News

FPL Group and Duke Energy Investing $600 Million to Convert Vehicles to Plug-in Hybrid or Electric by 2020

NEW YORK, Sep 24, 2009 -- BUSINESS WIRE
>
> FPL Group, Inc. (NYSE:FPL) and Duke Energy (NYSE:DUK) today
> announced a commitment to transition their company cars and trucks to
> plug-in hybrid or all-electric vehicles.
>
> The announcement was made during the Clinton Global Initiative's
> (CGI) fifth annual meeting in New York City.
>
> The joint commitment represents more than 10,000 vehicles and
> potential revenues of at least $600 million for manufacturers who can
> produce viable plug-in electric vehicles. The conversion has the
> potential to reduce greenhouse gas emissions by more than 125,000
> metric tons over the next 10 years.
>
> Duke Energy and FPL Group will begin this transition in the
> coming years -- with the goal that 100 percent of all new fleet
> vehicles will be plug-in electric vehicles (PEVs) or plug-in hybrid
> electric vehicles (PHEVs) by 2020. In announcing their partnership,
> FPL Group and Duke Energy called for a wide variety of organizations
> to commit to greening their vehicle fleets, including corporations,
> governments, universities and other agencies.
>
> "The more organizations that join this initiative, the more we
> can develop a sustainable transportation future," said Lew Hay, FPL
> Group chairman and CEO. "The Clinton Global Initiative continues to
> serve as a catalyst for bold commitments to address serious challenges
> such as energy security and climate change. This commitment will help
> lead the way to carbon reductions in the second largest source of
> emissions in the U.S. economy."
>
> The FPL Group/Duke Energy commitment will positively impact
> millions of people in the regions served by the two companies through
> cleaner air, reduced noise pollution and less dependence on foreign
> oil.
>
> Plug-in electric vehicles reduce overall carbon emissions by up
> to 70 percent (100 percent if charged by zero-carbon, renewable energy
> sources) and lower fuel costs by about 80 percent. If PEVs replaced
> all gasoline-powered vehicles in the United States, they would reduce
> the need for foreign oil imports by nearly two-thirds.
>
> The initiative will begin Jan. 1, 2010, when both companies will
> begin tracking their commitment. While passenger vehicles and smaller
> trucks are already planned, Duke Energy and FPL Group will work
> closely with manufacturers to test and measure the effectiveness of
> prototype bucket trucks in 2011 and 2012. The remainder of the
> commitment period will be spent transitioning vehicles, educating the
> public, soliciting additional partners and providing periodic progress
> updates. The project is scheduled for completion by Dec. 31, 2020.
>
> "A 10-year commitment gives us time to adopt, test and integrate
> new technology into fleets as a wider range of vehicles are
> developed," said Jim Rogers, chairman, president and CEO of Duke
> Energy. "Currently, the only near-term options for available PEV
> supply are sedans, minivans, vans and a few bucket trucks. Over a 10-
> year horizon, it is expected that options will be available for most
> utility service categories."
>
> Said Hay: "This commitment will provide the transportation
> industry the evidence that a robust market for PEVs exists. FPL
> introduced the technology for medium-duty, hybrid bucket trucks and
> developed the concept of using biodiesel in hybrids, and we hope this
> initial joint commitment will encourage corporations, governments,
> universities and other non-profit organizations to join us in
> converting their fleets to plug-in hybrid or all-electric vehicles by
> 2020."
>
> The FPL Group/Duke Energy initiative was developed following the
> March 2009 Clinton Global Initiative Planning Retreat, a forum for
> building industry leadership.
>
> "Through discussions with CGI's innovation team, Duke Energy and
> FPL Group took this spark of an idea and ignited it into a full CGI
> commitment, inviting others to join," Hay said.
>
> "The opportunity for the transportation sector to transition from
> gasoline or diesel fuel-powered vehicles and trucks has never been
> greater," Rogers added. "As global climate change and energy security
> loom large as some of the greatest issues faced by our generation,
> electric-powered vehicles hold great promise as the means to
> significantly reduce carbon emissions and reduce the U.S.
> dependence on foreign oil."
>
> FPL Group: Energy Solutions for the Next Era
>
> FPL Group, Inc. (NYSE: FPL) is a leading clean energy company
> with 2008 revenues of more than $16 billion, approximately 39,000
> megawatts of generating capacity, and more than 15,000 employees in
> 27 states and Canada. Headquartered in Juno Beach, Fla., FPL Group's
> principal subsidiaries are NextEra Energy Resources, LLC, the largest
> generator in North America of renewable energy from the wind and sun,
> and Florida Power & Light Company, which serves 4.5 million customer
> accounts in Florida and is one of the largest rate- regulated electric
> utilities in the country. Through its subsidiaries, FPL Group
> collectively operates the third largest U.S.
> nuclear power generation fleet. For more information about FPL Group
> companies, visit these Web sites: www.FPLGroup.com,
> www.NextEraEnergyResources.com , www.FPL.com.
>
> Duke Energy: The Power of Diverse Generation
>
> Duke Energy is the third largest electric power holding company
> in the United States, based on kilowatt-hour sales. Its regulated
> utility operations serve approximately 4 million customers located in
> five states -- North Carolina, South Carolina, Indiana, Ohio and
> Kentucky -- representing a population of approximately 11 million
> people. Duke Energy's commercial power and international business
> segments operate diverse power generation assets in North America and
> Latin America, including a growing portfolio of renewable energy
> assets in the United States. Headquartered in Charlotte, N.C., Duke
> Energy is a Fortune 500 company traded on the New York Stock Exchange
> under the symbol DUK. More information about the company is available
> on the Internet at: www.duke-energy.com.
>
> SOURCE: FPL Group, Inc.
>
> Another story from the CGI:
>
> "Meanwhile, Jeffrey Immelt, the chairman and chief executive of
> General Electric, argued that nuclear plants - which G.E. helps make -
> would be essential if electric cars were to take off and run on clean
> energy. It would be, Mr. Immelt said, 'hard to root for (electric
> cars) and simultaneously not root for reemergence of the nuclear
> industry.' "
>
> More broadly, Mr. Immelt argued that government should not pick
> winners among the various clean technologies, but rather should set a
> price on carbon and allow the market to identify the best solution.
> Infrastructure, Mr. Immelt emphasized, must meet three
> criteria: it needs to be sustainable, replicable and scalable.
> China, he noted, is an example of a country that can execute big
> changes quickly.
>
> http://greeninc.blogs.nytimes.com/2009/09/24/auto-executives-discuss-e
> lectric-cars-ben-stiller-takes-notes/
>
>