[Federal Register Volume 85, Number 197 (Friday, October 9, 2020)]
[Notices]
[Pages 64143-64144]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-22424]



[[Page 64143]]

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ENVIRONMENTAL PROTECTION AGENCY

[EPA-HQ-OAR-2019-0333; FRL-10015-09-OAR]


Alternative Methods for Calculating Off-Cycle Credits Under the 
Light-Duty Vehicle Greenhouse Gas Emissions Program: Applications From 
Toyota Motor North America

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice.

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SUMMARY: The Environmental Protection Agency (EPA) is requesting 
comment on applications from Toyota Motor North America (``Toyota'') 
for off-cycle carbon dioxide (CO2) credits under EPA's 
light-duty vehicle greenhouse gas emissions standards. ``Off-cycle'' 
emission reductions can be achieved by employing technologies that 
result in real-world benefits, but where that benefit is not adequately 
captured on the test procedures used by manufacturers to demonstrate 
compliance with emission standards. EPA's light-duty vehicle greenhouse 
gas program acknowledges these benefits by giving automobile 
manufacturers several options for generating ``off-cycle'' 
CO2 credits. Under the regulations, a manufacturer may apply 
for CO2 credits for off-cycle technologies that result in 
off-cycle benefits. In these cases, a manufacturer must provide EPA 
with a proposed methodology for determining the real-world off-cycle 
benefit. Toyota has submitted applications that describe methodologies 
for determining off-cycle credits from technologies described in their 
applications. Pursuant to applicable regulations, EPA is making these 
off-cycle credit calculation methodologies available for public 
comment.

DATES: Comments must be received on or before November 9, 2020.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-HQ- 
OAR-2019-0333, to the Federal eRulemaking Portal: http://www.regulations.gov. Follow the online instructions for submitting 
comments. Once submitted, comments cannot be edited or withdrawn. The 
EPA may publish any comment received to its public docket. Do not 
submit electronically any information you consider to be Confidential 
Business Information (CBI) or other information whose disclosure is 
restricted by statute. Multimedia submissions (audio, video, etc.) must 
be accompanied by a written comment. The written comment is considered 
the official comment and should include discussion of all points you 
wish to make. The EPA will generally not consider comments or comment 
contents located outside of the primary submission (i.e., on the web, 
cloud, or other file sharing system). For additional submission 
methods, the full EPA public comment policy, information about CBI or 
multimedia submissions, and general guidance on making effective 
comments, please visit https://www2.epa.gov/dockets/commenting-epa-dockets.

FOR FURTHER INFORMATION CONTACT: Linc Wehrly, Director, Light Duty 
Vehicle Center, Compliance Division, Office of Transportation and Air 
Quality, U.S. Environmental Protection Agency, 2000 Traverwood Drive, 
Ann Arbor, MI 48105. Telephone: (734) 214-4286. Fax: (734) 214-4053. 
Email address: [email protected].

SUPPLEMENTARY INFORMATION:

I. Background

    EPA's light-duty vehicle greenhouse gas (GHG) program provides 
three pathways by which a manufacturer may accrue off-cycle carbon 
dioxide (CO2) credits for those technologies that achieve 
CO2 reductions in the real world but where those reductions 
are not adequately captured on the test used to determine compliance 
with the CO2 standards, and which are not otherwise 
reflected in the standards' stringency. The first pathway is a 
predetermined list of credit values for specific off-cycle technologies 
that may be used beginning in model year 2014.\1\ This pathway allows 
manufacturers to use conservative credit values established by EPA for 
a wide range of technologies, with minimal data submittal or testing 
requirements, if the technologies meet EPA regulatory definitions. In 
cases where the off-cycle technology is not on the menu but additional 
laboratory testing can demonstrate emission benefits, a second pathway 
allows manufacturers to use a broader array of emission tests (known as 
``5-cycle'' testing because the methodology uses five different testing 
procedures) to demonstrate and justify off-cycle CO2 
credits.\2\ The additional emission tests allow emission benefits to be 
demonstrated over some elements of real-world driving not adequately 
captured by the GHG compliance tests, including high speeds, hard 
accelerations, and cold temperatures. These first two methodologies 
were completely defined through notice and comment rulemaking and 
therefore no additional process is necessary for manufacturers to use 
these methods. The third and last pathway allows manufacturers to seek 
EPA approval to use an alternative methodology for determining the off-
cycle CO2 credits.\3\ This option is only available if the 
benefit of the technology cannot be adequately demonstrated using the 
5-cycle methodology. Manufacturers may also use this option to 
demonstrate reductions that exceed those available via use of the 
predetermined list.
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    \1\ See 40 CFR 86.1869-12(b).
    \2\ See 40 CFR 86.1869-12(c).
    \3\ See 40 CFR 86.1869-12(d).
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    Under the regulations, a manufacturer seeking to demonstrate off-
cycle credits with an alternative methodology (i.e., under the third 
pathway described above) must describe a methodology that meets the 
following criteria:
     Use modeling, on-road testing, on-road data collection, or 
other approved analytical or engineering methods;
     Be robust, verifiable, and capable of demonstrating the 
real-world emissions benefit with strong statistical significance;
     Result in a demonstration of baseline and controlled 
emissions over a wide range of driving conditions and number of 
vehicles such that issues of data uncertainty are minimized;
     Result in data on a model type basis unless the 
manufacturer demonstrates that another basis is appropriate and 
adequate.
    Further, the regulations specify the following requirements 
regarding an application for off-cycle CO2 credits:
     A manufacturer requesting off-cycle credits must develop a 
methodology for demonstrating and determining the benefit of the off-
cycle technology and carry out any necessary testing and analysis 
required to support that methodology.
     A manufacturer requesting off-cycle credits must conduct 
testing and/or prepare engineering analyses that demonstrate the in-use 
durability of the technology for the full useful life of the vehicle.
     The application must contain a detailed description of the 
off-cycle technology and how it functions to reduce CO2 
emissions under conditions not represented on the compliance tests.
     The application must contain a list of the vehicle 
model(s) which will be equipped with the technology.
     The application must contain a detailed description of the 
test vehicles selected and an engineering analysis that supports the 
selection of those vehicles for testing.
     The application must contain all testing and/or simulation 
data required under the regulations, plus any other

[[Page 64144]]

data the manufacturer has considered in the analysis.
    Finally, the alternative methodology must be approved by EPA prior 
to the manufacturer using it to generate credits. As part of the review 
process defined by regulation, the alternative methodology submitted to 
EPA for consideration must be made available for public comment.\4\ EPA 
will consider public comments as part of its final decision to approve 
or deny the request for off-cycle credits.
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    \4\ See 40 CFR 86.1869-12(d)(2).
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II. Off-Cycle Credit Applications

A. Cold-Storage Evaporator

    Toyota is applying for off-cycle GHG credits for the use of Cold-
Storage Evaporator HVAC Technology. This technology utilizes phase 
change material in the HVAC evaporator of vehicles equipped with engine 
Start & Stop technology to extend the time that cold air can be 
delivered to the cabin with the engine and compressor off. This reduces 
the amount of time the engine would otherwise operate solely for the 
purpose of cooling the cabin.
    Toyota is applying for a credit of 0.8 or 1.3 grams/mile (dependent 
on HVAC configuration) for 2017 and later model years vehicles sold in 
the U.S. and equipped with the cold storage evaporator. Details of the 
testing and analysis can be found in the manufacturer's applications.

B. Denso LE40 Low Power Compressor Clutch

    Toyota is applying for off-cycle GHG credits for the use of the 
DENSO LE40 compressor clutch. The LE40 compressor clutch is designed to 
improve the compressor efficiency by reducing the electric current 
required to transmit torque from the engine to the compressor.
    Toyota is applying for a credit of 0.3 grams/mile for 2016 and 
later model years for vehicles sold in the U.S. and equipped with the 
Denso LE40 Compressor Clutch. EPA considers this compressor clutch 
technology to be a technology that, if approved, will be subject to the 
maximum limits for an A/C system of 5.0 g/mi for passenger automobiles 
and 7.2 g/mi for light trucks specified in the regulations.\5\ Details 
of the testing and analysis can be found in the manufacturer's 
applications.
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    \5\ See 40 CFR 86.1868-12(b).
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C. Seat Heater Engine Control Technology

    Toyota is applying for off-cycle GHG credits for a hybrid control 
strategy that reduces fuel consumption during warm up while the seat 
heater is turned on. When the seat heater is used, less thermal energy 
is required from the engine to maintain comfort. This strategy lowers 
the target engine coolant temperature threshold allowing the engine to 
turn off earlier and more frequently to reduce fuel consumption.
    Toyota is applying for a credit of 0.6 grams/mile for 2019 and 
later model years for vehicles sold in the U.S. and equipped with seat 
heater engine control technology. Details of the testing and analysis 
can be found in the manufacturer's applications.

III. EPA Decision Process

    EPA has reviewed the applications for completeness and is now 
making the applications available for public review and comment as 
required by the regulations. The off-cycle credit applications 
submitted by the manufacturers (with confidential business information 
redacted) have been placed in the public docket (see ADDRESSES section 
above) and on EPA's website at https://www.epa.gov/vehicle-and-engine-certification/compliance-information-light-duty-greenhouse-gas-ghg-standards.
    EPA is providing a 30-day comment period on the applications for 
off-cycle credits described in this notice, as specified by the 
regulations. The manufacturers may submit a written rebuttal of 
comments for EPA's consideration, or may revise an application in 
response to comments. After reviewing any public comments and any 
rebuttal of comments submitted by manufacturers, EPA will make a final 
decision regarding the credit requests. EPA will make its decision 
available to the public by placing a decision document (or multiple 
decision documents) in the docket and on EPA's website at the same 
manufacturer-specific pages shown above. While the broad methodologies 
used by these manufacturers could potentially be used for other 
vehicles and by other manufacturers, the vehicle specific data needed 
to demonstrate the off-cycle emissions reductions would likely be 
different. In such cases, a new application would be required, 
including an opportunity for public comment.

    Dated: October 5, 2020.
Byron Bunker,
Director, Compliance Division, Office of Transportation and Air 
Quality, Office of Air and Radiation.
[FR Doc. 2020-22424 Filed 10-8-20; 8:45 am]
BILLING CODE 6560-50-P