Gallagher Asphalt, a Chicago-based contractor, embraces electric vehicles for sustainability. CEO Dan Gallagher credits Tesla with inspiring the shift to EVs in their fleet, citing lower operational costs and improved efficiency. They aim to expand electric vehicle use throughout their business, foreseeing a future with more electric construction vehicles.
Photo courtesy of Dan Gallagher
Dan Gallagher with his Cybertruck at a company asphalt plant.
Nearly 100 years old, Gallagher Asphalt is a fourth generation, family-owned business with 225 employees. The Chicago-based company has four asphalt plants and numerous vehicles.
Dan Gallagher, CEO of the company, recently participated in the industry group The Road Forward. Composed of contractors, association members and academics, the group discussed how to implement ways to reduce the construction industry's carbon footprint.
Q: You have stated that sustainability has always been an important issue for the asphalt industry.
A: Yes. Some 50 years ago, the industry began emphasizing recycled asphalt as a means of saving money without compromising road performance. That has been very successful. I appreciate the work done by organizations like the National Asphalt Pavement Association (NAPA) and National Center for Asphalt Technology (NCAT) in helping us to learn about how to build longer-lasting pavements. That's a key part of sustainability and reducing our energy consumption.
Now there is an opportunity to begin using electric vehicles as a part of our fleets. Sustainability lines up with reducing energy consumption.
Q: How did you first learn about electric vehicles and think about using them in construction?
A: It began when I was coming out of church one Sunday when I saw a Tesla in the parking lot. I met the owner, and he insisted on taking me, my son and a friend for a ride. He pulled onto the road and impressed me with the vehicle's acceleration. I drive to Springfield, the state capital a few times a year, to Peoria and other cities, so I started clocking my mileage. I wanted to see where the charging stations were. I thought I could make this work and decided to get a Tesla.
I got my first Tesla in 2015. I had always driven an SUV or pick-up, so, this was a first for me. I now have 185,000 miles and have not changed the brakes yet.
I haven't once regretted my decision to go electric. It has convinced me that electric vehicles are the future.
Q: What about the drawbacks — range, etc.?
A: Technology is always moving rapidly forward. Our industry is good at being flexible. I believe we are going to see the same thing in battery technology. My car has a 250-mi. range when I purchased it in 2015 and now after nine years and 185,000 mi., I get 226 mi. on a charge. I still have the original battery. Manufacturers are coming out with a more than 400-mi. range now. In the next year or so, it might be up to 500 mi.
Six of our employees own/drive Teslas. I have ordered four electric pick-ups as well as a semi. I have taken delivery of one Cybertruck and it is a great truck. We have charging stations here at the office and, of course, people can charge their vehicles at home. I can see this expanding beyond just personal use to commercial use.
Q: How will having electric vehicles change your business?
A: The vehicles have fewer mechanical parts, so they should be easier to service.
We usually aren't doing too many long hauls, and these trips would be easily in the range of the battery. It's going to make believers out of truck drivers. Most people are slow to change, but I believe they will soon see the advantages of electric vehicles.
I believe when the semis arrive, they will be like my car with smooth acceleration and regenerative braking that will generate electricity to power the vehicles. I believe the new trucks will have less wear and tear on brakes, adding more life to the vehicles. And, of course, the vehicles will not need oil changes and some other routine maintenance.
Q: Other vehicles as well?
A: As battery technology advances, I can see a day when more and more of the construction fleet will be electric, including rollers, pavers and dozers. I'm not sure how it would work in the field — perhaps a battery swap?
Q: What are some of the other considerations that the industry needs to be aware of?
A: For electric cars, there were several tax breaks available. Those breaks have been removed because manufacturers have sold enough vehicles. But that might happen for semis. Of course, it would be nice if there were more places on the road to stop and charge. I'm not big on tax breaks. I believe technology has to prove itself. Still, I believe there is a movement in the industry that will help these innovations through various kinds of incentives.
At our asphalt plants, we have plenty of power, which would make them good places to charge the electric vehicles. We would be charging off-peak, and there are incentives for that. There are benefits to that instead of facing the challenges of having to find a place on the road to charge.
Q: How would you compare the costs of electric versus gas- or diesel-powered vehicles?
A: The electric vehicles could be up to one-third of the cost to operate. Of course, the vehicles will cost more to purchase. But this is a case of being an early adopter to new technology. For example, Tesla's Model 3 and Model Y are more reasonably priced than the newly released vehicles.
I know from my travels there are apps you can use to find charging locations. Not all of them are dedicated to Teslas. As the price of batteries continues to fall, the savings will increase dramatically.
To hear Dan Gallagher being interviewed on the topic "Electrification is Here," check out the podcast "Pave it Black", hosted by National Asphalt Pavement Association: asphaltpavement.org/news-resources/podcast. The podcast is moderated by Richard Willis and Brett Williams of NAPA. CEG
Photo courtesy of Dan Gallagher
Dan Gallagher and family members, all part of a fourth-generation business, stand in front of a 1925 antique Buffalo Springfield steam roller.
Chuck MacDonald
Chuck MacDonald is an editor, blogger and freelance feature writer whose writing adventures have taken him to 48 states and 10 countries. He has been the editor for magazines on pavement construction, chemicals, insurance and missions. Chuck enjoys bicycling, kayaking and reading. He graduated from the University of Missouri with a degree in journalism. Chuck lives in Annapolis, Md. with his wife Kristen. They have seven grandchildren.
Read more from Chuck MacDonald here.
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