US Army to Rollout 4,000 Electric Vehicles by 2011

During 2008, the U.S. Army moved to establish the Army Energy Task Force to assess and implement various energy initiatives with an aim towards reducing consumption while promoting alternative and renewable fuels sources and creating an overall culture of awareness throughout its operations. Earlier this week, we had an opportunity to sit in on a discussion with Mr. Paul Bollinger, the Deputy Assistant Secretary of the Army for Energy and Partnerships and Executive Secretary of the newly formed Senior Energy Council, to learn about the Army’s first pilot project to rollout in 2009. With its Neighborhood Electric Vehicle (NEV) program, the Army will lease and install 4,000 NEVs at numerous Army Bases nationwide within the next three years (800 in 2009). On Monday January 12, the Army received its first six vehicles, manufactured by Global Electric Motors, a division of the Chrysler Corporation, at Virginia’s Fort Myer.

The vehicles are non-tactical in nature, primarily serving for passenger transport, security patrols, maintenance and delivery, and will be used to replace some of the Army’s fleet of 28,000 sedans and light duty trucks. NEVs are street legal with top speeds of 25-30 mph and a 1,000 pound carrying capacity. They operate on nine eight-volt gel batteries and can travel an estimated 30 miles on a single charge – the average full charge taking approximately eight hours.

Considering our country’s swelling defense budget, finding ways to curb our spending has become a necessity and based on the financials alone, the use of these NEVs makes sense. The Army calculates that their lease cost savings will be $3,300 versus a gasoline-powered sedan and $13,000 versus a hybrid sedan.  In addition, the NEVs will cost an estimated $740 less to power over gasoline fueled vehicles (hybrid comparisons were not provided).  There will be a one-time outlay of $800,000 for the installation of electric outlet stations at the various bases, but if the Army’s numbers are accurate, this fixed cost will more than be recouped in total savings during the first year.

Beyond these cost benefits, the NEVs will have positive environmental impact as well, significantly reducing the Army’s overall footprint.  In the next six years, the use of this relatively small fleet of vehicles will result in 11.5 million gallons of fossil fuel saved for an estimated 115,000 fewer tons of CO2 emissions. However, what might be even more important is the precedent that this initiative sets for not only other large government institutions, but for corporations as well. If the Army can prove that this a viable option with clear benefits then this will propel other industries to adopt similar measures. With a growing demand, automobile manufacturers will have no choice but to follow suit with the necessary infrastructure or risk being left behind (given the realities currently being faced by this industry, the decision seems obvious).  And as we’ve seen, competition drives innovation – a situation that we can all benefit from.