I PLAN TO READ
THE FOLLOWING COMMENTS AT THE MEETING:
Hello. My name is Brent
Coffey and I represent Sunbelt Rentals as a leader of our Fleet
Team. Thank you for
the opportunity to share a little about our organization and how we
are thinking about the program CORE has introduced to enhance the
penetration of Zero-Emissions products in the state of California.
Sunbelt Rentals operates
nearly 1,200 locations across North America, with over 100 of those
located right here in California. Additionally, we operate over 160
locations across the UK and Ireland,. With over $15B of fleet owned
globally, we are one of the largest single owners of combustion
engines in the world. However, we are also an active investor and
market leaders of Zero-Emission equipment to serve the rental
industry which touches all things construction and
non-construction.
Sunbelt takes
Zero-Emissions seriously. So seriously that we have aligned
ourselves alongside our OEM partners to develop zero-emissions
products to ensure they meet the stringent demands of our
customers. There is no better example than the newest introduction
of Zero-Emissions products to our fleet, as well as the State of
California, than the Bobcat T7X All-Electric Compact Track Loader.
Sunbelt and Bobcat spent close to 3 years co-developing this
product on customer jobsites throughout the country and in the
harshest of environments. One of those jobsites was the Edwards
& Sanborn solar and energy storage project located here in
California, just outside of Mojave, CA. Not only is it the largest
single-site solar and energy storage projects in the world, but it
is also one of the harshest environments to operate equipment. It
was only fitting that we proved out this product in a
zero-emissions environment that would push the product to its
limits. The good news…..it passed the test. The better
news…..it is now available in our fleet for customers and
jobsites to use. In fact, the first one off the production line
landed in our West Sacramento location about 1 month ago and many
more are on their way.
The T7X was one of the
few products that qualified for the CORE program in 2022. Because
of its advanced technologies, costs have always been one of the
concerns when it comes to gaining traction in the marketplace.
Bobcat worked hard to get the product CORE-qualified, and Sunbelt
made the investment. As a result, Sunbelt is allocating a
substantial portion of the T7X’s we are purchasing to the
California market. The CORE program has closed the cost-gap to a
point that end-users can now rent these products at a price-point
comparable to the diesel alternative in California. In doing so, we
are already seeing demand grow and expect this trend to continue
for the foreseeable future. We continue to support other zero
emission products through continued investments in energy storage,
alternative fuel power generation and advanced charging solutions
to ensure these products reach maximum productivity regardless of
the jobsite.
Our customers, who range
from Fortune 500 companies to the local homeowners and we are
confident they have great interest and support for zero emissions
products. However,
they often times view them as risky as these products and solutions
are an area requiring significant education and awareness. The concerns voiced in the
past including reliability availability, practicality and
cost. This is why we
are confident the rental industry is best suited to tackle this
head on and create space for companies, cities and consumers to
rely on companies like Sunbelt Rentals to fill this void. It is the rental channel
that eliminates the ownership cost premium, provide direct access
to manufacturers, eliminate investment as well as the
infrastructure to support power and charging. This has not only
placed Sunbelt in the position of developing and investing in the
fleet but also serving as an advisor to companies, contractors and
other customers on how to effectively run a jobsite on-time and
on-budget, with as few emissions as possible.
Looking forward, Sunbelt
continues to lead the construction industry in the advancement and
investments in Zero-Emissions products. Not only is it part of our
corporate strategy, it is a demand from our customers and a
commitment we have made as market leaders and stewards of the
environment. Our relationship with CARB and the CORE program has
already been instrumental in the expansion of Zero-Emissions
products in the State of California and we are already working
together jointly on what is coming next. Sunbelt, and our
customers, are thankful for the investments made by the state and
we will continue to be a partner with CARB in the future to bring
technology to the market that reduces greenhouse gases while
improving productivity and safety.
Thank you for the
opportunity.
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