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Contractors Facing Complicated, Varied Emissions Compliance
"In many cases," he said, "these will be voluntary efforts funded through federal and state programs such as the Diesel Emissions Reduction Act where governments offer financial incentives for owners to retrofit. In other cases, governments will decide to use the bid specification route to require contractors bidding on projects to use retrofitted equipment. We would expect that such programs will continue to grow over the next several years."
Retrofits For Rental Equipment
Many contractors, utility providers, and government utilities depend heavily on rented equipment for construction and maintenance projects.
To make sure their customers have access to equipment that meets emission standards, rental centers are attentive to EPA and state and local emission rules.
Bruce Lafky, United Rentals vice president for service and maintenance, said changes in emission standards are very much on the radar of United Rentals, the world's largest renter of construction equipment.
"Given the thousands of diesel units in our fleet," said Lafky, "we have several compliance strategies in place, primarily replacement or transfer depending on age.
"The breadth of our branch footprint gives us the opportunity to move diesel equipment around to geographies where it complies with regulations. We may consider retrofit, but for a rental company that cost generally has a poor return on investment unless the company plans to hold onto the equipment for a considerable period.
Lafky said many states and municipalities are still feeling their way forward with regulations.
"For example," he explained, "the New York City requirement is that off road diesel equipment deploy the best technology available' for emissions control. This can mean the latest model on the market, but sometimes it requires the installation of an after market scrubber or diesel particulate filter, which has downstream cost implications for the end renter. Fortunately, United Rentals has a relatively new fleet within the applications most affected by emission standards."