Automaker bailout with natural gas catch

Honda Civic natural gas vehicle next to a home refueling station

Today, Jim Cramer opened MadMoney with his vision for how Obama should solve most of America's major problems in the first 100 days. Regarding energy independence, Cramer called for an immediate automaker bailout, with a catch. To qualify for a bailout, automakers would have to make a serious commitment to natural gas vehicles.

Likewise, oil companies would have to add natural gas pumps to their stations if they wanted any tax incentives. I'd add, if they wanted to avoid a windfall profit tax.

Sounds compelling, however, I would insert some kind of fuel efficiency requirement or tax incentive that would ensure that hybrid and electric vehicle development continues concurrently during this transition. We don't need natural gas guzzlers.

Isn't it time to turn this financial crisis, this need for an automaker bailout, into a an opportunity to end foreign oil dependency ASAP?

I hate gas guzzlers

Gas guzzler.

Gas guzzler, gas guzzler, gas guzzler.

You see them everywhere. Huge SUV gas guzzlers. Luxury sedan gas guzzlers. Sports car guzzlers. Gas guzzlers everywhere.

But driving a gas guzzler is fun. It's about more than transportation. It sends a message. It tells people you can afford the gas. It makes you feel powerful. It can make a dork feel cool. A short person tall. A poor person rich. An impotent man virile. It's not about driving. It's about perception. And, since life is so short, why shouldn't you just do what you want, drive what you want?

Finish: I hate gas guzzlers

Biofuel wakeup call?

Another reason for automakers to retool their technology?

GM claims that it will take decades for technologies, such as hybrid cars or electric vehicles, to have a significant impact on foreign oil dependency and global warming emissions. Thus, the automaker has continually pushed for a huge increase in US ethanol production, continually dismissing all criticisms of the fuel.

Yet, the evidence against ethanol keeps mounting, and it just seems biofuels are not going to be an easy way out for automakers.

"Almost all biofuels used today cause more greenhouse gas emissions than conventional fuels if the full emissions costs of producing these “green” fuels are taken into account, two studies being published Thursday have concluded," writes the NYTimes this morning.

Romney wants to save US auto industry

Not bashing Detroit

After winning the Michigan primary Mitt Romney said he was going to save the US auto industry by "substantially increasing our investment in basic science and research, particularly in energy technology, fuel technology, automotive and material science technologies" (See the video).

Yet it seems the science and technology is largely available, it's making it happen that's key.

Hybrid cars, plug-in hybrids, electric vehicles, clean diesel, cellulosic ethanol, and lightweight materials are here today, it's making these technologies cost effective that's the problem. In order to do that economies of scale are probably the most critical factor. Unfortunately, Mr. Romney doesn't seem to address this issue.

Of course tax subsides and incentives might work, but it seems a gas tax is the easiest path forward, yet not one candidate running for President will touch such an idea with a 1000 foot pole.

My prediction: It doesn't matter one bit who becomes President, foreign oil dependency is tightening its grip around America's neck and the grip is only going to get tighter, much tighter. Too many Americans and EVERY single candidate for President can't handle the truth of artificially low gas pump prices and foreign oil dependency. So get ready to start choking.

Have FCVs gotten their mojo back?

Honda has definitely stepped up their fuel cell efforts

Recently, Honda stated that the near future for Honda was hybrid cars, then fuel cell vehicles. Electric cars would not be part of Honda's plans (more).

Is Honda crazy?

GM, Ford, Toyota, Hyundai and many other automakers have also been significantly ramping up their fuel cell vehicle efforts. It appears that a corner has been turned on fuel cell vehicles. Still, despite the amazing progress that fuel cell vehicles have made in the last couple of years, there is one HUGE problem.

Where is the hydrogen highway? Where are all these fuel cell vehicles going to refuel? In California, a hydrogen-leader, hydrogen filling stations are decreasing, not increasing, and building a new hydrogen highway infrastructure could cast as much as $500 billion according to some estimates.

So, is Honda crazy? Maybe, or maybe Honda's hydrogen Home Fueling Station is far closer to reality than the skeptics believe. Considering Honda's history, I wouldn't bet against them.

Paris in a hybrid, almost makes me want a Hummer

Paris going green

Boy, when stars like Paris Hilton start buying hybrid cars, I want to be supportive, but I just can't. I'm sure it won't be too long before Paris has her own green show telling us little people how to live.

(Source: Autobloggreen)

The Toyota Prius: The truth about hybrid cars

It's not just a niche vehicle for environmentalists

I just finished reading Karl On Cars' take on the Toyota Prius, and how the Prius outsold entire brands like, Acura, Audi, Buick, Infiniti, Lincoln, Mercury, Mitsubishi, Saturn, Scion, Subaru, Suzuki and Volvo. Not bad for a niche vehicle.

So, why aren't other hybrid cars selling as well?

Because there really isn't any competition. That's the plain and simple truth. Finish....

Lithium: The secret weapon of the auto industry?

Bob Lutz stands next to the Volt at its debut at NAIAS

"Lithium battery technology is being husbanded in Japan. It's like a secret weapon," GM's Bob Lutz recently told reporters at a meeting of the Western Automotive Journalists association. Thus, many Japanese companies would not bid on the battery contract for the Chevy Volt.

Mr. Lutz also criticized the U.S. government for not being as aggressive as the the Japanese government with advanced batteries. Of course, maybe the government could criticize GM and US automakers for not being as aggressive as Japanese automakers on hybrid cars.

In addition to slamming the government, Lutz also attacked CAFE, calling a gas tax a more sensible approach to reducing fuel consumption. Also, even though Lutz defended ethanol, he did admit that corn-based ethanol has some problems and he stated that cellulosic ethanol was needed.

AOL Autos calls Camry hybrid great

When it comes to the Camry hybrid, AOL and I agree

I absolutely love the Toyota Prius; however, I have to admit, I'm a bit more of a Toyota Camry hybrid fan. It feels safer. It has more comfortable seating for those of us with bad backs, and you can have a factory installed moon roof.

O.K., let me clarify that statement regarding these two hybrid vehicles. In urban driving, I'll drive the Prius. For distance, however, the Camry hybrid rules supreme. Still, don't take my word for it, check AOL Auto's review of this "great" hybrid.

Honda CR-Z hybrid will become reality

Coming in 2009?

Honda has announced that its lightweight hybrid sports car, the CR-Z, is going into production.

The concept CR-Z hybrid is coupled with Honda's current hybrid technology, and is now set to launch when Honda begins selling its new family hybrid - a hybrid only vehicle - in 2009.

While Honda has stated that the new hybrid coupe concept utilizes the same hybrid powertrain found in the Civic hybrid, it isn't clear whether Honda's hybrid powertrain will be updated for the launch of these new hybrid cars. My hunch, however, is that an upgrade is forthcoming.

Since Honda wants to start selling at least a quarter million hybrid vehicles by 2009, a few changes to Honda's hybrid technology seem necessary.

Advanced Battery Technologies moves to AMEX

Electric vehicle integration by Advanced Battery Technologies

Advanced Battery Technologies, Inc. has now been approved for listing on the American Stock Exchange ("AMEX"), under the symbol GBT. Those shares will begin trading on Tuesday, October 9, 2007.

Applications for Advanced Battery Technologies lithium-ion batteries have included electric cars, which also makes their batteries possible candidates for hybrid cars and other plug-in hybrid vehicles. Thus, hopefully, the move to the AMEX indicates the potential of their batteries for such applications has increased.

Suzuki's possible hybrid

Hybrid ready?

"Of greater interest to enthusiasts — and looking close to production-ready — is the Kizashi 2....... The two-seater is powered by a DOHC 3.6-liter V6 mated to a six-speed automatic gearbox, with provisions for a hybrid powertrain."

With the loss of the Honda Insight, couldn't the hybrid cars segment use a hot little two-seater?

Traffic congestion, MPGs and Hybrids

"Things are bad and they're getting worse," said Alan Pisarski, a transportation expert and the author of "Commuting in America."

According to a new study, traffic in America is increasing, and that traffic is costing Americans - on average - about a work week per year.

Traffic also results in the worst fuel economy and the highest emissions, unless you drive a hybrid, such as a Toyota Prius. For this reason, I feel that the EPA and automakers should highlight city fuel economy, rather than highway fuel economy.

According to experts, the majority of Americans will soon live in urban areas, urban areas like Los Angeles where almost 2 weeks per year are wasted. Unfortunately, there are few solutions for this congestion, which means the problem is only going to get worse and probably significantly worse.

While it's great that a lot of cars achieve 30 mpg on the highway, it's their fuel economy in the city that is becoming ever more important. Hybrid cars, such as the Prius or the Ford Escape hybrid - even the Chevy Tahoe hybrid - provide huge improvements in fuel economy in these conditions.

Sadly, traffic is a problem that took only a few decades to grow out of control, and it will have devastating consequences on fuel economy, foreign oil dependency and global warming if it isn't taken seriously into the next few decades.

Prius drivers love the Prius - What's the problem?

A Prius just before conversion into a 100 mpg plug-in hybrid

45 real world mpg - what's the problem? That's the question Motor Trend's Matt Stone asks of the Toyota Prius.

"Hybrids aren't the answer for every situation; to believe so is incorrect. But diesels aren't perfect either, and hydrogen, ethanol, and pure electrics are decades down the road at least. All I know is that my wife has a quality car that she likes, feels good about driving, serves the needs of her driving cycle, and saves me a ton of money on gas.

What's the problem?"

Exactly! Thanks Matt.

Sure, some self-righteous Prius owners deserve a good smack in the mouth. Still, blame them, not the car.

The Prius is an awesome car and it proves that well designed hybrid cars have great potential. More important, hybrids, such as the Prius, are just one breakthrough away from achieving as much as 100 mpg, even more. Considering the dangers of just foreign oil dependency, let alone global warming, what's wrong with making a contribution towards this possibility? What's wrong with trying to invest in the future?

Hybridless BMW Tops in Corporate Sustainability

The first BMW hybrid?

“We are delighted that the BMW Group is industry leader in the Dow Jones Sustainability World Index for the third consecutive year. This result proves once again that sustainability is firmly rooted in our corporate processes. We are convinced that sustainability throughout the value added chain, comprehensive product responsibility and a clear commitment to saving resources are all an integral part of the company’s success,” said Dr. Norbert Reithofer, Chairman of the Board of Management of BMW AG.

Kudos! Now bring up the sustainability of your automobiles. Let's hope we don't just see the BMW ActiveHybrid by 2010, but a few more hybrid vehicles as well.

Vermont ruling almost guarantees hybrid future

Will the EPA be forced to work with states on emissions?

"There is no question that the GHG (greenhouse gas) regulations present great challenges to automakers," Judge William Sessions III, sitting in the U.S. District Court in Burlington, wrote at the conclusion of his 240-page decision.

He added, "History suggests that the ingenuity of the industry, once put in gear, responds admirably to most technological challenges. In light of the public statements of industry representatives, (the) history of compliance with previous technological challenges, and the state of the record, the court remains unconvinced automakers cannot meet the challenges of Vermont and California's GHG regulations."

Many believe this ruling will now set a precedent that other states, such as California, are also seeking, enabling such states to regulate greenhouse gas emissions, something that almost guarantees the need for significant fleets of hybrid cars and other advanced technologies.

Sure, some critics, such as Karl on Cars, are going to complain that global warming is not being caused by humans and such changes are an expensive waste of time.

I say hold on.

Even if it is proven that global warming is not being caused by humans, the process of trying to end global warming emissions will have a huge impact on fuel economy and foreign oil dependency. Thus, even if you don't believe in global warming, isn't it time to address energy security?

Volvo hybrid concept: If only lithium were reality

Lithium powered hybrids rock, but they are not yet ready for primetime

Wow! Seriously, could the Frankfort Auto Show become any more focused on green issues, at least in terms of concepts? It's hybrid cars galore - in addition to clean diesel and biofueles. Unfortunately, so many of the concepts, such as the Volvo Recharge Hybrid, are dependent upon technologies that are just not ready for reality.

Imagine 62 mpg on electric power only. That's what the Recharge hybrid promises.

Starting to sound like GM's Chevy Volt?

InsideLine notes that the 4 electric motors in each wheel combined with 1.6 liter flex-fuel engine could achieve a whopping 120+ mpg for trips less than 90 miles. In trips over 100 mpg, the Volvo hybrid would eventually average out at 45 mpg.

Still, much like the Volt, the Volvo hybrid can meet most commuter's daily needs with just electric power. Unfortunately, just as with the Volt or other plug-in hybrids, the technology is completely dependent upon lithium-ion batteries.

Ultimately, it is isn't automakers which control the future, its energy storage/providers - whether lithium, ultracapacitors, or hydrogen.

How have you customized your hybrid vehicle?

A Toyota Prius customized with multiple video screens

Have your customized your hybrid vehicle? What have you altered or added? Video screens, wider tires, other customizations?

Have you seen any radically customized hybrid cars? Tell us about it. Have pictures? Send them to soultek@soultek.com.

Hybrids have saved 230 million gallons of gas so far

Still just a drop in the gas bucket

Since hybrid vehicles first hit the road, they have saved 230 million gallons of gas according to the U.S. Department of Energy's National Renewable Energy Laboratory (NREL).

Unfortunately, that amount of fuel saved doesn't even equal a full day's worth of gasoline consumption. Nonetheless, NREL believes hybrids can have a huge impact on fuel consumption.

"Although the fuel savings from hybrid vehicles to date is relatively small compared to the total fuel use, as the technology matures and these numbers increase, they can have a significant impact on reducing our overall transportation fuel use."

New hybrid tax credits only for plug-in hybrids?

No new tax credits for regular hybrids?

I have to hand it to Congress. Only Congress can create a lot of buzz while actually doing nothing, such as is with the proposed tax credits for plug-in hybrid vehicles (more).

Now, I'm as big a fan as any regarding plug-in hybrid vehicles, but America can't get enough buyers into conventional hybrid cars. So, how can tax credits for plug-in conversions accomplish anything?

The biggest seller of hybrids, Toyota, is facing the end of any tax incentives for buyers of Toyota hybrids, including the best selling Toyota Prius. With better tax incentives, imagine how many more Prii, Camry hybrids and Highlander hybrids would be selling.

Moreover, if there are not enough hybrids on the road already, how is converting a small percentage of them into plug-ins going to accomplish anything other than buzz among politicians, celebrity-advocates and a handful of rich treehuggers?

I say extend Toyota's tax credits first. If the Prius becomes the best selling car in America because of tax credits, so be it. Millions and millions of 45 mpg hybrids on the road is a good start and it is probably the fastest way to more hybrid competition amongst automakers, as well as the fastest path to mass-produced plug-in hybrids.

I mean, c'mon. How many Americans can really afford to buy a Prius and spend another $10,000 to convert it into a plug-in hybrid that voids the battery warranty? Move forward with the plug-in tax incentive, but not without extending Toyota's tax credits or making larger tax incentives for all hybrid buyers.

Gasoline prices set to rise according to Energy Department

$3.00 the new gasoline bottom?

Gasoline prices have already risen a cent or two on average across the country in the last few days, and that trend should continue to an average 7 cent increase in August, according to the Energy Information Administration.

So, if you've been on the fence regarding hybrid cars because you thought gas prices eventually had to go back down to $2.00, don't count on it any time soon.

Toyota and Matsushita Electric solidify hybrid partnership

Toyota Motors and Matsushita Electric Industrial Co. have further solidified their partnership around the development of hybrid cars, according to Reuters, by buying billions of shares of each others stock.

"Toyota is our biggest business partner in the field of car electronics, and we are in the process of strengthening our ties," a Matsushita spokesman said.

Is A123 ahead of Toyota in lithium?

All charged up!

Today A123Systems offered a press release on its partnership with Google to convert a number of hybrid cars into plug-in hybrid vehicles. While the release didn't offer any new details versus Google's press release, it did get me thinking.

Is A123Systems lithium chemistry better than Toyota's?

We know that Toyota is probably going to delay its third generation Prius, at least in regards to the use of lithium. Is this because Toyota has had problems, or is it just because laptop explosions have pushed Toyota into more testing? We just really don't know. Yet, Toyota's lithium-powered hybrids were not going to be plug-ins - a technology which tests lithium even further.

So, is Google taking a risk with its fleet? Is A123Systems hybrid battery technology better than Toyota's? Or, is a small fleet quite different than mass production?

Tax big oil to fund hybrids?

Senate passes $29 billion tax package

The Senate Finance Committee passed a proposal to tax big oil almost $30 billion dollars. The tax revenues will then be used to fund clean technologies, such as hybrid cars, wind power, and clean coal. Now the proposal will be added to the energy bill and go before the full Senate.

$22 billion? Sounds like pocket change for big oil considering their profits in the last few years.

UAW says Big 3 compete at fuel economy

Living la vida loca?

According to the UAW's Ron Gettelfinger, American automakers are unfairly portrayed as not competing on fuel economy, stating "Unfortunately, there is a misperception that the Big Three only make gas guzzlers, while Toyota is a division of Greenpeace."

I don't know, Ron. The Big 3 trail both Honda and Toyota year-after-year-after-year on fleet fuel economy. Are those facts based on misperception?

Without the profit margins of Detroit's most fuel inefficient vehicles, bankruptcy would be unavoidable. Yet, Toyota and Honda could survive.

Perhaps the real problem is Ron's misperception of reality? Time for a new UAW President?

Americans already used to $3.00 gas - proof a gas tax could work?

Will $4.00 make any difference?

A new poll suggests that while $3.00 plus gas hurts, most Americans are getting used to it. And, while $3.00 gas is pushing more to consider more fuel efficient vehicles, it's mostly just causing consideration, not action. Will $4.00 be the magic number to force real change? Will we hit $4.00 this summer?

One thing is for certain. At $4.00 per gallon, there is no question about the cost effectiveness of hybrid cars, which makes me wonder, does this prove a gas tax could revolutionize America?

Say gas stays at $3.50 per gallon. Add an extra $.50 tax to fund clean vehicle tax credits for the consumers of hybrids, etc. America could easily generate billions to subsidize the extra costs of hybrid technology, and the fuel savings would essentially negate the tax for wise consumers.

Oh yeah, and the gas tax would increase the cost-effectiveness of bio-fuels - maybe we could move the massive ethanol subsidies to consumers, rather than profit-driven corporations?

Hybrid vehicle battery wars?

Not your father's battery

Many call hybrid cars an interim technology to the hydrogen economy, to fuel cell vehicles or to pure electric vehicles. Much like Toyota, I believe the hybrid powertrain is the future, not some temporary technology.

For starters, hybrids make hydrogen powered vehicles more efficient. Hybrids could integrate smaller, therefore cheaper, fuel cells into automobiles - making fuel cell vehicles much more cost-effective. Hybrids can also extend the range of electric vehicles, while also providing a plethora of fuel options to electric vehicles when electric power is either unavailable or more expensive than an alternative fuel.

Nonetheless, whether hybrids are just an interim technology or not, the key to the hybrid future, as well as the key to these other alternative vehicles, is significantly influenced by battery development, particularly lithium-ion batteries. Thus, the flurry of news regarding.... (Finish hybrid vehicle battery wars)

SUV Madness: Americans still like SUVs, but they're smaller

As big as most SUVs need to be?

Last week, when blogging about a Senate panel's approval of a plan to lift CAFE to 34 mpg by 2020, I wondered whether most SUV owners couldn't move to a hybrid around the size of a Ford Escape Hybrid.

While I think many SUV owners simply want their SUV to be as big as possible, in terms of real world functionality, I still think most could downsize. Ultimately, this issue is so important because it is large SUVs and large pickups that are forcing Congress to baby Detroit when it comes to fuel economy.

Ironically, however, hybrids like the hybrid Escape almost meet 2020's proposed CAFE standards today, yet hybrid technology will advanced greatly in just the next few years - as hybrid cars move from NiMH batteries to lithium-ion batteries. In reality, 34 mpg by 2020 is child's play, at least in terms of technology - especially if Americans are willing to downsize their SUVs and pickups.

Consequently, I was refreshed to read a new JD Power study which demonstrates that higher gas prices have "some owners of large and midsize trucks trading to smaller vehicles."

Gas gouging and oil profits: An irony of Democratic proportions?

Hillary would like to tax oil company profits

A number of Democrats have loudly attacked Big Oil - probably because many Americans buy into the Republican - Big oil connection, and Americans love cheap gas. Thus, many Democrats have continually raised the issue of gas-gouging and gas-gouging legislation. Yet, the Democratic party is the largest supporter of global warming legislation and action.

Isn't that too ironic?

What if Democrats can make gasoline cheaper through windfall taxes, gouging legislation, etc.? Wouldn't Americans just increase their gasoline consumption, thereby increasing both foreign oil dependency and global warming emissions?

Ultimately and unfortunately, aren't high gas prices a good thing for those whom believe in global warming? Not only can increased gas prices reduce global warming-causing gasoline consumption, but higher prices can make alternative fuels more competitive, while also increasing the cost-effectiveness of clean technologies, such as hybrid cars?

Isn't that a good thing?

Obviously, Republicans didn't achieve any effective legislation towards fighting global warming, or even foreign oil dependency (if you don't believe in global warming) - something which is supposed to be a core Republican value. Sadly, I don't think Democrats can achieve much either if they keep engaging in double-speak.

Politics as usual? Are we, the people, simply incapable of accepting the truth, so we are habitually lied to by politicians whom just tell us what we want to hear? Are the people just too selfish and apathetic to even care about the truth?

Lithium batteries ready for the 3rd Gen. Prius

Toyota's lithium batteries ready to go

Are you waiting for the third generation Toyota Prius? Well, the biggest issue regarding the third iteration of Toyota's Hybrid Synergy Drive has been the lithium-ion batteries, and how soon those batteries could be available - not just for the third gen Prius, but for all of Toyota's hybrids.

Well, stop waiting.

Masatami Takimoto, executive vice president in charge of powertrain development, announced today that Toyota's lithium-ion battery, under development with Matsushita Electric Industrial Co., was technically ready to be mounted on hybrid cars "any time".

GM's hybrids better than Toyota?

Michelle Krebs says two modes are better than one, but where is her proof?

Recently, GM sponsored an event for a few journalists to check out their new Tahoe hybrid. More important, it was a chance for journalists to check out the new hybrid powertrain that was co-developed by GM, Chrysler and BMW - a collaboration which Krebs calls "unprecedented" (read more from Krebs).

Additionally, Krebs insists that the two-mode hybrid is superior to, for example, Toyota's single mode hybrid powertrain because it has a bigger "toolbox" to control fuel efficiency optimization. As a result, the two-mode hybrid achieves about a 25 percent overall improvement in fuel economy.

Talk, talk, talk.

I say, settle down Mrs. Krebs. First, a 25 percent improvement in fuel economy is in the same league as other hybrid cars. Second, while the two-mode hybrid ...(Finish GM's hybrids better than Toyota?)

Toyota hybrids as profitable as gas vehicles by 2010

Updated at 12:41 Pacific

Toyota's latest hybrid, the Camry

"While hybrid technology has raised manufacturing costs, Toyota Motor Corp., maker of the Prius hybrid, expects cost-cutting on hybrid production to make the cars as profitable as traditional gasoline models by 2010. By that point it expects to be selling 1 million hybrids a year (Reuters).

And according to MSNBC, Masatami Takimoto, executive vice president in charge of powertrain development, said "cost-cutting efforts on the system's motor, battery and inverter were bearing fruit, and the cost structure would improve drastically by the time Toyota reaches its sales goal of one million hybrids annually in 2010 or soon after."

In addition Takimoto announced that hybrid cars would account for 100 percent of Toyota's vehicle sales by about 2020.

Are U.S. automakers already dead?

Would the Volt electrify GM's profits?

There have been some very interesting stories in the media regarding the slide in pickup truck sales for U.S. automakers. In addition, SUV sales - at least on the larger SUVs - are also down, as gas skips over $3.00 per gallon on its way higher.

While U.S. automakers offer smaller, more fuel efficient vehicles, those vehicles are not money makers for Detroit. Pickups and SUVs offer the big profit margins that U.S. automakers need to survive. Thus, I wonder, can U.S. automakers survive if fuel efficiency rules the auto market?

Even if GM had developed the Toyota Prius and was the king of hybrid cars, rather than Toyota, would it even matter? The profit margins on the Prius are even more narrow than economy vehicles - many of which are not profitable.

Scary days. I absolutely want to see U.S. automakers thrive, but not at the expense of increased foreign oil dependency, and I won't even get into global warming. And, while Detroit might be able to compete at producing fuel efficient technologies, the real question is, can Detroit profit from fuel efficiency?