motor Vehicle Information and Cost Savings
Act (49 U.S.C. 32904(a)(2)) requires DOE to determine the petroleum-
equivalent fuel economy values for 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.
B. PEF Development Process
When DOE published a proposed rule for a permanent PEF in 1994,
many of the comments criticized one of the key factors of the proposed
PEF: An intermediate factor that used a complex approach to quantify
the relative scarcity and value of all fuels used to generate
electricity in the U.S., which was referred to as the ``scarcity
factor.'' This proposed scarcity factor was based on estimates of the
U.S. share of world reserves of fossil fuels and estimated rates of
depletion of world reserves. In general, the criticisms of this
approach were more ``philosophical'' than specific. The comments,
however, led DOE to reexamine the issue in greater detail. DOE
concluded that faulty assumptions and calculations were present in some
of the steps in the development of the scarcity factor.
For example, the number of years until exhaustion of fossil fuel
reserves was estimated by using forecast energy consumption growth
rates to estimate the length of time needed to deplete the Energy
Information Administration-reported ``proved reserves'' of each fuel.
This is misleading because ``proved reserves'' are defined based on
current economic and technical conditions, and have in fact been
observed to grow over time. In a subsequent step, the calculation
summed the years-to-depletion values for each individual fuel into a
total years-to-depletion value. This too, is misleading because once
the least-abundant fuel is totally consumed, energy needs will have to
be met by increasing the consumption rates of the remaining fuels. In
addition, since the scarcity of nuclear and renewable fuels could not
be determined by this method (because their ``reserves'' are
essentially unlimited), arbitrary scarcity values were assigned to
these fuels. Several other questionable mathematical operations were
subsequently performed during the calculation of the scarcity factor.
DOE therefore decided to
[[Page 37907]]
replace the scarcity factor rather than attempt to refine it.
DOE then considered alternative approaches to the determination of
suitable factors for quantifying scarcity and value. These included
both modifications of the reserves-based approach, as well as market
price (of the fuels used to generate electricity) approaches. DOE
determined, however, that such approaches were highly sensitive to the
assumptions used, and that many possible assumptions were contradictory
or highly subjective. Other approaches evaluated included: Factoring in
the national average price of electricity; quantifying and comparing
the total fuel cycle greenhouse gas emissions from petroleum, and those
of electricity generating fuels; and applying an arbitrary scaling
factor to the electricity to gasoline conversion. Upon careful
examination, each of these approaches was found to have shortcomings of
a technical or policy nature, or internal inconsistencies.
In light of the number of criticisms related to the scarcity
factor, DOE elected to perform an additional search of the literature
regarding reserves of the fuels used to generate electricity. This
research led to a very significant conclusion: Although reserves of all
fossil fuels are obviously finite, fuels used to produce electricity
are in fact widely available from diverse sources at relatively low
prices. DOE carefully considered the scarcity of these fuels, as
required by Congress, but determined that the fuels used to produce
electricity, including renewables, are quite abundant rather than
scarce. Thus, scarcity does not appear to be a concern, and should not
be a guiding factor in the rulemaking at this time.
DOE then examined existing law (49 U.S.C. 32905 (a) and (c)) that
specifies procedures for determining the petroleum-equivalent fuel
economy of other types of alternative fuel vehicles. 49 U.S.C. 32905
(a) states that ``the fuel economy measured for [post-1992 dedicated
alternative fuel vehicles] shall be based on the fuel content of the
alternative fuel used to operate the automobile. A gallon of liquid
alternative fuel used to operate a dedicated automobile is deemed to
contain 0.15 gallon of fuel.'' Two of the most common liquid
alternative fuels are M85 (85 percent methanol and 15 percent unleaded
gasoline by volume) and E85 (85 percent ethanol and 15 percent unleaded
gasoline by volume). The petroleum equivalent fuel economy of E85 and
M85 powered vehicles is then determined by dividing the measured fuel
economy value by 0.15.
Section 32905(c) extends this approach to gaseous fueled vehicles,
stating that ``[the fuel economy of dedicated gaseous fueled vehicles
shall be based on the fuel content of the gaseous fuel used to operate
the automobile. One hundred cubic feet of natural gas is deemed to
contain 0.823 gallon equivalent of natural gas. . . . A gallon
equivalent of gaseous fuel is deemed to have a fuel content of 0.15
gallon of fuel.'' Since gaseous fueled vehicles do not store their fuel
in liquid form, a conversion factor must be applied to express the
volume of gas consumed as an equivalent liquid volume of gasoline. This
factor is based on the volume of natural gas that contains the same
chemical energy as a gallon of gasoline. To determine the petroleum-
equivalent fuel economy of a gaseous fueled vehicle, the vehicle's
gaseous fuel consumption is measured directly (for example, in units of
miles per 100 standard cubic feet of gas), and then the conversion
factor of 0.823 gasoline-equivalent gallons per 100 standard cubic feet
of natural gas is applied. Finally, the result is divided by 0.15 to
obtain the petroleum equivalent fuel economy.
Unlike the case of M85 and E85 powered vehicles, the factor of 0.15
serves a different function in the case of gaseous fueled vehicles,
since natural gas contains no gasoline whatsoever. The true energy
efficiency of both liquid and gaseous fueled alternative fuel vehicles
is intentionally and substantially overstated by the methods specified
in 49 U.S.C. 32905, since only 15 percent of their actual energy
consumption is accounted for in determining their petroleum-equivalent
fuel economy. The use of the 0.15 factor for both types of vehicles
provides a similar regulatory treatment to both types of alternative
fuel vehicles.
DOE proposes to use an approach similar to that in 49 U.S.C. 32905
for calculating petroleum-equivalent fuel economy values for electric
vehicles. DOE proposes to adopt the 0.15 factor to be applied in a
manner similar to that prescribed for natural gas vehicles. This
approach has the following advantages:
(i) It is consistent with existing regulatory and statutory
procedures for other types of alternative fuel vehicles,
(ii) It provides a similar treatment to manufacturers of all types
of alternative fuel vehicles, including electric vehicles,
(iii) It is relatively simple and straightforward to apply,
compared to other approaches considered.
C. Test Procedures
The Environmental Protection Agency is responsible for specifying
the test procedures and calculations used to derive the fuel economy
values to be used in all CAFE determinations. The energy efficiency
values used in CAFE calculations are determined using the test cycles
commonly referred to as the ``city'' and ``highway'' test cycles
described in the Environmental Protection Agency's regulations at 40
CFR Parts 86 and 600. The number of replications of these driving
cycles needed to adequately determine the energy efficiency of each
vehicle will depend upon the type of storage devices (e.g., lead-acid
batteries).
The electrical systems of each vehicle may require special tools
and/or measuring equipment to satisfactorily measure the energy
consumed during testing. The Environmental Protection Agency has
promulgated the ``Special Test Procedures'' provisions of 40 CFR
86.090-27 to accommodate any such special needs.
D. Calculation Procedures
The proposed PEF is conceptually based on the previously described
regulatory approach at 49 U.S.C. 32905 (c) for determining the
petroleum-equivalent fuel economy of gaseous fueled vehicles. The
proposed PEF converts the measured electrical energy consumption of an
electric vehicle into a raw gasoline-equivalent fuel economy value, and
then divides this value by 0.15 to arrive at a final petroleum-
equivalent fuel economy value which may then be included in the
calculation of the vehicle manufacturer's corporate average fuel
economy. Two additional factors are present in the equation, but these
will normally have a value of unity and thus will not influence the
value of the PEF in most cases. The terms comprising the PEF and the
procedure for applying the PEF are described in greater detail below.
1. General Form of the PEF Equation
The general form of the PEF equation is:
PEF = Eg * 1/0.15 * AF * DPF
Where:
Eg=Gasoline-equivalent energy content of electricity factor
1/0.15=``Fuel content'' factor
AF=Petroleum-fueled accessory factor
DPF=Driving pattern factor
The development of these factors is described below.
2. Gasoline-Equivalent Energy Content of Electricity Factor
When comparing the fuel economy of two gasoline vehicles to one
another, it
[[Page 37908]]
is sufficient to measure the quantity of fuel consumed and the distance
each vehicle can travel on that fuel. Since the same fuel is used to
power both vehicles, useful comparisons of the relative energy
efficiency of the two vehicles can be made without considering the
efficiency of the process of getting the fuel to the vehicles.
When comparing gasoline vehicles with electric vehicles, however,
it is essential to consider the efficiency of the respective
``upstream'' processes in the two fuel cycles. A full description of
the differences in the processes is beyond the scope of this
rulemaking, but the critical difference is that a gasoline vehicle
burns its fuel on-board the vehicle, and an electric vehicle burns its
fuel (the majority of electricity in the U.S. is generated at fossil
fuel burning powerplants) off-board the vehicle. In both cases, the
burning of fuels to produce work is the least efficient step of the
respective energy cycles. If one considers only the energy supplied as
gasoline to the gasoline vehicle (from refueling), or as electricity to
the electric vehicle (from recharging), then this inefficient step is
counted against the gasoline vehicle but not against the electric
vehicle. The result is that the fuel economy of the electric vehicle
will be substantially overstated.
For these reasons, the PEF includes a term for expressing the
relative energy efficiency of the full energy cycles of gasoline and
electricity. This term, the gasoline-equivalent energy content of
electricity factor, abbreviated as Eg, is defined as:
[GRAPHIC] [TIFF OMITTED] TP14JY99.000
Where:
Tg=U.S. average fossil-fuel electricity generation
efficiency = 0.328
Tt=U.S. average electricity transmission efficiency = 0.924
Tp=Petroleum refining and distribution efficiency = 0.830
C=Watt-hours of energy per gallon of gasoline conversion factor=33,440
Wh/gal
[GRAPHIC] [TIFF OMITTED] TP14JY99.001
Note that Tg and Tt are included in order to
satisfy a requirement from Congress (49 U.S.C. 32904(a)(2)(B)) as well
as for the technical reasons given above.
The derivation of these values is straightforward but lengthy and
is therefore not discussed in this notice. Details on the assumptions,
calculations, and data sources (primarily monthly and annual
statistical reports from the Energy Information Administration) used to
derive these values are described in materials contained in Docket No.
EE-RM-99-PEF which may be reviewed at the DOE Freedom of Information
Reading Room, at the address and times stated in the ADDRESSES section
of this notice of proposed rulemaking.
3. ``Fuel Content'' Factor
The fuel content factor has a value of 1/0.15 and is included in
the PEF for the reasons described in section II.B and summarized as
follows:
(i) Consistency with existing regulatory and statutory procedures,
(ii) Provision of similar treatment to manufacturers of all types
of alternative fuel vehicles,
(iii) Simplicity and directness.
The fuel content factor value of 1/0.15 is equivalent to a multiple
of 6.67.
4. Petroleum-Fueled Accessory Factor
Some electric vehicles, particularly those that may be operated in
colder climates, may be equipped with auxiliary petroleum-fueled cabin
heater/defroster systems. DOE considered the possible use of such
petroleum-fueled accessories in the PEF calculations by incorporating
an Accessory Factor (AF). This factor has been assigned a usage factor
that reduces the PEF by approximately ten percent per accessory, and it
is assumed that no vehicle will ever be equipped with more than two
such accessories. The majority of electric vehicles are expected to
have no petroleum-fueled accessories installed. This results in 3
possible accessory factor values:
------------------------------------------------------------------------
Accessory
Number of petroleum-fueled accessories factor (AF)
------------------------------------------------------------------------
0....................................................... 1.00
1....................................................... 0.90
2....................................................... 0.81
------------------------------------------------------------------------
DOE recognizes that this is a crude accounting of the impact of the
petroleum-fueled accessories. However, because this approach penalizes
electric vehicles equipped with petroleum-fueled accessories, it
provides an incentive for manufacturers to develop vehicles with more-
desirable all-electric climate control systems.
Interested persons should also be aware that the definition of an
electric vehicle (Zero Emission Vehicle) codified in 40 CFR Part
88.104(g) places certain restrictions on the fuel, operation, and
emissions from fuel fired heaters. The definition of ``electric
vehicle'' in section 474.2 of this part incorporates these
restrictions.
5. Driving Pattern Factor
One of the factors that DOE must consider in determining petroleum-
equivalent fuel economy values for electric vehicles is the relative
driving patterns of electric and petroleum-fueled vehicles (49 U.S.C.
32904(a)(1)(B)(iv)). The purpose of the driving pattern factor (DPF) is
to recognize the fact that electric vehicles may be used differently
than gasoline vehicles, primarily due to their shorter range and longer
``refueling'' times. However, existing EPA regulations do not make
driving-pattern-based adjustments to the fuel economy of various
classes of gasoline vehicles when calculating a manufacturer's CAFE,
even though gasoline-powered vehicles are also used in a large variety
of different ways. Therefore, DOE proposes that for now the DPF be
assigned a value of unity (1.00). The driving pattern factor term would
be retained in the PEF equation, however,
[[Page 37909]]
to allow this value to be adjusted if doing so is warranted in the
future.
6. Use of the PEF
The value of the PEF is equal to the product of the values of the
gasoline-equivalent energy content of electricity (Eg), the
fuel content factor of 1/0.15, the petroleum-fueled accessory factor
(AF), and the driving pattern factor (DPF):
PEF=Eg * 1/0.15 * AF * DPF substituting values,
PEF=(12,211 Wh/gal)* 1/0.15 * (1.00 or 0.90 or 0.81) * (1.00)
or,
PEF=81,407 Wh/gal (zero petroleum-fueled accessories)
PEF=73,266 Wh/gal (one petroleum-fueled accessory)
PEF=65,940 Wh/gal (two petroleum-fueled accessories)
Dividing the PEF by the combined (city and highway) energy
consumption of an electric vehicle yields the petroleum-equivalent fuel
economy of that electric vehicle in miles per gallon:
mpg=PEF (Wh/gal) combined [electrical] energy consumption (Wh/
mile)
Care should be taken to distinguish the assigned petroleum-equivalent
fuel economy value from the actual energy-equivalent fuel economy.
7. Sample Calculations
DOE includes sample calculations of the petroleum-equivalent fuel
economy of hypothetical electric vehicles in the Appendix of this
proposed rule. DOE intends to include these sample calculations as an
Appendix to 10 CFR Part 474.
III. Opportunities for Public Comment
A. Participation in Rulemaking
The Department encourages public participation in this rulemaking.
Individual vehicle manufacturers, fuel producers and providers, trade
groups, associations, vehicle owners and operators, States or other
governmental entities, and other affected or interested parties are
urged to submit written comments on the proposal.
The Department has established a period of 60 days following
publication of this notice for persons to comment on this notice of
proposed rulemaking. You may review all public comments and other
docket material in the DOE Freedom of Information Reading Room at the
address shown at the beginning of this notice. The materials will be
filed under docket number EE-RM-99-PEF.
B. Written Comment Procedures
Interested persons and organizations are invited to participate in
this rulemaking by submitting data, views, or comments with respect to
the proposed rulemaking. Please provide seven copies of your comments
to the address indicated in the ADDRESSES section of this notice.
Please include the designation ``Inclusion of Electric Vehicles in
Corporate Average Fuel Economy Calculation--Notice of Proposed
Rulemaking'' (Docket No. EE-RM-99-PEF) on the outside of the envelope
and on individual documents submitted. DOE will consider all timely-
submitted comments and other relevant information before issuing a
final rule.
If you are submitting information you believe to be confidential
and that may be exempt by law from public disclosure, you should submit
one complete copy along with three copies from which you have removed
the confidential information. DOE will make its own determination
regarding any claim that information submitted be exempt from public
disclosure. Our procedures regarding confidential information are in 10
CFR Part 1004.11.
C. 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. The Department invites any
person or organization having an interest in the proposed rulemaking to
request to make an oral presentation. Your request should be directed
to DOE at the address indicated in the ADDRESSES section of this
notice. You should bring seven copies of your statement to the hearing.
In the event that you cannot provide seven copies, contact Ms. Kasarsky
at the number indicated in the ADDRESSES section in advance of the
hearing to make alternative arrangements.
2. Conduct of the Hearing
DOE will designate an official 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. Only those conducting the
hearing may ask questions. 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.
DOE will prepare a transcript of the hearing. DOE will retain the
transcript and other records of this rulemaking and make them available
for public inspection at the DOE Freedom of Information Reading Room as
provided at the beginning of this notice. Any person may purchase a
copy of the transcript from the transcribing reporter.
The presiding officer will announce any further procedural rules
needed for the proper conduct of the hearing.
IV. Procedural Requirements
A. Environmental Protection Agency Review
Pursuant to section 7(a) of the Federal Energy Administration Act
of 1974 (15 U.S.C. 766(a)), DOE submitted a copy of this notice to the
Administrator of the Environmental Protection Agency for the
Administrator's concurrence. The Administrator has concurred.
B. National Environmental Policy Act Review
This rulemaking has been reviewed in accordance with the
requirements of the DOE National Environmental Policy Act Final Rule as
published in 10 CFR Part 1021. This rulemaking amends 10 CFR Part 474
so that electric vehicles receive similar treatment to what Congress
has required for other alternative fuel vehicles under 49 U.S.C. 32905.
The Department has determined that this rule is covered by Categorical
Exclusion in paragraph A5 to subpart D, 10 CFR Part 1021 (rulemaking,
interpreting or amending an existing regulation, no change in
environmental effect). Accordingly, neither an Environmental Assessment
or an Environmental Impact Statement is required.
C. Regulatory Review
Today's proposed rule has been determined not to be a ``significant
regulatory action,'' as defined in section 3(f) of Executive Order
12866, ``Regulatory Planning and Review.'' 58 FR 51735 (October 4,
1993). Accordingly, this action was not subject to review under the
Executive Order by the Office of Information and Regulatory Affairs in
the Office of Management and Budget.
D. Regulatory Flexibility Act
The Regulatory Flexibility Act (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 not have a significant economic
impact on
[[Page 37910]]
a substantial number of small entities. It is directed at vehicle
manufacturers that will be concerned with a mix of petroleum and
electric fueled vehicles in their annual production. None of these
manufacturers is a small entity.
E. 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.
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 or other considerations stated in Executive Order
12612. Hence, no federalism assessment is required.
F. ``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.
G. Review Under Executive Order 12988
With respect to the review of existing regulations and the
promulgation of new regulations, section 3(a) of Executive Order 12988,
``Civil Justice Reform,'' 61 FR 4729 (February 7, 1996), imposes on
Executive agencies the general duty to adhere to the following
requirements: (1) Eliminate drafting errors and ambiguity; (2) write
regulations to minimize litigation; and (3) provide a clear legal
standard for affected conduct rather than a general standard and
promote simplification and burden reduction. With regard to the review
required by section 3(a), section 3(b) of Executive Order 12988
specifically requires that Executive agencies make every reasonable
effort to ensure that the regulation: (1) Clearly specifies the
preemptive effect, if any; (2) clearly specifies any effect on existing
Federal law or regulation; (3) provides a clear legal standard for
affected conduct while promoting simplification and burden reduction;
(4) specifies the retroactive effect, if any; (5) adequately defines
key terms; and (6) addresses other important issues affecting clarity
and general draftsmanship under any guidelines issued by the Attorney
General. Section 3(c) of Executive Order 12988 requires Executive
agencies to review regulations in light of applicable standards in
section 3(a) and section 3(b) to determine whether they are met or it
is unreasonable to meet one or more of them. DOE has completed the
required review and determined that, to the extent permitted by law,
this proposed rule meets the relevant standards of Executive Order
12988.
H. Review Under the Unfunded Mandates Reform Act of 1995
Title II of the Unfunded Mandates Reform Act of 1995 (Pub. L. 104-
4) requires each Federal agency to prepare a written assessment of the
effects of any Federal mandate in a proposed or final agency rule that
may result in the expenditure by State, local, and tribal governments,
in the aggregate, or by the private sector, of $100 million in any one
year. The Act also requires a Federal agency to develop an effective
process to permit timely input by elected officers of State, local, and
tribal governments on a proposed ``significant intergovernmental
mandate,'' and requires an agency plan for giving notice and
opportunity to timely input to potentially affected small governments
before establishing any requirements that might significantly or
uniquely affect small governments. The proposed rule published today
does not contain any Federal mandate, so these requirements do not
apply.
I. Review Under the Treasury and General Government Appropriations Act,
1999
Section 654 of the Treasury and General Government Appropriations
Act, 1999 (Pub. L. No. 105-277) requires Federal agencies to issue a
Family Policymaking Assessment for any proposed rule or policy that may
affect family well-being. Today's proposal would not have any impact on
the autonomy or integrity of the family as an institution. Accordingly,
DOE has concluded that it is not necessary to prepare a Family
Policymaking Assessment.
The notice of proposed rulemaking published in the Federal Register
on February 4, 1994 (59 FR 5336) is withdrawn as of July 14, 1999.
List of Subjects in 10 CFR Part 474
Electric power, Energy conservation, Motor vehicles, Research.
Issued in Washington, DC, on June 10, 1999.
Dan W. Reicher,
Assistant Secretary, Energy Efficiency and Renewable Energy.
For the reasons set forth in the preamble, DOE proposes to revise
Part 474 of Chapter II of Title 10 of the Code of Federal Regulations
as set forth below:
PART 474--ELECTRIC AND HYBRID VEHICLE RESEARCH, DEVELOPMENT, AND
DEMONSTRATION PROGRAM; PETROLEUM-EQUIVALENT FUEL ECONOMY
CALCULATION
Sec.
474.1 Purpose and scope.
474.2 Definitions.
474.3 Petroleum-equivalent fuel economy calculation.
474.4 Test procedures.
474.5 Review and update.
Appendix to Part 474--Sample Petroleum-Equivalent Fuel Economy
Calculations
Authority: 49 U.S.C. 32901 et seq.
Sec. 474.1 Purpose and scope.
This part contains procedures for calculating a value for the
petroleum-equivalent fuel economy of electric vehicles, as required by
49 U.S.C. 32904(a)(2). The petroleum-equivalent fuel economy value is
intended to be used by the Environmental Protection Agency in
calculating corporate average fuel economy values pursuant to
regulations at 40 CFR Part 600--Fuel Economy of Motor Vehicles.
Sec. 474.2 Definitions.
For the purposes of this part, the term:
Combined energy consumption value means the weighted average of the
Urban Dynamometer Driving Schedule and the Highway Fuel Economy Driving
Schedule energy consumption values (weighted 55% / 45%, respectively),
as determined by the Environmental Protection Agency in accordance with
40 CFR Parts 86 and 600.
Electric vehicle means a vehicle that is powered by an electric
motor drawing current from rechargeable storage batteries or other
portable electrical energy storage devices, provided that:
(1) Recharge energy must be drawn from a source off the vehicle,
such as residential electric service; and
(2) The vehicle must comply with all provisions of the Zero
Emission Vehicle definition found in 40 CFR 88.104(g).
Highway Fuel Economy Driving Schedule energy consumption value
means the average number of watt-hours of electrical energy required
for an electric vehicle to travel one mile of the Highway Fuel Economy
Driving Schedule, as determined by the Environmental Protection Agency.
[[Page 37911]]
Petroleum equivalency factor means the value specified in section
474.3(b), which incorporates the parameters listed in 49 U.S.C.
32904(a)(2)(B) and is used to calculate petroleum-equivalent fuel
economy.
Petroleum-equivalent fuel economy means the value, expressed in
miles per gallon, that is calculated for an electric vehicle in
accordance with Sec. 474.3(a), and reported to the Administrator of the
Environmental Protection Agency for use in determining the vehicle
manufacturer's corporate average fuel economy.
Petroleum-powered accessory means a vehicle accessory (e.g., a
cabin heater, defroster, and/or air conditioner) that:
(1) Uses gasoline or diesel fuel as its primary energy source; and
(2) Meets the requirements for fuel, operation, and emissions in 40
CFR 88.104(g).
Urban Dynamometer Driving Schedule energy consumption value means
the average number of watt-hours of electrical energy required for an
electric vehicle to travel one mile of the Urban Dynamometer Driving
Schedule, as determined by the Environmental Protection Agency.
Sec. 474.3 Petroleum-equivalent fuel economy calculation.
(a) The petroleum-equivalent fuel economy for an electric vehicle
is calculated as follows:
(1) Determine the electric vehicle's Urban Dynamometer Driving
Schedule energy consumption value and the Highway Fuel Economy Driving
Schedule energy consumption value in units of watt-hours per mile;
(2) Average the Urban Dynamometer Driving Schedule energy
consumption value and the Highway Fuel Economy Driving Schedule energy
consumption value using a weighting of 55% urban/45% highway to
determine the combined energy consumption value of the electric vehicle
in units of watt-hours per mile; and
(3) Calculate the petroleum-equivalent fuel economy by dividing the
appropriate petroleum equivalency factor for the number of petroleum-
powered accessories installed (see paragraph (b) of this section) by
the combined energy consumption value, and round to the nearest 0.01
miles per gallon.
(b) The petroleum-equivalency factors for electric vehicles are as
follows:
(1) If the electric vehicle does not have any petroleum-powered
accessories installed, the value of the petroleum equivalency factor is
81,407 watt-hours per gallon.
(2) If the electric vehicle has one petroleum-powered accessory
installed, the value of the petroleum equivalency factor is 73,266
watt-hours per gallon.
(3) If the electric vehicle has two petroleum-powered accessories
installed, the value of the petroleum equivalency factor is 65,940
watt-hours per gallon.
Sec. 474.4 Test procedures.
(a) The electric vehicle energy consumption values used in the
calculation of petroleum-equivalent fuel economy under Sec. 474.3 will
be determined by the Environmental Protection Agency using the Highway
Fuel Economy Driving Schedule and Urban Dynamometer Driving Schedule
test cycles at 40 CFR parts 86 and 600.
(b) The ``Special Test Procedures'' provisions of 40 CFR 86.090-27
may be used to accommodate any special test procedures required for
testing the energy consumption of electric vehicles.
Sec. 474.5 Review and update.
The Department will review this part [five years after the date of
publication as a final rule] to determine whether any updates and/or
revisions are necessary. The Department will publish the results of
this review in the Federal Register.
Appendix to Part 474--Sample Petroleum-Equivalent Fuel Economy
Calculations
Example 1:
An electric vehicle is tested in accordance with Environmental
Protection Agency procedures and is found to have an Urban
Dynamometer Driving Schedule energy consumption value of 265 watt-
hours per mile and a Highway Fuel Economy Driving Schedule energy
consumption value of 220 watt-hours per mile. The vehicle is not
equipped with any petroleum-powered accessories. The combined
electrical energy consumption value is determined by averaging the
Urban Dynamometer Driving Schedule energy consumption value and the
Highway Fuel Economy Driving Schedule energy consumption value using
weighting factors of 55% urban, and 45% highway:
Combined electrical energy consumption value = (0.55 * urban) +
(0.45 * highway) = (0.55 * 265) + (0.45 * 220) = 244.75 Wh/mile
Since the vehicle does not have any petroleum-powered
accessories installed, the value of the petroleum equivalency factor
is 81,407 watt-hours per gallon, and the petroleum-equivalent fuel
economy is:
(81,407 Wh/gal) (244.75 Wh/mile) = 332.61 mpg
Example 2:
The vehicle from Example 1 is equipped with an optional diesel-
fired cabin heater/defroster. For the purposes of this example, it
is assumed that the electrical efficiency of the vehicle is
unaffected.
Since the vehicle has one petroleum-powered accessory installed,
the value of the petroleum equivalency factor is 73,266 watt-hours
per gallon, and the petroleum-equivalent fuel economy is:
(73,266 Wh/gal) (244.75 Wh/mile) = 299.35 mpg
[FR Doc. 99-17786 Filed 7-13-99; 8:45 am]
BILLING CODE 6450-01-P
