Thanks for taking the time…

Thanks for taking the time to meet with us yesterday. Walmart Canada is very excited about this program and believe it can be a great catalyst towards reducing our emissions in Ontario. As mentioned we believe that the Off- Road segment of our business currently has the most potential for conversion to electric vehicles from Diesel. I have included some details below on our 4 week trial of an electric Shunt Truck Currently, this unit would fall outside of the scope of the program as we don’t license our yard trucks. Given our conversation yesterday, we would consider purchasing vehicles that meet road requirements and licensing these vehicles to be eligible for the rebate. As you can appreciate this would be an extra cost and added barrier to our business which we believe can be avoided if the Ministry would consider including these utility vehicles into the program.

Walmart currently operates 30 Shunt Trucks in Ontario with an annual diesel consumption of approximately 600,000 Litres. I have provided an analysis of the costs and potential GHG reduction targets that we expect to achieve with the purchase of electric vehicles for you to consider as your review the program guidelines and make recommendations moving forward.

•   Functionally the truck met Walmart’s operation demands (range, power, speed, safety).

•   Significant GHG Reduction:
o    Diesel Truck approximately 27, 5000 Litre per year = 74,250 GHG (kg)
o  BYD Truck approximately 25,000 kwh per year = 130 GHG (kg)

As you can see, there is a substantial case to have off-road yard tractors considered as part of this program as we would see immediate GHG reduction which is the goal of the program.

As I mentioned, we are excited about the announcement coming out of Tesla later this month where they are expected to unveil a fully electric Class 8 On-Road tractor with 250 miles of range. This solution is especially attractive to our Ontario fleet where we operate 180 daycab tractors of which 75% operate in this 250 mile range on a daily basis. Once we have a better understanding of this potential opportunity as well as with other Canadian manufacturers of electric on-road vehicles we will be in a better position to evaluate the any future opportunities to further reduce the our reliance on diesel and reduce our overall emissions in Canada.

Can you confirm whether there is a cap on the number of units that would qualify for this incentive?

Please let me know if you have any questions or would like any more information about our Walmart Canada’s Fleet or transportation network.

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