National Energy, Environment and Transportation Summit

1
National Energy, Environment and Transportation
Summit
May 17, 2002

• Larry M. King
• Deputy Secretary for Planning
• Pennsylvania Department of Transportation

2
Financial Aspects of Energy and Transportation
Resource Decisions

• Transportation Context
• Limited resources Enormous needs
• Customer overlay Political overlay
• Build and expand systems
• Preserve, maintain and operate systems
• Safety/Security
• Incentives for Alternate Fuels

3
Financial Aspects of Energy and Transportation
Resource Decisions

• Public Sector Transportation Finance
• Dedicated Federal Funding through the Highway
  Trust Fund
• User Fees
• Consumption-based revenue generation
• Program structure Project requirements Public
  involvement

4
Financial Aspects of Energy and Transportation
Resource Decisions

• Public Policy Initiatives
• Reduce energy consumption
• Improve efficiency in energy consumption
• Promote alternative fuels

5
Financial Aspects of Energy and Transportation
Resource Decisions

• Position Statements
• AASHTO
• National Clean Cities, Inc.
• National Gas Vehicle Coalition
• PA Governors Energy Task Force

6
Financial Aspects of Energy and Transportation
Resource Decisions

• Position Statements
• (continued)

7
Financial Aspects of Energy and Transportation
Resource Decisions

• Legislative Initiatives
• Energy Bill
• Increased Ethanol Use
• Alternative Fuels Incentive Grant (PA)

8
Financial Aspects of Energy and Transportation
Resource Decisions

• Current Situation
• Gasohol
• 2.5 cent transfer to General Fund 590 billion
• 5.3 cent subsidy 1.3 billion/year revenue loss
  to HTF
• Alternate Fuel Vehicles
• 450,000 AFVs in the US
• Consumed energy equivalent of 366 million gallons
  of gasoline in 2001
• Equity Issue

9
Financial Aspects of Energy and Transportation
Resource Decisions

• Pennsylvania
• Alternative-fueled vehicles 14,654 vehicles
• Fuel consumption 3.1 million gallon equivalents
  in 2001
• Tax structure in place 1 million in revenue
  annually

10
Financial Aspects of Energy and Transportation
Resource Decisions

• Approaches
• National Cooperative Highway Research Program
  (NCHRP) study
• Transportation Finance Corporation (TFC)
• Public/Private/Academic Partnerships

11
Financial Aspects of Energy and Transportation
Resource Decisions

• Conclusion
• Expand alternative fuels AND sustain
  transportation finance
• Share experiences and lessons learned
• Build coalitions