Funding and Incentives for Alternative Fuels and Advanced Technologies

Carolyn McGough, Senior Program ManagerGladstein, Neandross & Associates

May 6, 2015

Company Background• Nation’s leading full-service AFV

consulting firm• 20+ years of AFV experience and

expertise• HQ in Santa Monica, CA with offices

in Irvine, Phoenix, and New York• Diverse staff of 40+ engineers,

market development, grant funding, and policy & public affairs experts

Core AFV Practice Areas• Project Development, Planning, Implementation, Permitting, Management

and Oversight: Macro to Micro• Strategic Business Analysis & Planning • Implementation & Procurement • Technical Expertise:

• Vehicle and Engine Selection & Specs• Fuel Station Development & Permitting • Fuel Supply & Contracting• Maintenance Shop Retrofit and Training• Personnel Training (Fleet & Emergency Responders)

• Grant Writing & Resource Procurement ($255MM; 90+%)• Public Affairs & Government Relations• Marketing, Conferences & Events

• History of success • $255 million secured • 92+% success rate• Private and public funding

• Significant market penetration• 2,700 AFVs• 78 NG fuel stations

• GNA’s “Grant Guru” Program• GNA “pays for itself”

Grants and Incentives

Why is grant funding important?

• High incremental cost of deploying AFVs can stop fleets from moving forward with AFV projects

• Offset the incremental cost of AFVs• Good PR• High fuel cost savings for customers• Extremely value-added service

Type of Funding Available• Many funding sources, both in the U.S. and

Canada– Federal– State– Local

• Different types of funding and incentives– Grants– Rebates– Tax Incentives

Grants, Rebates, and Tax Incentives• Program goals are primarily to improve air quality, energy

security, efficiency and petroleum reduction• Purpose of Grant Funding

– Criteria Pollutant Emission Reductions– Demonstration– GHG Reductions– Petroleum Displacement– Renewable Energy (new focus)– Research and Development– Technology Advancement

Emissions Drivers

Emissions Drivers

The “Grant Guru” Approach• Seven EPA Clean Diesel Collaborative Regions• Approximately 6-9 states per collaborative• Approximately four agencies per state that may offer grant funding

– Environmental– Energy– Public Health– Transportation

• Potentially multiple programs per state• Therefore, more than 500 funding programs updated on a regular

basis

The “Grant Guru” Approach

The “Grant Guru” Approach• Each program has many data points that change

regularly:– Release date– $ per unit– $ per applicant– $ in the program– Eligibility

• Knowing the opportunities ahead of time is key.

Example Funding Program

Grant Timeline

• Before Grant Release:– 1-6 months prior – Learn about anticipated grant release; GNA continues

discussions with the appropriate entity/agency– 1 month prior – Begin formalizing project plan

• After Grant Release:– Immediately – Review necessary information needed from client / project

partners; typically there is 1-2 months to finalize the application for submittal– 2-3 weeks prior to due date – Receive everything needed from client / project

partners– 3-5 days prior to due date – Provide draft to client / project partners– 1-2 days prior to due date – Ship via overnight mail to the appropriate agency

Project Planning (1-6 months)

Prepare Application (30-

60 days)

Agency Review (60-90 days)

Agency Contracting (30-

90 days)

Project Implementation (0-24 months)

Strings

• Grants almost always come with reporting requirements– Provision of vehicle usage (miles traveled and fuel used) is

a typical requirement after receipt of grant funds– Typically required for a duration of 3-7 years– Depending on the program, the customer must be

prepared to provide the reporting information

Keys to Grant Success• Knowing about funding ahead of time allows fleets and other

companies to plan in advance• Filling out forms doesn’t win grants; understand the selection

criteria and tailor applications to match• Filling out forms can certainly lose grants• Prescreen applications for viability• Understand the funding agencies and programmatic priorities• Sell the project

Thank you!Carolyn McGough

Senior Program ManagerGladstein, Neandross & Associates

Phone: 310-573-8556Email: carolyn.mcgough@gladstein.org