The state of Michigan owns or leases 14,354 vehicles, according to the 2023 State of Michigan Fleet Plan. In FY2022, the State’s leased fleet utilized 6,175,773 gallons of fuel, traveling 101,820,541 miles. These large volumes of fuel and miles traveled by state fleet vehicles present an opportunity for Michigan to invest in technology that will demonstrate our State’s leadership in clean mobility, while also promoting efficiency and improving air quality.
In March, Clean Fuels Michigan and twenty-five members and advocacy partners sent a letter to advocate for state budget investments in clean fleet programs. If approved, the Michigan Clean Fleets Initiative will provide $45 million in grants to counties, municipalities, airports, and regional transportation authorities to convert fleet operations to net-zero greenhouse gas emissions. Also, the State Fleet Electrification program would provide $10 million to begin transitioning the state’s vehicle fleet to electric vehicles.
While newer technology often comes with higher upfront prices and additional costs to update facilities with refueling or charging equipment, investing in clean fleets offers several advantages:
- Financial Savings: In 2019, the Michigan fleet had an average fuel economy of only 17 mpg. Over time, clean vehicles will save Michigan taxpayers by reducing fuel and maintenance costs. A report from Berkeley Lab found that per mile, the total cost of ownership for electric fleets is 13% lower.
- Community Benefits: By focusing on public fleets, this funding will go directly into the Michigan communities that need cleaner air and more mobility options.
- Leverage Federal Funds: These programs can work with the Clean Heavy Duty Vehicles Program to win competitive federal funds for projects in Michigan and spread the Clean Fleet Initiative further.
- Cleaner Air: A medium-duty electric pickup truck saves, on average, 32.5 tons of greenhouse gas emissions, creating cleaner air for everyone to breathe.
Other states have successfully integrated clean vehicles into their state fleets. For example, Connecticut, Maine, and Illinois have started including electric vehicles in their state fleets. Increased consumer awareness surrounding EVs in these states displays how state fleets can be a powerful tool to accelerate market growth.
Current Status: The Michigan Clean Fleet initiative was proposed in Governor Whitmer’s budget but is currently not included in the House or Senate Budgets. Funding this program at the full $45 million as proposed in the Governor’s budget recommendation is an opportunity to use state funds to benefit Michiganders and the clean mobility industry. The State Fleet Electrification Program was proposed at $10 million and is included in the House at the full amount, and in the Senate at $2.5 million. We encourage the legislature to fund both of these programs, as they will support Michigan’s leadership in clean mobility and save taxpayer dollars over time.
