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Tuesday, December 02, 2008

Autos: Let the new world order begin

Everything soon as efficient as the Prius?

By 2020, if all goes well, the average fleet-wide fuel economy of the US fleet will be 35 mpg, a far cry from the fuel efficiency required to end foreign oil dependency. On the upside, there could be more than a million plug-in vehicles on the road by 2020.

Unfortunately, even if automakers are selling 1 million plug-ins per year in the US by 2020, probably an aggressive number, that would still represent significantly less than 10 percent of total yearly US auto sales, and we'll still be very dependent upon Persian Gulf oil.

Yet, achieving that million EV mark is going to cost many, many billions in government tax incentives. Even then, most automakers will make little profit off these vehicles. In fact, the move towards fuel economy is probably going to mean that total US auto sales per year will decline, even significantly.

Sadly, getting serious about fuel economy probably means significant job loss, not gain - at least in the US.

Is Congress even considering these issues as they ponder the legitimacy of the Big 3's plans for the future? We'll soon find out, but one thing is certain: bailing America out of its foreign oil dependency will cost far, far, far more than US automakers are seeking in loans.

Labels: Congress, Foreign Oil Dependency, fuel economy

posted by Dahcredyns at 7:15 AM

2 Comments:

Blogger BeyondGreen said...

Plug in cars would cost the equivalent of 60 cents per gallon to drive at the current average electric rates. The electricity to charge them could conceive ably come from solar or wind.We spent 168 billion on the last stimulus pkg that did nada for our economy. Why not invest in getting some alternative energy projects set up and running. It would create cheap clean energy and create new badly needed jobs. This past year the high cost of gas seriously damaged our economy and society. While we are doing the Happy Dance around the lower pierces at the pump OPEC is planning strategy to raise the price per barrel back up to between 75-100. per barrel.We really need to get on with alternative energy. Bail us out of our dependence on foreign oil and the control it has over our economy and society. There is a great new book out called The Manhattan Project of 2009 Energy Independence NOW by Jeff Wilson. I highly recommend this book for anyone who is worried about our economy and would like to see our country become energy independent. This is the best book out there on this subject. www.themanhattanprojectof2009.com

11:52 AM  
Blogger Chad said...

while i agree in theory, how much does he suggest it would cost?

al gore suggested spending more than $500 billion to get the necessary smart grid in place. as is with any building project, a new, super smart grid would probably cost more than projected. then add in the costs of solar, wind, etc.

moreover, the battery technology is still unproven, and it hasn't been proven that the materials will even be commercially available in a timely enough fashion.

the drive towards electrification must happen, but we have to be realistic. we need to make everything more efficient in the interim. push towards smaller, lighter, more aerodynamic vehicles immediately. add direct injection and start/stop to every vehicle produced today.

simply adding insulation to all homes could have a drastic impact on US energy consumption, for instance. there is much that can be done today. right now.

throwing a trillion+ at electrifying our wasteful culture seems a bit contradictory to me.

1:46 PM  

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