1. Renewable Natural Gas (RNG) RNG as a Transportation Fuel What is it? Where does it come from? Costs Benefits

2. CALSTART: A Strategic Broker for Advanced Transportation 2010 130+ Worldwide Participant Network 3 Offices in US Four focus areas: Tech Commercialization Fleet, Port Consulting Industry Services Policy Development National and International in Project Areas

3. Methane Natural gas RNG Natural Gas & RNG Renewable Fuel Fossil Fuel Less GHG Emissionsthan Petroleum Net zero or negative GHG Emissions

4. Renewable Natural Gas RNG is renewable Net zero or even negative GHG emissions Climate change will become the predominant driver going forward NG vehicle market growing in CA (20% transit are NGV) NG is 30% cheaper than gasoline RNG Residential Industrial NG Filling stations Renaissance in interest in biomethane in CA

5. RNG, Biomethane & Biogas Biogas is a naturally occurring byproduct of decomposing organic material Sources: municipal solid waste, animal waste agricultural waste, etc… RNG or Biomethane is cleaned-up biogas after removal of CO2, H2O, H2S, and other RNG is identical in composition to natural gas – mostly methane (CH4)

7. Animal byproducts

8. Wood waste

9. Rice and wheat straw

10. MSW

12. Biogas & RNG: Economic Assessment RNG (Biomethane) is a renewable and low-carbon transportation fuel What are the costs? Based on actual production cost data from agricultural farm waste Biogas production via digestion Upgrading biogas to biomethane Total cost of biomethane produced can be competitive with conventional natural gas $9-11/MMBTU for small facility $6-8/MMBTU for medium facility vs $5-8/MMBTU market price for NG (variable - lower right now - $4) Methane Off-the-Shelf Equipment is Used to Upgrade Digester Gas to Transportation Quality Biomethane

14. Less than half the carbon emissions of electricity and H2

15. Lower carbon emissions than cellulosic ethanolOther Alt. Fuels Fossil Fuels

16. Natural Gas is a Proven and Reliable Alternative Fuel More than 6,000 buses are powered by natural gas in the United States – most of which are in Southern California CA has an impressive network of >150 public NG refueling stations that make driving any where in the state feasible RNG could easily supply all CA NG vehicles: Nearly 15 billion ft3 potential About 1.4 billion GGEs