Posted on 03/03/2008 2:41:44 AM PST by BGHater
New York City Mayor Michael Bloomberg announced yesterday that the city’s Taxi and Limousine Commission (TLC) will require ‘black cars’ that service corporate clients to increase fuel efficiency standards to levels currently achievable only by using hybrid technology, though these (25 mpg by 2009, 30 mpg by 2010) could be met by some European diesel cars if they were permitted.
The plan to improve the fuel efficiency of the 10,000 black car fleet was envisioned as part of the Mayor's PlaNYC 2030, a set of 127 initiatives aimed at reducing New York's carbon emissions. In December last year, the TLC voted unanimously to approve regulations that will also require all yellow taxis licensed after 1st October 2008 to meet fuel efficiency standards currently only achievable through the use of hybrid technology.
Black cars currently release 272,000 tons of CO2 equivalents annually, which make up 2% of the City's transport-related emissions. Under the new standards, emissions from black cars will be cut in half.
To help drivers finance the down payment associated with buying a new car, the City has worked with partners in the financial sector, dealers, and black car fleets to develop a range of solutions that will finance the higher down payment.
Approximately 10,000 black cars operate in New York, typically through contracts with corporate clients. Currently, black cars average 12-15 mpg. The TLC will require fuel efficiency standards for new licensed black car vehicles of 25mpg in 2009 and 30mpg in 2010. Also included in the proposed rule change is a requirement for vehicle retirement. The TLC currently does not set a vehicle retirement age for for-hire vehicles as it does for yellow taxis. There will be a retirement phase-in cycle that will ensure almost all vehicles associated with black car bases are more fuel-efficient by 2013. Under the new standards, emissions from black cars will then be cut in half.
The TLC estimates that hybrid cars will save owner-operator drivers upwards of $5,000 per year in gasoline expenses - approximately 50% of their current fuel costs. These savings will allow drivers to cover, in just one year, the additional cost of purchasing a new hybrid car over the currently used Lincoln Town Car. As part of PlaNYC, the City proposed a State law to waive the City portion of the sales tax for vehicles that meet the EPA Elite standards for energy efficient vehicles It is also working with the Partnership for New York City, a group of international companies committed to cutting CO2 emissions in the city, and several financial institutions, on a programme to provide financing.
After consultation with users, fleets, and drivers - including demonstrations of the new vehicle types - the Mayor's Office of Long-term Planning and Sustainability and the TLC have identified several models that will have widespread acceptance, including: Toyota Camry Hybrid, 33mpg (city); Toyota Highlander Hybrid, 27mpg (city); Nissan Altima Hybrid, 35 mpg (city); and Mercury Mariner Hybrid FWD, 34 mpg (city). Other models may include: Lexus Rx400h AWD, Ford Escape Hybrid AWD, and Toyota Prius.
Two dealers for what NYC says are the most promising vehicles - Best Ford Taxi and Hudson Toyota / Penske Automotive Group - have committed to making financing packages available to black car drivers.
Legalize rickshaws and sedan chairs...two problem solved...air pollution and unemployment.
Now, as for the merits of this plan, this is not using technology to solve a problem. It is government ruling by decree. If the technology solved the problem businesses would be adopting these new vehicles on their own. This program just creates higher costs and increased regulation that serves to add to the city’s coffers via greater sales tax revenue for more expensive vehicles, as well favoring bigger players by squeezing out the competition. It’s called “barriers to entry.” Business love the regulation because it makes it harder for the little guy to compete.
So since the city provides the sewers and sewage treatment facilities, and water is a scarce commodity and the government is ultimately responsible for public health and safety, Mayor Bloomberg or the next Liberal Fascist has the right to compel you to wipe with the correct number of squares and volume of water for your flush.
Not neccesarily. They may cost less to run, but then there is the capital cost of buying a new one to consider. No one is going to outlay that kind of cash when they have a perfectly working (if inefficient) vehicle already. This is why I added the original caveat “depending on how they go about it”. The solution is to phase them in - i.e. “from such and such a date, we only licence new vehicles that meet the efficiency criteria, but you can continue to operate older ones”. As time goes by, older cars get to the end of their lifespans and are slowly replaced with newer types. That way you get the efficency benefit with the minimum amount of pain.
A similar kind of process was done with computer monitors in the UK a few years back. Very different system of course, but similar process.
So you’re saying that government is more able to more accurately assess life-cycle costs for a piece of equipment than private businesses?
OK
Less fuel usage and therefore lower costs, less pollution and hence improved health.
“If the technology solved the problem businesses would be adopting these new vehicles on their own.”
No they wouldn’t, for the simple reason that businesses do not consider pollution as a problem, and nor will they until there is an economic price tag attached to it.
“This program just creates higher costs and increased regulation that serves to add to the city’s coffers via greater sales tax revenue for more expensive vehicles”
How does this create higher costs?
As for greater sales tax revenue for more expensive vehicles..surely if more of them are being bought, won’t that encourage competition that will drive the cost of the vehicle down?
“as well favoring bigger players by squeezing out the competition. It’s called “barriers to entry.” Business love the regulation because it makes it harder for the little guy to compete.”
Yes I admit I hadn’t thought of that, but again, depending on how the plan is implemented, there should be a way to compensate for that.
Heh, ok...
Lets turn this on its head. Hypothetically, suppose water BECOMES really scarce. The sewers are filling up due to increased production and population, and the sewage treatment workers are (literally) up to their necks in their work :) Public health is at risk, there are fears of an outbreak of cholera and similar diseases. How then would you suggest solving such a problem?
Despite the humor, I’m genuinely interested here.
You ever talk to a taxi driver or a Cop about the issues maintaining fleet vehicles?
Example, early 90's Crown Vic's ate through brakes, etc.
Are these vehicles ready for this duty cycle?
These do not strike me as having the utility of cars they are replacing in terms of size. This like the energy bill is doomed for the law of unintended consequences, and may even open up the manufacturers to law suits.
IF the Mayor wants to go green, perhaps strongly suggesting converting the existing fleet to run on gaseous fuels, i.e. CNG/LPG-Propane would be a logical place to start.
Beam me up Scotty, there is no intelligent life (and no one with an engineering background) in New York City Hall....
Actually, I think large entities of any kind, government or private, are about on a par at accurately assessing anything (i.e. not very good).
Government is not more able to assess life-cycle costs. What they can do is factor in other considerations than just money-in and money-out, which is what businesses are mostly concerned with (and indeed, what they mostly should be interested in).
I know a driver who converted his taxi to propane. He reckoned it worked really well. Perhaps someone ought to inform his mayorality about it :)
If the costs and benefits justify it, won't the MARKET sort it out?
Wouldn't that be a much better solution?
It would, if it was all just down to dollars and cents. However there is no price tag on pollution and health, so unless one is provided, most companies couldn’t care a stuff.
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