State DOT Develops Fleet Electrification Strategy

Challenge

A state department of transportation managing 22,000 lane miles of highway and 3,800 bridges operated a fleet of 4,500 vehicles and 850 pieces of heavy equipment across 180 facilities statewide. The fleet consumed 8.2 million gallons of diesel and 3.1 million gallons of gasoline annually, costing $42 million in fuel and generating approximately 125,000 metric tons of CO2e. The governor's executive order mandated 100% zero-emission light-duty fleet procurement by 2030 and 100% zero-emission medium- and heavy-duty fleet procurement by 2035 where commercially available.

The DOT faced several practical barriers. Its facilities were geographically dispersed — 180 maintenance yards, many in rural areas with limited electrical grid capacity. The fleet included specialized vehicles (snowplows, arrow board trucks, crash attenuators) with no commercially available electric equivalents. The agency's procurement process was designed around lowest-bid purchasing, not total cost of ownership analysis. And the workforce — mechanics trained on diesel and gasoline engines — needed retraining for high-voltage electric drivetrains.

Approach

Fleet and Facility Assessment (Months 1-5)

We conducted a comprehensive fleet utilization analysis using telematics data from 3,200 vehicles equipped with GPS tracking. For each vehicle, we mapped daily mileage patterns, idle time, route characteristics, and return-to-base frequency. This data determined which vehicles could be replaced with currently available EVs without operational disruption.

Simultaneously, we assessed electrical infrastructure at all 180 facilities — existing service capacity, distance to utility feeders, panel condition, and available space for charging equipment. We worked with the state's two major utilities and three rural electric cooperatives to identify sites requiring service upgrades and estimate costs and timelines.

Vehicle Segmentation and Prioritization (Months 3-7)

We segmented the fleet into five transition tiers based on commercial EV availability, operational compatibility, and TCO benefit:

Tier 1 (immediate — 1,200 vehicles): Light-duty sedans, SUVs, and pickups with daily ranges under 150 miles. TCO analysis showed 25-35% savings over vehicle lifetime.

Tier 2 (near-term — 800 vehicles): Medium-duty utility trucks, cargo vans, and bucket trucks. Several models commercially available with 2-3 year payback on incremental cost.

Tier 3 (mid-term — 600 vehicles): Class 6-7 dump trucks and flatbeds. Limited but growing commercial availability.

Tier 4 (emerging — 400 vehicles): Heavy-duty snowplows, loaders, and specialized equipment. No commercially available options — monitored for technology development.

Tier 5 (long-term — 1,500 pieces of equipment): Off-road construction equipment. Emerging electric options in some categories.

Implementation Roadmap and Budget (Months 6-11)

We developed a 12-year transition plan aligned with natural fleet replacement cycles. Rather than retiring vehicles early (creating budget shocks), the plan replaced vehicles with electric alternatives at their normal end-of-life, minimizing incremental capital costs. We identified $34 million in available federal funding (FHWA Charging and Fueling Infrastructure Program, EPA Clean Heavy-Duty Vehicle Program, DOE grants) and modeled the annual fuel and maintenance savings that would offset higher upfront vehicle costs over time.

The infrastructure plan phased charging installation across facilities, starting with the 40 highest-utilization depots and expanding to full coverage over eight years. We designed a standardized charging installation package (electrical design, equipment specifications, network management software) to streamline procurement across 180 sites.

Workforce Development Plan (Months 8-12)

We designed a workforce transition program including EV maintenance certification for 120 mechanics, high-voltage safety training for all maintenance staff, charging infrastructure maintenance protocols, and partnerships with two community colleges to establish permanent EV technician training programs.

Results

• Phased electrification plan adopted covering all 4,500 vehicles and 850 pieces of equipment with year-by-year transition schedules through 2037
• 620 electric vehicles deployed in the first two years (Tier 1 light-duty), with measured fuel cost savings of $3,800 per vehicle annually
• 42 depot charging installations completed (Phase 1), providing 840 Level 2 ports and 48 DC fast chargers
• $28 million in projected annual fuel savings at full fleet electrification, based on actual energy costs at deployed sites
• Maintenance costs 38% lower for electric vehicles compared to equivalent diesel/gas vehicles in the fleet, based on 18 months of operational data
• $34 million in federal grants secured across three programs, covering 65% of Phase 1 charging infrastructure costs
• 120 mechanics certified in EV maintenance and high-voltage safety, with two community college programs enrolling their first cohorts
• Fleet emissions projected to decline 65% by 2035 based on the adopted transition schedule, with full zero-emission fleet achievable by 2037 assuming continued technology development for Tier 4 and 5 vehicles
• Procurement policy updated from lowest-bid to total-cost-of-ownership evaluation, applicable to all fleet purchases — a systemic change that benefits the agency beyond electrification

Key Takeaways

Use telematics data to make the business case. Real-world fleet utilization data — not manufacturer specifications or assumptions — determines which vehicles can transition today. The data consistently showed that more vehicles could switch to electric than managers initially expected.

Align with replacement cycles. Forcing early retirement of working vehicles creates budget conflicts and political resistance. Matching EV procurement to natural replacement schedules makes electrification nearly budget-neutral on a capital basis, with fuel and maintenance savings providing net returns.

Infrastructure is the bottleneck, not vehicles. Electrical service upgrades take 12-24 months. Agencies that start planning charging infrastructure after ordering vehicles will face costly delays. Infrastructure planning should lead vehicle procurement by at least 18 months.

Change procurement rules. Total cost of ownership evaluation — not lowest purchase price — is essential for fleet electrification. This often requires formal policy changes to procurement regulations, which take time and political effort but are foundational to the transition.