Page 10 - Ohio Propane News, Winter

Feature
Propane is so much less carbon intensive than the grid – that is our story. We all must tell it as far and wide as we are able. We must all be conversant in the full fuel cycle approach.
where aspirations are fueled by plentiful debt and government subsidies. This way of thinking is incomprehensible to those of us that live our lives and run our businesses with a capitalist mindset and logic. We operate with facts, not merely aspirations.
However, we must truly take the reality of this EOE mindset on board, not be indignant or resentful. Those with the EOE mind- set are misguided and appear to be genuinely unaware of how energy works. There will come a time when certain parts of the country will understand the ramifications of EOE — likely in my home state of California through a large-scale grid failure. However, until then we must move within this environment, and tell our story, while at the same time aggressively defend and position propane as best we are able. Tremendous resources at NPGA have been marshaled to do this.
There is a consumer and generational mindset shift that is well underway. This country is on a path to eliminate CO2, regardless of what one’s political feelings are and even given Energy Choice laws that now exist in approximately 38 states. Just because a consumer has a choice does not mean they will make the one we wish them to. We must tell our story and communicate much more than we ever have to young generations that are being steeped in the EOE mindset.
Part of our story is that of carbon intensity (see map below). Conventional propane is 79; renewable propane (rP) is 20 — both are better the electricity grid in most parts of the country.
You all know a Tesla or an electric school bus is not zero emis- sions (ZE). Even in California, a Tesla is a push against my pro- pane-powered Expedition...and in most places a conventional propane-powered F-150 produces far less than what a Tesla does. And where we don’t score well with conventional propane, we have rP at 20...we can beat tailpipe emissions by factors of over 10X in much of the country.
With rP we are 20 points from ZERO today, and we are just get- ting started. Blue Star’s Autogas business is running rP at 20 which is lower than all the grid power in California, Oregon, and Washington and generating LCFS credits. In these states we need rP. And it’s wonderful that in many parts of the country rP is not needed.
10 | OHIO PROPANE GAS ASSOCIATION
Propane is so much less carbon intensive than the grid – that is our story. We all must tell it as far and wide as we are able. We must all be conversant in the full fuel cycle approach. The direct use of conventional propane carries the day in most all of the country, and where it does not, we have rP. The full fuel cycle ap- proach is critical to changing the conversation. When that is ap- plied, we win handily in most places and applications. The direct use of propane, the consumption of 79 CI propane in the burner tips of appliances and in the spark plugs of vehicles can radically reduce the emissions profile of the country, and at the state lev- el. Yet I submit, relatively few people outside of this room know these facts, including state legislators and regulators. I ask you to tell our industry’s important emissions role to your legislators and communities.
PERC is investing in the Energy Ambassador program to achieve this objective. We need people that understand our wonderful story and are ready, willing, and able to share it. Both PERC and NPGA are focused on supporting marketers in becoming con- versant in the vocabulary of full fuel cycle emissions and telling our story. We must simply invest the time and do it.
DEFENDING OUR INDUSTRY
There are many fronts on which we must aggressively defend our industry. NPGA is our champion in Washington, DC and in the states. NPGA historically has had a focus on federal legisla- tion and codes, but is now making a heavy investment in regula- tory engagement. New staff, along with leadership, are taking a much more proactive stance on DOE and EPA rulemakings and national building codes -- areas we have not historically engaged in to a significant degree. I am pleased to say the experts on staff are laying the ground work for administrative law challenges and lawsuits coming our way.
To learn about what we are working on, and it is voluminous, I encourage you to attend NPGA Board of Directors meetings, which are held three times/year. The next one is being held Oc- tober 16-17, 2023 in Louisville, Kentucky. Updates on NPGA’s federal and state legislative efforts and regulatory activities are also featured in NPGA’s weekly Bobtail newsletter.
RETHINKING OUR BUSINESS MODEL
I want to frame a discussion around our industry’s business model, and how changes to that will position us for our indus- try’s bright future. Despite what the “thought leaders and regula- tors” around EOE say, propane (and not just renewable, but our 100+ year old conventional product) has a very bright future to meet the energy needs of this nation.
We must rethink how propane is utilized however, and how we market our products of the future. Our future is changing, and