Truckers wary of new diesel standards
Jan. 11, 2007
By JOSEPH M. DELEON News-Post Staff
jdeleon@fredericknewspost.com
FREDERICK — When Dave Tich, a diesel truck salesman in Gaithersburg, learned of federal legislation that would make diesel engines and fuel more environmentally friendly, he knew some customers would resist. That's because it'll make diesel engines and fuel more expensive.
Diesel engines manufactured after Jan. 1 must use ultra-low sulfur diesel, which reduces more than 90 percent of harmful emissions. Gas stations are not required to carry the fuel until 2010, but about 90 percent of the diesel fuel supply is already ULSD.
That may help improve air quality, but it will also make companies that rely on diesel engines pay more for new trucks, fuel and maintenance.
Some truckers will invest in the new diesel engines, but many more will hold on to older models, said Allen Schaeffer, executive director of Diesel Technology Forum, a Frederick-based nonprofit group that represents diesel engine manufacturers.
Many truckers stocked up on diesel equipment in 2006 and are taking a wait-and-see approach to the new diesel engines. The new technology will add between $2,000 and $15,000 to the cost of a new industrial-grade diesel truck, which costs about $100,000, Mr. Schaeffer said.
Dealerships also increased inventories of trucks made before the new standards took effect. As of Monday, Mr. Tich's business had more than 200 older diesel trucks on hand and a single new diesel truck on order.
“The cost to (trucking companies) means they have a little larger investment to make and have to depreciate that expense as part of the business operation,” Mr. Tich said. “But the bottom line is yes, it will cost more for a fleet, but the benefit to our society will far outweigh it in the long-term.”
Since June 1, when the new fuel became available, the cost of diesel rose between 5 and 10 cents per gallon, according to the Environmental Protection Agency.
“Trucking is one of the most competitive industries out there, so from a trucking perspective, these are costs that get passed on to customers,” Mr. Schaeffer said. “There is a substantial motivating force for producing the lowest cost.”
Barbara Windsor, president and CEO of New Market-based Hahn Transportation, knows all about those costs. Her business relies on a fleet of 100 diesel trucks.
Ms. Windsor doesn't plan on buying new trucks any time soon. Diesel engines are known to be reliable, often lasting more than 500,000 miles without major repairs.
“We won't buy any, at least not in the near future, but there are always replacements that are necessary,” Ms. Windsor said. “We have some trucks with engines that have over 600,000 miles on them that haven't been rebuilt yet.”
Ms. Windsor knows once the new engines are on the market, it will only be a matter of time before the cost of freight increas es.
“It won't happen immediately,” she said. “But the price to haul freight will go up as people have to renegotiate contracts to cover those costs.”
The cost of clean air
Mr. Tich, in charge of commercial sales at Criswell Automotive, is trying to persuade his customers that the changes aren't all bad. Criswell, specializing in government contracts and large fleets, is the biggest General Motors dealership in the Northeast and stocks as many as 700 diesel trucks at any given time.
“The big news is that it's actually a good thing,” Mr. Tich said. “Yeah, there's a cost factor that comes with it, but the price being paid is going to have some phenomenal things that will come out of it.”
Every mile, trucks that burn regular diesel fuel release about 500 parts per million of hydrocarbons, nitrogen dioxide and soot into the air, damaging the environment. The new low-sulfur fuel releases no more than 15 parts per million.
The new standards make diesel engines cleaner than gasoline-burning engines, which currently allow as much as 80 parts per million, according to the EPA.
“In the long term, this will be a major quantum step to cleaning up our air,” Mr. Tich said. “It's a tough bullet to bite, but those companies that have embraced it and worked ahead of time to do it are in a good position to make a big difference in the future of our country.”
Diesel gets green
While hybrid cars and trucks are part of the solution, making the diesel industry cleaner will go a long way toward improving air quality.
Mr. Schaeffer believes the diesel industry must stay competitive with hybrid and other alternative fuel markets while keeping the hallmarks that made diesel so successful — reliable engines that work efficiently over long distances.
“Since 90 percent of all goods move through diesel trucks, these new diesel engines are going to be a critical part of meeting the more stringent clean air requirements,” Mr. Schaeffer said. “The cleaner fuel aspect and this revolution to clean up diesel technology ultimately works its way through all the technology.”
A diesel engine will be about as clean as a natural gas engine in terms of emissions by 2010, Mr. Schaeffer said. The trucking industry was the first to be affected by the new diesel standards, but cars are next, with new emissions standards set for 2010.
They'll be followed by farm equipment and by 2014, construction equipment will face new standards. It may take 15 years before the cleaner standards apply to locomotives and ships.
Isuzu and General Motors are already poised to reach the 2010 emissions standards for passenger vehicles because their lowemission engines have been on the road in Japan for more than two years, Mr. Tich said.
“GM, Caterpillar and Isuzu seem to be the ones who really embraced environmentally friendly technology a few years ago and came out with some really interesting solutions,” he said. “Everyone else is doing hybrid cars. The easiest ones to convert to hybrid are the smaller-framed cars, while GM was focused on bringing full-sized truck hybrids to market.”
Even though the new diesel engine standards only apply to those made after Jan. 1, the ULSD fuel will help reduce emissions in older diesel engines.
“Adding (ULSD fuel) to a 1990 International truck will give you about a 10 percent lower emission of particles with out doing anything to the engine,” Mr. Schaeffer said. “Taking sulfur out is as important or more important than taking lead out in the '70s.”