They say that “necessity is the mother of invention.” The crisis caused by COVID-19 is reminding us of the necessity to jumpstart the economy in the short-term and invest in the kind of future that this crisis has made all the more clear we need: one that prioritizes health and jobs. Investment in clean transportation -- with a particular focus on public transit and electrification of cars, trucks, and buses -- is a significant step toward building that future.
Recently, 80 environmental, labor, consumer, and health groups -- representing tens of millions of constituents -- sent a letter to Congress asking for a bold clean-transportation stimulus package. We write that it “will go a long way in putting Americans back to work, increasing American competitiveness, and protecting our health and climate. This includes relief and stimulus investment in electrifying the entire transportation sector and supporting public transit.”
Additional relief funds are needed for American individuals, workers, and businesses, with an emphasis on those most impacted by the crisis. Longer-term stimulus investment is also necessary. Why?
Jobs and Competitiveness. Tens of thousands of American workers who manufacture electric vehicles, parts, and related products have already lost their jobs due to the COVID-19 crisis. As we write in the letter, “Creating strong incentives for clean transportation will help put these and other Americans back to work.” Countries worldwide are moving rapidly to capture the growing market of vehicle electrification, and “the US risks being left behind” if we don’t invest in manufacturing these 21st century vehicles. In fact, a new Sierra Club report shows that more than one million jobs per year can be created through investments in a variety of clean-transportation solutions.
Climate. The transportation sector is the leading source of climate pollution in the United States. As we write in the letter: “Climate change fuels dangerous storms, droughts, and wildfires that put American lives and our nation’s economy and security at risk. Electric vehicles (EVs) are much lower in emissions than their conventional gasoline and diesel counterparts, even when accounting for power plant emissions associated with charging EVs. These vehicles are also unique in their ability to become even cleaner as the electricity grid is increasingly powered by low- and zero-emission power.”
Health. Exposure to elevated air pollution is linked to higher rates of death in people with COVID-19. As we write in the letter: “The transportation sector is a significant and dangerous source of particulate matter (PM) and nitrogen oxide (NOx) pollution ... Studies show that low-income neighborhoods and communities of color breathe in the dirtiest sources of pollution, causing higher rates of asthma, cancer, and respiratory issues ... EVs also do not emit PM or NOx from tailpipes, directly impacting local air quality.”
Access. As we return to a safer reality, transportation is what allows us to access jobs, education, health care, and our community. Public transportation is the lifeblood of low-income and urban communities, and it’s essential that we ensure that it’s safe, clean, and available.
So, here’s what we recommend in the letter to stimulate our economy and invest in clean transportation (See the letter itself for even more specific details):
1) Invest at least $20 billion in domestic clean vehicle and parts manufacturing
Congress should leverage and expand several existing programs to accelerate American manufacturing of clean light-, medium-, and heavy-duty vehicles. These include expansion of the Advanced Technology Vehicles Manufacturing Program and manufacturing grants and tax credits that help businesses to retool and build clean vehicle technology.
2) Invest $20 billion in electric vehicle charging infrastructure
Building out public EV charging infrastructure will dramatically increase the number of people who make the switch to driving electric. As we write in the letter: “Using electricity to fuel vehicles is cleaner, can make the grid more efficient, and will save consumers money. EVs also provide savings in fuel and maintenance costs for drivers, and installing EV charging stations provides good-paying electrical jobs.” There are several ways to intelligently invest in charging infrastructure, including programs that expand access to charging along highway routes, at transit hubs, along freight corridors, and for those who live in apartments.
3) Invest $20 billion in the adoption of electric buses for transit and school bus fleets
As we write in the letter: “Electrifying transit and school buses will not only boost the nascent electric bus industry, it will eliminate air pollution from these vehicles along their fixed routes, thus protecting the health of the drivers, riders, and people who live along the routes.” There are more than 540,000 transit and school buses that -- in normal times -- transport American children and adults every day, racking up billions of miles and emitting millions of tons of CO2 and other pollutants each year.
According to a recent study, investment in electric buses alone could create as much as 8,000 additional job-years of employment. There are several specific programs we recommend Congress invest in and expand to accelerate electric transit and school bus adoption, including the Department of Transportation’s Low-No Emissions Vehicle grant program and the EPA’s Diesel Emissions Reduction Act program.
4) Invest in the adoption of electric trucks
The COVID-19 pandemic has made clear how heavily Americans depend on the shipping industry. As we write in the letter, heavy-duty vehicles make up only five percent of all US vehicles but emit 45 percent of the US transportation sector’s nitrogen oxide (NOx) pollution, 57 percent of its fine particulate matter pollution, and 25 percent of climate emissions.
“This exhaust disproportionately affects the health of people of color and low-income communities due to proximity to heavy vehicular and port traffic as well as trucking corridors.” Electric trucks do not emit any of these types of pollution, and global sales of electric-drive medium and heavy-duty vehicles globally are expected to increase dramatically. Congress should invest in several electric truck provisions that will greatly benefit communities, companies, and workers, including business vouchers and tax credits.
5) Extend the purchase incentives for passenger cars and trucks
Due to the pandemic, manufacturers are delaying the introduction of new vehicles, and consumers are delaying purchases. A robust recovery of vehicle sales -- especially clean vehicle sales -- will be critical to creating new jobs, buoying the economy, expanding consumer choice, and protecting clean air and our climate.
Congress should extend the federal consumer tax credit for purchase of light-duty electric vehicles, ensure any stimulus to support the automotive industry helps spur the adoption and domestic manufacturing of electric vehicles, and ensure worker safety.
6) Invest at least $20 billion in immediate operational assistance and prioritize funding capital improvements for public transit
Our letter captures the challenge well: “While $25 billion for transit and $1 billion for passenger rail was a good initial response through the CARES Act (and the $15.75 billion for transit in the HEROES Act introduced in the House on May 12), estimated COVID-19-related losses to transit agencies already tally between $26 and $40 billion, and are likely to keep growing … Many essential workers rely on public transit to get to work … Meanwhile, these transit riders and transit workers themselves are risking their lives … Additionally, public transit needs a long-term significant boost to support our communities and economy.”
To keep public transit operating cleanly and safely, both now and into the future, we recommend Congress commits to the following investments in transit:
a) Provide at least $20 billion in immediate relief funding to US transit agencies.
b) Waive the prohibition on using capital funds for operational expenses.
c) Address the $99 billion “state of good repair” backlog for US public transit.
d) If a stimulus investment includes the highway trust fund, public transit should receive at least 50 percent of the guaranteed borrowed or granted funds, given that the current 20 percent cap is from an outdated 1982 agreement.
Is this a fully comprehensive clean transportation wish list? No. We’re not asking for a scrap and replace program to get old dirty vehicles off the road faster, or additional investment in pedestrian and biking infrastructure, passenger rail, or the expansion of open and safe streets. These are important and necessary investments too (and the clean stimulus outlined by the Sierra Club's new report addresses many of them).
Our focus in the coalition letter is on programs that we believe will most quickly and aggressively create jobs, protect health, reduce climate pollution, and scale up existing programs. The groups that signed the letter represent dozens of our nation’s leading advocates for clean transportation solutions. In developing smart stimulus programs, Congress would be wise to take up the recommendations we’ve shared to accelerate our journey along the road to a better future.