Category: clean transportation

This Week’s Top 10: Ford adding seven new electrified vehicles, China cutting subsidies for plug-in vehicles

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. Ford announces seven of 13 electrified vehicles: Ford CEO Mark Fields gave a speech this morning announcing the introduction of an all-new battery electric small SUV, coming by 2020, which has been engineered to deliver an estimated range of at least 300 miles. It’s one of seven of 1ford-electrified-vehicle-announcment3 new global electrified vehicles the automaker plans to introduce in the next five years, including hybrid versions of the F-150 pickup and Mustang in the U.S., and a plug-in hybrid Transit Custom van in Europe. A high-volume autonomous hybrid vehicle designed for commercial ride hailing or ride sharing will be launched globally in 2021, starting in North America. Ford will also launch two new, pursuit-rated hybrid police vehicles. The automaker will be adding 700 direct new U.S. jobs and investing $700 million during the next four years, creating the new Manufacturing Innovation Center at its Flat Rock Assembly Plant in Michigan.
  2. China cutting new energy vehicle subsidies: Makers of plug-in cars, commercial trucks, and buses will have their generous subsidies cut this year by the Chinese government in the wake of misreporting of production and sales to the government. The Ministry of Finance put caps on subsidies and increased technical specifications required to receive funding, Reuters reported. News had surfaced in September about a scandal with false reports being submitted, along with failure to meet technical requirements needed to gain more “new energy vehicle” government funding for plug-in hybrid and all-electric vehicles. Subsidies have been considered to be primary driver for making China the world’s largest market for EV sales. Busmakers had their subsidies cut in half, from a previous cap of 600,000 yuan (about $86,000) down to 300,000 yuan ($43,000) per vehicle. For plug-in passenger cars, incentives started being reduced with a 20% drop in 2017. Medium and heavy-duty trucks, and specialized-use vehicles will be capped at 150,000 yuan ($21,584). Local government subsidies will be capped at 50% of what the national government is making available. Technical specs include measuring by energy density and range requirements. Fast chargers for buses will receive more in subsidies. The national government has also been adding automakers to its list of companies being granted licenses to manufacture plug-in vehicles and receive subsidies. A division of Jiangling Motors became the seventh company allowed in the system in late December; Chinese auto parts supplier Wanxiang Group, owner of Karma Automotive and A123 Systems, was added earlier in the month.
  3. Nissan plug-in hybrid: Nissan may be manufacturing a plug-in hybrid electric vehicle, according to a senior Nissan official. The collaboration forged last year between Nissan-Renault and Mitsubishi would mean that the new plug-in model will use technology from the Mitsubishi Outlander PHEV. Takashi Shirakawa, head of R&D for Nissan Europe, said that the Nissan plug-in hybrid will use Mitsubishi technology. The Outlander PHEV has become the top-selling plug-in electrified vehicle sold in Europe. It’s due to come the U.S. sometime this summer. Nissan so far has had all-electric models in its lineup, the Leaf and the e-NV200 concept van. In the first part of December, Japan’s Nikkei reported that Nissan-Renault will be collaborating with Mitsubishi on a common EV platform. The global automaker said the goal of the common framework was to reduce the price of an EV by about 20 percent, and more in line with the price of gasoline-powered vehicles. Key components, such as the motor, inverter, and battery, will be shared by Nissan-Renault and Mitsubishi.
  4. Self-driving Fusion Hybrid: Ford will be showing its next-generation Fusion Hybrid with autonomous vehicle features at CES starting this week in Las Vegas. It’s said to have more computing power, advanced Lidar sensors, and a more targeted field of vision than previous self-driving test Fusions. Ford is using the car as part of its larger strategy to have production-ready fully autonomous vehicles available in the next few years. New features along with the enhanced Lidar system include cameras and radar, algorithms for location and path planning, computer vision and machine learning, highly detailed 3D maps, and adequate computing space and power. “The car must be able to perform what a human can behind the wheel,” said Chris Brewer, chief program engineer for Ford’s Autonomous Vehicle Development, adding that “our virtual driver system is designed to do just that.”
  5. From Volt to Bolt: It’s taken a little less than 10 years from the introduction of the Chevy Volt concept at the 2007 Detroit auto show until affordable, long-range electric Chevy Bolts started being delivered to the first buyers. Automotive News covered the history of these plug-in vehicles, including General Motors’ bankruptcy and the important role both the Volt and Bolt have been playing as GM has reinvented its corporate identity in the industry. It’s been over 20 years (1996) since GM launched the EV1 in very limited numbers; but that electric car has been credited many times in the history of electric vehicles; including GM now working hard at making up for having quickly pulled the EV1 off the assembly line. GM’s investment in ride-hailing firm Lyft and their joint testing of self-driving Bolts marks a landmark in the changing role automakers are taking on in electrification, autonomous vehicles, and mobility services.
  6. Lamborghini Urus plug-in hybrid: Lamborghini R&D chief Maurizio Reggiani said a high-performance plug-in hybrid SUV will likely be revealed in 2017 and go on sale in 2018. The Lamborghini Urus will also be released as a twin-turbo, 4.0-liter V8 model, he said. Turbocharging will be part of the performance power for the PHEV and twin-turbo V8 versions. The Volkswagen-owned sports car brand says it will become “the ultimate super athlete in the SUV segment.”
  7. Autopilot features added: Tesla Motors continued putting the pieces in place for its fully autonomous hardware to move forward – and to keep it integrated with the semi-autonomous Autopilot system. CEO Elon Musk tweeted Saturday about the company beginning testing Autopilot safety features through a software upload to 1,000 new Tesla vehicles that have been built with the fully-autonomous hardware. Model S and Model X vehicles built after October have the fully-automated features built in, in what Musk calls “Hardware 2;” these new vehicles had Autopilot safety features left out for testing later to make sure they’re compatible. The 1,000 vehicles received a software upload with the Autopilot safety features added over the weekend to work out any problems; and to bring them in line with older Model S vehicles that had received Autopilot hardware once it started being added in September 2014.
  8. Propane vehicles sales growth: Roush CleanTech has found converting and selling propane-powered school buses to be taking off in the market, along with its propane vans and heavy-duty pickups.  It took the company six years to sell over 14,000 propane vehicles, but the company is on track to sell 6,000 more vehicles converted to run on propane autogas by the of 2017. The company says that it’s been able to make the business case that propane makes for a better, more cost effective alternative fuel than compressed natural gas.
  9. LCFS summit: Calstart is holding the fifth annual Clean, Low-Carbon Fuels Summit on February 27-28, 2017, in Sacramento. The Summit is known for being one of the premier gatherings which brings together legislators, regulators, and industry executives to discuss what is needed for the low-carbon fuels industry.  This year’s program will jointly focus on opportunities for California, as well as developments happening in other states and Canada. We will also be taking stock of what the incoming US presidential administration means for the clean, low-carbon fuels industry. For the first time, the Summit is open to the public. You can receive the early bird rate if you register by January 14.
  10. FCA automated electric car: Fiat Chrysler Automobiles unveiled a new, semi-autonomous electric minivan at CES in Las Vegas yesterday. Called the Chrysler Portal, the vehicle was “created by millennials for millennials,” according to FCA. The automaker worked with Samsung Electronics as its provider of 360 degree cameras and other sensors, and Panasonic Automotive as its supplier for infotainment, wireless connectivity and audio systems, the company said.

Goodbye 2016 and Hello 2017, Part 2: Looking at autonomous vehicles, urban mobility, infrastructure, and renewable fuels and energy

Here’s part two of my analysis of 2016 events and a forecast of 2017 trends in clean transportation and mobility:

Autonomous vehicles:

Uber autonomous vehicle test projectMichigan now leading the way: Last month, Michigan Gov. Rick Snyder signed a package of bills to clear the way for self-driving cars to operate on public roads and re-establish the state as the leader in automotive innovation. The Michigan bills establish regulations for the testing, use, and eventual sale of autonomous vehicle technology, and were crafted to more clearly define how self-driving vehicles can be legally used on public roadways. The new laws allow testing of vehicles without steering wheels, pedals, or needed human control – which aims to propel Michigan ahead of California, which had been the leading state in the U.S. for testing autonomous vehicles.

The federal government is going in that direction as well, issuing long-awaited guidelines backing fully autonomous vehicles in September. The U.S. Department of Transportation would like to see uniform, national policies applying to autonomous vehicles. In a joint appearance, Anthony Foxx, secretary of the U.S. Department of Transportation and Jeffrey Zients, director of the National Economic Council, released guidelines that encourage technology innovations from companies balanced with concerns over public safety.

Uber continued testing its self-driving vehicles in Pittsburgh, but decided to move from California to Arizona. Uber last month used Otto flatbed trucks to move its autonomous Volvo cars to Arizona after the California Department of Motor Vehicles revoked registration of the company’s self-driving cars. California had made regulatory threats to Uber, and things got worse when the ride-hailing company refused to purchase $150 permits for testing autonomous cars that the state requires. There may be more than the 16 self-driving vehicles that had been tested by Uber in San Francisco, and the company hasn’t provided a date on when testing will begin in Arizona.

Google has renamed its Self-Driving Car Project as “Waymo.” Waymo will be an independent unit within the Alphabet parent company. While the company had previously been an advocate of fully autonomous vehicles without steering wheels or pedals, it may be backing away from that stance. Google co-founder Larry Page has been reported to be rethinking his company’s mission. Alphabet/Google, along with Apple, are now looking into partnering with automakers as technology suppliers rather than investing heavily, and going through the complex regulatory process, needed to manufacture their own autonomous vehicles.

Honda has been in talks with Waymo to test out some of the autonomous vehicle technology in Honda’s vehicles. Both companies said that it’s a research project and not a manufacturing agreement to jointly manufacture autonomous vehicles. Honda may choose to provide Waymo with vehicles that are modified to run on Google’s self-driving system; those Honda vehicles would join the existing Waymo test vehicles currently being tried out in four U.S. cities.

Honda follows Fiat Chrysler Automobiles in creating a self-driving vehicle test program. FCA announced in December that it has completed building 100 minivans that are being outfitted with autonomous vehicle equipment for Waymo. The Chrysler Pacifica Hybrids (plug-in hybrid vehicles) recently were completed at the automaker’s Windsor Assembly Plant. Google and parent company Alphabet have also been reported be in talks with FCA about starting up a ride-hailing and ridesharing service using Chrysler Pacifica minivans.

Tesla Motors is planning to demonstrate a Tesla vehicle traveling cross country in fully autonomous mode by the end of 2017. During a fall conference call announcing fully autonomous capable hardware, CEO Elon Musk said the company’s goal is to demonstrate a vehicle traveling safely from Los Angeles to New York using the new technology by the end of this year. The software for reaching the fully self-driving mode will need to be validated and approved by regulators before being released to the public. Model S and Model X vehicles equipped with hardware for full autonomy are already in production, and the upcoming Model 3 will have it as well, Musk said. Semi-autonomous features will continue to be available through the Autopilot feature, but Tesla has separated Autopilot from the new fully autonomous features after the fatal crash in Florida was reported last summer. If all of this works out and receives government approval, Tesla would likely lead the market in autonomous technologies. Tesla may have a fully automated vehicle for sale by 2018, beating Ford and BMW, which have committed to rolling out fully autonomous vehicles by 2021.

China would like to become the world’s largest market for plug-in and autonomous vehicles. The Chinese government released a policy report on setting national standards for autonomous vehicles. It’s taking an optimistic approach: “partially autonomous,” will make about 50% of new vehicle sales in China by 2020. “Highly-automated” cars (close to being fully automated) will make up 15% by 2025; and fully autonomous vehicles will account for 10 percent of new vehicle sales by 2030, according to the report. The report also forecasts that “new energy vehicles” (plug-in hybrid and all-electric vehicles) will make up 40% of the 38 million new vehicles sold in China during 2030. That would make for about 15 million new plug-in vehicles coming to market that year. By 2030, the report expects to see “new energy vehicles” (plug-in hybrid and all-electric vehicles) make up 40 percent of the 38 million new vehicles that will be sold in China during 2030, or about 15 million units.

Impact of autonomous vehicles on fuel consumption: Massachusetts Institute of Technology (MIT) engineers have conducted a study of a vehicle-platooning scenario and determined the best ways to deploy vehicles in order to save fuel and minimize delays. Their analysis, presented last month at the International Workshop on the Algorithmic Foundations of Robotics, shows that relatively simple, straightforward schedules may be the optimal approach for saving fuel and minimizing delays for autonomous vehicle fleets. The findings may also apply to conventional long-distance trucking and even ride-sharing services. Navigant Research may not agree with those findings. Navigant just released a study which analyzed how fuel is likely to be affected by the growing use of automated mobility systems in light-duty passenger and medium-to-heavy duty goods vehicles. Usage of petroleum and alternative fuels is likely to go up with growing transportation demand in developing nations like China and India; and in developed countries that are seeing surging demand for mobility services and automated systems.

Urban mobility

Urban mobilityAutomakers took serious steps forward during 2016 showing their commitment to mobility services and the changing identity of automakers in the near future.

GM’s investment in carsharing brand Maven, along with $500 million in Lyft and $1 billion acquisition of Cruise Automation, seemed to start the trend. GM will be testing self-driving versions of the Chevy Bolt all-electric car with Lyft. Maven is considered to be a serious competitor to Zipcar and other carsharing services.

Ford Motor Co. last year acquired shuttle service Chariot and forged a partnership with bike-share program Motivate. The automaker sees the importance of tapping the market value by turning to low-fixed cost and less capital revenue streams like Chariot and Motivate, said Ford executive chairman Bill Ford. In March, the company the creation of Ford Smart Mobility LLC, a new subsidiary formed to design, build, grow and invest in emerging mobility services.

Toyota launched a Mobility Services Platform (MSPF) to support emerging mobility services like carsharing. The platform will be used to collaborate with service providers and telematics insurance carriers. In May, Toyota and Uber forged an alliance that will create new leasing options. Car buyers can lease their vehicles from Toyota Financial Services and cover their payments through earnings generated as Uber drivers. Toyota also created another alliance tied to the launch of MSPF with U.S. carsharing company Getaround. The two companies will start a pilot program this month in San Francisco.

BMW is moving its ReachNow carsharing service forward. During the L.A. Auto Show’s AutoMobility days, BMW announced that four new services will be launched in four North American cities. A new ridesharing service competes with Uber and Lyft and offers members an on-demand ride service where a driver shows up with a car. ReachNow Ride was scheduled to start up as a pilot program in Seattle last month, and it will be available to all members in early 2017.

Tesla Motors will launch Tesla Network with self-driving capabilities in 2017. In his “Master Plan, Part Deux” in July, Tesla CEO Elon Musk included a system in which a Tesla owner could add a car to a shared Tesla fleet using a mobile app. That’s where Musk introduced the concept of the Tesla Network where the electric automaker will be entering into ridesharing and carsharing services that will be a revenue model for Tesla. The company has been released a few more details lately on its blog and website. Tesla doesn’t want its car owners to use these electric cars for Uber and Lyft rides. “Please note that using a self-driving Tesla for car-sharing and ride-hailing for friends and family is fine, but doing so for revenue purposes will only be permissible on the Tesla Network, details of which will be released next year (2017),” according to a recent Tesla website statement.

Volkswagen made a series of announcements as it emerges from the “Dieselgate” scandal and commits to vehicle electrification and globally competitive mobility services. The German automaker kicked things off earlier this year by investing $300 million in on-demand transportation service Gett. At that time, the cab-hailing startup had operations across about 60 cities around the world. The German automaker also launched its Moia brand last month, stating that it expects it to become one of the largest mobility providers in the world. The new business will initially offer electric ride-hailing and carsharing services. Electric shuttles will likely be the first fleet vehicles rolled out to customers and they’ll soon be automated, the company said. VW also bought Vancouver-based parking-payment operator PayByPhone, which processed more than $250 million in transactions this year. The automakers wants to become the leader in mobile payments for parking. VW’s financial services unit had previously taken a 92 percent stake in Sunhill Technologies GmbH, Germany’s market leader for mobile parking payments. Another recent announcement by VW was adding a ride-hailing service in Rwanda as part of its mobility services to compete with Uber’s strong presence in Africa and other regions.

Infrastructure

ev-corridor-in-fhwa-mapThe Federal Highway Administration released a map in November showing 55 routes across the U.S. for charging plug-in vehicles and refueling alternative fuel vehicles, with 48 designated charging routes in the new corridor. The Alternative Fuel Corridors covers 35 states and nearly 85,000 miles, according the U.S. Department of Transportation’s FHWA. More miles will be added to the network to accommodate electric, hydrogen, propane autogas, and natural gas vehicles as more alternative fueling and charging stations are built.

The designation of these corridors comes from the “Fixing America’s Surface Transportation” (FAST) Act, which was signed by the president in December 2015. In July, U.S. Transportation Secretary Anthony Foxx put the alternative fuel station provision in motion by calling on states to nominate national plug-in electrified vehicle charging and hydrogen, propane, and natural gas fueling corridors along major highways.

You can view an Alternative Fuel Corridors resources page that includes a map showing each of the charging and fueling networks. There’s only one electric charging route linking the nation, which crosses the Great Plains with Highway 70 bridging between Utah and Colorado. Charging station routes are concentrated in the Northeast, East Coast, Great Lakes region, Texas, and the West Coast. Compressed natural gas will have corridors very similar to charging networks. Hydrogen fueling routes will be concentrated in California, Colorado, the Midwest, and the Northeast.

Electric vehicle charging network EVgo kicked off the nation’s quickest fast-charging station in Baker, Calif., at the site of the World’s Tallest Thermometer. Drivers going from Los Angeles and Las Vegas can see how hot it’s getting out there, and can pull over for a very fast charge. These days,

50-kW CHAdeMo or Combined Charging System (CCS) fast chargers are about as fast it gets. EVgo has started constructing a 350-kW fast charging station in Baker. The charger company says that these chargers will be seven times faster than any fast chargers currently available, and that they represent a new level of convenience. Electric vehicles with the biggest battery packs that travel the farthest per charge will be able to get 80% charged in less than 20 minutes.

Renewable fuels and energy

renewable-energyRenewables:  While not yet officially announced, Scientific American just reported that renewable-energy sources such as solar and wind are expected to account for 8% of U.S. electricity-generation capacity in 2017, according to the U.S. Department of Energy. Solar growth is behind much of it.

For the first time ever, new solar-generating capacity is expected to exceed new generating capacity for wind and natural gas, according to the report. The federal report won’t be available until March, but Scientific American reported that the volume of new solar installation and their energy capacity is expected to outpace both wind and natural gas as energy sources. Natural gas isn’t counted as a renewable energy, but has become an important source of energy powering electric plants in recent years as the country has been moving away from coal power.

RFS and LCFS: American Petroleum Institute (API) estimates that 2017 gas station fuel volumes will put the ethanol-to-gasoline ratio at 10.4%, higher than the 9.7% ration recommended by the oil industry association. That comes from the U.S. Environmental Protection Agency’s adjustment of biofuel blends last year. However, California’s low carbon fuel standard (LCFS) may be taking off as the fuel source of choice for many sustainability advocates. A recent study by Lux Research that LCFS may become the new standard for government policies to meet emissions reduction goals, calling it the trend “a new generation of policies is based on technology-agnostic carbon intensity metrics.”

Renewable diesel and conventional electricity used to power electric vehicle will be the near-term winners in low-carbon transportation fuels under the Lux analysis, followed by renewable electricity to charge EVs in third place. Canada has embraced LCFS as its national standard. In November, Canada announced that the country will adopt a national clean fuels standard. The national standard studies low-carbon fuel standards being used in California, Oregon, and British Columbia, according to a report.

This Week’s Top 10: EPA and NHTSA differ on fuel economy decisions, VW showing second electric vehicle in I.D. family at Detroit Auto Show

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week………..

  1. Federal fuel economy standardsFeds differ on fuel economy rules:  It appears that the Environment Protection Agency and the National Highway Traffic Safety Administration are taking different approaches to working with the new administration on the fuel economy and emissions regulations; it may also signify the Obama administration supporting the standards but encouraging flexibility with automakers on how it’s all carried out. Last week, the EPA told lobbyist group Alliance of Automobile Manufacturers that the midterm review deadline won’t be extended beyond the Obama administration leaving office. That agency’s decision was expected by auto lobbyists who had appealed the EPA’s earlier ruling. About that time, NHTSA responded to a petition from groups representing automakers postponing the increase in penalties for noncompliance with the fuel economy standards. That increase would have gone back to 2015 model-year vehicles, but the amended version begins with 2019 model-year vehicles. In a separate decision, NHTSA granted a request for a formal rule-making process to be put in place – to resolve differences between greenhouse-gas standards overseen by the EPA and the fuel-economy standards administered by NHTSA. The penalty increase had comes from a law enacted last year for all federal agencies to raise penalty fees as a deterrent and to keep up with inflation.
  2. VW van:  In teaser photos sent out with a brief announcement, Volkswagen said that it’s now designing the second electric vehicle in the I.D. family. This one may be closer to a classic VW van or microbus, and is said to be “a multi-functional vehicle for a new era” that “links between the legendary origins of the Volkswagen brand and its electrifying future.” Like the I.D. sedan concept launched at the Paris Motor Show, it’s based on the Modular Electric Drive Kit (MEB). The German automaker says that I.D. can stand for purity in design language, and for a new generation of fully connected, all-electric vehicles from the company. Drivers will have a fully autonomous vehicle where the steering wheel retracts into the dashboard; and laser scanners, ultrasonic and radar sensors, and cameras monitor other vehicles and the electric VW’s surroundings. It’s another step in the automaker’s post-“Dieselgate” vehicle electrification strategy; and it’s scheduled to be revealed in more detail next month at the Detroit Auto Show.
  3. Tesla wins owner survey:  Tesla Motors won the owner satisfaction brand award from Consumer Reports’ readers for the second year in a row. For those taking the survey, 91% of Tesla owners said they would buy their Tesla vehicle again, while 84% of No. 2 Porsche owners would buy that same vehicle again. Tesla, Porsche, Audi, and Subaru remained in the top four spots from last year. In October, Consumer Reports recommended that Tesla resolve two structural issues in its Model X electric SUV – including problems getting the Falcon Wing doors to work correctly. Tesla owners who took the survey seemed to be less concerned about it than did Consumer Reports’ editors.
  4. DOE grants on alternative fuels:  The U.S. Department of Energy has announced more than $18 million in grants awarded supporting vehicle electrification, propane direct injection, and other alternative fuels. Odyne Systems will receive $2.9 million to develop and demonstrate plug-in hybrid work trucks (class 7) that reduce fuel consumption by more than 50 percent and eliminate fuel consumption during stationary operations. Blue Bird Corp. will receive $4.9 million to develop and demonstrate a battery-powered electric school bus that improves propulsion energy efficiency by 20-30 percent and that can connect to the electric grid (vehicle-to-grid). Blossman Services is being awarded $2 million to develop a 4.3L propane direct injection engine and emission control system that will be demonstrated on a package delivery vehicle.  PacifiCorp will receive $3.9 million to accelerate electric vehicle adoption by developing electric highway corridors along I-15, I-80, I-70, and I-84 in Utah, Idaho, and Wyoming. Gas Technology Institute (Des Plaines, IL) will receive $4.9 million to deploy multi-fuel stations (including electric vehicle charging stations, compressed natural gas, biofuels, and propane stations) and alternative fuel vehicles (including electric drive) along I-94 from Port Huron, Michigan to the North Dakota border.
  5. Uber moves to Arizona:  Uber used flatbed trucks, managed by its Otto subsidiary, to transport 16 Volvos used in its self-driving car test project from California to Arizona. While Otto specializes in running self-driving commercial trucks, it appeared that these trucks were operated by drivers. Uber’s move came after California’s Department of Motor Vehicles revoked the registration of the ride-hailing company’s self-driving cars because the company refused to get the $150 permits for testing autonomous cars that the state requires. Arizona Gov. Doug Ducey invited Uber to cross state lines on Wednesday and Thursday, including through a social media campaign; on Thursday, Uber left California for Arizona. There may be more than 16 self-driving vehicles that will be tested by Uber in San Francisco, and the company hasn’t provided a date on when testing will begin in Arizona.
  6. Sustainability report:  Waste Management this month released its annual sustainability report, which announced that the company recycled and composted more than 14 million tons of materials from the waste stream in 2015; and as a company, Waste Management is a net greenhouse gas reducer. Its fleet uses more 5,100 natural gas vehicles, which the company says is the largest fleet of its kind in North America. The company reported using technology at landfill-gas-to-energy facilities to power the equivalent of 470,000 households, offsetting 2.5 million tons of coal per year and 2.5 million tons of carbon dioxide emissions per year. You can view the report here.
  7. Honda and Waymo discussing self-driving cars:  Honda Motor Co. has been in talks with Google’s new self-driving car unit, Waymo, to test out some of the technology in Honda’s vehicles. Both companies said that it’s a research project and not a development deal for full-production vehicles. Honda may go beyond the preliminary phase to provide Waymo with vehicles that are modified to run the self-driving system; those Honda vehicles would join the existing Waymo fleet currently being tested in four U.S. cities. Honda follows FCA in making a self-driving vehicle test program. Michelle Krebs, an analyst at Cox Automotive’s Autotrader.com, sees Google and Apple more likely to enter technology partnerships with automakers rather than face the capital intensive and demanding regulatory clearance that vehicle manufacturers must go through.
  8. Land-fill free target:  General Motors has beat its landfill-free target four years early. In 2011, the automaker had set a goal to operate 150 landfill-free sites by 2020. This year, it added 23 of these sites, and now has 152 facilities globally that send zero waste to landfills. The company accomplished this through recycling used water bottles into engine cover insulation and recycling grinding wheels as sandpaper, among other initiatives. GM also partnered with Herman Miller and Green Standards to repurpose and recycle tens of thousands of pieces of office furniture and equipment.
  9. Hydrogen stations growing 10-fold:  Nikola Motor Co., which operates hydrogen fuel cell semi-trucks, will be rolling out a nationwide network of hydrogen fueling stations that will be accessible to other fuel cell vehicles. That would increase the U.S.’s present status of 33 hydrogen stations more than 10-fold to 364 more stations built by Nikola. This infrastructure network will begin construction in a year, in January 2018, and will begin opening in late 2019, according to CEO Trevor Milton. Toyota, Honda, Hyundai, Mercedes, and other automakers developing fuel cell cars, will be very interested in seeing this happen.
  10. VW ride-hailing in Africa:  Volkswagen has added a ride-hailing service in Rwanda as part of its mobility services, and to access a market that Uber hasn’t yet gained presence. Uber operates in several African countries, including Kenya where it launched in early 2015 and now faces competitive pressure from local companies. VW is working hard at expanding its electrified vehicle offerings and mobility services as it emerges from the “Dieselgate” scandal. Rwanda is thought to be a less competitive market, and a good one for VW to establish its presence in the region. The German automaker has been active on the ride-hailing front this year, having invested $300 million in Gett.

Clean transportation’s pivotal events in 2016, and what to watch for in 2017

chevy-bolt-in-cityPlug-in sales trends and new car launches:  Plug-in hybrid was the top-selling category over all-electric vehicles in 2016, which switched over a sales trend that had been led by the Tesla Model S and Model X, and Nissan Leaf, in all-electric vehicle sales. The revamped 2016 Chevy Volt has been the top seller in the U.S. and the Ford Fusion Energi nearly doubled its sales in November over the previous year. The Mitsubishi Outlander PHEV has been leading the electric vehicle market this year in Europe, beating the Renault Zoe and Nissan Leaf.

The all-electric Chevy Bolt has been taking center stage lately as it rolls out to dealers in California and Oregon, and the rest of the country next year. The 238-mile per charge EPA rating, and $37,496 pre-incentive price have driven the enthusiasm and interest. Earlier this year, Tesla Motors unveiled its 200-mile plus, $35,000 Model 3 in the spring, and started taking $1,000 down payment pre-orders; over 400,000 consumers opted in by summer time. The Bolt vs. Model 3 race has become more significant and news worthy than the Nissan Leaf vs. Chevy Volt launches in late 2010. Both General Motors, and especially Tesla, are gearing up for production levels beyond what’s ever been seen in plug-in sales. The Model 3 forecast is much bigger than that of the Bolt with 100,000 units planned for 2017 and 400,000 units in 2018; but there’s always the possibility that GM will scale that up to stay competitive.

The Chrysler Pacifica Hybrid (plug-in hybrid) was significant for the being the first electric minivan, and for being the first time Fiat Chrysler Automobiles has taken a plug-in vehicle all that seriously. The Fiat 500e has been a “compliance car” to meet California’s ambitious and strict zero emissions vehicle targets, with only a small volume produced and sold in the state. FCA has been showcasing the Pacifica Hybrid at the LA Auto Show and other events, while the gasoline-engine Pacifica been highly visible in billboard ads and online campaigns. FCA’s decision to launch the plug-in hybrid version along with the gasoline-engine version shows that automakers see utility vehicles (especially crossover SUVs) being very important for increasing plug-in sales.

The Honda Clarity Fuel Cell represented a step forward for hydrogen fuel cell vehicles, and for a standalone green car product line. Like the Prius being offered in four technologies (including the refreshed Prius Prime plug-in hybrid), the Clarity will later come out in all-electric and plug-in hybrid versions. Honda sees the Clarity as its brand offering three electric variants, with the first one, the Clarity Fuel Cell, having the best mileage in its class. The Clarity Fuel Cell has 366 miles of range in the EPA rating, which beats the Toyota Mirai and Hyundai Tucson Fuel Cell. This car faces the challenges of all fuel-cell vehicles: limited fueling stations beyond California, and making the big leap to get car buyers to take the new technology seriously. Electric vehicles are making strides forward beyond early adopters, but that’s taken nearly six years through what is now a wide range of product offerings, charging infrastructure improvements and expansion, competitive pricing, and hands-on experience with the technology.

The unexpected victory of the Trump campaign will take a while to be sorted out for advocates of clean transportation and energy. Trump’s nomination of Scott Pruitt to the Environmental Protection Agency was the first blow, along with the impression gained that the 54.5 mpg by 2025 phase two period for 2022-25 vehicles would be postponed and softened. Pruitt and other agency appointments have been distressing for environmental and cleantech groups. The latest news has included acting EPA Assistant Administrator Janet McCabe telling the Alliance of Automobile Manufacturers in a letter that the agency won’t be extending the deadline for a review of the fuel economy and emissions standards. National Highway Traffic Safety Administration has gone in the other direction – that enforcement agency is postponing the enforcement of the rules starting with 2015 model year vehicles to the 2019 model year; and NHTSA will allow for more input from automakers in the rule-making process on clarifying discrepancies between the greenhouse gas emissions standards regulated by the EPA and the fuel-economy standards enforced by NHTSA. Automotive executives, including Tesla CEO Elon Musk, are taking a business-first approach to dealing with the Trump administration. Musk, along with GM CEO Mary Barra and Uber CEO Travis Kalanick, accepted Trump’s invitation to participate in a Strategic and Policy Forum that frequently will advise him on economic issues and jobs growth.

Some cleantech and clean energy analysts expect to see growth in solar and wind power, vehicle electrification, alternative fuels, battery energy storage, and energy efficiency, during the Trump years. There’s been substantial growth in these technologies in recent years, along with more acceptance and interest from end users; government incentives and policies may not be as important as they were during the Obama administration. There’s also stringent mandates, and generous incentive programs, still in place in Europe and Asia, that will support growth in vehicle electrification and renewable energy.

The Volkswagen court settlement on October 25 has gained a great deal of interest in the clean transportation community. To address the excessive NOx emissions from Volkswagen’s diesel cars, $2.7 billion has been allocated to fund the Environmental Mitigation Trust (EMT). The portion of the settlement to reduce NOx exposure and air pollution allows for each state to allocate EMT funds within court settlement guidelines; it’s based on the number of VW diesel vehicles sold and registered in those states and will be spent by VW over a 10-year period. Of that total, $2 billion will go to supporting zero emission vehicles. Of that $2 billion, VW will invest $800 million in California and $1.2 billion throughout the rest of the nation. The EPA says that ZEV funding from VW is to be spent on things such as Level 2 charging at multi-unit dwellings, workplaces, and public sites; DC fast charging facilities accessible to all vehicles utilizing non-proprietary connectors; and brand-neutral education or public outreach that builds or increases public awareness of ZEVs. The $700 million remainder from the EMT funding could also provide opportunities for suppliers of other alternative fuels and infrastructures including natural gas, propane autogas, biofuels, renewable natural gas, and renewable diesel.

Five global automakers have committed to rolling out rolling out millions of new plug-in electrified vehicles in the next few years – and that list doesn’t include Tesla Motors. Volkswagen, Daimler, BMW, Hyundai, and Toyota have made serious commitments this year to design, develop, and launch over 40 new models by 2025 and manufacture several million per year. That’s being driven by Tesla quickly gaining over 400,000 down payments on the upcoming Model 3. Another market pressure comes from the “Dieselgate” scandal, prompting governments in the U.S., Europe (primarily Germany), and Asia to tighten emissions rules and enforcement.

Volkswagen was the first to make an announcement – that it would be introducing 30 new all-electric vehicle models by 2025, and would produce two-to-three million EVs per year by that time. Both Daimler and BMW announced a few months later that their global sales will include 15-to-25 percent all-electric and plug-in hybrid vehicles across their brands within 10 years. Combined, that would be about three quarters of a million up to one million new PEVs sold per year starting in about 10 years. Daimler previewed its new EQ electric car brand through the Generation EQ concept at the Paris Motor Show. For Hyundai, the all-electric Ioniq was scheduled for launch by the end of this year, with plug-in hybrid and hybrid versions to follow. The Korean automaker said it will roll out a new electric car model every two years to keep pace with how quickly electrified technology is emerging in the market. As for Toyota, in late November Toyota President Akio Toyoda said that he’ll be heading the company’s newly formed electric car group. Toyota had backed away from its previous alliance with Tesla and became committed to hydrogen fuel cell vehicles. More recently, the company has committed to hybrids, fuel cell vehicles, and PEVs to meet global regulations and to remain competitive in the global market. Toyota has been seeing breakthroughs in its battery technology, which seemed to help the Japanese automaker commit to rolling out new PEV models.

Next week, part two: autonomous vehicles, infrastructure, urban mobility, and renewable fuels and energy.

This Week’s Top 10: Mazda, Subaru and Toyota join the EV race, Canada adopts clean fuel standards

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. Nissan Leaf chargingThree more automakers join EV race: The days of putting a small number of “compliance cars” in California to meet zero emission vehicle rules appear to be ending. Mazda, Subaru, and Toyota are preparing to enter the global competition. Regulatory pressure is increasing across the world, and competitors have been announcing lofty electric vehicle production schedules. Honda is another Japanese automaker that has hinted that it’s going along this path, too, with an electric version of the Clarity coming out and more EVs on the way. Mazda will launch an EV in 2019, and Subaru’s will follow in 2021. Toyota recently announced it will launch an “in-house venture company” next month to start developing battery-powered cars. Not long ago, Toyota broke its ties with Tesla for using the electric car company’s drivetrain in the electric RAV4. Toyota says it’s more committed to hydrogen fuel cell vehicles, but EVs can’t be put off any longer.
  2. Canadian clean fuels standard: The Canadian government adopted a national clean fuels standard last week for climate action and growth in its cleantech economy and green jobs. It follows previous actions in British Columbia, Oregon, and California, and is expected to greatly improve availability of low carbon fuel choices and competition at the pump. Fuel suppliers have several options for meeting the clean fuel standard. They can employ lower carbon fuels blended into, or replacing, gasoline and diesel, or improve the emissions associated with upstream oil and gas extraction and refining. The new standard will also promote fuel switching to electric mobility and hydrogen fuel cells. The standard will require fuel suppliers to progressively reduce the carbon pollution in their fuels, with annual reduction requirements within a specified overall timeframe.
  3. In-fighting at VW: A “cut-throat battle for resources” is happening in-house between Volkswagen and its Audi and Porsche premium brands as the automaker cuts costs to face the diesel emissions cheating scandal. Every VW brand with engine-manufacturing capacity now wants a leadership role when it comes to electric motors, battery packs, and battery-cell expertise, according to an unnamed source. Cost cutting will include reducing jobs dramatically as the company faces as much as 30 billion euros ($32 billion) to pay global government penalties and settle lawsuits for the diesel emissions cheating scandal. VW has set the aggressive goal of rolling out 30 new electric vehicle models by 2025. Production and labor will have to be used efficiently to reach corporate targets, with layoffs in the works. In other news, VW has agreed to extend a 20 billion-euro ($21.2 billion) bank credit line, which is part of the company’s efforts to maintain its financial strength while it counts the full cost of its diesel emissions scandal.
  4. Four reasons why the Trump administration probably won’t ground the corporate average fuel economy guidelines: “Capital commitments: Automakers plan years ahead; they’ve already sunk billions into upcoming models designed with pending fuel standards in mind. Global markets: Fuel-efficiency regulations and incentives are in place in major auto markets worldwide — including China, whose market is expanding dramatically, especially for “new energy” vehicles meant to curb urban pollution. Consumer demand: With gas prices low, Americans are buying larger vehicles. But surveys and sales figures show they want sport utility vehicles and pickups to be as fuel efficient as possible. Regulatory patchwork: California and other states concerned about global warming worked closely to harmonize their own regulations with CAFE. Gutting CAFE could break that consensus and cause automakers to adjust cars for the California market, something they’ve done in the past and would rather not do again.”
  5. RFS volume: The Environmental Protection Agency released the final Renewable Fuel Standards last week, which raised the levels from 18.11 billion gallons this year to 19.28 billion gallons in 2017. This is a 5% increase from the proposed 2017 levels — 18.8 billion gallons of renewable fuel — that the EPA announced in May. About 15 billion gallons of this will come from conventional corn-based ethanol. While the ethanol industry praised the increase, Big Oil immediately went into attack mode.
  6. EVs vs. fuel cells: Stanford University’s Global Climate and Energy Project has released a study finding that all-electric vehicles make for a more economical choice for reducing carbon dioxide emissions due to their lower cost and significantly higher energy efficiency than do fuel cell vehicles. Hydrogen offers few additional energy benefits besides only emitting water vapor from fuel-cell cars, the study said. “Studies such as these are needed to identify the lowest cost and most efficient pathways to deep decarbonization of the global energy system,” said Sally Benson, professor of energy resources engineering at Stanford and director of GCEP.
  7. Selling diesel cars: Daimler may continue selling diesel-powered cars in the U.S., even though a Der Spiegel article said otherwise. Daimler’s sales of diesel cars make up less than one percent of its Mercedes brand’s car sales in the U.S, the company said. Volkswagen did say last week that it will stop selling diesel vehicles in the U.S. and will focus its attention on sporty utility and electric vehicles.
  8. Will Trump’s press secretary hate Elon Musk?: Laura Ingraham, a conservative radio show pundit who attacks Tesla CEO Elon Musk, may be appointed Trump’s press secretary. A group called Citizens for the Republic (CftR) has taken on Musk for allegedly defrauding American taxpayers out of billions of dollars in government subsidies, grants, “and other favors.” CftR is headed by Ingraham, who has backed Trump and spoke in his favor at the Republican National Convention. CNN considers her a leading candidate to become Trump’s press secretary. As reported by Autoblog, Electrek has been digging into CftR’s tendency to be “full of misinformation about Tesla, electric vehicles, and solar energy.”
  9. RNG newsletter: Energy Vision’s Fall newsletter highlights a few developments in renewable natural gas including: Santa Monica’s “Big Blue Bus” fleet, which operates more than 200 transit buses, was the first in the country to commit to the combination of a new “near-zero” emission natural gas engine fueled by low-carbon RNG…….. Close to 140 business, government and environmental leaders and Energy Vision supporters from across the country gathered on October 13th to celebrate the organization’s 10th anniversary.
  10. E-bikes: Electric bike maker Zero Motorcycles’ bike series has had a few positive revisions made this year. The company now has 14 configurations with prices ranging from $8,495 to $18,690. Every Zero motorcycle gets more torque and power this year. The most powerful of the bikes, the Zero SR, now gets an impressive 116 ft.-lbs. of torque. That bike can go 202 miles in city driving and 101 miles per charge speeding around at 70 mph.

This Week’s Top 10: 2017 Hyundai Ioniq Electric takes top MPGe rating, Trump administration and EVs

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. hyundai-ioniq-plug-inBest fuel economy rating: The soon-to-be-released 2017 Hyundai Ioniq Electric took the No. 1 ranking for MPGe (miles per gallon equivalent) at 136 MPGe in combined fuel economy. The Ioniq Electric beat the all-electric BMW i3 with its 124 MPGe rating and 60 Amp-hour battery. The BMW i3 with a 94 Amp-hour battery came in fourth place at 119 combined MPGe. The BMW i3 REX (94 Amp-hour battery) and its range extender gasoline engine came in 7th place at MPGe combined. The upcoming Chevy Bolt took third place at 119 combined MPGe. It will have nearly double the range with the Bolt able to go 238 miles per charge versus 124 miles for the Ioniq Electric. These rankings come from the Fuel Economy Guide for model year 2017, which was just released by the U.S. Department of Energy (DOE) and the U.S. Environmental Protection Agency (EPA).
  2. Trump and EVs: It’s too early tell what actions the Trump administration will take affecting electric vehicle adoption in the U.S. “The short answer is that we don’t know what will happen with the Trump administration and electric vehicles,” said Dave Reichmuth, senior engineer for the Union of Concerned Scientists clean vehicles program. “It might be awhile before we understand the policy priorities for the new administration.” Reichmuth said that the federal EV tax credit, which can go as high as $7,500 per electric car, is embedded in the larger federal tax code; removing it would require action from Congress. Tesla CEO Elon Musk, who publicly endorsed Hillary Clinton for president, appears unfazed by the potential of less-EV-friendly regulations. Dan Sperling, founding director of the University of California Davis Institute for Transportation Studies, said the automaker industry’s letter to the Trump transition team should not be interpreted as a plea to drop emission or fuel economy standards altogether. “The industry has made a massive investment in electric vehicles,” Sperling said. “While some would prefer to slow it down, most companies are going to continue along that path.”
  3. Sustainable freight: The two largest North American ports, Los Angeles and Long Beach, have proposed the next version of the San Pedro Bay Ports Clean Air Action Plan (CAAP) that would aggressively deploy zero and near-zero emissions trucks and cargo-handling equipment. The ports also propose expanding programs that reduce ship emissions. Other proposals focus on freight infrastructure investment, innovation, and technology to improve supply chain efficiency and comprehensive energy planning. The updated CAAP provides one of California’s first opportunities to implement what was laid out in the state’s Sustainable Freight Action Plan.
  4. Toyota EVs: Toyota Motor Corp. is setting up a small in-house unit to develop battery electric vehicles. For now it will be a small team of four, with one from Toyota Motor Corp., Toyota Industries, Aisin Seiki Co., and Denso Corp. The company said it will be part of a larger strategy to develop alternative powertrain technologies. Toyota still emphasizes hydrogen fuel cell vehicles, which it called the “ultimate eco-car.”
  5. Mazda diesel and electric cars: Mazda Motor Corp. is moving beyond fuel efficient Skyactiv gasoline engine vehicles by adding diesel to the next-generation CX-5 crossover next year. Mazda also will introduce an electric vehicle in 2019 and a plug-in hybrid vehicle in 2021 or later, to meet increasingly stringent fuel economy rules. A revamped 2.2-liter Skyactiv-D clean diesel engine, modified to meet more stringent U.S. regulations for nitrogen oxide emissions, will be offered in the second-generation CX-5 during the second half of 2017, the company said. The next CX-5 debuted Tuesday at the L.A. Auto Show.
  6. Faraday factory: Electric supercar maker Faraday Future has stopped construction of its $1 billion electric vehicle factory in North Las Vegas, Nev. The Gardena, Calif., company, which has received backing and recent financial restructuring from tech billionaire Jia Yueting and Chinese company LeEco, said it plans to restart work on the plant in 2017. Last month, a construction firm working on Faraday Future’s factory warned the electric-car startup that it could face a work stoppage over millions of dollars in unpaid bills, raising questions about Faraday Future’s financial condition.
  7. 15 electric buses: California’s Central Valley took a major step to reduce emissions last week with a California Air Resources Board (CARB) funds award. The San Joaquin Valley Air Pollution Control District (SJVAPCD) will deploy 15 Proterra Catalyst electric buses, 11 Proterra depot-chargers, and four Proterra fast-chargers in order to improve local air quality and public health in disadvantaged communities throughout the San Joaquin Valley. Buses and charging deployment areas will reportedly include: the Fresno County Rural Transit Agency, the California State University Fresno, the City of Visalia Transit Division, the San Joaquin Regional Transit District, and the City of Modesto Transit Services.
  8. Sound factor: Hybrid and electric vehicles will now be required to make noise when traveling below 19 miles per hour. That ruling came from the National Highway Traffic Safety Administration after a long period of research and industry feedback. Known as the “quiet car” rule, regulators have taken a long time to decide on passing the regulation, as a ruling has been in the works since 2013. In the original proposal, the estimate was that it could reduce instances of injuries caused to pedestrians and bicycle riders by 2,800 per year, a figure that has since been reduced to 2,400 per year.
  9. NextEV: Chinese electric vehicle startup NextEV yesterday unveiled its record-breaking electric supercar, the first vehicle launched under the company’s new NIO brand. The new brand and the NIP EP9 electric supercar, which recently broke an electric vehicle lap record at Nürburgring Nordschliefe, were unveiled at a launch event in London. This is the first official launch since NextEV was founded in 2014. The company opened its Silicon Valley headquarters in October. Padmasree Warrior, former CTO at Cisco, is now serving as the U.S. CEO of NextEV.
  10. VW and Didi: Volkswagen announced last Thursday that it has been is in talks with China’s Didi Chuxing to set up a high-end ride-hailing service; the deal would also involve ambitious sales goals for electric and hybrid vehicles in the world’s largest auto market. That would help VW in its bid to beat General Motors as the largest-selling automaker in China. It would also be a channel for selling its ambitious plan for electric vehicle introductions in the wake of last year’s diesel emissions scandal. The automaker plans to sell 400,000 “new energy vehicles” in China by 2020 and 1.5 million by 2025. Didi is China’s largest ride-hailing company, with 300 million users across more than 400 cities.

Speculating on what the Trump administration will mean for cleantech and transportation

white-houseAs the stunning election results settle in, speculation on the implications is pervasive through news and social media channels.

I do have two questions. What will President-elect Donald Trump’s administration be doing, and opposing, in the realm of cleantech and transportation? What can clean transportation stakeholders do to respond?

To start off, what happened with the election that set up such stunning results? Media analysts and pundits were using early polling findings and experience from past elections to assume they knew the outcome, until election evening. Pollsters assumed they knew how voters were going to vote, and they did seem to be accurate about how regular voters were going cast their ballots. It turns out that quite a few disenfranchised voters who hadn’t punched a ballot in years showed up and cast their vote for Trump. A lot of Millennial generation voters who had loved Bernie Sanders but settled for Hillary Clinton didn’t bother to show up and vote or to mail an absentee ballot. Clinton may have won the popular vote but lost in key electoral vote states, the fourth time that’s happened in U.S. history; but ballots are still being counted to determine the popular vote total.

We may have received a signal of where the new administration will be standing on some of the relevant issues. Right after Election Day, a statement was released on a review of the fuel economy and emissions standards by the new administration.

“The Trump Administration will complete a comprehensive review of all federal regulations. This includes a review of the fuel economy and emissions standards to make sure they are not harming consumers or American workers,” said John Mashburn, a senior policy adviser for Trump, as reported by Automotive News. “It is important to remember that this particular program was first put in place as a way to reduce our nation’s dependence on foreign oil, not for purposes of global warming regulation. Mr. Trump will be focused on bringing jobs, including auto manufacturing, back to the U.S., and making sure that government policies are in the national interest.”

On Thursday, the Alliance of Automobile Manufacturers sent a letter to President-elect Trump’s White House transition team asking to ease regulatory pressure from the Obama administration’s fuel economy and emissions rules calling for 54.5 mpg by 2025. The rules, which become increasingly stringent in the 2017 model year, are considered to be a “substantial challenge” for the industry, according to the letter. While alliance members (including General Motors, Ford, BMW, Mercedes, VW, Mazda, Volvo, Fiat, and Toyota) have supported the program, the industry is concerned about the timing and costs of the rules, which will require billions of dollars in investment.

Here are a few legislative, regulatory, and economic issues to follow:

  • Grant funding:  U.S. Department of Energy and U.S. Environmental Protection Agency funding is likely to be scaled back as the Obama administration leaves office. That means low-interest loans and grants for advanced vehicle technology projects by automakers, suppliers, universities, and research center partners will probably lose funding. Other parties likely to lose funding include electric vehicle charging infrastructure suppliers; alternative fuel vehicles being deployed in the federal fleet; grants for research and development of alternative fuels like biofuels and renewable natural gas and diesel; and clean transportation projects aimed at cargo transport. Fleets, OEMs, and suppliers will need to tap into other resources like state, regional, and city funding programs; and university R&D projects.
  • EV incentives: The Trump administration is likely to lose interest in renewing and expanding federal tax incentives for purchasing electric vehicles, which go up to $7,500. General Motors and Nissan are close to reaching the cap on allowable EVs qualifying for the tax incentives, and other automakers will follow. These incentives will go away unless renewed. Trump has expressed opposition to the government picking “winners and losers” and tends to not show support for government action continuing these types of programs. Like grants, automakers will need to turn to other sources like states for funding and utilizing their own purchase incentive programs to attract green car buyers.
  • Watch for gridlock in Washington: Trump and his campaign statements have been opposed to the Obama administration on clean energy policies. Trump has called climate change a hoax during the campaign, and promised to renegotiate the United Nation’s Paris climate accords. He’s opposed to the Obama administration’s Clean Power Plan, which is directing utilities to reduce carbon emissions. Some of Trump’s dramatic proposals may also see resistance from Republican committee chairs in Congress. To carry out his wish of abolishing the EPA would need broad support in the House and Senate. When it comes to the huge investment Trump promised to spend on roads and other infrastructure, he will likely face stiff opposition from fiscally conservative Republicans. Environmental groups have expressed deep concerns over where Trump’s policies will be heading. “We’re feeling angry and sad and contemplative,” said Michael Brune, executive director of the Sierra Club. “Trump is now, as president-elect, soon to be the only head of state on the planet that doesn’t believe in climate change, nor thinks we should do anything about it. That should strike fear in the hearts of every parent in this country.”
  • Globalization: Trump took on Ford Motor Co. and its plans to move all its small-car assembly plants to Mexico as a pivotal issue during stump speeches from the very beginning of his campaign. Ford is not the only automaker in Mexico, with Trump also taking aim at General Motors for its plans to invest $5 billion more in Mexico. Other companies have been there for years like BMW, Chrysler, Fiat, Honda, and Volkswagen. It certainly goes way beyond Mexico with automakers also investing heavily in operations overseas in places like China, India, and Brazil. Trump has been able to stir up anger and frustration for workers at vehicle manufacturing and parts and components plants who’ve lost their jobs in the Great Lakes region, or who’ve feared it will happen to them next. Union members who usually vote Democrat leaned toward Trump. Fear of losing jobs to overseas markets has touched a nerve. The United Auto Workers, which had campaigned against Donald Trump this fall, is prepared to support his bid to overturn the North American Free Trade Agreement. Trump has also said he plans to reject or renegotiate other trade deals. Automaker executives will have to sort this out in dealing with the Trump administration and its decisions on tariffs, trade agreements, and statements affecting the public’s attitudes about the auto industry.
  • China: The alliance between the U.S. and China has been a central part of the Obama administration’s foreign policy and clean energy initiatives. The Chinese national government and regional entities have given generous subsidies to foreign companies and investors to set up manufacturing and assembly plants in China. That strategy has contributed significantly to China’s economy, with companies like Apple and General Motors taking it very seriously. That international alliance has been tracked closely in the past year by Green Auto Market and other publications as sales of battery electric and plug-in hybrid vehicles have taken off in China, making Chinese company BYD the third largest seller of EVs in the world. Chinese backers such as Wanxiang Group have played a vital role in seeing companies like Karma Automotive and A123 Systems establish a foothold in the U.S. and, eventually, in China. As reported in media, developing and maintaining a strong and mutually beneficial relationship with China has been, to say the least, challenging for the Obama administration; relations between the two nations are much more tense now than they were in 2009. The Trump administration may not do well with that tension and could break ties that have been set in the past eight years – if U.S. interests in China and the Asia-Pacific region aren’t perceived as making forward gains. The climate change agreement with China is also likely to languish under the new presidency. If you review the Trump website’s policy section, you’ll find a few statements on free trade that indicate where things may be going with China: “Instruct the Treasury Secretary to label China a currency manipulator…… Instruct the U.S. Trade Representative to bring trade cases against China, both in this country and at the WTO (World Trade Organization). China’s unfair subsidy behavior is prohibited by the terms of its entrance to the WTO…….. Use every lawful presidential power to remedy trade disputes if China does not stop its illegal activities, including its theft of American trade secrets.”
  • Tesla CEO Elon Musk’s viewpoint: “I think a bit strongly that (Trump) is probably not the right guy” for the presidency, and wouldn’t be the best candidate to represent the U.S. abroad, he told CNBC on the Friday before the election. Democratic presidential nominee Hillary Clinton’s economic and environmental policies “are the right ones,” Musk said. Other automakers have expressed concerns over policies likely to be adopted by the Trump administration, but have kept a neutral stance on the outcome of the election.
  • CARB: California’s Air Resources Board has rescheduled a key hearing from Dec. 8-9 until sometime in February; that will be after Trump has taken office and there’s more clarity on where the nation’s clean-air rules overseeing vehicles are headed. The delay in the hearing is needed to give more time to gather reaction to recommendations the board staff is now preparing, a board spokesman said. The Alliance of Automobile Manufacturers also wants to see states follow CARB’s lead on the zero emission vehicle policy to avoid a patchwork of problems. Automakers would like to see the nine other states that have adopted the ZEV policy to follow California’s practice of supporting the mandate with tax incentives and other programs. That’s led to “dramatically” different ZEV credit purchase rates outside of California, the trade group said.
  • Biofuels vs. oil: The EPA said on Thursday it plans to deny several petitions from oil groups to change the country’s biofuels program, an issue that has deeply divided the petroleum industry. The oil industry has spent millions lobbying against the Renewable Fuel Standard (RFS), which mandates biofuels being blended into gasoline and supports development of advanced alternative fuels such as biodiesel and cellulosic ethanol. A final decision will probably not be made until Trump is in the White House. The Trump administration is more likely to consider the refiners’ requests, said Timothy Cheung, vice president at ClearView Energy Partners in Washington. A policy statement from Trump’s campaign website may shed some light on the new administration’s support for oil and gas: “Unleash America’s $50 trillion in untapped shale, oil, and natural gas reserves, plus hundreds of years in clean coal reserves.”
  • As for possible responses to the Trump administration potentially blocking support for electrified transportation, alternative fuels, and infrastructure – along with market dynamics moving forward no matter who had won the presidential election – here are a few to watch for:
  • Adoption of electrified vehicles: A report by Michigan-based analyst Alan Baum forecasts that by 2018, the number of hybrid, plug-in hybrid and all-electric models sold in the U.S. will jump to 92 from 58 this year. Baum expects hybrid and EV sales to rise well above their current margin of about 3% of U.S. new vehicle sales in the next 10 years. Daimler and BMW both have predicted plug-in electrified vehicle sales will account for as much as 25 percent of their total deliveries in about 10 years. Volkswagen said in June that the company will launch more than 30 all-electric vehicles over the next 10 years with a goal of selling two to three million of these EVs in 2025. Tesla will be producing about 500,000 electric vehicles beginning in 2018 as the Model 3 comes to market in late 2017. General Motors plans to compete directly with the Model 3 with its Chevrolet Bolt electric car, which just started rolling off assembly lines.
  • Fleets will continue to play an important role: Fleets are among the early adopters for new vehicle technologies and will continue to play that important role. If Trump makes the climate change argument harder to buy into, fleets are usually skilled at making the case for adoption of clean vehicles other ways, including emphasizing energy independence and return on investment. The clean vehicle may be higher in acquisition cost but will reach payback in a reasonable amount of time compared to the cost of gasoline and diesel; and the cost of maintaining internal combustion engine vehicles when compared to plug-in electrified vehicles. Clean Cities coalitions have been very helpful in assisting fleets, and their OEM and supplier partners, to make the business case for adopting clean vehicles.
  • Trade disputes: Arguments between the U.S. and China over fair trade practices will likely mean less in the coming years. GM, Ford, Volkswagen, Hyundai, BMW, Daimler, Nissan, Honda, Toyota, Mazda, and other automakers already have joint-venture alliances with Chinese automakers. EVs are being added to their product lineups for sale in China. Chinese automaker BYD has a large stake owned by Warren Buffet and Berkshire Hathaway. Tesla is investing heavily in setting up stores and service centers in China, and is eying Shanghai for setting up a factory. A similar trend is carrying over to the U.S. market, where Wanxiang America has set up its headquarters in Chicago, BYD is manufacturing and selling electric buses, and other Chinese investors have stakes in U.S.-based electric vehicle makers and suppliers. Whether Trump or auto workers like it or not, globalization is a dominant economic force, right up there with new technologies being developed. Automakers are looking at opportunities all over the world, including Renault-Nissan planning on bringing more hybrid vehicles to Europe to replace diesel cars; and Mitsubishi bringing its Outlander PHEV over the U.S. market after seeing it become a top-selling plug-in electrified model in several European countries.
  • Creative financing: Federal grants and low-interest loans are likely to fade away, but there are other sources to consider. California is well known for grant programs, including through the AQMD entities; Chicago and New York have been funding clean transportation programs, and other cities and states are renewing their incentive programs. Startup OEMs, suppliers, and charging and alternative fueling infrastructure companies have turned to other capital sources and will continue to do so. Watch for more activity coming from crowdfunding, angel investors, and private equity firms. Ride-hailing giant Uber has set the tone for private investors to come through, and that’s crossing over to competitors and startups in food and packaged goods delivery.
  • Keep on keeping on: During Hillary Clinton’s concession speech Wednesday, she encouraged young professionals to stay committed to their goals no matter how an election may turn out. Sierra Club, Natural Resources Defense Council, and Ceres issued their own statements reaffirming their commitments to environmental objectives. NRDC published its own statement on the matter the day after the election: “Know this: NRDC will fight for our environment, for our climate, and for our shared clean energy future — harder than we ever have fought before.”

This Week’s Top 10: Apple backing away from building cars, California clean vehicle rebate revised

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. Apple electric minivanApple backs off: Apple Inc. has dramatically scaled back Project Titan, with a new business plan based on partnering with automakers rather than becoming one. Apple has made hundreds of job cuts and reassignments and has taken a new direction, according to people familiar with the project. Apple seems to be taking a similar approach as Google; Apple will be focusing on developing an autonomous (and, most likely, electric) driving system that gives the company flexibility to partner with existing carmakers or to go back to designing its own car in the future, sources said.
  2. California rebates revised: California’s Clean Vehicle Rebate Project (CVRP) is implementing increased incentive levels for lower-income consumers and new high-income eligibility caps, according to a release yesterday by the Center for Sustainable Energy. Following a public workshop held Sept. 30, the California Air Resources Board issued the program updates, as directed by a legislative act. They will apply statewide to consumers who purchase or lease rebate-eligible vehicles effective Nov. 1, 2016, providing lower-income consumers an additional $500. Rebates vary by vehicle type. For the average consumer, they are $2,500 for battery electric vehicles (BEVs), $1,500 for plug-in hybrid electric vehicles (PHEVs) and $5,000 for fuel cell vehicles. For lower-income consumers, CVRP rebates for all types of eligible light-duty passenger vehicles are increasing by an additional $500 for a total of $2,000 more per rebate ($4,500 for BEVs, $3,500 for PHEVs, and $7,000 for fuel cell vehicles). When combined with the maximum federal tax credit for eligible vehicles, the increased rebates provide savings of up to $12,000 for BEVs, $11,000 for PHEVs and $15,000 for fuel cell vehicles. See the press release for more details.
  3. NextEV opens office:  Chinese electric-car startup NextEV opened an office last week in Silicon Valley at a well-attended event. Founder William Li, a Chinese entrepreneur who created online car sales company Bitauto, has plans to build a series of electric and autonomous cars that that will at first be sold in China and then to consumers around the world. Li recruited former Cisco CTO, Padmasree Warrior, to lead his U.S. division. At the event, Warrior described the company’s mission is “to change transportation.” NextEV also has entered the Formula E electric racing series and has its own racing team. For the 2015/16 season, NextEV is registered as one of eight manufacturers in the series and is racing with a self-designed powertrain. The NextEV Formula E Team is also set for the 2016/17 season.
  4. Gauging trucking fuel economy rules: The University of Michigan’s Transportation Research Institute conducted a survey with 96 heavy-duty fleet managers who operate a combined total of just over 114,500 truck-tractors and approximately 350,000 trailers. Biodiesel blends (B5, B10, and B20) have been the most common alternative fuels in use, according to the survey. Fuel-saving technologies have played a big part in fleets getting closer to meeting federal fuel economy and emissions rules, with the most common fuel-saving technologies on truck-tractors being aluminum wheels, speed limiters, and low-rolling resistance dual tires. As for using alternative fuels, fleet managers appreciate lowering operating costs, reducing emissions, and availability of alternative fuels.
  5. Solar partnership:  Tesla and Panasonic have entered into a non-binding letter of intent to collaborate on manufacturing and production of photovoltaic (PV) cells and modules in Buffalo, N.Y. The agreement is contingent upon shareholders’ approval of Tesla’s acquisition of SolarCity next month. Tesla will use the cells and modules in a solar energy system that will work seamlessly with Powerwall and Powerpack, Tesla’s energy storage products. With the aid of installation, sales and financing capabilities from SolarCity, Tesla will “bring an integrated sustainable energy solution to residential, commercial, and grid-scale customers,” according to the Tesla blog.
  6. Maven comes to SF: General Motors is bringing its Maven car-sharing program to San Francisco, the ninth city in the network. Maven, which debuted in January, is already available in Ann Arbor, Mich., Baltimore, Boston, Chicago, Detroit, Los Angeles, New York City, and Washington, D.C. San Francisco has been a hub for carsharing and ridesharing, with several companies starting up there and setting up headquarters. Maven will compete with Zipcar, Evercar, Getaround, Turo, and City CarShare. Maven customers can rent GM models such as the Chevrolet Volt, Chevrolet Malibu, and Chevrolet Cruze, as well as luxury Cadillac models like the Escalade, and eventually, the Chevrolet Bolt.
  7. Warning on Autopilot: Germany’s Federal Motor Transport Authority (KBA) had written to Tesla asking the electric automaker to stop advertising its vehicles as having an Autopilot function because this might suggest drivers’ attention is not needed. On Friday the KBA wrote to Tesla car owners, warning them that their vehicles could not be operated without their constant attention and that under traffic regulations they must remain alert.
  8. RNG and NZE in refuse:  Renewable natural gas from waste resources and near-zero emission engines are revolutionizing clean refuse collection operations. On Tuesday, Oct. 25 at 10:00 a.m. PDT, Southern California Gas Company is hosting a one-hour webinar to learn about technology and implementation options for low-carbon, near-zero tailpipe emission refuse fleets. Topics covered will include: How the combination of ultra-low NOx natural gas engines and renewable natural gas technologies can help meet state emission targets; resources available to analyze the cost and emission benefits of renewable natural gas and a near-zero-emission engine project (“RNG+NZE”) for your refuse operations. Click here to register.
  9. Renewable energy increasing: Carbon-dioxide (CO2) emissions from electricity generation during the first six months of 2016 were the lowest since 1991, according to the U.S. Energy Information Administration (EIA), with most of that coming from the displacement of fossil fuels with renewable energy. Coal saw the more dramatic decline, with consumption decreasing by 18 percent, compared to 1 percent for natural gas. Use of renewable-energy sources increased 9 percent during the first six months of 2016, compared to the same period in 2015.
  10. Workhorse makes deals with BMW and UPS:  Workhorse Group announced that BMW i has signed a multi-year supply agreement for BMW i3 range extender (REx) units for the Workhorse E-Gen electric delivery vehicle. The Workhorse E-Gen delivery vehicles are used by last mile delivery companies to fulfill their customers’ delivery needs, the company said. Workhorse also announced that it has received an order to produce 200 additional E-Gen hybrid electric delivery trucks for UPS’ alternative fuel and advanced technology fleet. Workhorse is also known for its FAA compliant unmanned aerial systems (UAS) delivery drones.

 

Government backlash grows worldwide on false reporting from automakers on green initiatives

electric-bus-in-chinaThe Chinese government is taking punitive action on more than 25 vehicle manufacturers, from makers of passenger cars to buses, in a breaking scandal over subsidies granted for “new energy vehicles.” It’s one in a series of global scandals in the past year over false claims made by automakers related to regulatory compliance and subsidies for fuel economy, greenhouse gas emissions, and vehicle electrification.

Five Chinese bus makers are being penalized by the government for taking about 1 billion yuan ($150 million) in illegal subsidies, including a division of popular Chinese carmaker Chery Holding. Nissan, Hyundai, Geely, Anhui Jianghuai Automobile (JAC Motor), a subsidiary of BYD, and other carmakers in China have been accused of violating funding program rules. One busmaker will have its production license revoked while other companies will be fined. Government incentives helped Chinese sales of all-electric and plug-in hybrid passenger vehicles, trucks, and buses climb to 331,000 units last year. The China Association of Automobile Manufacturers revised its estimate for this year’s new energy vehicle orders to 400,000 from 700,000 vehicles on Friday, after the government announcements on automakers being penalized.

On September 18, it will be one year since the Volkswagen diesel car emissions scandal blew up. On that day the U.S. Environmental Protection Agency issued a notice of violation of the Clean Air Act after finding VW intentionally programmed turbocharged direct injection (TDI) diesel engines to activate certain emissions controls only during laboratory emissions testing. Last week, a VW engineer became the first employee to be indicted and to plead guilty on criminal charges over the emissions cheating.

VW engineer James Robert Liang pleaded guilty to a single charge of conspiracy to commit fraud against the U.S. government and VW customers, and for violating the Clean Air Act. The plea agreement also includes Liang being willing to cooperate with the U.S. government’s investigation into the diesel emissions fraud investigation.

The conspiracy charge does indicate that other VW employees will face criminal charges by the U.S. government. This will take place during a vehicle recall process with government agencies in the U.S., Germany, South Korea, with other governments likely to follow a similar path.

Other automakers face intense government scrutiny in regulatory compliance. Fiat Chrysler Automobiles is under investigation in Germany for false reporting on diesel emissions. Mitsubishi had its corporate offices raided by law enforcement in Japan last month over its mileage reporting scandal; that follows similar reporting scandals that enmeshed Hyundai, Kia, and Ford in 2013-2014.

Here are a few questions I’d like to have answered by automakers over these scandals:

  • Will uniform global standards be adopted by government agencies and automakers measuring vehicle mileage and greenhouse gas emissions? Automakers are measuring miles per gallon differently than the EPA, though that may be changing toward more uniformity. The speed cars are driven at, the weight of the vehicle, external temperatures and conditions, and road incline grades, affect mileage, automakers say. But can they follow uniform guidelines that determine how all vehicle mileage ratings are determined? Diesel emissions measures can be manipulated by the testing methods being utilized. Electric car driving range on a single charge illustrates the distinctions in reporting standards that can throw off measurements. An all-electric car may get 300 miles of range by European NEDC estimates, but it would be a shorter range by EPA standards. The automaker will brag about 300-mile range, but won’t explain the distinctions unless it’s in small type in a footnote.
  • How serious are automakers about reducing emissions? Global automakers are fearing their demise in a fast-changing industry. The Chinese auto market is becoming the most important one beyond the U.S. and Europe; and other markets like India, Brazil and Russia are growing. Growing vehicle classes are changing the game, from SUVs, crossovers, and luxury vehicles. New technologies like autonomous systems, infotainment connectivity, mobility services, and collision-avoidance systems are up there with vehicle electrification, and many times are much more important to automakers. What’s going to motivate them to invest in electrified and alternative fuel vehicles – and that includes manufacturing and marketing through dealer networks?
  • Will they get away with it? VW is going to spend at least $20 billon in the U.S. alone in the government settlements and court cases. VW and many players in the game seem to think the German automaker will eventually absorb these losses and clean up its act. Some automakers won’t be able to make it through this type of crisis unless they merge with larger companies (like Mitsubishi is doing with Nissan). Automakers would to be wise to take honest emissions reporting, and spending of public subsidies, much more seriously. Consumer surveys, purchase trends, voting patterns, and opinions shared over the internet, indicate that more is being expected from automakers – from transparency and authenticity, adoption of advanced vehicles technologies, sustainable manufacturing, and compliance with emissions standards.

Why are Uber and competitors trying out electrified vehicles?

Uber driver promo site

Uber just made an announcement that it’s bringing in more than 50 electric cars (with the first 20 being Nissan Leafs) to its fleet in London as a test project. It’s being carried out to examine the feasibility of running large numbers of electric private hire vehicles in the UK, according to Energy Savings Trust, which is conducting the study.

The ride-hailing company says that 60% of Uber trips in London are being made in hybrids. Uber says it is bringing in electric cars to tackle air pollution in London, a city that has been working on reducing its traffic congestion and smog.

Hybrids and electric cars have been visible for Uber in other applications for years. If you look at the Uber Partner website, you’ll see a young woman driver leaning up against her Toyota Prius (see above).

There are other examples of Uber and competitors bringing in electrified vehicles into ridesharing and autonomous vehicle testing projects, such as:

  • The partnership announced in August between Uber and Volvo will be carried out in 100 Volvo XC90 plug-in hybrids by the end of the year. Uber will outfit the cars with autonomous driving technology it has developed in house. These will be tested as part of Uber’s autonomous vehicle testing project in Pittsburgh.
  • General Motors and Lyft will begin testing a fleet of self-driving Chevy Bolt electric taxis on public roads by next May. Customers will have the opportunity to opt in or out of the pilot when hailing a Lyft car from the company’s mobile app, according to Lyft.
  • In May, Google agreed to buy 100 Chrysler Pacifica plug-in hybrid minivans from Fiat Chrysler Automobiles to expand its self-driving vehicle testing program. As for now these vehicles won’t be offered for sale to the public; Google will work with FCA directly on testing the vehicles.

Why are ridesharing companies using hybrids, plug-in hybrids, and all-electric vehicles for testing? Here are a few motivating factors to consider:

  • Testing the economics: These cars are owned by drivers, who need to see financial gains from driving for Uber and Lyft. Hybrids and plug-ins means spending less on fuel. These cars, especially all electric, tend to need very little in maintenance and repair compared to gasoline engine cars; and less than hybrids and plug-in hybrids. Drivers would be concerned that the all-electric vehicle’s range will need to be longer than 200 miles, as they’ll easily put that many miles on the car driving on a Friday or Saturday night. Hybrids, plug-in hybrids, and fuel-efficient small gasoline-engine cars would make more sense for now.
  • Range is getting better: All-electric cars have been getting better in the past couple of years, which would make the BMW i3, Nissan Leaf, Ford Focus Electric, and other models, more appealing. For some drivers taking short city trips for two-to-four hour increments, it’s not just about waiting for the 200-300 miles per charge cars to roll out in the next couple of years. Plug-in hybrids are doing better, too, with more miles coming through the battery in the revamped Chevy Volt and other models. Hybrids themselves can do pretty well, especially the Prius. Mine can go about 475 miles on a tank of gas and get about 48 mpg.
  • Sustainability concerns: Lots of consumers using Uber and Lyft, and car shoppers, are looking for clean cars that run on zero emissions, or near zero. It might be even more important than saving money on transportation. I’ve had a few riders tell me they love Uber and Lyft because they’ll be taking cars off roads as more rides are shared; and if you ride in a hybrid or plug-in, that’s less that you’re emitting in greenhouse gases and air pollution. It could be a good marketing angle for Uber and Lyft. Environmentally conscious riders would likely pay a little more for a ride in a green car than a gasoline-powered car.
  • Trying out the new technology: Interested in buying/leasing a Tesla Model S, Nissan Leaf, BMW i3, Toyota Prius Prime, or Chevy Volt? You can try renting one at Enterprise or elsewhere, but there aren’t many of these vehicles available. Taking an Uber or Lyft ride allows you to take a trip and ask the driver a lot of questions on what’s it’s like to own the car. The drivers will share their experiences with hybrid and electric cars – straightforward conversation is part of the experience drivers and riders enjoy from Uber and Lyft. If that driver has owned one of these cars for a couple of years, questions will be asked. Several riders have asked me to explain how the Prius dashboard works, what I think of the car, and what kind of mileage it gets. Is it worth owning, they wonder.
  • Ties in well with self-driving cars: Autonomous vehicles are ideal for charging the electric vehicles most efficiently, such as during off-peak hours, said Tim Lipman, Co-Director at the Transportation Sustainability Research Center, UC Berkeley, during a speaker panel last year. Electric vehicles are easier to control and maintain than traditional internal combustion engine vehicles. Electric autonomous vehicles would be ideal for meeting energy efficiency and environmental targets in a fleet, he said. I would say that the future of city transportation will be shaped by electrified, autonomous vehicles tied into mobility services like Uber and Lyft. Ridesharing, carpooling, carsharing…… lots of sharing and less car ownership.
  • Google Vs. Uber: As covered in the top 10 news stories for this week, since May, Google has been testing out a carpool service in San Francisco using the Waze navigation mobile app. Google plans to roll out a carpooling service that will compete directly with Uber and Lyft. While Google has invested $258 million in Uber, there’s been a visible split between the two companies lately; for one thing, they’re both investing in playing a leading role in self-driving vehicles. My book Tales of UberMan is a bit dated on that issue, especially in the chapter called, “Will Google and Uber launch a driverless ridesharing company called gUber?” They did seem to have an alliance, but that’s changed in recent months. Both of these companies see the future of mobility tied into electrified and self-driving vehicles. They’re not alone. “The two most profound innovations in automotive since the moving production line are electrification and autonomy,” Tesla CEO Elon Musk said earlier this year to Automotive News.

Electrified transportation is explored in my book Tales of UberMan: An auto journalist shares his Prius with savvy riders.