Common use of Problem Statement Clause in Contracts

Problem Statement. Medium-duty and heavy-duty (MD/HD) vehicles represent a small share of California registered vehicle stock, accounting for about one million out of 31 million vehicles, or 3 percent; however, this small number of vehicles is responsible for about 23 percent of on-road greenhouse gas (GHG) emissions in the state because of comparatively low fuel efficiency and the high number of miles traveled per year. MD/HD vehicles additionally account for nearly 60 percent of Nitrogen Oxides (NOX) and 52 percent of Particulate Matter (2.5 Micrometers and smaller) (PM2.5) emissions from on-road transportation in California. For these reasons, MD/HD vehicles represent a significant opportunity to reduce GHG emissions and criteria emissions while focusing on a small number of vehicles. In response, California has led the nation in the development of projects incentivizing the adoption of MD/HD advanced vehicle technologies. Since 2010, the state has invested $530 million in such projects, resulting in the deployment of more than 9,000 new clean vehicles on California’s roads. Critical barriers remain, however, that threaten to slow the pace of clean vehicle adoption. Foremost among these are the high cost of zero-emission vehicle (▇▇▇) infrastructure, the relative scarcity of public incentives for such infrastructure, and a significant knowledge gap among fleet owners about ▇▇▇ infrastructure technology, permitting, and installation. The consequences of these barriers are magnified in many of the areas most in need of the improvements in air quality—areas categorized as disadvantaged, low-income, and tribal communities—which often suffer from poverty, unemployment, and lower educational attainment.