Wednesday, 8 April 2009

GM and Chrysler Not Likely to Qualify for DOE Loans

GM and Chrysler, because of the Treasury rejection of their viability plans, probably won't be eligible to receive any of the $25 billion in loans set aside to retool or build up their fuel efficiency fleets and factories. The loans were set up by the Bush administration and are being handled by the Dept of Energy.

GM has applied for $10.3 million (including a $2.6 billion request to help out with the Volt just last week), while Chrysler put in $6 billion in requests. A total of $44.6 billion in requests have been made against the $25 billion put aside. If GM and Chrysler can't get at the money, that's probably good news for other car makers like Ford, battery manufactures like A123, and Tesla who are trying to get a low interest loan from the government.

Source: GM, Chrysler can't tap into retooling loans | Freep.com | Detroit Free Press

It's possible GM and Chrysler, if the Treasury turns around and deems them viable, could get the loans later on.

Tuesday, 7 April 2009

Albuquerque Sets Aside Money for Hybrids, Solar and Plugs

Albuquerque, set to receive $5.1 million in energy efficient block grants, has decided to buy 20 to 25 hybrid vehicles, such as the Honda Civic Hybrid and Ford Escape Hybrid for use in the city.

The mayor is also planning on spending $2.75 million on solar installations to power multi-level parking structures. The structures will also have installed sites to allow for powering electric and plug-in hybrid electric cars.

The general public, as well as city officials, will have access to the sites.

The funds are coming from the American Recovery and Reinvestment Act (ARRA).

X-Prize Announces 111 Teams

The Progressive Insurance Automotive X Prize announced they have 111 teams registered to compete for the $10 million prize. The teams need to win a 'rigorous long distance stage competition while exceeding 100 MPGe (Miles per Gallon equivalent).

The video shows some teams are a little more polished than others. There are two classes, Mainstream and Alternative. A separate competition will be held for the Demonstration Division, designed for large established auto manufacturers to showcase their own fuel efficient vehicles.

The 111 teams have registered with 136 vehicles with 14 different fuel sources. They are coming from 25 different US states and 11 different countries. Established automakers, emerging start-ups, universities and inventors are among those represented. Six of the Registered Teams remain confidential.

Design testing is next, where the contestants will be judged on their vehicle's features, production capability, safety and business plans. Those that pass Design Judging will move into the performance testing phase and partake in a series of competition events that will begin as early as May 2010. Winners will be announced in 2010.

The competition start date, the number of venues, and the geographic distribution of venues will be determined prior to July 2009.

"We are thrilled with the wide variety of teams and technologies from around the world that are joining us in this competition," said Dr. Peter H. Diamandis, Chairman and CEO, The X PRIZE Foundation. Being accepted as a Registered Team is a major milestone. This is also an exciting step for the Foundation as we move closer to our goal of inspiring a new generation of real, clean, safe and super fuel-efficient vehicles."

"The level of American innovation and entrepreneurship we're seeing in the Automotive X PRIZE is encouraging," said Senator Jeff Bingaman, Chairman of the Senate Energy Committee. "It's also a positive response to many of the challenges confronting the U.S. auto industry. I applaud these teams for the important work they're doing for our nation's energy future."

Monday, 6 April 2009

MTBOT Does Not Believe in Hybrids

Ron Sherman, president of the Metropolitan Taxicab Board of Trade does not believe hybrids should be used as taxis. In an editorial quick hit in the Detroit News he notes:
Hybrids, for all their fuel-efficient appeal, aren't designed for 24/7 commercial use. Worse, most hybrid models are too small to accommodate taxi partitions. ... A New York City taxicab typically travels 100,000 miles a year -- more than most passenger vehicles log in their lifetimes. That's why hybrid yellow cabs have been spending too much time with mechanics and not enough time servicing the riding public.

He really should have mentioned that to SF before they force the hybrids they had running into retirement after 300,000 miles.


In case you don't know what I'm talking about, SF forces cabs to retire after 300,000 miles, a mark the original hybrid cabs have met. According to Gil Portalatin, hybrid systems application manager at Ford Motor Co., "these things are tougher than nails. . . . We warranty the batteries for 150,000 miles and here you have cabs going out of service at 300,000 -- because that's the law, not because the cab's used up."

Why not just confess to the real reason.  Hybrid taxicabs are more expensive to buy.  Even though local politicians love them, and drivers make more money driving hybrid taxis.  Besides which, if they are able to charge their drivers more, they should be able to pay off the difference very quickly.

The Taxicab Board has a better argument when it comes to the partitions.  Maybe they should just stick to that.

2009 GMC Yukon Denali Hybrid

GMC is coming out with their own hybrid SUV, the 2009 GMC Denali. Like the Yukon and Sierra Hybrids, the Denali Hybrid comes with GM's dual-mode hybrid technology which delivers 21 mpg in the city.

GM has been happy so far with the Cadillac Escalade Hybrid, with the Hybrid 'option' being chosen by 30% of their buyers. Those number prompted GM to build the Escalade Platinum Hybrid. And like the Escalade Hybrid, the Yukon Denali, which starts at $59,185 (2WD) and $62,030 (4WD), adds a lot of luxury.

GM notes buyers may be eligible for $2,200 in federal tax credits if they opt for the eight seat hybrid SUV.

The 2009 Yukon Denali is making its debut at the NY International Auto Show and will arrive at dealers sometime in May.

Press Release Follows:

NEW YORK – GMC’s all-new 2009 Yukon Denali Hybrid makes its world debut at the 2009 New York International Auto Show. It is a luxurious, full-size SUV that seats eight, tows up to 5,800 pounds (2,636 kg) and achieves an estimated 21 miles per gallon in city driving, thanks to the engineering excellence of the Yukon’s patented 2-mode hybrid system.

The GMC Yukon Denali Hybrid arrives in May at Buick-Pontiac-GMC dealer showrooms. It joins the Yukon Hybrid and Sierra Hybrid pickup truck in the GMC hybrid lineup, making GMC the first manufacturer to offer three full-size hybrid models.

“The eight-passenger GMC Yukon Denali Hybrid goes just as far on a gallon of gas in the city as a much smaller, V-6 Toyota Camry sedan,” said Susan Docherty, vice president, Buick-Pontiac-GMC. “And in terms of fuel savings, the GMC Yukon Denali saves about 250 gallons of fuel a year over the Lexus GX 470.”

The GMC Yukon Denali Hybrid infuses a new level of luxury to the Yukon Hybrid introduced for the 2008 model year. Docherty said the number one consideration for those purchasing the GMC Yukon Hybrid is fuel economy (80 percent); followed by 66 percent for its environmentally friendly technologies and more than half because of its technological innovation.

Patented, industry-leading hybrid technology

GM’s most advanced hybrid technology drives the GMC Yukon Denali Hybrid’s superior fuel economy, performance and load-carrying capability. Powering this hybrid system is a fully integrated combination of two lightweight electric motors packaged in the transmission; an electronic brake emulator that provides blended regenerative braking; electric power steering and an electric air conditioning compressor.

The heart of the system is GM’s 6.0L Vortec V-8 engine with fuel-saving Active Fuel Management, late intake valve closing and variable valve timing technologies. It produces 332 horsepower (248 kW) and 367 lb.-ft. (498 Nm) of torque.

Unique hybrid exterior, luxurious interior

The Yukon Denali Hybrid rides on new 22-inch, eight-spoke, flangeless chrome wheels that make a unique Denali appearance statement.

Inside, designers filled the cabin with luxurious amenities such as standard 12-way power, heated/cooled leather-appointed perforated front seating and heated, second-row, leather-appointed bench seating. Buyers may choose an Ebony or Cashmere interior. The only three options on this fully equipped vehicle are a sunroof, rear-seat entertainment DVD system and side blind zone alert mirrors.

Enhanced connectivity includes standard OnStar with Directions & Connections and Turn-by-Turn Navigation, navigation radio with rear camera system, a Bose Centerpoint Surround Sound System and three years of real-time XM NavTraffic.

A comprehensive safety package of crashworthiness and crash-avoidance features includes front- and side-impact air bags, anti-lock brakes and StabiliTrak with traction control. The Yukon Denali Hybrid also is equipped with GM’s MagnaRide suspension, the first application of this advanced technology in a Yukon. MagnaRide uses magnetic particles in the shock absorber fluid to adjust the damping rate of the shock absorbers – based on road conditions and vehicle dynamics – to help keep tires in contact with the road.

MSRP starts at $59,185 (2WD) and $62,030 (4WD), including the destination freight charge of $950. Buyers may be eligible for a tax credit of up to $2,200.

Japan May Subsidize Hybrid Cars

In an effort to increase automotive sales in Japan and promote fuel efficiency, Japan is considering a $3,000 subsidy for anyone buying a hybrid.

The subsidy would be available to anyone who buys more fuel efficient cars, whether hybrid, electric, or gas and diesel engines that meet emissions requirements. Minicars would be eligible for 100,000 yes, while larger cars can qualify for up to 200,00 yen. Cars that are 13 years or older that get traded in would get you another 100,000 yen.

This is all according to a Nikkei report via GreenCarCongress. If enacted, the subsidies could kick in as early as this summer.

This is good news for us, since anything that promotes hybrid cars in Japan will result in a higher focus on fuel efficiency by the Japanese automakers who already have the lead on hybrids.

Friday, 3 April 2009

Hybrid Car Sales, March 2009

Hybrid car sales have finally caught up to the downturn in the economy, with a whopping 46.4% drop in sales from last March.  Mostly, that drop is due to the 56.8% drop in Prius sales.  If mild hybrid car sales are included in the total, hybrids made up  2.5% of the light vehicle market. 

Of course, there's a reason why sales have dropped so badly.  With the new Prius due out shortly, plus the introduction of the new Insight, plus the overall market conditions, Toyota is having a hard time pushing the old Prius.  Which btw, makes this a great time to buy a Prius if you don't mind getting the 'old' model.


Only two models show a positive gain from last year, the Nissan Altima Hybrid and the RX 400h.  Every other model has been depressed by the economy and by lower gas prices.

Insight sales have been very high in Japan, forcing Toyota to fight back with lower prices on the Prius and using the older model as a 'cheaper' model.

Monthly Sales March 2008 March 2009 % Change
Make Model N % N %
Chrysler Aspen/Durango 0 0.0 0 0 0
Ford Escape/Mariner 2,008 5.3 1,351 6.6 -32.7
Ford Fusion/Milan 0 0.0 451 2.2 0.0
GM Escalade 0 0.0 175 0.9 0.0
GM Silverado/Sierra 0 0.0 68 0.3 0.0
GM Tahoe/Yukon 0 0.0 434 2.1 0.0
Honda Accord 53 0.1 0 0.0 -100.0
Honda Civic 3,769 9.9 2,869 14.0 -23.9
Honda Insight 0 0.0 569 2.8 0.0
Nissan Altima 832 2.2 834 4.1 0.2
Toyota Camry 6,930 18.1 2,554 12.5 -63.1
Toyota GS 450h 65 0.2 42 0.2 -35.4
Toyota Highlander 2,239 5.9 1,037 5.1 -53.7
Toyota LS600hL 113 0.3 25 0.1 -77.9
Toyota Prius 20,635 54.0 8,924 43.5 -56.8
Toyota RX 400h 1,570 4.1 1,165 5.7 -25.8
Total 38,214 20,498 -46.4



Cumulative Sales Cumulative 2008 Cumulative 2009 % Change
Make Model N % N %
Chrysler Aspen/Durango 0 0 0 0.0 0.0
Ford Escape/Mariner 5,225 6.3 3,525 6.9 -32.5
Ford Fusion/Milan 0 0.0 451 0.9 0.0
GM Escalade 0 0.0 307 0.6 0.0
GM Silverado/Sierra 0 0.0 122 0.2 0.0
GM Tahoe/Yukon 0 0.0 1,533 3.0 0.0
Honda Accord 143 0.2 1 0.0 -99.3
Honda Civic 7,322 8.8 5,307 10.4 -27.5
Honda Insight 0 0.0 569 1.1 0.0
Nissan Altima 1,834 2.2 1,941 3.8 5.8
Toyota Camry 14,801 17.8 5,775 11.3 -61.0
Toyota GS 450h 206 0.2 105 0.2 -49.0
Toyota Highlander 6,320 7.6 2,977 5.8 -52.9
Toyota LS600hL 330 0.4 80 0.2 -75.8
Toyota Prius 42,909 51.7 24,277 47.4 -43.4
Toyota RX 400h 3,929 4.7 4,223 8.2 7.5
Total 83,019 51,193 -38.3

New Insight sales were very high, with Honda selling 569 units with limited sales.  Ford also had an impressive first week with the Ford Fusion and Mercury Milan Hybrids selling 451 units.  Anyone who got their order in for the Ford Fusion or Mercury Milan will be eligible for the full tax credit from the federal government.  Anyone who orders now will only be eligible for half the amount, so quite a few people were likely pushing Ford on the pre-orders.

GM hybrid truck sales have not been impressive so far.  With over two months of sales under their belt, only 122 hybrid trucks have been sold so far.

Toyota has begun a process of losing market share in the hybrid marketplace.  Right now, that drop from 82.5% in the first quarter of 2008 to 73.1% in the first quarter of 2009 is mostly due to 1) the drop in Prius sales and 2) the increase in models sold by their competitors.  It's unclear if Prius sales will recover with the third generation coming out, but there should be some bounce back especially if Toyota fights back as aggressively here in the US as they have been in Japan.

False Comparisons

Hybrid sales were still going strong even as the rest of the car market dried up.  Long waiting lists were finally caught up on, then sales began to tank.  Overall car sales had dropped 12% in March of 2008, even as hybrid car sales increased.  That's going to create a 'false high' from last year when you compare rates of sales for hybrids vs the rest.  It wasn't until May of 2008 when hybrid car sales were really affected by the economy. 

If you really want a false comparison, you can see that hybrid car sales were way up compared to last month (I've seen a few car makers make that comparison, and it's just wrong to do).

Related:
Hybrid Car Sales, March 2008
Hybrid Car Sales, February 2009