The transportation industry is changing. We all know that as climate change threatens us more than ever, new policies and laws are being implemented to reduce carbon emissions. Here in California, our government has banned the sale of new gasoline-powered cars starting in 2035 and will require that all new cars, SUVs, and pickup trucks sold in the state after 2035 generate zero emissions. This lofty goal addresses the grave consequences of carbon emissions and how they affect climate change.
But California isn’t alone. So far, several other states, including Maryland, New Jersey, New York, Oregon, and more, are following suit with similar policies. Other states are also considering similar measures, and federally, President Biden has set a goal for half of all new vehicle sales in the U.S. to be electric by 2030. The Federal government also requires that all government agencies transition to zero-emission light-duty vehicles by 2027 and for heavy-duty vehicles to transition by 2035.
Is the future of transportation electric?
To meet these new standards and laws, the industry is shifting towards electric vehicle adoption. But this shift comes with its own set of challenges. We’ll need to develop new infrastructure to facilitate EV charging, develop more efficient EV cars, and convince consumers to buy them. The Biden administration has plans to use $5 billion to create a nationwide charging station system. It has created more EV tax credits to increase production in the U.S. Each of these options is expensive and time-consuming. So even though the industry is shifting towards EVs, our partners at Chevron are exploring alternative options for reducing emissions. One such option is renewable fuel blends.
Chevron is becoming a leader in renewable energy.
In June 2022, Chevron announced its acquisition of Renewable Energy Group, Inc. (REG). This purchase was designed to help Chevron become a leader in exploring renewable energy options and methods. As Mark Nelson, executive vice president of Downstream & Chemicals for Chevron, said, “We have brought together companies with complementary capabilities, assets, and customer relationships to make Chevron one of the leading renewable fuels companies in the United States. Chevron now offers our customers an expanded suite of cost-effective, lower carbon solutions that utilize today’s fleets and infrastructure.”
This move isn’t just a buyout to look good but an investment in the future of renewable energy. The acquisition has led to the development of the Chevron Renewable Energy sector. This sector of Chevron aims to increase renewable fuel production capacity to 100,000 barrels per day by 2030. Using the feedstock aggregation technology and science developed by REG, and the resources of Chevron, the company is poised to become a leader in renewable fuel options. As Kevin Lucke, president of Chevron Renewable Energy Group, said, “REG helped establish the U.S. biofuels industry, and together our companies are poised to accelerate the growth of the industry.”
Renewable gasoline hits the road.
Since the announcement of the REG acquisition, everyone has been busy at Chevron working on this new technology. Recently, Chevron announced a showcase of the team’s hard work with a promotional road trip. In April of 2023, the team at Chevron gassed up three Toyota vehicles (a Camry, RAV4, and Tundra) with the newest renewable gasoline blend. The team then hit the road for a 1,000-mile road test to test the efficiency of our renewable gasoline. Let’s take a look at how it went.
The trip began in Pascagoula, MS, and ended in Plano, TX. Along the way, the team stopped in Canton, MS, Baton Rouge, LA, and Houston, TX, to meet members of the public and talk about the benefits of renewable gasoline. The trip covered 976 miles and resulted in 40% lower emissions per vehicle than typical gasoline blends. The lifecycle carbon emissions that generally result in a traditional gasoline-powered vehicle on a trip of this size were reduced by 410 kilograms using the renewable gasoline blend. Overall, the trip showcased the power of renewable gasoline and the potential for lowering carbon emissions.
Why renewable gasoline?
While many are saying that the future is electric, the Chevron team believes there is a place for renewable fuels in our future. Right now, over 3.3 trillion miles are driven annually in the U.S. More than 95% of passenger vehicles use gasoline-powered engines. Making all those drivers switch to electric vehicles will require a massive investment in vehicle production, charging infrastructure, and more. Andy Walz, president of Chevron Americas Products, says, “With more than 265 million gasoline-powered vehicles on the road in the United States, renewable gasoline blends could empower virtually all drivers to have a role in a lower carbon transportation future. We believe there have to be alternatives for the light-duty vehicle. Electrification is not the only answer.”
That’s why we believe that Chevron’s renewable fuels may be a game changer that helps us progress in the fight against carbon emissions right now. For example, the renewable gasoline used on this trip is created using 50% renewable feedstocks. Using this fuel, the Chevron team calculated there was a 40% carbon reduction compared to traditional gasoline, without any engine changes or building up infrastructure like is needed for EV vehicles.
To source materials for the development of renewable gasoline, Chevron is partnering with agricultural partners for agriculture feedstock and waste-based feedstock. This partnership not only helps support the development of renewable fuels but also supports the agriculture industry in the United States. The current renewable gasoline blend also contains 15% ethanol sourced for agricultural partners in the United States.
Renewable fuel is part of the future of more sustainable travel
The team at Chevron is committed to exploring all possibilities for lowering carbon emissions, including EVs, renewable fuels, hydrogen, and renewable natural gas. This latest promotional road trip showcased how these fuels can be used now in the fight to reduce emissions without a significant investment in EV technology or infrastructure. As a Chevron lubricants supplier, we’re excited to see these types of products being developed, and we look forward to further renewable fuel and energy developments from Chevron!