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Fleets, freight and logistics companies, and urban transportation planners are looking at best practices for hitting targets in greenhouse gas emissions, air pollution, fuel consumption, and mobility in crowded cities. That will be a discussion topic this week at ACT Expo in Long Beach during corporate sustainability speaker panels.

Erik Neandross, chief executive of Gladstein, Neandross & Associates, a clean transportation and energy consulting firm and organizer of ACT Expo, says that a hot topic at the conference will be California’s Sustainable Freight Action Plan. The plan will likely shake up the freight industry, he wrote in Trucks.com, “as it aims to transform the state’s freight system by 2050, making it more efficient, connected and advanced, while transitioning to zero-emission technologies.”

The plan will include an implementation strategy for deploying over 100,000 freight vehicles capable of zero-emission or near-zero-emission operation by 2030 aimed at meeting the state’s air quality and climate protection goals. It comes from a collaboration with the California Department of Transportation, the California Air Resources Board, the California Energy Commission, and the Governor’s Office of Business and Economic Development.

The draft Sustainable Freight Action Plan was scheduled to be released to the public on Friday, April 29. The anticipated plan is sure to be a key discussion topic at ACT Expo, Neadross said.

Fleets and freight transport companies can reduce road transport carbon emissions 29% in 2030 by deploying a clean transportation strategy, according a Lux Research Study. The sharp cut – exceeding the target of 24% set by 188 nations at the Paris Conference of the Parties (COP21) in 2015 – will be realized from a combination of low-carbon fuels, alternative fuel vehicles, and improved fuel efficiencies; biofuels and natural gas vehicles together will account for 45% of potential fossil fuel displacement as nations look for new technologies to cut emissions, Lux Research says.

Biofuels recommended for use to hit these targets include cellulosic ethanol, renewable diesel and biomethane (renewable natural gas). These fuels, “have lower well-to-wheel carbon intensities compared to their first-generation counterparts and play a pivotal role in cutting emissions, as does renewable electricity,” said Yuan-Sheng Yu, Lux Research Analyst and lead author of the report.

Without improved fuel efficiencies, emissions reduction falls short of the COP21 target in 2030 by nearly 5%.  Automakers will have a range of lightweight materials available as multinationals and start-ups develop the next-generations of steel, aluminum, and composite technologies, Lux Research says.

Corporate sustainability policies have pushed fleets and logistics operations in this direction. Walmart has set a goal to double its fleet efficiency compared to 2005, and is 87% of the way to meeting this target. General Mills has cut its fuel consumption 22% compared to 2005 levels. DHL has improved the carbon efficiency of its business activities by 25% compared to 2007. The company recently added nearly 1,000 electric vehicles to its fleet, bringing that total to more than 13,500 in use network wide.

UPS is growing its alternative-fuel vehicle fleet every year and improving efficiency with its proprietary routing software ORION (On-Road Integrated Optimization and Navigation). The company’s “green fleet” is comprised of about 6,840 vehicles, or about 7 percent of its total feet, and includes propane, compressed natural gas, liquefied natural gas, and hybrid and electric vehicles.

Employers are working with city planners and transportation agencies to help deal with traffic congestion, air pollution, and to reduce stress for the local workforce. Susan Shaheen, a researcher at the Transportation Sustainability Research Center of the University of California, Berkeley, says ridesharing carpool services are a solution being explored that could help fix some of the “first-mile, last-mile” issues with U.S. transportation grids.

In Late March 2016, Lyft launched Lyft Carpool, a pilot program in the San Francisco metro area. The focus has been to address a heavily congested section of Highway 101 between San Francisco and Silicon Valley. The program matches up commuters for carpool rides. Commuters would pay through mobile apps and the services would take a percentage of the money charged.

Lyft also is working with the regional Metropolitan Transportation Commission to expand carpool lanes along that route, said Emily Castor, director of transportation policy for Lyft. The company also is working with transportation agencies in Nashville, Los Angeles, Dallas, Denver, and other cities to provide more connections from homes to mass transit.

This test program and other carpooling and ridesharing services are gaining traction and interest with public transportation planners. A recent study by the American Public Transportation Association suggests that ridesharing trips using Uber and Lyft are replacing trips made with personal vehicles more than trips using public transport. The report recommended that public-transit officials start working on ways to make ridesharing part of their services.

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. VW deadline extended and company recalling e-Golfs: Volkswagen had its March 24 deadline extended to April 21 to submit its fix for about 580,000 diesel vehicles in its emissions scandal. U.S. District Judge Charles Breyer had previously scheduled a March 24 deadline for VW to report where it stood on remediation efforts with the U.S. Environmental Protection Agency and California Air Resources Board. Breyer, VW, and the regulators agreed at the hearing in San Francisco that progress has been made in negotiations, but issues remain and no settlement had been reached yet. While plug-in electric vehicles might be mandated as part of the settlement, VW has to address a recall of nearly 5,600 e-Golf electric cars to deal with a battery problem that can cause stalling. The recall covers all of the electric vehicles it’s sold in the U.S. since it launched in November 2014, which may be caused by a software malfunction. Dealers will be installing updated software into the electric cars during the recall process. VW may not be the only OEM dealing with emissions scandals. A report by CDP forecasts that 15 automakers could be facing up to $4.8 billion in emissions penalties primarily from U.K. and U.S. regulators. The study says that General Motors and Ford are the most at risk and could face a combined $1.8 billion in emissions penalties.
2. Webinar on training stakeholders: A complimentary ACT Expo webinar will be held on April 7 at 10:00 a.m., “Comprehensive Training for AFV Deployment: Internal & External Stakeholders.” William Davis, Director at National Alternative Fuels Training Consortium (NAFTC), will cover the training needs for each audience, including: internal staff and external support stakeholders; possible alternative fuel vehicle (AFV) codes and standards and how they may impact stakeholders; what to do/not to do when providing AFV training for impacted stakeholders; and resources available and where to find training. You can register at this site for the webinar.
3. Biodiesel ranks high with fleets: According to a new 2016 Fleet Purchasing Outlook study conducted by the NTEA – The Association for the Work Truck Industry – biodiesel is now the most commonly used alternative fuel option on the market. Survey data shows 18% of fleets use biodiesel now – up from 15% in 2015.  For future alternative fuel interest, biodiesel also did very well in the study, with more fleets planning to acquire or continue using biodiesel than any other alternative fuel option.
4. EV incentives study: Incentives have been a vital element for launching and selling plug-in electric vehicles in the U.S. and aboard. A new Navigant Research study looks at incentives affecting vehicle purchase price, registration process, vehicle operation, and vehicle charging. Demand-side policies have been particularly effective at driving sales growth to specific markets. Leading electric vehicle markets covered in the study include North America, Europe, and select Asia Pacific countries, including China, Japan, and South Korea.
5. Ford shares on energy-efficiency projects with G7: Ford is sharing its Partnership for A Cleaner Environment (PACE) with G7 nations — Canada, France, Germany, Italy, Japan, the United Kingdom, and the U.S. – to share best practices and innovations with businesses and public agencies. PACE is an environmental reporting tool for Ford suppliers that will help partners save money and reduce their environmental impact. In 2013 alone, Ford invested more than $5 million in energy-efficiency projects and significant energy-related upgrades were included in its global manufacturing system upgrades. The company has also implemented a number of water-reduction technologies and process improvements, including using membrane biological reactors and reverse-osmosis processes to recycle water from on-site wastewater treatment plants; this allows Ford to avoid using drinking water in its manufacturing processes.
6. Breaking electric car speed record: An electric car conversion company claims to have broken the fastest speed record for production-based electric cars. Genovation Cars converts Corvettes to electric vehicles, creating a high-performance sports car it calls the Genovation eXtreme Electric (GXE). The car was able to reach a top speed of 186.8 mph after one mile around a track at NASA’s former Shuttle Landing Facility at the Kennedy Space Center in Cape Canaveral, Fla. The test track run beat a previous record of 177 mph as certified by the International Mile Racing Association. The GXE uses An electric powertrain that can generate 700 horsepower and 600 pound-feet of torque, the company says.
7. Anticipation building for Model 3 launch: Interested in getting one of the first Tesla Model 3 electric cars? Online reservations will open up Thursday morning of this week hours before the car is revealed at the Tesla and SpaceX facility in Hawthorne, Calif. It will price, prior to incentives, at $35,000 and will go 200-plus miles on a charge. Tesla Motors is counting on high volume sales for corporate growth in coming years; the company expects to be selling hundreds of thousands of Model 3 units per year.
8. Don’t overstate the impact, Deutsche Bank says: While technological innovations and revolutionary business models, like the launch of Uber and self-driving vehicles, carry huge potential for commuters and carmakers, one international bank thinks perspectives are being overinflated on the initial impact. Analysts at Deutsche Bank AG think that there are a lot of misconceptions about how the on-demand revolution will affect automakers, especially its impact on sales volumes. “The consensus view is that auto sales will decline, and that this will be negative for U.S. original equipment manufacturers,” wrote Deutsche Bank’s team led by Rod Lache. “We believe that the consensus view may be wrong.” However, growth in use of on-demand vehicles could ultimately reduce the number of cars on the road in the U.S. by more than 25 million, with population density serving as a key determinant of the size of the on-demand fleet, the analysts say.
9. Charge Ready bringing stations to SoCal: Southern California Edison has launched a $22 million pilot program, called Charge Ready, to install 1,500 electric charging stations throughout its covered area. Installations will likely start this fall, pending approval from the California Public Utilities Commission, and will see chargers placed at locations where cars are parked for extended periods of time, such as workplaces, campuses, and apartment complexes.
10. Timing for autonomous vehicles: Don’t get too optimistic about self-driving roads hitting our roads in large numbers anytime soon, according to an expert in the field. Speaking before the U.S. Senate Commerce Committee, Missy Cummings, an engineering professor and human-factors expert at Duke University (and director of Duke’s Humans and Autonomy Lab) shared her perspective that self-driving cars are “absolutely not ready for widespread deployment.” Cummings, 49, had been one of the Navy’s first female fighter pilots from 1988 to 1999 and managed a $100 million Navy program to build a sensor-laden robotic helicopter.

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. BMW’s next phase: BMW is making a move to reaffirm its top spot as the largest global luxury carmaker with announcements on the iNEXT autonomous electric vehicle, additions to the i3 and i8 models, and more versions of the high-end 7-series sedan and X7 SUV. During BMW’s annual financial press conference, CEO Harald Krueger said the iNEXT will arrive in the next 10 years and will use new sensor technology and powerful software for automated driving. Krueger said it “will set a new benchmark in this area.” The company will soon launch a roadster version of its i8 plug-in hybrid sports car, a new version of its i3 with increased battery capacity and a longer range, as well as a plug-in hybrid for its Mini brand. Daimler has been poised to seize the No. 1 luxury spot, and BMW has been reevaluating its product lineup and market identity. BMW would also like to strengthen sales of the i3, which have dropped lately, and its image as the most sustainable luxury brand in the world competing head on with Tesla.
2. EVI acquisition: Electric Vehicles International (EVI), a maker of battery electric light- and medium-duty trucks and a plug-in hybrid utility service truck, has been acquired by First Priority GreenFleet. First Priority GreenFleet describes itself as “a total solutions provider to sustainable fleets that brings customers a full range of zero and low-emission vehicles that allow them to select the products and infrastructure that best fits their needs.” Its parent company, First Priority Global, manufactures a variety of specialty vehicles, including firefighting, medical, rescue, and public safety equipment. EVI also sells powertrains and performs conversions.
3. Federal tax credits: For those electric vehicle owners looking at federal income tax credits before their annual tax filing next month, Green Car Reports has provided an update on vehicles sold through the end of December 2015……. 2012-2015 Toyota Prius Plug-In Hybrid: $2,500; 2013-2016 Ford Fusion Energi and C-Max Energi: $4,007; 2011-2016 Chevrolet Volt, Nissan Leaf, Tesla Model S, and other battery electric and plug-in hybrid models: $7,500.
4. Audi expands e-gas: Audi’s new Allendorf plant in Germany is expanding capacities for its sustainably produced e-gas through its partner company, the Viessmann Group. Viessmann is the first partner company to produce additional quantities of the synthetic fuel in a new type of biological process. In the Audi e-gas plant in Werlte, e-gas has been produced using a chemical-catalytic process under high pressure and high temperature. In the new Viessmann plant, methanation is now purely biological and creates a new molecule methane. Audi will be able to supply a growing number of customers with sustainably produced e-gas in the future.
5. UPS investing in NGVs: UPS is making a major investment in natural gas vehicles and fueling stations – $100 million on 12 more U.S. fueling stations and 380 more heavy-duty tractors powered by compressed natural gas. TruStar Energy is building the fueling stations, Kentworth Truck is providing the tractors, Cummins Westport the ISX 12G engines, and Agility and Quantum Fuel Systems will provide the CNG systems on the trucks. UPS is now operating 6,840 all-electric, hybrid-electric, hydraulic-hybrid, CNG, liquefied natural gas, and propane-powered vehicles.
6. Renewable diesel webinar: Check out a webinar on renewable diesel and the EPA’s Clean Diesel Program. Hosted by the Center for Alternative Fuels and the Green Transportation Summit and Expo, Dan Brown of the US EPA Region Nine and Gary Lentsch from Eugene Water & Electric Board talked about new tools to help you offset your carbon footprint and maintain regulatory compliance. Other discussion topics included options for accessing public funding to offset the cost of compliance with CARB and EPA regulations; and discovering the benefits and arguments for renewable diesel.
7. Hydrogen racer: Attendees at the Geneva Motor Show got to see the world’s fastest hydrogen fuel cell vehicle, H2 Speed. Italian car design firm and coachbuilder Pininfarina showed off the H2 Speed Concept. So far it’s a track-only hydrogen-powered car that can go 180 mph and can shoot from 0 to 62 in 3.4 seconds. The company estimates 300 to 350 people in the world are prepared to pay a seven-figure sum to own the zero emission exclusive sports car.
8. EV advocate dealer: Max Myers Chevrolet, of Middlebury, Ind., has been credited by electric-car advocates Chris Neff and Tiffany Raim as being a leader in bringing plug-in electric vehicles to the heartland of America. Second-generation owner Neal Myers has sold out every Chevrolet Volt it’s had delivered since they went on the market in 2011. Customers include out-of-state buyers and locals. The dealers’ staff has been trained on Chevrolet’s plug-in vehicles; and Myers regularly sends them to training courses to make sure they’re staying current. Even with low gasoline prices, Myers says the trick is reaching interested consumers and inviting them to visit for a test drive.
9. VW remediation fund: Volkswagen has been in talks with the U.S. Environmental Protection Agency and California regulators to establish a national remediation fund and a separate one for California, according to an inside source. This will be a penalty enforcement for emissions from its cars after the automaker cheated on diesel-emissions tests. The EPA fund would be used to promote clean transportation throughout the U.S.; the other would be run by California to promote zero-emission vehicles in the state.
10. Dealer group suing Virginia and Tesla: The Virginia Automobile Dealers Association (VADA) sued both Tesla Motors and the state’s Department of Motor Vehicles alleging a conspiracy to ‘hide’ the opening of a second Tesla retail store. The state is considering a second Tesla location in the city of Richmond; the suit alleges that Virginia’s DMV and Tesla have been violating the terms of a 2013 agreement that prevents Tesla from opening a second facility in the state until 2017.

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. Major feature on China and EVs: Automotive News has researched the deep interconnection between Chinese investors and electric vehicle manufacturers and suppliers – a trend that appears to be shaping the next phase of the global electric vehicle industry. Wheego Electric Cars, Smith Electric Vehicles, Protean Electric, A123 Systems, and Karma Automotive are being revived from financial crises and potential shutdowns through mergers and acquisitions tied into Chinese government incentives for EVs and restoration in markets like the U.S. and Europe.
2. NHTSA on self-driving cars: The National Highway Traffic Safety Administration is working on guidance to states, policymakers, and companies on self-driving vehicles that it hopes to release in July. NHTSA thinks major legal hurdles will have to be cleared before autonomous vehicles without steering wheels and gas pedals can be allowed to be sold in the U.S. NHTSA did tips its hat toward Google in February. The agency said that the artificial intelligence system piloting a self-driving Google car could be considered the driver under federal law. That could be a major step toward winning approval for self-driving vehicles on U.S. roads. NHTSA is looking into a Feb. 14 crash of a Google autonomous car into a municipal bus in Mountain View, Calif.; that may have been the first crash caused by an autonomous vehicle.
3. Faraday in Nevada: Faraday Future has set up a $75 million bond, and set aside $13 million in an escrow account, to show that it can meet its financial obligations to gain approval to set up its electric car factory in North Las Vegas. The bond was required under a $215 million tax-incentive package approved by Nevada lawmakers in December, according to the Las Vegas Review-Journal.
4. Millennial car buyers: Millennials may enjoy Uber, Lyft, Zipcar, and Car2Go, but they are starting to buy cars in big numbers. They are getting their drivers licenses later than did Baby Boomers and Generation Xers, but it is starting to happen. Millennials’ share of the new car market jumped to 28% last year, according to a J.D. Power and Associates study. In the country’s biggest car market, California, Millennials outpaced boomers for the first time. In past opinion surveys, Millennials/GenYers in their early 20s to mid-30s, have expressed a lot of interest in electric vehicles and hybrids. A new study by Kelley Blue Book concludes that while ridesharing and carsharing services are growing rapidly in transaction, it doesn’t necessarily mean that new car sales will go away. These fast-growing transportation services may actually present an opportunity for dealers and others in the auto industry.
5. VW loses U.S. president: The Volkswagen diesel vehicle emissions reporting scandal took another sharp turn last week when VW Group of America announced the immediate departure of its president and CEO Michael Horn. Horn had been with VW since 1990. He was well-liked by VW dealers now struggling with vehicles they can’t sell and continuing public concern over the VW brand. The National Automobile Dealers Association issued a statement of concern over the impact it will have on VW dealers who have been hit hard by the scandal. In other news, about 300 institutional investors in Volkswagen have filed a $3.6 billion lawsuit in Germany. The suit states that these investors see as breaches of its capital markets duty in the emissions scandal.
6. Fleet awards: Gladstein, Neandross & Associates, organizers of Advanced Clean Transportation (ACT) Expo, has teamed with Penske to launch the first-ever ACT Expo Fleet Award. The awards will recognize true leadership in sustainable transportation in several categories such as supply chain, good movement, shipper/carrier partnership, work truck, public fleet, and private fleet. The winners will be announced during ACT Expo 2016, which is being held May 2-5, 2016, at the Long Beach Convention Center in Long Beach, Calif.
7. Ford has started a new division called Ford Smart Mobility LLC. Ford launched the Smart Mobility initiative in early 2015, which has conducted numerous experiments into how people get around. The automaker also launched several pilot programs, including an Uber-like shuttle service for employees, a car-sharing program, and an on-demand public bus service. The new division will create “commercially ready mobility services” and invest in outside ventures, the company said.
8. GM buys Cruise Automation: General Motors is adding to its selection of urban mobility services with its acquisition of Cruise Automation, which makes a $10,000 aftermarket autonomous driving kit. The system uses radar sensors and other hardware that relay signals to in-car actuators to control the vehicle’s steering, brakes, and throttle. The companies did not disclose the price paid for GM’s acquisition.
9. Jet biofuel: United Airlines has agreed to buy as much as 15 million gallons of sustainable biofuel over the next three years from AltAir Paramount’s refinery in Paramount, Calif. The biofuel blend cuts carbon emissions by more than 60% compared to with traditional jet fuel, the airline said. Flights between Los Angeles and San Francisco will be fueled by a blend of 30% biofuel and 70% petroleum.
10. More biodiesel fraud: Federal prosecutors have enforced the Clean Air Act for another biodiesel fraud case. Philip Joseph Rivkin, the owner of a Texas biodiesel company, has been sentenced to 10 years in prison and fined $138 million for biofuels fraud. Rivkin created and sold more than 60 million false biodiesel credits under the federal renewable fuel program.

Automakers have understood for years that California, and the overall U.S. market, can’t be depended upon for meeting large-scale sales targets in plug-in electric vehicles. The decline in U.S. sales numbers during 2015 didn’t help, but the overall sales volume had still been small enough for automakers to question their future plans. That’s where global markets have become more important as OEMs look to sell enough volume to justify the resources invested in electric cars through talented employees, R&D, safety and performance testing, marketing spend, and setting up assembly plants to reach economies of scale. That has been the case for Tesla Motors along with its major OEM competitors, which makes China and other overseas markets even more important.

So how did 2015 go in the top 10 markets for EV sales?

Top 10 Countries for EV Sales in 2015

1. China 176,627
2. S. 115,262
3. Netherlands 43,971
4. Norway 34,455
5. K. 28,188
6. France 27,701
7. Germany 23,494
8. Japan 21,000*
9. Sweden 8,908
10. Switzerland 6,421

Source: Hybridcars.com
* Approximately

China made up 34.2% of global plug-in electric vehicle sales last year with 176,627 sold and finished in first place. It’s been heavily subsidized by the national government and local branches. There’s been an assumption made that the market’s EV sales will continue to grow – enough for Tesla Motors and other OEMs to invest heavily in the market.

Subsidies for the “New Energy Vehicles” (NEVs) have started to decline. One assessment states that about $4.56 billion in local and central government incentives were spent last year. The government’s five year’s plan will see subsidies in 2017 and 2018 to be reduced by 20% from 2016 levels; and another 20% will be cut in 2019 and 2020. There have been reports made of fraudulent transactions last year and government agencies are conducting investigations. Sales numbers tripled last year, and the data may have been “padded” with some of the EVs being counted twice in the total.

China’s NEV sales have seen rapid growth in the past two years thanks to subsidies and tax cuts. Air pollution in Beijing and other major Chinese cities have been driving the incentives and sales. Tesla Motors and BYD say car shoppers are more interested in owning an EV due to the air pollution – and its making for an effective marketing message. One of BYD’s online ads shows a man in a cloud of pollution calling for help from China’s fabled Monkey King hero.

In October, Tesla CEO Elion Musk announced plans to open the first Tesla manufacturing facility in China, a move that could slash prices for the Model S by more than one-third. The automaker has also bee searching out Chinese manufacturing partners and seeking to streamline Beijing’s complex license-plate lottery for buyers of its cars.

The U.S. was No. 2 with 115,262 EVs sold in 2015, making up 22.3% of the total. China and U.S. are still the leading markets, making up more than 55% of global sales, combined. Sales softened for the first time last year in the U.S. with gasoline prices staying down and consumers waiting for new versions of the Nissan Leaf and Chevrolet Volt to roll out.

Navigant Research’s John Gartner anticipates that sales volume will go back up in the next couple of years. By 2017, there will be several new EVs for consumers to test drive from Audi, BMW, Ford, GM, and Tesla. Expansion of the charging infrastructure is likely to increase EV adoption, as well. Survey results from Navigant have shown that U.S. consumers see the availability and inconvenience of charging PEVs as the main reasons not to switch from gasoline to electric powered cars.

Automakers are joining up with government agencies, municipalities, and other entities to expand the charging infrastructure. Several automakers now include a free year of access to charging at dealerships and other locations when an EV is purchased. BMW and Nissan recently teamed up to deploy 120 DC fast chargers across country.

Europe has seen substantial growth in EV sales; at about 75,000 new vehicles registered, it was nearly 50% higher last year in sales than was seen in the 2014 numbers. Seven of these nations made the top 10 EV sales list for last year with Norway, France, the U.K., and Germany accounting for about 75% of all registrations/sales for the year.

The Mitsubishi Outlander plug-in hybrid has been the top seller in Europe. Mitsubishi, for now, has left the U.S. market for EV sales and is focusing heavily on Europe; with more than 50,000 units sold in that region since its launch in October 2013.

German Chancellor Angela Merkel recently met with automaker executives on boosting incentives, but the meeting ended without a deal on subsidies being worked out. Merkel called the meeting with high-level executives at German automakers to discuss promoting EVs and hybrids following political pressures to “clean house” in the wake of Volkswagen’s admission that it cheated U.S. emissions tests for diesel-powered cars. OEMs would like to see government action to set up charging stations for electric cars and help fund sales subsidies. There’s been concern about Germany lagging behind other European neighbors in EV sales.

Japan appears to be more focused on supporting growth in hydrogen fuel cell vehicle production, sales, and fueling infrastructure than in supporting EV sales. Toyota and Honda have been investing heavily in fuel cell vehicles and would like to see ample support from the government.

Japan finished 2013 at second place in global EV sales, then dropped down to third place in 2014 and eighth place last year. The government has made some commitments to supporting companies in the EV space, including Panasonic and its EV battery technologies.

South Korea didn’t make the top 10 list and probably won’t for a few years. Hyundai and Kia have been getting into the game during the past couple of years with the low-volume Kia Soul EV battery-electric car; the Hyundai Sonata Plug-In Hybrid; and the recently displayed Hyundai Ioniq that will eventually be released in hybrid, plug-in hybrid, and battery electric versions.

So far, the most popular EV sold in the South Korean market has been the Renault Samsung SM3 ZE (known in Europe as the Renault Fluence ZE). The numbers haven’t been very high – with nearly 1,800 sold overall in the world since its launch two years ago.

• The U.S. Department of Transportation unveiled the Smart City Challenge last week, where cities with populations between 200,000 and 850,000 can compete for $50 million in transportation funding. It comes out of the five-year transportation funding adopted recently in Washington with $40 million coming from the Federal Highway Administration and $10 million from the department’s private sector partner, Vulcan Inc. Five cities will be chosen in May and the winner announced in June with the focus being on finding the most innovative plans to harness technology that helps develop new mobility strategies.
• Hyperloop Technologies will set up its first test track to develop its vacuum tube transportation system on 50 acres in North Las Vegas, Nev. Hyperloop equipment will begin arriving this month and testing is expected to begin early first quarter 2016, the company said. The agreement was facilitated by the Nevada Office of Economic Development.
• Apple Maps is making a comeback in telematics and driving directions. It had been overshadowed by Google Maps and its Waze subsidiary; with recently adopted changes, it’s now become more widely used than Goggle Maps in iPhones. Apple fixed errors as its users submitted them. Changes include adding transit directories for several major cities, and buying out engineering and other talent from several mapping companies.
• National Highway Traffic Safety Administration is adding new advanced vehicle technologies to vehicles to make them safer. The updated five-star system will enhance crash tests and will take into account whether any of nine vehicle technologies, such as forward collision warning or automatic headlight systems, are being used. The new NHTSA rating system will now go through a 60-day public review process and could be revised before going into effect, as planned, for the 2019 model-year.
• Korean company Samsung is looking at growing its business through automotive technologies like autonomous vehicles, satellite navigation, and in-car entertainment. Making Android phones for Google hasn’t been enough as the smartphone business weakens, and it wants to take on other technology companies like lawsuit nemesis Apple in autonomous vehicles.
• One technology company that has already plunged into autonomous vehicles is Delphi. The automotive supplier will be showing off its own self-driving vehicle at CES 2016. Features include improvements in vehicle-to-vehicle including abrupt entry of a car into the lane; vehicle-to-pedestrian which can alert pedestrians about upcoming cars; vehicle-to-traffic light with status reports on yellow and red lights at intersections; blind corner warnings when intersections are at strange angles inhibiting vision of approaching cars; and a ridesharing feature where the driver’s friends and family can be notified of the driver’s location so that a ride can be requested.
• Ford Motor Co. is testing out an Uber-like service for employees. Its new Dynamic Shuttle Project will provide a fleet of 21 modified Ford Transit vans to Ford employees at its Dearborn, Mich., campus. They’re operating like a cross between a bus system and the increasingly popular Uber ride-share service, helping hundreds of employees schedule rides through a smartphone app. It’s a cross between a shuttle bus system and a ridesharing service like Uber, where hundreds of employees can schedule rides through a smartphone app. It ties in well with a vision shared earlier this year. At the annual Consumer and Electronic Show in Las Vegas last January, CEO Mark Fields declared that Ford now sees itself as a “mobility company,” rather than simply an automotive manufacturer. The automaker announced it was studying 25 different alternative mobility projects – which tied in well with a guest column Ford chairman Bill Ford had published in The Wall Street Journal’s 125^th anniversary issue.

by Jon LeSage, editor and publisher, Green Auto Market

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

1. Model X SUV rolls out: The long-awaited Tesla Model X was unveiled a week ago at a warehouse party in Fremont, Calif. The luxury all-electric SUV gets 257 miles on one charge and can reach 60 mph in 3.2 seconds in Ludicrous mode. As we’ve know about for three-and-a-half years, it comes with futuristic falcon-wing doors. It is an expensive car, reminiscent of the BMW i8; the Model X comes with a $132,000 price, plus delivery and other fees. The Tesla Model S has been selling in various editions from about $75,000 to around $100,000 and lease payments have been in the $1,100 to $1,300 per month range. There are no details released yet on what the Model X will cost in payments through financing options, but it has required a $40,000 deposit. Demand is strong, even at its high price. There should be a lot more owners lining up for the cheaper Model III, which is due to roll out in 2018.
2. Chevy Volt attack ads: When the revamped 2016 Chevrolet Volt rolls out next spring, General Motors has plans to attack its arch enemies, the Nissan Leaf and Toyota Prius. At the press launch in San Francisco, Chevrolet executives showed the ads to automotive journalists. The Volt ads focus on three messages: The car’s 53-mile all-electric range, its advanced technology, and a combined gasoline and electric driving range of more than 400 miles. The 2016 Volt has a sticker price of $33,995, including destination – down from the 2015 price of $35,110 including shipping.
3. New name for Fisker Automotive: The luxury sports carmaker Fisker Automotive has renamed itself Karma Automotive. The new company intends to bring the Karma plug-in hybrid back to market next year. The company says the new name was chosen because it’s “relevant to both the old and new brands, while providing an aspirational message which embodies the company’s purpose.”
4. GM gets into personal mobility: General Motors will be investing $5 billion to take on new challengers such as Apple, Google, and Tesla, CEO Mary Barra said. During the Thursday meeting at its GM Proving Grounds near Detroit, Barra also announced the automaker’s “Let’s Drive” carsharing program in New York City. It will be available to eligible residents of The Ritz Plaza, who will have access to a GM vehicle for three hours each month. Those interested can buy more carsharing hours at a nominal rate. In related news, GM discussed plans to test out a fleet of autonomous 2017 Chevrolet Volt plug-in hybrids at its Tech Center site in Michigan. Employees will use the vehicles to get around the 326-acre campus in Warren, Michigan.
5. RNG buses: Orange County Transportation Authority (OCTA) in Southern California plans on switching over to renewable natural gas (RNG) in its existing fleet of more than 340 compressed natural gas buses – and will add 202 new buses. The transit agency is looking for a supplier to provide a guaranteed supply of RNG to its four facilities; the supplier will develop and manage OCTA’s Low Carbon Fuel Standard (LCFS) program.
6. Honda fuel cell car: It’s take a while, but Honda is getting ready to unveil its fuel cell vehicle, currently being named the Honda FCV. It’s scheduled to be rolled out at the Tokyo Motor Show, and will feature a very similar look as the finalized version Honda will be bringing to market next year. Honda said it has made a few changes to the FCV since introducing it as a prototype in November 2014.The range is being extended to more than 300 miles; that will place it in a competitive position with the 301-mile rated Toyota Mirai.

Volkswagen has added another law firm to it defense strategy – Kirkland & Ellis, which represented BP in the Deepwater Horizon oil spill law suits and settlements. Yesterday, I spoke with an attorney who represented corporations, small business owners, and local governments in a class action lawsuit for parties that experienced economic losses and environmental disasters associated with the oil spill. Thomas Young, who heads a law firm based in Tampa, Fla., is now working with other attorneys to file a class-action lawsuit representing dealers, fleets, and other entities affected by the economic impact of VW’s diesel car emissions reporting scandal.

The recall, which won’t go into effect immediately and is awaiting detailed guidelines from the U.S. Environmental Protection Agency (EPA), affects 482,000 cars in the U.S., could eventually cost the company about $18 billion to repair, and could include a $37,500 fine per vehicle given to VW. Affected diesel models include the 2009-15 Volkswagen Jetta, 2009-15 Beetle, 2009-15 Golf, 2014-15 Passat, and 2009-15 Audi A3. VW is expected to negotiate a per car fine with EPA at a lower cost than the $37,500 maximum, but the lawsuits will be staggering. According to Young, over 300 lawsuits have been filed across the country with most all of them class actions and 99% filed on behalf of consumers. Young is organizing a class-action suit representing businesses that will be hard hit by the declining used car values and other costs associated with the crisis.

With a widely publicized crisis like this one, it’s typical to see lawyers all over the country filing lawsuits and eventually consolidating down to a much smaller number of suits – perhaps one federal lawsuit representing all injured parties. The U.S. Judicial Panel on Multi-District Litigation (JPML) will meet on Dec. 3, 2015 in New Orleans to hear arguments on where to consolidate the 300-plus lawsuits; that decision should be announced in January 2016. Early front runners for the class-action suit are federal courts in New Jersey, Virginia, or California, Young said.

For the BP oil spill, the impact for the oil company was as much about it reputation and image in the world as it was about the environmental and economic damage, Young said. With the Deepwater Horizon spill, the amount of oil that washed up onshore was less than the public’s perception of how much oil was spilled and the environmental damages. The economic impact was felt by local communities with about $20 billion in estimated losses from dramatically declining tourism business in the Southeast U.S. Young estimates that BP paid out about $60 billion in cleanups and lawsuit settlements.

Young and other attorneys are carefully watching how VW responds to the crisis, what the EPA will issue in its recall guidelines, and how dealers and other businesses will be impacted. The lawsuits being filed are also gaining their attention and analysis – including Harris County, Texas, filing a multimillion dollar lawsuit this week stating that VW contributed to the region’s poor air quality in the Houston metro area. Independent auto dealers have filed suit against VW in a California federal court on behalf of independent dealers for losses they say they will incur as more information on the scandal is released. A pension fund in Michigan has filed the first investor lawsuit against Volkswagen over its drastic stock drop in the aftermath of its emissions scandal.

Owners of VW diesel vehicles are furious about software that falsifies emissions; they’re waiting to hear how and when the company will fix their cars and what sort of compensation they’ll receive for being lied to since 2009. VW shareholders are paying close attention, as well. Elected officials and regulators in the U.S. and Europe are scheduling public hearings. VW’s top U.S. executive has been summoned to Washington, where he will testify before a congressional oversight panel on October 8.

VW appears to be attempting to keep investigation of this scandal in-house, taking care of it on its own. The automaker is facing growing concern that it may need to revise its corporate culture and allow for more outside supervision; as General Motors did with the ignition-switch defect vehicle recall.

On Thursday, VW’s board of directors announced that Hans-Dieter Pötsch, VW’s chief financial officer since 2003, would become chairman in the near future, filling the spot vacated by patriarch Ferdinand Piëch, who resigned in April. Deciding to nominate a long-serving executive as chairman has once more highlighted the carmaker’s corporate governance and culture. Some auto industry analysts argue this was the root cause of the diesel-emissions scandal. “There have been warnings about VW’s corporate governance for years, but they didn’t take it to heart and now you see the result,” said Alexander Juschus, director at IVOX, the German proxy adviser.

Young is reaching out to dealers, fleets, financial institutions, and other parties economically impacted by the VW diesel crisis. He hasn’t heard of a VW dealer filing suit yet, but he thinks that will happen and that a federal judge will include all VW and Audi dealers in a class-action suit. The legal issues are accountability for accurate emissions reporting, environmental impact, and the huge losses businesses will be feeling from vehicle valuation declines and lost sales that are likely to come from the crisis. Toyota and GM have recovered from huge vehicle recalls, but there will be much weighing on EPA and VW on how the recall is structured and carried out into next year.

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. 50% petroleum reduction bill dies: California did take a giant step forward in Gov. Jerry Brown’s climate change legislation on Friday, but motor vehicles were unfortunately cut out of the negotiated deal. SB 350, the Clean Energy and Reduction Act, was notable for increasing mandates on renewable energy used to power electricity; efforts to cut petroleum consumption in the state 50% by 2030 were cut out of the settlement. The bill, authored by Senate President Pro Tempore Kevin de León and Senator Mark Leno, called not only for a 50% reduction in petroleum use in cars and trucks but it also called for a 50% increase in energy efficiency in buildings and half of the state’s utility power coming from renewable energy. The Western States Petroleum Association led the charge to defeat the petroleum provision with a major campaign to block the legislation. The oil industry’s campaign showed advertisements charging the bill could lead to fuel rationing and bans on sport-utility vehicles. Automakers had expressed concern that the state already had its aggressive mandate in place for hitting zero emission vehicle (ZEV) targets and that jumping that target up to 50% petroleum reduction was far from what could be accomplished in conjunction with the federal fuel economy and greenhouse gas emissions targets.
2. Funding available for EV charging stations: You can view presentations and hear the entire recording on “Funding & Financing Electric Vehicle Charging Stations for your Business.” Panelists talked about reducing the cost of buying and installing the equipment for workplaces and multi-unit dwellings. Speakers included Rick Teebay, of LA County Office of Sustainability and co-chair of the event sponsor, LAEDC’s e4Mobility Alliance. NRG’s Kevin Kelleher talked about the utility’s Ready for Electric Vehicle (REV) Program. NRG eVgo can provide funding up to $30,000 in electrical infrastructure upgrades for qualified California workplaces and multi-family properties; other funding programs were detailed during the presentation. Click here to fill out the form and download the webinar.
3. Audi, Porsche, Jaguar, and Land Rover plan to roll out new plug-in models to meet demand from luxury and sports car enthusiasts – and to maybe take some business away from Tesla Motors. Audi is getting ready to roll out a battery-powered SUV that could be faster and deliver better performance than the Tesla Model X. It could come to market by early 2018. Porsche is rolling out the high-performance Mission E, a concept car the German automaker is unveiling at the Frankfurt Motor Show. The 600-horsepower Mission E will make it to 62.5 mph in under 3.5 seconds. Drivers of the Mission E will be able to go more than 310 miles per charge if they’re being a little more gentle on the throttle. Jaguar Land Rover Automotive PLC will be adding advanced, battery-based powertrain systems to its high-performance offerings such as the Jaguar F-Type and Range Rover. The British automaker is exploring several green car options to meet government mandates – including the electric models, a couple of hybrids, diesels, and lightweighting the vehicle bodies.
4. Algenol Biotech and Protec Fuel Management have entered into an agreement to market and distribute a new type of ethanol from Algenol’s Fort Myers, Fla., commercial demonstration module. The companies say it’s the first time that ethanol made from algae will be available commercially. Protec Fuel will distribute and market the fuel for E15 and E85 applications for both retail stations and general public consumption, as well as fleet applications. The partner companies will also offer Algenol’s future 18 million gallons per year from its commercial plant, which is planned for development in Central Florida in 2016 and 2017.
5. UPS has purchased 125 E-GEN range-extended electric delivery trucks that were produced by Workhorse Group. The trucks are scheduled to be deployed in Arizona, Texas, Nevada, Mississippi, Alabama, Georgia, and Florida during the first half of 2016. “This investment will help create and grow the market for ground-breaking alternative propulsion systems that reduce environmental impact, reduce operating costs and save fuel,” said UPS senior vice president global engineering and sustainability Mark Wallace in a release. UPS expects to see significant fuel economy equivalency gains on the trucks designed for urban routes traveling 50-to-60 miles per day.
6. Warning issued about hacking driverless cars being too easy: A security firm is concerned that hackers will be able to play with the complex LiDAR (Light Detection and Ranging) systems that are integral for driverless cars, to fool the onboard system into a crash with merely $60 in parts. It’s happening through a small, low-power laser and a pulse generator, said Jonathan Petit of Security Innovation. It could even be replaced by a Raspberry Pi, a small computer board used in DIY projects, he said. The attacker can trick the car into thinking there are objects where there actually isn’t – potentially forcing the car to slow down, stop, or swerve. “I can take echoes of a fake car and put them at any location I want,” Petit said. “And I can do the same with a pedestrian or a wall.”
7. Elio Motors and its three-wheeled personal transportation vehicles was named one of the “Top 10 Automotive Startups,” by the LA Auto Show’s Connected Car Expo. Elio Motors was recognized for offering a fun-to-drive, super-economical, environmentally friendly personal transportation alternative. The Elio is designed to achieve up to 84 MPG with a targeted $6,800 base price.
8. Toyota building flying cars?: Toyota Motor Corp. has filed for a patent with the U.S. Patent and Trademark Office for a “stackable wing for an aerocar.” The wing can change shape and guide the car during flights. One configuration from Toyota shows the wings as if they were stacked atop the car roof, and another image shows a more aerodynamic shape for when it’s deployed for flight.
9. Bosch leading CNG fuel system: A consortium of automotive suppliers and vehicle manufacturers in Germany are being led by Robert Bosch GmbH to develop a new fuel system for compressed natural gas (CNG). The concept is based on direct injection, which would make natural gas vehicles even more economical and environmentally friendly. Bosch says the new technology could deliver as much as 60% more torque at low rpm, and offer the prospect of an even more dynamic driving experience in CNG vehicles.
10. EV sales in China jump: Electric and plug-in hybrid car sales leaped 270% to 108,654 cars in January through August of this year, the China Association of Automobile Manufacturers (CAAM) said. With incentives and targets, the Chinese government is pushing automakers to develop battery electric cars. Electric powertrains are simpler to develop, and driving a push to green cars fits President Xi Jinping’s policy goal of reducing pollution through manufacturing “new energy” vehicles, according to a Reuters article.

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. Is Apple jumping into the autonomous vehicle space, and how about electric vehicles?  Jamie Carlson, former “Autopilot Firmware Manager” at Tesla Motors, joined Apple this month to work on a special projects team at the company according to his LinkedIn profile. What about Project Titan, the code name for Apple’s electric vehicle program? Apple won’t make an official statement about entering the car business, but it has hired several people with impressive autonomous vehicle backgrounds. Along with Carlson, colleagues at Apple include Megan McClain, a former Volkswagen engineer with expertise in automated driving; graduate researcher Vinay Palkkode who came from Carnegie Mellon, and Paul Furgale, the former deputy director of the Autonomous Systems Lab at the Swiss Federal Institute of Technology. Driverless car testing (including what Apple will likely be doing at the GoMentum Station in Concord, Calif.) is on the minds of many these days, including Daimler CEO Dieter Zetsche – and it could indicate that Apple and Google are setting themselves up to be technology partners with major OEMs, not necessarily following Tesla into the incredibly costly vehicle manufacturing space. “Google and Apple want to provide system software for cars and bring this entire ecosystem around Apple and Google into the vehicle,” Zetsche said. “That can be interesting for both sides.”
2. Tesla Motors revamping stores: Tesla will be remodeling its retail stores soon to coincide with the upcoming launch its Model X electric SUV. So far it’s only through one of its stores in San Jose, Calif., where visitors get to see interactive displays built around four major themes: safety, autopilot features, Tesla’s charging network, and the dual motors that power each axle. Tesla will have more cash reserves than expected to pay for these and other projects; its secondary stock sales brought proceeds up to an estimated $738.3 million – well over the $642.5 million the company announced that it needed to raise last week. Tesla sold 3.1 million shares at $242 each to give itself a cash cushion as it prepares to begin deliveries of its Model X. In other news, Tesla announced that it will be installing charging stations at 30 West Coast hotel properties managed by Airbnb Inc. Tesla says these are “high-end” Airbnb properties that come through Airbnb’s “shared economy” model (similar to Uber and other ridesharing companies and Car2Go and other carsharing services) where property owners rent out house space to customers.
3. Ford of Europe COO working with Chinese company: Former COO of Ford Europe Martin Leach is now working for a new electric car manufacturer based mainly in China and California. Leach is recruiting staff for the company but declined to name his new employer; he says that the company doesn’t have a background in the auto industry. The new automaker will start out making electric vehicles and may eventually produce autonomous vehicles, he said. Enhancements in battery technology that will extend range, and government incentives, are setting up a viable market – especially in Chia, Leach said.
4. Connecticut’s big ideas for EV incentives: Connecticut is taking on California to become the cutting-edge electric vehicle (EV) incentive state. In May, “cash-on-the-hood” rebates for EVs showed up, making it the first state to go with the cash incentive model. “We’re a small state, but we have some big ideas, and maybe we can show California how to do this” by using automaker-style customer rebates, said Jim Fleming, president of the Connecticut Automotive Retailers Association in Hartford. The Connecticut Hydrogen and Electric Automobile Purchase Rebate (CHEAPR) program has set aside $1 million for rebates from $750 to $3,000 per electrified vehicle, depending on battery size. The rebates are on top of a $2,500 to $7,500 federal tax credit for the vehicles. There is a way to go in catching up with other states in funding the incentives – so far, only a small part of the $1 million fund is set aside for dealer cash.
5. Carsharing Potential in NYC: Could carsharing services from Car2go and its competitors such as Zipcar actually replace taxis and subway rides? A Crains New York article ponders the question. It may also involve tiny, nimble cars like the Smart cars being used in the Car2go fleet. The challenges and opportunities for Car2go are there, according to the article: Buses are too slow, subway lines can require long routes, and cabs and Uber rides can quickly get expensive. Customers can locate, reserve and open rides on Car2go’s Smart cars with a mobile app, which means the carsharing company could complement the transit system and help fill a hole in the way people get the city.
6. GM investing in Chinese factory: A General Motors join venture in China will be investing about 3 billion yuan, or $470 million, to build “new energy vehicles” for plug-in vehicles and hybrid cars. SAIC-GM-Wuling, a three-way joint venture with SAIC Motor Corp Ltd, GM, and Wuling Motors Holdings Ltd, began construction of the plant last week in the province of Guangxi. That’s coming from the Chinese government’s mandate for automakers to reduce air pollution in cities.
7. New study on EV battery leaders: Panasonic is the market leader in the battery market for electric vehicles, but LG Chem has the potential to overtake Panasonic in what will be a $30 billion market in 2020, according to a new study from Lux Research. Panasonic has nearly 40 percent of the share but its dependence on a single deal with Tesla Motors makes the company vulnerable. LG Chem has a strong client list that includes GM, Volkswagen, Daimler, and Ford.
8. New study on autonomous vehicles: Navigant Research estimates that 85 million autonomous-capable vehicles are expected to be sold annually around the world by 2035. How many of these will be used as fully automated vehicles? Navigant is being vague about it, as are other transportation forecasters. The study focuses on the semi-autonomous technologies already being deployed in new vehicles, such as cruise control on freeways and navigation systems for safely navigating traffic jams. Installing multiple sensors will increase that capability.
9. Prius global sales: The Toyota Prius has surpassed another milestone – seven million units have been sold globally since it was launched in 1997. The Prius has made up the lion’s share of Toyota and Lexus hybrid sales – eight million hybrids have been sold globally with seven million being Priuses. Hybrid models vary outside the U.S., including a Yaris Hybrid sold in Europe and the Crown Royal Saloon Hybrid sold in Japan. Outside the U.S., models vary from a Yaris Hybrid sold in Europe to the Crown Royal Saloon Hybrid, a big rear-wheel drive luxury sedan sold in Japan.
10. Dealing with aging hybrid batteries: Toyota and Honda hybrids have been on US roads for the past 15 years, and many of them need service or replacement to stay on roads. Owners are facing decisions over which of the 3 Rs they want to choose for their battery packs – reuse, repurpose, or recycle. EV World profiled GreenTec Autos, which has been positioning itself as a leader in the field. The company has 11 locations in the US from the West Coast to the Northeast, with a service center in Kansas City. GreenTech Auto also offers a mobile operation to service hybrid vehicles.