U.S. EPALocomotive and Marine Diesel

ProposalPresentation to NRMM Working Group

Geneva, June 2007

Informal document No. GRPE-54-18(54th GRPE, 4-8 June 2007,Agenda item 9.)

Overview

• Background

• What the rule covers

• What we have proposed

• Benefits and Costs

• The Process for Completion

Reconciling Diesels with the Environment: EPA’s National Clean Diesel Campaign

Nonroad Dieselsales over 650,000 / yr12B gallons / yrfinal rule 2004fully phased in 2015

Tier 2 Light-Dutyfinal rule 1999fully phased in 2009Diesels held to same stringent standards as gasoline vehicles

Heavy-Duty Highwaysales 800,000 / yr40B gallons / yrfinal rule 2000fully phased in 2010

Locomotive/Marinesales 40,000 (1,000 locomotives) / yr6B gallons / yrproposal 2007fully phased in 2017

Trucks 1991

Trucks 1991

1998199820042004

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

1.0

0 1 2 3 4 5 6 7 8 9 10NOx (g/hp-hr)

PM(g

/hp-

hr)

Current Locomotive/Marine Diesel Standards Are Comparable to Early 1990’s

Diesel Truck Standards

New locomotives todayNew locomotives today

New marine diesels today

Trucks 2010; nonroad machines 2014

What the Rule Covers-- Locomotives

Switch

Line-Haul

Passenger

Sales ~700-1200 / yearTypically rebuilt every 5-7 years

What the Rule Covers--Marine Diesels

Category 1 Commercial (<5 liter/cylinder)~15,000/year (about half are aux engines)

Recreational~15,000/year

Category 2 (5 to 30 liter/cyl) <300/year

<75 hp<10,000/year

gen sets sailboats

cruisers

yachts

auxiliary power for ocean-going vessels

workboats fishing vesselspolice boats

ferriestugboats

Great Lakes freighters

Covered in separate initiative ocean-going ships

Category 3(>30 liter/cyl)

Proposed Locomotive Standards

Remanufactured Locomotive Standards

Newly-built Locomotive Standards

New Long-Term(Tier 4) Standards

New Interim(Tier 3) Standards

RemanufacturedTier 2

RemanufacturedTier 0 & 1

locomotive groups

PM 2015NOx 2017

2012

2008 as available2013 required

2008 as available2010 required

date

1.3

5.5

5.5

7.4 - 8.0

standard(g/hp-hr)

80%

--

--

~20%

reduction%

reduction%

standard(g/hp-hr)

~90%

50%

50%

~60%

NOx

0.03

0.10

0.10

0.22

PM

Proposed Marine Diesel Standards

Existing Marine Engines(requesting comment on

remanufacturing stds)

New Long-Term (Tier 4)Commercial >600kW

New Interim (Tier 3)

0-20%reduction

1.3

varies byengine size

standard(g/hp-hr)

~80%

~20%

reduction%

reduction%

standard(g/hp-hr)

~90%

~50%

NOx

20-60%reduction

2008

0.032014-2017

varies byengine size

2009-2014

PMdate

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

2005 2010 2015 2020 2025 2030 2035 2040

Base 50-State

Control 50-State

Nationwide PM Reductions From the Proposal

PM

with current standards

with proposed standards

Calendar Year

Par

ticul

ate

Mat

ter (

annu

al to

ns)

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

1,600,000

1,800,000

2,000,000

2005 2010 2015 2020 2025 2030 2035 2040

Base 50-State

Control 50-State

NOx

Nationwide NOx Reductions From the Proposal

with current standards

with proposed standards

Calendar Year

NO

x (a

nnua

l ton

s)

Proposal Annual Costs and Benefits in 2030

3%Unit cost as % of typical new locomotive price (similar for marine; varies vessel to vessel)

765,00028,000Inventory reduction, tons

20:1

$12B

$5560

$159M

PM NOx

Monetized benefits

Benefit to cost ratio

Cost per ton

Cost

$580

$446M

The Process Toward Completion

• Proposal signed March 1

• Available at EPA’s website– http://www.epa.gov/otaq/marine.htm

• Public hearings were held:– Seattle, 8th of May– Chicago, 10th of May

• Comment period will close 2nd of July

• Targeting final rule by the end of the year