Loading...
HomeMy WebLinkAbout11252024 City Council Laydown - Kaluza Electric VehicleTo: Seward Mayor and City Council Date: November 25, 2024 From: Phil Kaluza, Seward Resident Subject: Proposal for Energy -Efficient EV Utility Vehicle for Electric Utility Operations Dear Mayor and City Council, I am writing as a Seward resident and ratepayer to recommend the purchase of an energy -efficient electric SUV vehicle (EV) versus a gas engine equivalent for the daily operations of Seward's electric utility. This transition could yield financial, operational, and environmental benefits while minimizing reliance on expensive heavy-duty trucks for routine tasks like meter reading, local errands, and out of town meetings. Economic Justification for an Energy -Efficient Vehicle 1. Cost Efficiency: Using a heavy-duty truck for daily operations is not cost-effective. A smaller, energy -efficient EV vehicle would reduce operational costs while performing the same tasks. The occasional need for a higher -clearance vehicle can be managed with existing 4WD vehicles. 2. Access Solutions: Limited accessibility to a small number of meters can be addressed through alternatives such as requiring improved access, estimated billings, or temporary measures during inclement weather. These solutions are cost-effective and avoid unnecessary investments in high -cost, off -road vehicles for such limited needs. 3. Total Cost of Ownership Analysis: Transitioning to an EV offers long-term financial benefits. While EVs may have a higher upfront cost, their lower maintenance and fuel expenses make them fiscally responsible. o Maintenance Savings: EVs have fewer moving parts, resulting in maintenance costs that are 40%-60% lower than intemal combustion engine (ICE) vehicles. Using DOE data, EV maintenance averages $0.06/mile compared to $0.10/mile for ICE vehicles, saving approximately $4,000 over 100,000 miles. o Fuel Savings: Based on the Alaska Electric Vehicle Calculator, an EV driven 6,500 miles annually would save approximately $900 in fuel costs compared to a gas -powered SUV, equating to $13,500 over 15 years (100,000 miles). Environmental and Operational Benefits 1. Carbon Emission Reduction: EVs reduce greenhouse gas emissions by 65% compared to gas vehicles. This aligns with environmental goals and positions Seward as a forward -thinking community. 2. Operational Simplicity: An EV with a 250-mile range can handle daily needs with ovemight charging using a standard 120V outlet. The city's existing fast charger offers a convenient backup option. 3. Community Engagement and Marketing Opportunities: o Seward's electric utility could lead by example, promoting EV adoption among residents to boost electric sales and offset declining revenues. o EVs can serve as mobile billboards, showcasing Seward's commitment to sustainability and attracting eco-conscious visitors. Conclusion An energy -efficient small SUV EV would lower costs, support environmental goals, and enhance Seward's image as a "green" community. With a $17,500 savings in fuel and maintenance, the EV would achieve a substantially lower total cost of ownership compared to a gas -powered vehicle. I urge the City to evaluate vehicle options rigorously, factoring in all aspects of total ownership costs. Adopting an EV would benefit ratepayers, bolster the local economy, and affirm Seward's leadership in sustainable practices. Recommendation Highlights: • Select an EV for electric utility operations to reduce costs and emissions. • Promote EVs to increase local electric sales and support ratepayer benefits. • Position Seward as a sustainable, eco-friendly destination. Thank you for considering this proposal. Sincerely, Phil Kaluza Seward Resident