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In response to disruption in the Oregon market for large trucks, Gov. Tina Kotek wants the Oregon Department of Environmental Quality to relax a key part of its new Advanced Clean Trucks policy.
As the Oregon Journalism Project previously reported, that policy, which took effect in January, requires manufacturers and dealers to sell an escalating number of electric trucks for each diesel-powered truck they sell. The industry has struggled with the new mandate.
Related: Oregon’s New Electric Truck Rule Is Disrupting Oregon’s Transportation Industry
The nation’s largest manufacturer of large trucks, Portland-based Daimler Trucks North America, temporarily halted sales of big trucks in Oregon because of the policy. In effect, Daimler could not sell enough electric trucks to comply with the state’s policy, so it paused the sale of diesels.
Customers have complained that electric trucks are too expensive and lack the range necessary to make them effective. If customers don’t buy electric trucks, however, the Advanced Clean Trucks policy means that Daimler and other manufacturers either have to limit their sales of diesel trucks or face penalties.
Neither is a good outcome, the governor acknowledged last week.
In a March 4 letter to DEQ director Leah Feldon, Kotek noted that although the new policy appears to be working for smaller classifications of trucks (such as the ubiquitous package delivery vehicles), there are “ongoing challenges currently facing the Class 7 and 8 tractor classes” (the largest trucks).
“One of my key directives to state agencies is that we do our work with a focus on customer service, transparency, and accountability across state government,” Kotek wrote. “I would like DEQ to quickly develop a solution for Class 7 and 8 trucks that considers the current circumstances while still maintaining the integrity of the ACT program for all other classes.”
The ACT program generates credits for the sale of electric trucks. Since the tepid demand for electric trucks puts Daimler and other manufacturers in a bind, Kotek urged DEQ to come up with alternatives that will allow the market to function.
“This could be accomplished through additional credit allocations for these largest classes, or through other similar mechanisms consistent with ACT program goals,” Kotek wrote.
DEQ spokeswoman Susan Mills says the agency appreciates Kotek’s input and is pursuing a policy solution that would respond to industry concerns while also making progress on state carbon emission goals.
“DEQ is considering a system of proportional sales credits which can help address the ongoing compliance challenges currently facing Class 7-8 tractor trucks,” Mills says. “With these credits, we believe the Advanced Clean Trucks rule will maintain its intent and emissions benefits, as well as spur a smooth transition to zero-emissions medium- and heavy-duty vehicles over the next two years.”
The agency’s Rules Advisory Committee is working on new guidelines, and the agency will provide an update on proposed changes to the Advanced Clean Trucks policy to the Environmental Quality Commission on March 13.
This story was produced by the Oregon Journalism Project, a nonprofit newsroom covering rural Oregon.