Westport Receives Clean Transportation Funding for Natural Gas Engines Incentive Program

DIAMOND BAR, Calif. March 12, 2007 - The Mobile Source Air Pollution Reduction Review Committee (MSRC) is making up to $2 million in Clean Transportation Funding available for Westport Fuel Systems, a wholly owned subsidiary of Westport Innovations Inc. (Westport), to implement the Advanced Natural Gas Heavy-Duty Engine Incentives Program. This program is designed to reduce emissions from motor vehicles by providing financial incentives to buyers of qualified natural gas fueled engines, as part of the MSRC's 2005-06 Discretionary Fund Work Program.
The incentives under this program are available to vehicle owners who wish to purchase Westport's High Pressure Direct Injection (HPDI) liquefied natural gas (LNG) system applied to a Cummins ISX heavy-duty truck engine. Qualified vehicle owners can receive a $50,000 rebate on each dedicated HPDI System that is purchased.
"Westport's LNG system for Class 8 heavy-duty vehicles represents leading edge technology that significantly reduces emissions of nitrogen oxides, particulates, and carbon while maintaining the power, torque and reliability of the diesel engine. We applaud and appreciate the MSRC's efforts to support the adoption of this technology and are pleased to be a part of their work to fund local clean transportation projects to improve our air quality," said Dr. Michael Gallagher, Westport's President and Chief Operating Officer. "We look forward to bringing our LNG system to local vehicle operators so that they can experience the benefits of using natural gas in their heavy-duty engines. With this rebate, the HPDI LNG system will be competitive with incumbent engine technologies on a life-cycle cost basis while producing lower emissions."
The HPDI system enables the Cummins ISX engine to operate with more than 95% of the diesel fuel being replaced by natural gas. Natural gas is directly injected at high pressure in the engine, which reproduces key assets of diesel engines, such as high efficiency over the speed and torque operating range, high torque capability, and robust reliability, while reducing many of the negative air quality impacts.
The MSRC is providing Clean Transportation Funding for this incentive program because the HPDI System will provide significant benefits to local air quality, compared with diesel engines. Vehicles employing this technology have their nitrogen oxide emissions reduced by 40% to 50%, particulate matter reduced by approximately 80%, and greenhouse gas emissions reduced by up to 20%. Moreover, using natural gas to fuel these heavy-duty vehicles helps reduce oil dependence. Vehicles eligible under this program must accrue at least 75% of their annual mileage or engine hours of operation within the South Coast Air Quality Management District for at least three years.
"Much of our air pollution comes from diesel heavy-duty trucks, and the MSRC strives to develop innovative solutions, such as the Advanced Natural Gas Heavy-Duty Engine Incentives Program, to help combat tough air pollution problems," said MSRC Chair Gwenn Norton-Perry. "With Clean Transportation Funding from the MSRC, heavy-duty vehicle operators have the opportunity to take advantage of cutting-edge clean air technology, such as Westport's HPDI system."
All vehicles receiving the rebate under this program must be equipped with the HPDI System and be put into service by December 31, 2007.