It's Not Easy Being Green

Kermit the Frog was right.

It is so easy to appear to be trendy green by buying hybrid buses. It is not so easy and it takes a lot more work to think about a proper business case and an environmental case before making a transit purchase decision. It could be in fact that buying diesel makes a lot more sense if one wants to be “green” in a smart way. Just read on and you will see what I mean.

I think that we have to keep Eddie locked in his office.

How many urban legends have been created when our Mayor was not stuck there, working on a Tunnel deal as an example. Especially when there is a Star columnist who helps spread them around to perpetuate a myth of mayoral competency.

We had the Francis/Strasser Cleary deal beginning over cooking lobsters culminating in a meeting at a Tim Horton’s. Then there was Eddie walking in Devonshire Mall and coming up with the idea of a Youth Committee. Of course, who could forget the wedding in London that gave rise to the $65M and counting East End arena land deal. And now we have Eddie attending a conference in Chicago in April and coming back with the idea of spending extra green on hybrid buses to help give us a green environment.

These stories are turning me green and I do not mean with envy!

I don’t really take the latest legend too seriously. If Transit Windsor had not talked about hybrid buses at Board meetings I would be shocked. Either Eddie was asleep at them, too busy using his Blackberry or did not attend when they were discussed.

It is a shame to give credit to Mayor Daley when a Report had already been prepared for Transit Windsor years before. In a paper titled “TRANSIT RIDERSHIP GROWTH AND ASSET MANAGEMENT PLAN” prepared for Windsor Transit in 2006, IBI Group said:

• “Future bus purchases will continue to be clean diesel of the latest technology development. Subject to operational experience with and the availability of supplementary funding from the federal and provincial governments, hybrid drive technology could be considered for vehicle purchases beginning in 2008.”

Amazing how that author was able to foretell the future!

I expect it was various Government programs helped change Eddie’s mind too. Windsor received in 2007, over $3.75M in gas tax revenues for public transit:

• “The McGuinty government is providing $314 million in gas tax funding to 108 municipalities to help get more people out of their cars and onto public transit, Transportation Minister Jim Bradley announced today…
  
  "Transit is the antidote to gridlock," Bradley said. "Sharing a portion of the provincial gas tax helps municipalities deliver greener, healthier transportation options to their residents and improves Ontario's economic competitiveness.”

I am sure that Eddie must be aware as well of the federal programs: Canada Strategic Infrastructure Fund and the Gas Tax Fund.

Our Mayor has not always been so generous in spending money for transit. I wonder if he saw the political advantages while in Chicago. I am sure that he understands that he can appear to be out front by copying concepts such as:

• “American Public Transit Association’s “Dump the Pump Day” on Thursday, June 19. The day is designed to encourage people across the country to ride public transportation to save money, conserve gasoline and help reduce greenhouse gases.”

So let’s end this legend now. Our Mayor knew about hybrids years ago but did nothing about it!

Let’s take a look at recent history as outlined in the media:

• 03-16-2007

City officials stripped the Transit Windsor budget to its bare bones and cut out new bus purchases and fare increases at a budget hearing Thursday…

Transit Windsor administrators were worried about the elimination of bus purchases. The bus fleet, which consists of 99 coaches, is on average 12 years old.

"The useful life of a bus is 18 years," Williams said.

A quarter of the fleet is 18 years old and two buses were bought 28 years ago. Administrators had hoped to buy six new buses this year at a cost of $2.7 million.

"Before we buy new buses, I'd like to streamline practices," Francis said. "I move we not buy new buses and reconsider the issue in 2008. Before we add to services, we need to get a handle on the service we provide."

• 05-03-2007

In finalizing its budget, council did end up helping the landlords by re-directing a $1-million savings by agreeing not to buy any Transit Windsor buses this year and instead apply the money to reduce this year's multi-residential rate increase from 3.25 per cent down to 2.95.

• 12-18-2007

Transit Windsor has received more than $3.7 million in gas tax funding from the province for its capital and operating costs.

Windsor's share is consistent with the funding allocated in previous years, Transit Windsor general manager Penny Williams said.

"That amount has been fully allocated in our 2008 budget," she said. "Fifty per cent of it is used to fund our capital acquisitions and buses. The rest goes toward things like fuel and maintenance."

• 03-27-2008

OTTAWA — Prime Minister Stephen Harper and Ontario Premier Dalton McGuinty today announced … initiatives that will support public transit...

The Public Transit Capital Trust expands on existing federal support for public transit in Ontario by providing $195 million in new funding. The province will direct the funds into its ambitious plans for expanding public transit

• 04-10-2008

Twelve new buses will be added to the Transit Windsor fleet in 2009 and six more may come later if city council approves the additional purchase.

The transit board approved Wednesday the purchase from New Flyer Industries at a base price of $379,900 per bus, totalling almost $5.7 million.

The board also approved in principle the purchase of six additional buses for 2009, pending city council's approval.

Transit Windsor also recently bought five old buses from Durham Regional Transit at a scrap metal price of $1,100 each. One of those will become the replacement for bus 504, which was involved in a collision last year and later decommissioned. The other buses will serve as future replacements or will be used for spare parts.

• 06-03-2008

Windsor is facing a budget shortfall of $6.4 million unless councillors take preventive action, the city's finance department said Monday…

The department also calls on council to consider putting on hold about $3.6 million in infrastructure projects and $2.3 million in Transit Windsor purchases or projects.

Gee if Eddie was so impressed in April, why did his Administration propose to cut Transit Windsor purchases.

There is more….Don’t you find it interesting that the Transit Windsor Board only approved of the change in the contract at 10:35 AM on July 17, the date of Eddie’s Press conference. Why did they have to wait for months after the Daley meeting to act if it was so important. From reading the Minutes of the meeting, it took all of 2 minutes to approve. Now THAT is a thorough review of the whole mattter in keeping with the usual Councillor tradition.

Oh I forgot, Eddie was working on the Tunnel deal and only could meet that morning for such a short time!

If one takes Gord Henderson seriously, then whatever happened to Eddie the legal technocrat who dots the “I’s” and crosses the “T’s” after studying a matter thoroughly. In this case, a decision was made by Transit Windsor and then was changed eventually after Eddie came back from his conference.

• "It's a no brainer. Sandbox logic," said Francis of the city's decision to follow the lead of cities like Chicago and Seattle and go hybrid.”

Unfortunately, our Mayor may have acted too quickly. There may be even better technology available. At a recent press release from the Chicago Transit Authority states:

• “As part of continuing efforts to mitigate rising fuel costs, Chicago Transit Authority officials today said they are evaluating a new hybrid electric bus that has the ability to nearly double the miles per gallon of current CTA hybrid buses…
  
  The CTA’s oldest buses average 2.77 miles per gallon and its 40-foot hybrid buses average 3.95 miles per gallon. The DesignLine Hybrid has averaged seven to eight miles per gallon in other cities and the test period will help determine if the buses will run as effectively in Chicago.”

This matter will be raised at Council with the Notice of Motion to approve the deal. We will hear the usual rhetoric about why is this such a great deal since we will save money on diesel fuel, improve maintenance and reduce air pollution. We will be given big numbers for the percentage of fuel savings and emissions reduction.

Of course, if time had been taken to do a proper business case one might discover that, with the new diesel engines and fuel, the reduction in emissions is extremely significant. Years before

• "Other new buses in Chicago’s fleet are equipped with low-emission engines that produce 60 percent fewer emissions than the buses they are replacing, they also converting to ultra low sulfur diesel fuel."

It might even be cheaper to retrofit existing buses than to buy the hybrid ones. Imagine buying old buses from trendy cities who are going hybrid, retrofittung them and saving money like crazy! Only when the best technology is proven, then one buys the fancy-shmancy buses!

Numerous tests have been undertaken that demonstrate that all of the so-called fuel savings do not necessarily happen. Are the proposed Windsor savings at the high or low end of the range?

• “The Toronto Transit Commission found that out after almost a year of running new hybrid buses and saving only around 10 percent on fuel cost, instead of the 20 percent to 30 percent promised by the brochure.
  
  Gary Webster, TTC general manager, explained to the Globe and Mail that New York buses were able to achieve a 20 to 30 percent fuel efficiency because the hybrid technology works better if the buses are driven at lesser speed and stop more often. With a gridlocked stop-and-go bus routes common in New York the hybrid bus relies heavily on its electric motor and regenerative brake system which recharges its batteries.
  
  In contrast, in cities like Toronto where the routes are characterized by high speed, hybrids use more their traditional diesel engines.”

What has not been considered is whether this deal makes sense from a different perspective. The cost per diesel bus under the contract that the City signed was $379,900. The cost for the 18 hybrid buses is $11,342,133 including spare parts or $630,118.

The savings are said to be $8-$10,000 per year and the normal life expectancy of a bus is 12 years although Windsor runs its buses much longer than that. Please explain to me how this purchase makes sense from a business case perspective given the almost $250,000 difference in price. One could take that price differential and invest it and be guaranteed the savings.

In fact, this deal looks like it is one that Windsor is doing on its own. Contrast this situation with:

• “The Province of Ontario has partnered with six municipalities on the purchase of new transit buses which will save municipalities an estimated $15,000 per bus, Transportation Minister Donna Cansfield announced today.”

Here is the part that is troubling, because it would appear that no one has taken this into consideration. Since Transit Windsor went to the hybrid buses, it reduced the number of buses to be purchased from 12 diesel to nine hybrid on the first contract. For the $11 million, 18 hybrid buses can be purchased. If diesel buses were to be purchased for that same amount of money, then almost 30 buses could be purchased, a dozen more.

Here’s the point. There are trade-offs to be considered.

With another dozen buses on the road it would make the transit system much more attractive to users and potential users. Increased frequency and new routes could well result in people giving up the use of their vehicles to go transit. How many thousands of automobile trips would be replaced if a dozen extra buses were on the road? How many thousands of new riders would be using Transit Windsor.

Think of the savings in automobile gasoline usage, pollution reduction and convenience we are giving up so that Eddie can appear to be green. Imagine the ridership increase that we would have as well that would result in additional government grants also since

• “Seventy per cent of the total funding is distributed to municipalities on the basis of their transit ridership levels.”

I thought you might want to read the following quotation from a website called Energy Priorities that puts it all into perspective. What is important for leadership is not playing in sandboxes but using sound logic before a decision is made.

• “GM's "All Aboard the Magic Bus" ad suggests that Seattle's new hybrid buses will be responsible for big fuel savings. The real fuel savings of a bus isn't under the hood, however, it's in the seats. To boost its image, and make a difference, GM should be spending some ad money to promote bus ridership.
  
  Riders, even on diesel buses, conserve by leaving their cars at home. GM says that if bus fleets in our nine largest cities were replaced by hybrids, it would save 40 million gallons of fuel per year, "a positive impact the whole country would feel." In reality, we wouldn't feel a thing.
  
  The fact is, Americans consume 80 million gallons of fuel per day. The fuel savings of those 13,000 new hybrid buses would amount to 1/10th of one percent, while U.S. consumption is expected to grow by 50 percent in 20 years.
  
  Assuredly, there is an energy crisis. Seattle Metro Transit and GM should be applauded for their commitment to hybrid technology. Meanwhile, there's a simple technology every business can adopt today, that makes a bigger difference: encouraging public transit. Jump aboard."