RESEARCH PARTNERSHIP ON EMISSIONS HELPS PROTECT PUBLIC HEALTH

Cummins’ partnerships to address emissions regulations go back many years.

In 1977, the U.S. Environmental Protection Agency (EPA) amended the Clean Air Act to place new controls on diesel emissions and the industry was challenged to adapt to the unprecedented regulation.

At the time, very little was known about the effects of diesel emissions on health. In response to the EPA’s new regulation, then Cummins Chairman and CEO Henry Schacht decided to form a consortium of experts and interested parties to objectively and independently study the health effects of diesel emissions.

Guided by the belief that all of society benefits from objective and rigorous science, Schacht brought the engine and vehicle industries together with then EPA Administrator Doug Costle in 1980 to form the Health Effects Institute (HEI). Funded jointly by the EPA and industry, HEI is a non-partisan and not-for-profit organization committed to providing high-quality, impartial, and relevant science regarding the effects of air pollution on health.

HEI has funded more than 250 studies in North America, Europe, and Asia, producing important research on carbon monoxide, air toxics, nitrogen oxides, diesel exhaust, ozone, particulate matter, and other pollutants. The institute’s work has been published in over 200 research and special reports.
 

Thirty-five years after the creation of the institute, Cummins’ partnership with HEI is just as strong as it was at the institute’s creation. As it has grown, HEI’s work has continued to investigate health effects in anticipation of regulation. Cummins relies on the institute as a trusted source of information when working with regulators worldwide to create clear, responsible and enforceable emission standards.

“In the inimitable words of Henry Schacht, ‘facts are friendly,’” said Brian Mormino, Cummins Executive Director of Worldwide Environmental Strategy and Compliance. “We aren’t afraid to ask the tough questions.
Our currency is credibility and credible health effects science is the bedrock of good regulations.”

The institute posed some tough questions in a recent study that was the first to conduct a comprehensive evaluation of lifetime exposure to exhaust from new technology diesel engines (NTDE). It found no evidence of carcinogenic lung tumors. The Advanced Collaborative Emissions Study (ACES) also confirmed that the concentrations of particulate matter and toxic air pollutants emitted from NTDE are more than 90 percent lower than emissions from traditional older diesel engines (TDE).

“This study is significant because it is the culmination of 30 years of technology development to clean diesel exhaust,” said Cummins’ Rich Wagner, Director of Global Product Certification and Compliance.

Cummins’ relationship with HEI is mutually beneficial; the Company often provides technical consultation and guidance to HEI studies. For example, Cummins served on the working group for the lifetime exposure study and helped identify the study’s measurement techniques of emissions levels that are also used in Cummins’ own research and development of emissions technology.

“The lung tissue samples that showed clean results are really a credit to the engineers who were able to bring emissions levels down so low,” said Dan Greenbaum, HEI President, during a health effects panel discussion hosted by Cummins in February 2015.

Even as improvements have been made to diesel emissions, air quality continues to be a serious challenge in many parts of the world. According to the World Health Organization, urban outdoor air pollution is estimated to cause 3.1 million premature deaths per year worldwide.

To reflect this reality, HEI has expanded its research in India and China where ambient particulate matter pollution is the fourth largest disease burden causing premature death and in large cities like Beijing where vehicle emissions are the largest source of dangerous particulate matter.

Other strategic topics for HEI include studying the health effects of biofuels, the toxicity of gas direct injection in passenger vehicles (GDI), and examining the impact of traffic and port emissions on health.

RESEARCH AND DEVELOPMENT COLLABORATION

Cummins longstanding partnerships with the U.S. Department of Energy (DOE) and other federal and state agencies directly support the United States’ goal of reducing greenhouse gas (GHG) emissions and net oil imports. The partnerships also help the U.S. achieve further improvements in energy productivity while sustaining a steady reduction in criteria emissions from the nation’s transportation and distributed power generation fleet. The Company’s current and recently completed public-private projects involving DOE, except where noted, include: The SuperTruck Project team significantly exceeded its engine and vehicle freight efficiency targets and completed its 55 percent brake thermal efficiency (BTE) technology scoping and demonstration efforts. The team identified two clear BTE pathways, one using diesel fuel and another using alternative fuels. The ATLAS (Advanced Technology Light Automotive Systems) project team significantly exceeded its 40 percent fuel economy improvement target, at Tier 2 / Bin 2 criteria emission levels, by delivering a 60 percent improvement in Corporate Average Fuel Economyv (CAFE) compared to the program’s gasoline engine powered baseline 1⁄2 ton pickup truck. Numerous innovative engine features delivered outstanding performance and emissions while weighing 80 pounds less than the all- aluminum gasoline baseline engine, including aftertreatment. The SLTNR (Sustained Low Temperature NOx Reduction) project was launched in early 2015 to develop and demonstrate catalyst and reductant delivery technologies capable of improving the robustness of high-performance NOx (oxides of nitrogen) aftertreatment over temperature-challenged real- world-duty cycles. The EDPCI (E85/Diesel Premixed Compression Ignition) project was also launched about the same time, building on learning from SuperTruck, to develop and demonstrate high-efficiency dual- fuel engine operation in Class 8 trucks that commonly haul freight on North American highways. The Ultra-Low Carbon Powertrain program (also known as ETHOS), a partnership with the California Energy Commission, significantly exceeded its 50 percent greenhouse gas (GHG) emission reduction target through a downsized medium-duty engine/ powertrain optimized for E85 ethanol. Vehicle tests completed in Sacramento, California (U.S.A.), showed a 50 percent to 80 percent GHG reduction, depending on the drive cycle and type of ethanol feedstock. The HD Ultra-Low NOx Natural Gas program, a partnership with California’s South Coast Air Quality Management District (SCAQMD) and other California entities, is developing 0.02 gram/bhp-hr NOx technologies, while maximizing engine efficiency. This technology addresses the needs of regions in California and other places worldwide where significant ambient air-quality issues persist. Underlying Cummins’ system- integration programs is a valuable portfolio of collaborative research and development agreements that team, and fund, world-class researchers at the DOE’s system of national laboratories with their counterparts at Cummins. They jointly work on such things as combustion modeling and diagnostics, materials science, catalysis fundamentals, hybridization and more.

ENVIRONMENTAL DEFENSE FUND

Cummins continues to collaborate with the Environmental Defense Fund (EDF) to learn more about fugitive methane emissions from natural gas vehicles and the fuel supply chain. Through the sponsorship of a series of 16 independent studies, EDF is coordinating the work of close to 100 universities, research facilities and industry partners that are contributing to this research including Cummins and the joint venture Cummins Westport. Information is being collected in several core areas: production, gathering lines and processing facilities, long-distance pipelines and storage, local distribution and commercial trucks and refueling stations. As producers of natural gas engines, Cummins and Cummins Westport are contributing to the study of fugitive methane emissions related to evaporative losses and incomplete combustion from vehicles, and fugitive emissions associated with fueling infrastructure. The study is led by West Virginia University. The results of the study will be submitted for peer-review in 2015.

RESEARCH PARTNERSHIP ON EMISSIONS

Cummins’ partnerships to address emissions regulations go back many years.

In 1977, the U.S. Environmental Protection Agency (EPA) amended the Clean Air Act to place new controls on diesel emissions and the industry was challenged to adapt to the unprecedented regulation.

At the time, very little was known about the effects of diesel emissions on health. In response to the EPA’s new regulation, then Cummins Chairman and CEO Henry Schacht decided to form a consortium of experts and interested parties to objectively and independently study the health effects of diesel emissions.

Guided by the belief that all of society benefits from objective and rigorous science, Schacht brought the engine and vehicle industries together with then EPA Administrator Doug Costle in 1980 to form the Health Effects Institute (HEI). Funded jointly by the EPA and industry, HEI is a non-partisan and not-for-profit organization committed to providing high-quality, impartial, and relevant science regarding the effects of air pollution on health.

HEI has funded more than 250 studies in North America, Europe, and Asia, producing important research on carbon monoxide, air toxics, nitrogen oxides, diesel exhaust, ozone, particulate matter, and other pollutants. The institute’s work has been published in over 200 research and special reports.

Thirty-five years after the creation of the institute, Cummins’ partnership with HEI is just as strong as it was at the institute’s creation. As it has grown, HEI’s work has continued to investigate health effects in anticipation of regulation. Cummins relies on the institute as a trusted source of information when working with regulators worldwide to create clear, responsible and enforceable emission standards.

“In the inimitable words of Henry Schacht, ‘facts are friendly,’” said Brian Mormino, Cummins Executive Director of Worldwide Environmental Strategy and Compliance. “We aren’t afraid to ask the tough questions. Our currency is credibility and credible health effects science is the bedrock of good regulations.”

The institute posed some tough questions in a recent study that was the first to conduct a comprehensive evaluation of lifetime exposure to exhaust from new technology diesel engines (NTDE). It found no evidence of carcinogenic lung tumors. The Advanced Collaborative Emissions Study (ACES) also confirmed that the concentrations of particulate matter and toxic air pollutants emitted from NTDE are more than 90 percent lower than emissions from traditional older diesel engines (TDE).

“This study is significant because it is the culmination of 30 years of technology development to clean diesel exhaust,” said Cummins’ Rich Wagner, Director of Global Product Certification and Compliance.

Cummins’ relationship with HEI is mutually beneficial; the Company often provides technical consultation and guidance to HEI studies. For example, Cummins served on the working group for the lifetime exposure study and helped identify the study’s measurement techniques of emissions levels that are also used in Cummins’ own research and development of emissions technology.

“The lung tissue samples that showed clean results are really a credit to the engineers who were able to bring emissions levels down so low,” said Dan Greenbaum, HEI President, during a health effects panel discussion hosted by Cummins in February 2015.

Even as improvements have been made to diesel emissions, air quality continues to be a serious challenge in many parts of the world. According to the World Health Organization, urban outdoor air pollution is estimated to cause 3.1 million premature deaths per year worldwide.

To reflect this reality, HEI has expanded its research in India and China where ambient particulate matter pollution is the fourth largest disease burden causing premature death and in large cities like Beijing where vehicle emissions are the largest source of dangerous particulate matter.

Other strategic topics for HEI include studying the health effects of biofuels, the toxicity of gas direct injection in passenger vehicles (GDI), and examining the impact of traffic and port emissions on health.

GOVERNMENT RELATIONS

The Company’s Government Relations staff continues to advocate globally for policies, legislation, government research funding and regulatory guidelines that promote products and technologies that benefit the environment.

Cummins’ Government Relations efforts in the United States include working with Congress, the White House, state governments, trade associations and industry to support the Environmental Protection Agency (EPA) in developing greenhouse gas regulations in the U.S. for heavy-duty vehicles, and to broadly educate policy makers about how regulations, economic development and competitiveness can co-exist if developed properly.

In India, Cummins pushed for new generator emission standards recently released by the federal government for generator engines below 800 kW. Cummins strongly supported the adoption of these new standards, which will help improve India’s air quality.

In the transportation area, the Company is pushing for stronger emissions and fuel-economy rules, along with low sulfur diesel requirements across the country. Cummins also worked with the Society of Indian Automobile Manufacturers (SIAM) to organize the “Emissions Roadmap for the Future” roundtable in Delhi, which was attended by industry and government representatives who discussed the importance of diesel fuel efficiency as well as a clear emissions roadmap for India.

In China, Cummins is advocating for an overall effective enforcement environment for emissions regulations and a non-discriminatory certification/ testing mechanism for engines and vehicles. The Company also supports a broad consensus on fuel- economy regulations by working with government, trade associations and industry partners.

Cummins is encouraging the U.S. government to provide technical assistance and share best practices based on its leadership in this area of regulation. The Company is also working with the Chinese government to identify opportunities to promote combined heat and power solutions, telematics, natural gas engine applications and hybrid technology.

In Colombia, Cummins worked with the U.S. and Colombian governments to eliminate barriers for the importation of remanufactured goods. Remanufacturing provides benefits for the environment by using about 85 percent less energy compared to the mining, refining, melting and machining of new material. CUMMINS’ JAMESTOWN ENGINE PLANT RECOGNIZED FOR ENERGY EFFICIENCY Cummins’ Jamestown Engine Plant showed off its energy-efficiency efforts in 2014, earning a “top visit” accolade from U.S. Department of Energy (DOE) officials.

When the Company joined the Better Buildings, Better Plants program as a Challenge Partner in 2011, it was required to share a Showcase Project, one that models leading energy-efficiency practices, involves significant investment and results in substantial energy savings.

Cummins’ plant in Jamestown, close to the famed Lake Chautauqua in New York state (U.S.A.), was undergoing a deep retrofit upgrade that made it the perfect choice. Critical equipment had been updated, leading to increased energy efficiency, as well as greater reliability and operational stability.

The Company initiated a phased, whole-building energy and infrastructure improvement project, setting aside $5.1 million specifically for energy-efficiency projects. Leaders say the plant is on track to achieve a 30 percent reduction in energy use and cost.

Maria Vargas, Senior Program Advisor in the DOE’s Office of Energy Efficiency and Renewable Energy and Andre deFontaine, Program Manager in the Advanced Manufacturing Office, came to tour the plant in late 2014, joined by several members of the media.

Plant leadership updated them on heating, air conditioning and air handling upgrades; LED lighting on the shop floor; compressed air and roofing improvements and the 2 megawatt solar array on the roof. It is capable of generating about a third of the plant’s power on the sunniest days. There are more than 7,000 solar panels covering about half a million square feet on the roof.

SCIENCE AND TECHNOLOGY ADVISORY

Cummins seeks advice from its Science and Technology Advisory Council in developing products to comply with various standards, reduce the Company’s environmental footprint and meet customer demands.

The Council, formed in 1993, has given Cummins access to some of the country’s leading scientific experts and policymakers from the worlds of academia, industry and government. The Council was restructured in 2010 to make it easier to access a broader group of international specialists and align their expertise with specific topics being addressed at a particular time.

The permanent council members are: Chairman Dr. Gerald Wilson, former Dean of Engineering at the Massachusetts Institute of Technology Dr. Harold Brown, former U.S. Secretary of Defense and former President of the California Institute of Technology Other senior international scientists and engineers are invited to participate as advisors depending on the topic.

The Safety, Environment and Technology Committee of the Cummins Board of Directors also advises senior leaders and the technical leadership at Cummins regarding: Environmental and technological strategies, compliance programs and major projects as they relate to the Company and its products. Public policy developments, strategies and positions taken by the Company regarding safety, environmental and technical matters. Progress of strategic environmental programs and policies.

ACADEMIC

Cummins has continued to partner with universities around the world to collaborate on important environmental research topics. For example, the Massachusetts Institute of Technology’s Environmentally Benign Manufacturing Group is evaluating the environmental impacts of advanced manufacturing technologies, such as Additive Manufacturing.

The university is investigating the process parameters that allow for the most energy efficient Additive Manufacturing, using both metals and polymers. In the future, MIT will assess additional environmental impacts of Additive Manufacturing in the fabrication of engine components.

BUSINESS COALITIONS

The Company sits on the U.S. EPA’s Clean Air Act Advisory Council and the North American Council for Freight Efficiency. In addition, Cummins is a member of the Business Roundtable’s S.E.E. (Society, Environment and Economy) Change initiative, which encourages member companies to lead by example and adopt business strategies and projects that measurably improve society, the environment and the economy. Chairman and CEO Tom Linebarger leads the Business Roundtable’s International Engagement Committee and Cummins has been a regular contributor to the Roundtable’s annual sustainability report.

SUSTAINABILITY REPORTING

Cummins takes a number of steps to report on its environmental performance to the public and work with other companies to share best practices. For the past nine years, the Company has participated in the Carbon Disclosure Project (CDP) reporting initiative, supported by an institutional investor consortium that seeks to encourage greater public environmental reporting among companies. CDP asks companies to provide details on their carbon emissions, their response to the impact of climate change on their markets and regulatory environment, their use of energy and planning for the future.

Cummins has participated in the CDP Water Disclosure Project for the past two years and was one of a handful of companies to agree to have its responses scored. Cummins’ water program was rated in the “leadership” category.