November 30, 2023

Act Now: Advanced Clean Fleets Rule is Live in California

Here's What You Need to Know

The Advanced Clean Fleet (ACF) Rule, passed by the State of California, was designed to gradually convert medium and heavy duty fleets to zero-emission by 2035.

ACF is expected to save fleet owners $48 billion in operating costs while generating $26.6 billion in health savings from tailpipe emissions related illnesses through 2050.

WHO THE ACF AFFECTS:

High Priority Fleets

with box trucks, vans, buses with two axles, and light-duty package vehicles.

Federal Agencies

with at least one vehicle in California. Certain counties and agencies with fewer than 10 vehicles may be exempt from ACF.

High Priority Fleet
Fleet
Vehicles
If you own, operate, or direct a fleet of 50 or more vehicles with a least one vehicle in California
High Priority Fleet
Gross Annual Revenue If you have more than $50 million total gross annual revenue and operate at least one vehicle in California
High Priority Fleet
Outsourced Vehicles If your combined fleet under common ownership and control (eg contracted fleets) totals 50 or more vehicles with at least one vehicle in California
Federal Agency
Vehicles in California Operate at least one vehicle in California. Certain counties and agencies with fewer than 10 vehicles may be exempt from ACF

COMPLIANCE REQUIREMENTS


HIGH PRIORITY FLEETS
Option 1: New EVs

  • Beginning January 1, 2024, any new truck your fleet purchases must be a zero-emission vehicle
  • Internal Combustion Engine (ICE) vehicles must be retired when they have been in use for 18 years or have traveled more than 800,000 miles, whichever comes first
  • No ICE truck purchases are allowed

HIGH PRIORITY FLEETS
Option 2: Incremental EV Milestones

  • Your fleet must meet specific EV/ICE vehicle composition targets based on vehicle size and model year
  • Fleets can continue to add ICE vehicles as long as they meet incremental EV targets

YEAR
% of fleet vehicles that must be zero emission

2025
10%

2028
25%

2031
50%

2033
75%

2035+
100%

FEDERAL AGENCIES
New EVs

  • 50% of new truck purchases between 2024 and 2026 must be EVs
  • 100% of new truck purchases from after 2026 must be EVs
  • Counties and agencies with fewer than 10 vehicles may qualify for exemption

Extensions and Exemptions

Delays outside of the fleet's control can happen and extensions and exemptions may be granted. Some examples of exemptions are listed below. You can find the whole list and more information here.

Have questions about extension and exemptions to the ACF? Motiv policy experts can help.

Extension and Exemption Examples


Charging Infrastructure (EVSE) Delays
If a fleet begins planning to comply with ACF but construction may delay compliance, fleet may apply for a one year extension

Electrical Delays
If a utility needs more time to make necessary electrical upgrades, the fleet may delay adoption.

Fleet owner must submit documentation and use the electrical load that can be supplied by the utility. All electrical extensions end in 2030.

Vehicle Delivery Delays
If a fleet purchases an EV but there are delays to delivery, the fleet may receive an extension and continue to use an ICE vehicle until EV is received.

Daily Usage Exemptions
If a fleet can prove that available EV models do not meet their operational requirements, fleet may receive exemption


What Should I Do Now?

  1. Assess your fleet composition, budget, and procurement plans
  2. Decide which compliance option is right for you
  3. Get started today, including EV procurement and EVSE upgrades

Are there Available Incentives?

Funding is available across California for both EV procurement and EVSE, in addition to federal tax and LCFS credits. Motiv can help you source and apply for funding programs applicable to your fleet.

Is ACF Limited to California?

The following states have started to adopt ACF or are considering adoption, with more to come:

  • Connecticut
  • Delaware
  • Maine
  • Maryland
  • Massachusetts
  • New Jersey
  • New Mexico
  • New York
  • Oregon
  • Pennsylvania
  • Rhode Island
  • Vermont
  • Washington
  • Washington D.C.

Ready to join the rEVolution?

August 31, 2023

Texas’s All-Electric Program

Act Now: Texas Funding Available
to Upgrade Fleets to All-Electric

 

What is the Texas All-Electric Program?

The Texas All-Electric Program provides funding to fleets that wish to replace their eligible internal combustion engine (ICE) / diesel vehicles with electric vehicles (EV), with additional funding available for supporting charging infrastructure. 

Who is eligible?

Public and private fleets actively registered with the Texas Secretary of State operating in the highlighted areas indicated on the map below. This may include a corporation headquartered outside of Texas, but operates vehicles or equipment primarily in an eligible priority area in Texas.

What vehicles are eligible to replace?

Class 4 – 6 vehicles (step vans, box trucks, shuttles, school buses), model year 1992 – 2009

How much funding is available? 

$87 million

What is the application deadline?

August 31, 2025 at 5:00pm CT or when funds run out, whichever comes first. 

I don’t have charging infrastructure, should I still apply? 

Yes! We often tell our customers to start planning for charging infrastructure before or at the same time as they begin their EV procurement process. We have teams dedicated to charging infrastructure planning and installation. Our QuickStart Program helps fleets take their first steps to electrification.

About Texas Commission on Environmental Quality (TCEQ) 

The Texas Commission on Environmental Quality is the environmental agency for Texas. They protect the state’s public health and natural resources and their goal is clean air, clean water, and the safe management of waste.

Have more questions about available funding
and upgrading your fleet to all-electric?

September 12, 2022

California HVIP’s Innovative Small e-Fleets (ISEF) Program September 2022

 

Act Now: California Funding Available
to Upgrade Small Fleets to All-Electric

 

 

Motiv-Powered Trucks & Buses are HVIP-Approved!

 

California's Hybrid and Zero-Emission Truck and Bus Voucher Incentive Program (HVIP) that's driving many fleets to convert to all-electric has a new funding pool for small fleets only: Innovative Small e-Fleets (ISEF).

If you qualify, Motiv can help you accelerate the voucher application process.

Act now: $23 million is available – and it's first come, first served! 

 

More About California HVIP

The Hybrid and Zero-Emission Truck and Bus Voucher Project (HVIP) makes clean vehicles more affordable for fleet operators through point-of-purchase price reductions. HVIP vouchers can be considered a type of “coupon” that fleet operators use at the time of placing their purchase order.

 

What is HVIP's Innovative Small e-Fleets (ISEF) program?

ISEF is a new, separate pool of funding that helps fleets with 20 trucks or fewer and less than $15M in annual revenue get access to flexible funding.

 

Who can use the funds?

Any private or public fleet operator with medium to heavy-duty vehicles operating in California, with 20 or fewer trucks in their fleet and less than $15M annual revenue. HVIP-awarded vehicles must remain in California for the next three years. No vehicle scrapping necessary

 

How does HVIP work?

Fleet operators should connect with their dealers and a Motiv representative today to get started on the voucher application process. If you don't have a dealer, we can connect you with one in your area. Contact us to get started.

$23M is available now as of September 12, 2022! Funding will be dispersed on a first-come, first-serve basis.

A valid and signed Purchase Order (or other binding Agreement, Contract, Buyer’s Order, or action/resolution by a government entity’s governing body) is required to place the voucher request.

 

Fleet operators – here's what to do:

Contact your dealer and a Motiv representative today to begin the voucher application process. If you don't have a dealer, contact us and we can assist you.

 

Dealers – here's what to do:

You are our HVIP champions! Dealers are responsible for completing voucher requests and coordinating with fleet operators (purchasers) and manufacturers/suppliers.

 

What about charging infrastructure?

We can help plan and install charging infrastructure. Our QuickStart Program helps fleets take their first steps to electrification, including infrastructure.

 

Is there funding for infrastructure?

Yes, funding is available. We can help you find and apply for infrastructure incentives.

 

 

Have more questions about available funding
and upgrading your fleet to all-electric?

June 17, 2022

California HVIP Funding Still Available June 2022

 

HVIP Funding is Still Available!

 

 

Motiv-Powered Trucks & Buses are HVIP-Approved!

 

 

What's new with HVIP?

Public Schools: Public school buses can receive up to $99,000 in funding during the standard voucher request launch.

Small E-Fleet: Separate funding available for fleet pilots of 10 vehicles or fewer, plus additional 15% for vehicles in disadvantaged communities. The Small E-Fleet funding is dispersed separately from standard voucher requests.

 

About California HVIP

The Hybrid and Zero-Emission Truck and Bus Voucher Project (HVIP) makes clean vehicles more affordable for fleet operators through point-of-purchase price reductions. HVIP vouchers can be considered a type of “coupon” that fleet operators use at the time of placing their purchase order.

 

Who can use the funds?

Any private or public fleet operator with medium to heavy-duty vehicles operating in California. HVIP-awarded vehicles must remain in California for the next three years. Any fleet size is eligible. No vehicle scrapping necessary

 

How does HVIP work?

Fleet operators should connect with their dealers and a Motiv representative today to get started on the voucher application process. If you don't have a dealer, we can connect you with one in your area. Contact us to get started.

$30M is available now as of June 17, 2022! Funding will be dispersed on a first-come, first-serve basis.

A valid and signed Purchase Order (or other binding Agreement, Contract, Buyer’s Order, or action/resolution by a government entity’s governing body) is required to place the voucher request.

 

I'm a fleet operator – what do I need to do?

Contact your dealer and a Motiv representative today to begin the voucher application process. If you don't have a dealer, contact us and we can assist you.

 

I'm a dealer – what do I need to do?

You are our HVIP champions! Dealers are responsible for completing voucher requests and coordinating with fleet operators (purchasers) and manufacturers/suppliers.

 

Is HVIP stackable with other funding?

We can help plan and install charging infrastructure. Our QuickStart Program helps fleets take their first steps to electrification, including infrastructure.

 

Is there funding for infrastructure?

Yes, funding is available. We can help you find and apply for infrastructure incentives.

 

Have more questions about available funding
and upgrading your fleet to all-electric?

 

October 21, 2021

California HVIP Round 3 Opens 10/28/21

 

Motiv-Powered Trucks & Buses are HVIP-Approved!

 

 

$62M Available! What does this mean for you?

 

 

About California HVIP

The Hybrid and Zero-Emission Truck and Bus Voucher Project (HVIP) makes clean vehicles more affordable for fleet operators through point-of-purchase price reductions. HVIP vouchers can be considered a type of “coupon” that fleet operators use at the time of placing their purchase order.

 

Who can use the funds?

Any private or public fleet operator with medium to heavy-duty vehicles operating in California. HVIP-awarded vehicles must remain in California for the next three years. Any fleet size is eligible. No vehicle scrapping necessary.

 

How does HVIP work?

Fleet operators should connect with their dealers today to get started on the voucher application process. If you don't have a dealer, we can connect you with one in your area.  Contact us to get started.

$62M will be available on October 28. Funding will be dispersed on a first-come, first-serve basis.

A valid and signed Purchase Order (or other binding Agreement, Contract, Buyer’s Order, or action/resolution by a government entity’s governing body) is required to place the voucher request.

 

I'm a fleet operator – what do I need to do?

Contact your dealer today to begin the voucher application process. If you don't have a dealer, contact us and we can assist you.

 

I'm a dealer – what do I need to do?

You are our HVIP champions! Dealers are responsible for completing voucher requests and coordinating with fleet operators (purchasers) and manufacturers/suppliers.

 

Is HVIP stackable with other funding?

Yes, depending on your fleet location. We can help you find and apply for stackable incentives.

 

I have general questions about charging infrastructure. Where do we begin?

We can help plan and install charging infrastructure. Our Quickstart Program gets EVs on the road the day they are delivered.

 

Is there funding for infrastructure?

Yes, funding is available. We can help you find and apply for infrastructure incentives.

 

 

Have more questions about available funding
and upgrading your fleet to all-electric?

August 25, 2021

Run on Less Electric – Purolator

North American Council for Freight Efficiency (NACFE) and RMI’s Run on Less – Electric (RoL-E) is a best-of-the-best demonstration that showcases advancements in freight efficiency spread across two countries, demonstrating electric truck technology in everyday operation, commencing in September of 2021. The purpose is to showcase the latest advancements in clean transportation, provide education and best practices in an effort to move the transportation industry toward a clean, sustainable future.

May 28, 2021

California HVIP Opens 6/8/21

 

Motiv-Powered Trucks & Buses are HVIP-Approved!

 

 

$165M Available! What does this mean for you?

 

 

About California HVIP

The Hybrid and Zero-Emission Truck and Bus Voucher Project (HVIP) makes clean vehicles more affordable for fleet operators through point-of-purchase price reductions. HVIP vouchers can be considered a type of “coupon” that fleet operators use at the time of placing their purchase order.

 

Who can use the funds?

Any private or public fleet operator with medium to heavy-duty vehicles operating in California. HVIP-awarded vehicles must remain in California for the next three years. Any fleet size is eligible. No vehicle scrapping necessary.

 

How does HVIP work?

Fleet operators should connect with their dealers today to get started on the voucher application process. If you don't have a dealer, we can connect you with one in your area.  Contact us to get started.

$82.5M will be available at 10 am PDT on June 8, with the second half becoming available at 10 am PDT on August 10. Funding will be dispersed on a first-come, first-serve basis. Fleets can receive up to $85,000 per all electric truck or bus, plus an additional 10% for vehicles located in disadvantaged communities.

A valid and signed Purchase Order (or other binding Agreement, Contract, Buyer’s Order, or action/resolution by a government entity’s governing body) is required to place the voucher request.

 

I'm a fleet operator – what do I need to do?

Contact your dealer today to begin the voucher application process. If you don't have a dealer, contact us and we can help assist you.

 

I'm a dealer – what do I need to do?

You are our HVIP champions! Dealers are responsible for completing voucher requests and coordinating with fleet operators (purchasers) and manufacturers/suppliers.

Training is required to become a 2021 HVIP approved dealer. New dealers must complete HVIP Dealer Training and current HVIP approved dealers must complete the HVIP Required Refresher. If you need help getting started, please contact us.

 

Is HVIP stackable with other funding?

Yes, depending on your fleet location. We can help you find and apply for stackable incentives.

 

I have questions about charging infrastructure. Is there funding?

Yes, infrastructure funding is available. We can help you find and apply for infrastructure incentives.

 

We don't have any infrastructure at all, where do we begin?

Motiv provides a complete energy solution, including electrification beyond vehicles. Our team can assist with charge stations, turnkey installation, unified data and cloud management, and Low Carbon Fuel Standard (LCFS) credits, helping you build the depot of the future.

 

Have more questions about available funding
and upgrading your fleet to all-electric?

March 24, 2021

8 Key Considerations When Electrifying Your Fleet

Driven by progress in the passenger car segment, the tipping point for electrification across the entire vehicle market is here. The market is gaining momentum as fleets look to reduce costs, meet new regulations, and address social pressures for cleaner transportation options.

Because fleet electrification is more involved than just purchasing an electric vehicle (EV), we have taken over 10 years of experience and compiled a summary of the 8 key considerations when evaluating commercial medium-duty EVs for your fleet.

 

1. Routes and Usage Patterns

Medium-duty EVs are ideal for fleets with fixed daily routes such as those serviced by shuttle buses, delivery trucks, and school buses. A set number of miles per route removes ambiguity and provides clarity on what kind of battery capacity is needed – one of the most important aspects of designing the right type of vehicle for the job. EV technology is new for medium-duty fleet professionals, and gaining basic knowledge of key terminology will help ensure scoping of the correct battery size after the route and usage patterns are evaluated.

The vehicle’s battery pack efficiency is commonly expressed as kWh/mile (comparable to the unit measure of “miles per gallon” on internal combustion vehicles), or the amount of energy (in kilowatt-hours, or kWh) it takes to drive each mile. Be careful, though, as the real-world kWh/mile may vary dramatically from what some manufacturers report in ideal test-case scenarios. Sometimes the nameplate, or “nominal”, battery energy and the usable battery energy will vary as many battery packs cannot be discharged fully to 0% and drivers will want to return with some nonzero residual energy in their battery pack at the end of the day.

Ask your vehicle manufacturer to provide examples of use cases as a starting point for your own procurement as well as data supporting the real-world range actually achieved by fleets running routes similar to yours. During the initial evaluation stage, Motiv provides recommendations on battery capacity size for your fleet based on your specific needs.

Sample of route analysis mapping

Sample route analysis

 

2. Return on Investment

Operating and maintenance (O&M) cost savings and warranty provisions are two of the biggest determinants of EV return on investment (ROI). One of the reasons fleets have adopted EV technology is for total cost of operations (TCO) savings, including O&M savings that help speed up the project’s ROI. Based on learnings from Motiv’s deployments, fleet customers can expect to see up to 85% O&M savings over internal combustion engine (ICE) vehicles. Check out our calculator to understand your potential savings (you’ll need basic fuel and maintenance costs for your current vehicles).

Image of Motiv's Total Cost of Ownership Calculator featured on website

The first steps for fleet professionals include evaluating fuel and maintenance cost savings with our online calculator.

 

Ask about warranties to understand what exactly is covered and for how long. Battery warranties are frequently cited separately from the vehicle and may include allowance for capacity fade, a condition where the usage of a battery can slowly decrease the total capacity over the vehicles’ lifetime, which could mean minor range reduction.

Two additional questions to ask are:

1) Are extended warranties available for purchase after the original warranty is over?

2) What’s included in the maintenance schedule and what are the service intervals?

 

3. Incentives

In addition to O&M savings, many states, cities, and local sustainability organizations (example Clean Cities) offer rebates, tax credits, and incentives that help offset the upfront costs of EVs. Each program has different requirements, such as requiring the scrapping of old vehicles, route location, and more. With these incentives, process, deadlines, and program requirements are really important to follow and require detailed information to be provided for eligibility.

Upgrading to an electric fleet can also create new revenue streams by monetizing low carbon fuel standard (LCFS) credits. California’s Low Carbon Fuel Standard (LCFS) program estimate electric fleet adoption can generate $5,000 to $8,000 per vehicle per year, depending on usage. Motiv-powered vehicles can generate one LCFS credit for every 600 miles of driving, and with the credit price around $200 today (March 2021), this means a revenue opportunity of $0.33/mile.

The process to secure incentive funding can be lengthy and time-consuming, we encourage our customers to start applying for funding as they start their project. Make sure to partner with a vehicle manufacturer that has a track record of working with fleet customers to collect and report data to secure funding.

 

4. Compliance

The California Advanced Clean Truck (ACT) regulation mandates an increasing percentage of Class 2b-8 truck sales starting in 2024. By 2035, 55% of Class 2b – 3 truck sales, and 75% of Class 4 – 8 will need to be electric. Additionally, a new reporting mandates is taking effect where fleet owners with 50 or more vehicles will need to report on their fleet operations to help identify future strategies for greenhouse gas (GHG) reduction initiatives.

Over a dozen other states have also followed suit with similar mandates. Start planning your vehicle electrification strategy early so that you can meet these regulations without having to rush to meet deadlines. Another reason to get ahead of regulations is that often when regulations come into effect, incentives are phased out.

 

5. Sustainability Goals

Many organizations enforce carbon reduction targets and monitor their greenhouse gas (GHG) emissions offsets. With zero tailpipe emissions, as well as quantifiable business objectives, fleet electrification can accomplish both. Additionally, supply chain driven sustainability mandates now require more transparency and compliance with carbon-reduction measures.

Bimbo Bakeries USA's Motiv-powered step van

Bimbo Bakeries USA's Motiv-powered all-electric step van.

“Sustainability is built into Bimbo Bakeries’ purpose and incorporating these vehicles into our fleet is an important step toward reducing our dependence on fossil fuels. With Motiv’s help, we’re confident that we will meet our goals.” — Eric McCann, Technical Fleet Manager at Bimbo Bakeries USA. (Nov. 10, 2020)

 

6. Charging Infrastructure

Charging Infrastructure consists of the charge stations, also known as Electric Vehicle Supply Equipment (EVSE), and the electrical wiring, conduits, panels, transformers, and other electrical equipment necessary to get power into your electric vehicle. Charging infrastructure can be a much larger and more complex system for commercial vehicles since their daily electrical energy use is much higher than electric passenger cars.

Commercial charging infrastructure is not one-size-fits-all. Charging infrastructure should be “right-sized” to the fleet and to the daily energy needs of those vehicles. Many charging infrastructure providers are not trying to optimize the same cost structure as the fleet operator; they are looking to install the largest project, not necessarily a right-sized, efficient system. Not right-sizing your charging infrastructure can triple its cost and significantly impact ROI. Work closely with the vehicle manufacturer to understand what the vehicle charging capability is, and what the daily energy usage of vehicles will be, in order to ensure you install the right number of charge stations with the right power per station and overall power at a given site.

Oversizing any of charging infrastructure metrics can also dramatically increase the cost and the timeline of the build-out. Another consideration is how you will get any charging infrastructure hardware and software issues resolved. If you are not sure when the station or the vehicle is the source of the issue, do you have a trusted partner who will get things fixed expediently either way? Motiv deploys the infrastructure along with the vehicle, and due to intimate knowledge of the vehicle and its use case, will provide right-sized infrastructure and the most competitive price and fastest timeline with a single point of contact. To learn more about charging, check out our blog on the Fundamentals of EV Fleet Charging Technology.

 

7. Driver Training and Vehicle Support

As with any new technology, formal training upon initial and any subsequent vehicle deployments will help ensure project success. Many of the fleets who receive driver training after the initial deployment see an increase in range efficiency.

Documenting driver feedback is essential and can assist with further product improvements, new feature development, and route optimization. Early adopters of EVs report certain drivers become EV evangelists. In addition to less vibrations, engine heat, toxic emissions, and noise, our fleet operators report some unexpected benefits of driving electric trucks, including less fatigue that comes with single-pedal regenerative breaking and more time spent with customers vs fueling. Fleet managers have leaned on these evangelists for future training and they’ve become an important part of subsequent implementations.

Vehicle support starts with proper vehicle maintenance training at the start of each deployment. Empowering operators with simple pre-shift inspection practices ensures fleet longevity. To maintain best fleet uptime performance, make sure your vehicle manufacturer has a dedicated local support team to provide quick and convenient service if/when needed.

Image of Motiv team providing complimentary driver training to Community Resource Project in Sacramento

Driver Training at Community Resource Project, Sacramento, California

 

8. Vehicle Performance

It’s important to collect and evaluate driver and depot manager feedback, especially early on in the deployment. A key indicator of success in vehicle deployment is measured by uptime. We calculate fleet uptime on a weekly basis, counting vehicle down days as a percentage of total vehicles in service. Motiv-powered vehicles show high (98% and above) uptime performance – fleet reliability metrics that only Motiv is publishing thanks to our years of reliable field experience.

Image of a Motiv customer uptime report

Sample customer uptime report

From your experience, what else should fleets consider when electrifying their fleets? Sometimes the best way to see if an EV is right for your medium-duty fleet is to get behind the wheel. Schedule a demo and take ours for a spin!