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Natural Capitalism Solutions
T H E F U T U R E O F M O B I L I T Y
© NCS 2009
I love motors...
The world is changing
Business-As-Usual cannot endure
Businesses, governments and raceways will either drive change in
ways that allow companies and economies to flourish or they will
be forced respond to unrelenting crises and hope for the best.
Global Drivers of Change
• Carbon constrained world
• Volatile energy prices
• The sustainability imperative
• Loss of ecosystem services
• Chindia
• Economic instability
• Water
• Food
Toyota’s Chief Engineer, Taiichi Ohno:
“Prior to the oil crisis [of the 1970s], when I
talked to people about Toyota’s manufacturing
technology and production system, I found
little interest. When rapid growth stopped,
however, it became very obvious that a
business could not be profitable using the
conventional American mass production
system that had worked so well for so long.”
“The Oil Crisis Opened our Eyes” Toyota Production System, 1978.
Toyota’s Chief Engineer, Taiichi Ohno:
“Prior to the oil crisis [of the 1970s], when I
talked to people about Toyota’s manufacturing
technology and production system, I found
little interest. When rapid growth stopped,
however, it became very obvious that a
business could not be profitable using the
conventional American mass production
system that had worked so well for so long.”
“The Oil Crisis Opened our Eyes” Toyota Production System, 1978.
2006 Profits ($B)
R. James Woolsey’s solar
powered plug-in-hybrid
has a bumper sticker
reading:
“Osama bin Ladin hates
my car.”
IEA
2007: IEA report:
World could face oil shortage within five years
2009: Whistleblowers:
IEA deliberately understating how close the world may
be to running out of oil - ‘imperative not to anger the
Americans’ or cause panic
Dec 2009: IEA Chief Economist:
“...in three, four years' time the production of
conventional oil will come to a plateau, and start to
decline... which is, of course, not good news from a
global-oil-supply point of view. ”
WikiLeaks cables show that Saudi Arabia's oil reserves
have been exaggerated by as much as 40%, or 300
billion barrels.
Saudi Arabia’s Oil Reserves
24 February
$120 a barrel Libyan revolution
3 March
$200 a barrel if Algeria goes offline
Economist
7 March
$250 a barrel if oil tankers and reserves in Libya hit
Alan Duncan: UK Int’l Development Minister
Time to reconsider?
Why do we drive…?
Status
Fun
ScheduleCargo
Transportation – we’ve come a long way
Transport … carrying:
Food Stuff
People
from one place to another
Do we need to get into a car
every day?
•  The average car trip is
less than 16 km (10
miles)
•  Design better
transportation systems
•  Create walkable
neighborhoods
Transportation
•  27% of all
automobile miles
traveled are
incurred going to
and from work
•  78% are driven in
single-occupancy
vehicles (SOV)
Transport costs
• Traffic congestion
• Air quality
• Collisions
• Infrastructure and
Maintenance
• Environmental Costs An average parking
space costs roughly
$6,000 per year
GHG Emissions
•  Transportation sector is the
fastest growing in terms of
climate impact.
-  13% of global greenhouse
gases (GHG)
•  At current rate, emissions
will increase 57% worldwide
by 2030.
- 80% of this in developing
countries
Auto Deaths
In countries that are free
of war, the largest cause
of violent death is
usually traffic fatalities
Young people have
more car accidents than
almost any other age
group
Accidents raise
health care costs,
insurance rates,
and lost work
productivity
We’ve reduced our
social interactions to
aggressive competition
through windscreens
for square meters of
asphalt
Road rage
Next wave of transportation
innovation should:
Decrease congestion
Foster accessibility and equity
Enhance livelihoods
Support walkable communities
Enhance pedestrian mobility
Improve environmental impact
Decrease cost
How much could you save by
sharing a car?
Total cost of ownership, over $30,000
•  Average annual car insurance
$1,837
•  Annual operating costs $6,000 –
$10,000
•  Cost of new mid-size sedan $20,000
Carsharing
•  Use a vehicle when
you need it, without
the annual cost of
ownership
•  Carsharing
programs in
operation in 600
cities around the
world.
Time to change the way we
fund transportation
•  Gas Tax
•  Electronic Tolling
•  Variable Pricing
•  Regional Partnerships
•  Incentivize Public &
Alternative Transit
•  Bike Lanes
Vauban, Germany car-free city
70% of Vauban’s 5,500 residents do not own
cars, and 57% sold a car to move there.
UK transit policy
In 2000, Britain began comprehensive effort to
discourage car use by requiring that new
development be accessible by public transit.
“Development comprising jobs, shopping,
leisure and services should not be designed
and located on the assumption that the car
will represent the only realistic means of
access for the vast majority of people”
Masdar- The Source – Abu Dhabi
City of 50,000
Car free
Zero waste
Passively cooled
Solar canopies
Center for renewable energy research
1,500 clean tech start-ups focusing on solar,
wind and hydrogen power, carbon reduction
and management, sustainable development,
education, manufacturing
Congestion Tax
Vehicles entering city
centers are charged
based on real-time pricing
- Reduce traffic congestion
- Improve air quality
- Generates revenue
- Lowers GHG emissions
Bio-Fuels
Our need for oil is
fast becoming a
hunger problem
Food Riots
Competing
for scarce
land
Growing food and water scarcity
33 countries around the
world face potential
social unrest due to
spikes in food prices.
The recent spikes in
food prices have left
nations volatile, with
ensuing food riots
World Bank President
Robert Zoellick
Food riots fear after rice price
hits a high
World and regional ethanol
production
•  Expanded hybrid fleet by
50% to over 250
vehicles
•  Improve fuel economy
by 44%
•  Decrease particulate
matter by 96%
•  Reduce smog-causing
(NOx) emissions by 75%
FedEx Hybrid Vehicles
Federal agreement with 13
automakers to reach 54.5
MPG by 2025.
Equals a fuel savings of
$8,000 per vehicle, or $1.7
trillion nationally.
Reduces oil consumption by
2.2 million barrels a day, this
is half of what we import from
OPEC.
Fuel Efficiency Standard
•  Of the 41 million cars in
the Germany, only 1,452
are electric.
•  German government
goal to put million
electric vehicles on
roadways by 2020.
•  Government investing
€500m ($705m) to
achieve this.
Electric Cars … the future of the
auto industry?
Fiskar Karma with PV roof
Renault/ BMW
concept car
VW E-Up electric car
2013 – 130 km range,
1 hr to 80% charge
Challenge: lithium batteries
Japanese are recycling the lithium
Shai Agassi
Better Place –
renewable
electric cars
dailyenergyreport.com
NASCAR: Mainstream Green
NASCAR is the top
spectator sport in the
U.S., with an
estimated 75 million
followers
The No. 2 regular
season sport on TV.
Potential for helping
to make “green” more
mainstream.
Has the largest recycling program in sports.
Recycled over:
- 1,000 tons of paper/cans
- 121,000 tires
- 180,000 gallons of oil
Made possible by
partnerships with:
- Coca-cola
- Coors Light
- Freightliner
- Goodyear
NASCAR Green Initiatives
dailyenergyreport.com
NASCAR Green Initiatives
Participating
raceways plant 10
trees for each green
flag that drops.
Last year over 1000
trees were planted.
Plans to expand the
program to offset
100% of GHG
emissions from racing.
dailyenergyreport.com
NASCAR Green Initiatives
All races are now run
on 15% ethanol.
Comes from corn
grown in the U.S.
Reduces GHG
emissions by 20%.
The fuel blend
increases horsepower
6-8%.
dailyenergyreport.com
NASCAR Green Initiatives
“ . . . the switch to ethanol
might be the most
important step in achieving
an ancillary benefit —
attracting new sponsors in
the green economy to
cash-strapped teams
hurting for funding since
the onset of the
recession.”
- CEO / Chairman Brian France
dailyenergyreport.com
NASCAR Green Initiatives
"Safe. Green. Smart. Quality.
These are the four pillars of
Ford Motor Company and it's
our mission that we are
committed to on a daily
basis . . . . and we applaud
NASCAR for taking this
important step toward an
ethanol blend of fuel.”
- Jamie Allison, Director of Ford
North America Motorsports
“It's terribly important to
car manufacturers that
we're in step with the
strategic thinking
they're doing right now.
- CEO / Chairman Brian
France
NASCAR had trouble requiring cars to
use 4-cylinder engines because
“lower-revving engines would
detract from the races’ aural
spectacle”.
Instead, race cars will use 6-cylinder
engines in 2013, which will achieve
35% better fuel efficiency than
currently used V-8 engines.
Formula One cars are also switching
from 2.4 litre V8s to 1.6 litre
turbocharged V6s.
NASCAR Green Initiatives
NASCAR and Other Tracks
Select IndyCar Series races
run on 100% field-grade
ethanol.
IZOD IndyCar Series installing
solar electric systems and
educating fans on solar power
during the 2011 season.
Pocono Raceway in PA has a
25-acre solar farm – the world’s
largest solar-powered sports
facility.
Installed a 1,700 panel, 350
kilowatt solar array
- Provides 41% of energy
Waterless urinals reduce water
consumption by 36%, and
landscaping uses recycled and
reclaimed water
The raceway has 3,000 sheep
to help maintain the facility’s
grasses and fire lanes
Infineon Raceway
Recognized by State of California
for recycling over 141 tons of
material.
Held first zero-emission
motorcycle race on American soil.
15 owl boxes encourage owls to
nest and hunt for rodents –
reducing the need for pesticides
and other pest-controlling poisons
Infineon Raceway
Global Biodiversity Outlook Three -
GBO-3
I am a professor of a discipline
that did not exist when I went to
college
Ray Anderson
What is the business
case for ending life
on earth?
The best way to predict the
future is to invent it
www.natcapsolutions.org
www.unreasonableinstitute.org
Natural Capitalism Solutions
L O N G M O N T, C O L O R A D O

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The Future of Mobility by Hunter Lovins

  • 1. Natural Capitalism Solutions T H E F U T U R E O F M O B I L I T Y © NCS 2009
  • 3. The world is changing
  • 4. Business-As-Usual cannot endure Businesses, governments and raceways will either drive change in ways that allow companies and economies to flourish or they will be forced respond to unrelenting crises and hope for the best.
  • 5. Global Drivers of Change • Carbon constrained world • Volatile energy prices • The sustainability imperative • Loss of ecosystem services • Chindia • Economic instability • Water • Food
  • 6. Toyota’s Chief Engineer, Taiichi Ohno: “Prior to the oil crisis [of the 1970s], when I talked to people about Toyota’s manufacturing technology and production system, I found little interest. When rapid growth stopped, however, it became very obvious that a business could not be profitable using the conventional American mass production system that had worked so well for so long.” “The Oil Crisis Opened our Eyes” Toyota Production System, 1978.
  • 7. Toyota’s Chief Engineer, Taiichi Ohno: “Prior to the oil crisis [of the 1970s], when I talked to people about Toyota’s manufacturing technology and production system, I found little interest. When rapid growth stopped, however, it became very obvious that a business could not be profitable using the conventional American mass production system that had worked so well for so long.” “The Oil Crisis Opened our Eyes” Toyota Production System, 1978.
  • 9. R. James Woolsey’s solar powered plug-in-hybrid has a bumper sticker reading: “Osama bin Ladin hates my car.”
  • 10. IEA 2007: IEA report: World could face oil shortage within five years 2009: Whistleblowers: IEA deliberately understating how close the world may be to running out of oil - ‘imperative not to anger the Americans’ or cause panic Dec 2009: IEA Chief Economist: “...in three, four years' time the production of conventional oil will come to a plateau, and start to decline... which is, of course, not good news from a global-oil-supply point of view. ”
  • 11. WikiLeaks cables show that Saudi Arabia's oil reserves have been exaggerated by as much as 40%, or 300 billion barrels. Saudi Arabia’s Oil Reserves
  • 12. 24 February $120 a barrel Libyan revolution 3 March $200 a barrel if Algeria goes offline Economist 7 March $250 a barrel if oil tankers and reserves in Libya hit Alan Duncan: UK Int’l Development Minister
  • 14. Why do we drive…? Status Fun ScheduleCargo
  • 15. Transportation – we’ve come a long way
  • 16. Transport … carrying: Food Stuff People from one place to another
  • 17. Do we need to get into a car every day? •  The average car trip is less than 16 km (10 miles) •  Design better transportation systems •  Create walkable neighborhoods
  • 18. Transportation •  27% of all automobile miles traveled are incurred going to and from work •  78% are driven in single-occupancy vehicles (SOV)
  • 19. Transport costs • Traffic congestion • Air quality • Collisions • Infrastructure and Maintenance • Environmental Costs An average parking space costs roughly $6,000 per year
  • 20. GHG Emissions •  Transportation sector is the fastest growing in terms of climate impact. -  13% of global greenhouse gases (GHG) •  At current rate, emissions will increase 57% worldwide by 2030. - 80% of this in developing countries
  • 21. Auto Deaths In countries that are free of war, the largest cause of violent death is usually traffic fatalities Young people have more car accidents than almost any other age group Accidents raise health care costs, insurance rates, and lost work productivity
  • 22. We’ve reduced our social interactions to aggressive competition through windscreens for square meters of asphalt Road rage
  • 23. Next wave of transportation innovation should: Decrease congestion Foster accessibility and equity Enhance livelihoods Support walkable communities Enhance pedestrian mobility Improve environmental impact Decrease cost
  • 24. How much could you save by sharing a car? Total cost of ownership, over $30,000 •  Average annual car insurance $1,837 •  Annual operating costs $6,000 – $10,000 •  Cost of new mid-size sedan $20,000
  • 25. Carsharing •  Use a vehicle when you need it, without the annual cost of ownership •  Carsharing programs in operation in 600 cities around the world.
  • 26. Time to change the way we fund transportation •  Gas Tax •  Electronic Tolling •  Variable Pricing •  Regional Partnerships •  Incentivize Public & Alternative Transit •  Bike Lanes
  • 27.
  • 28. Vauban, Germany car-free city 70% of Vauban’s 5,500 residents do not own cars, and 57% sold a car to move there.
  • 29. UK transit policy In 2000, Britain began comprehensive effort to discourage car use by requiring that new development be accessible by public transit. “Development comprising jobs, shopping, leisure and services should not be designed and located on the assumption that the car will represent the only realistic means of access for the vast majority of people”
  • 30. Masdar- The Source – Abu Dhabi City of 50,000 Car free Zero waste Passively cooled Solar canopies Center for renewable energy research 1,500 clean tech start-ups focusing on solar, wind and hydrogen power, carbon reduction and management, sustainable development, education, manufacturing
  • 31. Congestion Tax Vehicles entering city centers are charged based on real-time pricing - Reduce traffic congestion - Improve air quality - Generates revenue - Lowers GHG emissions
  • 32. Bio-Fuels Our need for oil is fast becoming a hunger problem Food Riots Competing for scarce land
  • 33. Growing food and water scarcity 33 countries around the world face potential social unrest due to spikes in food prices. The recent spikes in food prices have left nations volatile, with ensuing food riots World Bank President Robert Zoellick Food riots fear after rice price hits a high
  • 34. World and regional ethanol production
  • 35. •  Expanded hybrid fleet by 50% to over 250 vehicles •  Improve fuel economy by 44% •  Decrease particulate matter by 96% •  Reduce smog-causing (NOx) emissions by 75% FedEx Hybrid Vehicles
  • 36. Federal agreement with 13 automakers to reach 54.5 MPG by 2025. Equals a fuel savings of $8,000 per vehicle, or $1.7 trillion nationally. Reduces oil consumption by 2.2 million barrels a day, this is half of what we import from OPEC. Fuel Efficiency Standard
  • 37. •  Of the 41 million cars in the Germany, only 1,452 are electric. •  German government goal to put million electric vehicles on roadways by 2020. •  Government investing €500m ($705m) to achieve this. Electric Cars … the future of the auto industry?
  • 38. Fiskar Karma with PV roof
  • 39. Renault/ BMW concept car VW E-Up electric car 2013 – 130 km range, 1 hr to 80% charge
  • 40. Challenge: lithium batteries Japanese are recycling the lithium
  • 41. Shai Agassi Better Place – renewable electric cars
  • 42. dailyenergyreport.com NASCAR: Mainstream Green NASCAR is the top spectator sport in the U.S., with an estimated 75 million followers The No. 2 regular season sport on TV. Potential for helping to make “green” more mainstream.
  • 43. Has the largest recycling program in sports. Recycled over: - 1,000 tons of paper/cans - 121,000 tires - 180,000 gallons of oil Made possible by partnerships with: - Coca-cola - Coors Light - Freightliner - Goodyear NASCAR Green Initiatives
  • 44. dailyenergyreport.com NASCAR Green Initiatives Participating raceways plant 10 trees for each green flag that drops. Last year over 1000 trees were planted. Plans to expand the program to offset 100% of GHG emissions from racing.
  • 45. dailyenergyreport.com NASCAR Green Initiatives All races are now run on 15% ethanol. Comes from corn grown in the U.S. Reduces GHG emissions by 20%. The fuel blend increases horsepower 6-8%.
  • 46. dailyenergyreport.com NASCAR Green Initiatives “ . . . the switch to ethanol might be the most important step in achieving an ancillary benefit — attracting new sponsors in the green economy to cash-strapped teams hurting for funding since the onset of the recession.” - CEO / Chairman Brian France
  • 47. dailyenergyreport.com NASCAR Green Initiatives "Safe. Green. Smart. Quality. These are the four pillars of Ford Motor Company and it's our mission that we are committed to on a daily basis . . . . and we applaud NASCAR for taking this important step toward an ethanol blend of fuel.” - Jamie Allison, Director of Ford North America Motorsports “It's terribly important to car manufacturers that we're in step with the strategic thinking they're doing right now. - CEO / Chairman Brian France
  • 48. NASCAR had trouble requiring cars to use 4-cylinder engines because “lower-revving engines would detract from the races’ aural spectacle”. Instead, race cars will use 6-cylinder engines in 2013, which will achieve 35% better fuel efficiency than currently used V-8 engines. Formula One cars are also switching from 2.4 litre V8s to 1.6 litre turbocharged V6s. NASCAR Green Initiatives
  • 49. NASCAR and Other Tracks Select IndyCar Series races run on 100% field-grade ethanol. IZOD IndyCar Series installing solar electric systems and educating fans on solar power during the 2011 season. Pocono Raceway in PA has a 25-acre solar farm – the world’s largest solar-powered sports facility.
  • 50. Installed a 1,700 panel, 350 kilowatt solar array - Provides 41% of energy Waterless urinals reduce water consumption by 36%, and landscaping uses recycled and reclaimed water The raceway has 3,000 sheep to help maintain the facility’s grasses and fire lanes Infineon Raceway
  • 51. Recognized by State of California for recycling over 141 tons of material. Held first zero-emission motorcycle race on American soil. 15 owl boxes encourage owls to nest and hunt for rodents – reducing the need for pesticides and other pest-controlling poisons Infineon Raceway
  • 53. I am a professor of a discipline that did not exist when I went to college
  • 54.
  • 55. Ray Anderson What is the business case for ending life on earth?
  • 56. The best way to predict the future is to invent it