Transcript 2008 SMT HEV all hands

2010 Mid-America Regulatory Conference
Electric Cars – Can We Charge Our Way
to a Carbon Free Future?
June 7, 2010
Nancy Homeister
Sustainability and Environmental Policy
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Atmospheric Concentration (ppm)
Why Electrification?
700
650 ppm: 2.3 - 3.7
600 °C
550 ppm: 2.0 - 3.4
500 °C
450 ppm: 1.7 - 2.8
400 °C
Accepted Range
To Minimize
Environmental Impact
300
200
1900
1950
2000
2050
2100
2150
2200
2250
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Sustainability Strategy – Technology Migration
2007
2011
Near Term
Begin migration to
advanced technology
Near Term
2020
Mid Term
Full implementation of
known technology
Mid Term
• Significant number of vehicles
with EcoBoost engines
• EcoBoost engines available in
nearly all vehicles
• Electric power steering 70 – 80%
• Dual clutch and 6 speed
transmissions replacing 4 and 5
speeds
• Electric power steering 100%
• Six speed transmissions 100%
• Increase Hybrid applications
• Increased unibody applications
• Introduction of additional small
vehicles
• Battery management systems
75%
• Aero improvement up to 5%
• Weight reduction of 250 – 750 lbs
• Engine displacement reduction
aligned with weight save
• Additional Aero improvements
up to 5%
• Increased use of Hybrids
• Introduction of PHEV and BEV
• Diesel use as market demands
2030
Long Term
Continue leverage of Hybrid
technologies and deployment of
alternative energy sources
Long Term
• Percentage of internal
combustion dependent on
renewable fuels
• Volume expansion of Hybrid
technologies
• Continued leverage of PHEV,
BEV
• Clean electric / hydrogen fuels
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Announced Ford Electrification Projects:
Key is Leverage of High Volume Global Platforms
2004 CY
2010 CY
2012 CY
2018+ CY
Transit Connect
(Global C-Platform)
BEV
Battery Electric
Vehicles
Focus
(Global C-Platform)
PHEV
Global Platform
Plug-in Hybrid
Electric Vehicles
HEV
Hybrid Electric
Vehicles
Escape
Fusion/Milan
Global C-Platform
Next Generation HEV
Global CD-Platform
Next Generation HEV
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2011
2020
4
2011
2020
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2011
2020
PRODUCTION PLATFORM NOT YET ANNOUNCED
EARLY/DEVELOPMENT WORK WAS DONE ON
THE ESCAPE
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Electrification of vehicles:
not a new idea …..
• In the early 1900’s more than
27 companies were building
electric cars
• In 1914, Henry Ford and
Thomas Edison experimented
with an electric car using by
Edison Batteries
• In 1915 the Ward Motor
Vehicle Company offered an
electric wagon for $875 on an
1yr installment plan for the
vehicle and a $10.50/month
rental fee for the Edison
Storage battery
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Challenge: Moving from Niche to Mainstream
How to get electrified vehicles on “cost-parity”
with traditional technology?
How will customers react to the new
technology?
How will they access recharging infrastructure?
How will they know what they are paying?
How will charging impact the local, region or
national power supply and distribution?
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The Key is Partnerships
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Understanding the Business of
Electrification
One of the PHEV collaboration goals is the creation of new business
models to support a sustainable business case for all PHEV stakeholders
The study started with an initial flowchart involving the following
workstreams…
Battery W.S.
Vehicle W.S.
Consumer
OEM
Utilities
Characteristics &
Chemistry
Performance
PHEV Tangible
Value
Production Cost
Over Conv. Veh.
PHEV Rates/
Intelligent Charging
PHEV Life-Cycle
Electrified Range
PHEV Other
Values
Warranty Cost
PHEV Load (NightTime Valley)
Pack Cost
Veh/Batt Life-Cycle
Match
PHEV Residual
Value
HEV Prod. Cost
Over Conv. Veh.
Profits
Volume
V2G/V2H
Capability
PHEV Net Value
Over Conv. Veh.
Revenue
Low Carbon
Standard
PHEV Demand at
Price
Reg. Compliance
PHEV Benefit
Enable
Renewables
PHEV Price
Ancillary Services
Charging Strategy
Domestic Supplier
Intangible Benefits
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With the realization that this needs to be thought about in a broader
context … there are many aspects to the study that are interconnected
and complex and require multiple partners to develop the solutions.
Battery W.S.
Characteristics &
Chemistry
Vehicle W.S.
Performance
Electrified Range
PHEV Life-cycle
Pack Cost
Volume
Charging Strategy
Domestic Supplier
Veh/Batt Life-cycle
Match
V2G/V2H
Capability
Auto Dealers
OEM
Consumer
PHEV
Tangible
Value
PHEV Other
Values
PHEV Residual
Value
PHEV Net Value
over Conv. Veh.
PHEV Demand at
Price
Regulations
Auto
Production Cost
over Conv. Vhe.
Utilties
Regulations/
Utilties
Government
Subsidies
PHEV Rates/
Intelligent Charging
Energy
Independence
To OEM
PHEV Load (Nighttime Valley)
Reduce GHG
To Utility
Profits
Sustainabililty
To Battery Provider
CAFE
Warranty Cost
HEV Prod. Cost
over Conv. Veh.
ZEV Mandate
CO2/GHG
Reg. Compliance
PHEV Benefit
Low Carbon
Standard
To Consumer
Enable
Renewables
Renewables
To Fleet Operator
Ancillary Services
Grid Stability
Low Carbon
Standard
Revenue
Emissions
HOV Access
PHEV Sales
Fleet Operator
PHEV Price
Battery
Aggregator
Geographic Sales
Distribution
Warranty Other
Revenue
Incremental
Customers for
Conv. Veh.
PHEV
Tangible
Value
Intangible Benefits
(Corp. Image)
Fleet Composition
Battery Pack
Integrator
V2G/V2H
Capability
Stationary Battery
Usage
Leasing to
Consumer (Mobile
or Stationary)
Configuation
PHEV Other
Values
Stationary
Battery
Applications
Ancillary Services
Agregation
Warranty
Facilitation
Stationary Uses
Consist w/ Mobile
Refurbishment
Warranty
Fulfillment
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Moving Forward: Concentrate on the Customer
 Educating our common customer, ensuring they:
 Understand EV options: HEV, PHEV, EREV, BEV
 Know how to pick the best technology for their
transportation needs, climate and driving style
 Can plan ahead to ensure access to charging
 Understanding the costs – purchase and operation
 Making it as easy as possible to charge
 Residential permitting
 Solutions for multi-family residential
 Access to data on charging rates and options
 Seemless infrastructure from service region to service
region
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Moving Forward: Concentrate on the Customer
 Address potential concerns over “range anxiety”
 Higher levels of electrification require more than 120V
 Uniform standards: SAE standards are not mandatory
 Encourage infrastructure proliferation by allowing 3rd party
providers to recover their investments
 Provide enforcement to ensure access to plugs
 Provide additional value through the charging
experience
 Rate knowledge to make the best charging decisions
 Assess utility revenue neutrality requirements (TOU, etc.)
 Development of common communication protocols
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Conclusions
 Global goals for CO2 reductions are aggressive, and will
impact both to car manufacturers and utilities.
 Dependence on petroleum consumption has
increasingly proven to be unsustainable – socially,
environmentally and economically.
 Electrification in key to meeting long term goals for CO2
reduction, air quality improvement and energy security.
 Niche markets will not provide a solution.
 Electric vehicles – in many shapes and flavors – are
coming; we need to make sure the market is ready for
them.
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