Background Information:
2015-2016 Investment Plan Update for the Alternative and Renewable Fuel and Vehicle Technology Program

Assembly Bill (AB) 118 (Nùñez, Chapter 750, Statutes of 2007), created the Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP). The statute authorizes the California Energy Commission (Energy Commission) to develop and deploy alternative and renewable fuels and advanced transportation technologies to help attain the state’s climate change policies. AB 8 (Perea, Chapter 401, Statutes of 2013) re-authorizes the ARFVTP through January 1, 2024, and specifies that the Energy Commission allocate up to $20 million per year (or up to 20 percent of each fiscal year’s funds) in funding for hydrogen station development until at least 100 stations are operational. The Energy Commission has an annual ARFVTP budget of approximately $100 million and provides financial support for projects that:

  • Develop and improve alternative and renewable low-carbon fuels.

  • Optimize alternative and renewable fuels for existing and developing engine technologies.

  • Produce alternative and renewable low-carbon fuels in California.

  • Decrease, on a full fuel cycle basis, the overall impact and carbon footprint of alternative and renewable fuels and increase sustainability.

  • Expand fuel infrastructure, fueling stations, and equipment.

  • Improve light-, medium-, and heavy-duty vehicle technologies.

  • Accelerate the commercialization of vehicles and alternative and renewable fuels.

  • Retrofit medium- and heavy-duty on-road and non-road vehicle fleets.

  • Expand infrastructure connected with existing fleets, public transit, and transportation corridors.

  • Establish workforce training programs, conduct public education and promotion, and create technology centers.

Statute requires the Energy Commission to annually update an investment plan that communicates the Energy Commission’s strategic vision, determines the funding priorities and opportunities for the upcoming fiscal year, and provides an analytical rationale for proposed expenditures. The investment plan update also highlights and explains the rationale for any year-to-year changes to the Energy Commission’s ARFVTP strategy and funding priorities. Projects funded by the Energy Commission under the ARFVTP must be consistent with the priorities established in the plan.

The most recently adopted investment plan update (the 2014-2015 Investment Plan Update) was adopted at an Energy Commission Business Meeting on April 22, 2014.