Category: Business

Fuel efficient vehicles to the rescue!

The market is responding to energy prices with a raft of new fuel efficient commuter vehicles. I thought I’d mention a few here – many of these vehicles or modifications are competing for the X-Prize, and a few, like Hymotion’s BREM for the Toyota Prius, are available today. The automotive market is changing fast, and 100 mpg looks like it will become a realistic target for drivers in the next few years! Where available, each model’s projected cost, mileage (for commute purposes), and top speed are provided.

Available Today:

Hymotion BREM for 04-08 Toyota Prius – $9995 (plus the price of a Prius), 100mpg, 100+ mph top speed. Hymotion’s battery-range extender module converts a standard 46mpg Prius into a 100mpg plug-in hybrid for under $10,000, and is available today in a handful of major cities.

Tesla Motors – $100,000, 200mpg, 140mph top speed. You can have a high-performance electric car today that costs 2 cents per mile to drive, if you’ve got 100k to burn.

Available by 2010/2011:

Chevy Volt – Exact details unknown (more here), but GM is aiming for a 2010 release of the plug-in hybrid Volt, which will have an all-electric range of 40 miles, and effective mpg of 100+ when used as a commuter vehicle.

Phoenix Motorcars’ Electric Truck – $47,500, 100+ mpg (exact figure unknown), 100mpg top speed.  Phoenix has developed all-electric truck and SUV models that it is currently selling to fleets, and will release to the public in 2010.

Poulsen Hybrid – Poulsen is developing a conversion technology which can be installed on the rear wheels of any vehicle to turn it into a hybrid.

Nissan has announced work on an electric vehicle with a 2010/2011 delivery date, but few details are available.

Toyota is working on a plug-in version of the Prius with a 2010 deliver date as well.

Small Commuter Vehicles: Most available in 2009-2010

GreenVehicles Triac – $20k expected price, 200+ effective mpg, 80mph top speed, and 100 mile range. The Triac is a three-wheeled commuter vehicle designed to help urban commuters park their larger vehicles during the daily grind.

Aptera – $30k, 230mpg, 85mph top speed. Another three-wheeled vehicle, Aptera looks more like a plane than a car, but still has two seats plus space for a child car-seat in rear.

Venture One – $20-25k, 100+ mpg, 100mph top speed. This three-wheeled commuter vehicle looks more like a motorcycle, and incorporates technology that enables it to automatically “lean” as it moves through curves.

Commuter Cars – Tango T600 available today for $108k, T100 target of $20k, 100mpg+, 120mph+ top speed. George Clooney owns a T600, whose tandem seating allows for two passengers or a rear child seat.

Fuel Vapor Ale’ – $75k, 92mpg achieved to date, 100mph+. This is another three-wheeled commuter car, but it’s shaped a bit like a rocket and is designed for high-end performance.

This list is not exhaustive, though I believe I’ve covered most of the credible efforts currently afoot. Feel free to add others in the comments below if you feel they were erroneously omitted.

Posted on by praveenghanta 1

Why are Oil Prices so High? An Energy Primer

10/21/2008 Update:Supply and Demand have now driven prices down significantly, as fears of a global depression, and reduced driving worldwide, have led to decreased use of oil. How significant was speculation in the runup to $147 oil? Certainly it played a part, just as speculation played a part in the dot com boom and the housing bubble. But oil is still up 700% from its lows around the turn of the century, and that’s due to the fundamentals explained further below.

05/22/2008 Update: As this article has become far and away my most-read, and since oil is now cruising towards $140 a barrel, I thought an update was deserved. For those without the time to explore the links below, oil is rising for a simple reason: oil production has not risen significantly since 2005, while demand for oil worldwide continues to rise rapidly. The simple law of supply and demand is moving oil prices up, and no number of Congressional hearings will change that.

With news of crude oil prices topping $110/barrel today, it’s no surprise that the price of gasoline and oil are once again on people’s minds. As an introduction, here are a few links on the global transportation energy (oil) situation today, and on various risks that we might face in the future.

What is Peak Oil? – This Wikipedia article on peak oil outlines the notion that oil production must someday hit a peak, since oil is a finite resource drawn from Earth’s crust.

Export Land Model – Jeffrey Brown, an independent oil geologist, and others at The Oil Drum provide insight into the effects of a simultaneous plateau or drop in oil production coupled with rapidly rising oil consumption in oil exporting countries. The ELM is a simple model that graphically illustrates some of the forces driving energy prices rapidly higher.
Read the full entry (271 words) …

Posted on by praveenghanta 3

What happens to expiring milk?

What happens to perishable products (particularly milk) when it hits its expiration date at a grocery store? Do they just throw it out, or do they do find a more worthwhile use for it? This article implies that some expired foods have an afterlife, but I’ve read or heard elsewhere that expired milk is simply thrown out.

Why not buy milk from grocery stores on the morning of its expiration date, and sell it to restaurants, bakeries, and hotels that use large volumes of milk? Since these institutions use large volumes, they could use their daily supply up every day, thus ensuring no spoilage issues. If you could buy expiring milk for 50% off wholesale, and sell it for 75% of normal price, the margins are obvious.

Does anyone already do this? It seems like a simple, environmentally sound business idea. Maybe the logistics costs of gathering just a few gallons at each grocery store make this unworkable. Still, it seems like a reasonable idea… anyone know if this is already done, or why it wouldn’t work?

Posted on by praveenghanta 1

Why won’t anyone buy an American car?

Ford and GM, the two remaining US-headquartered automakers, remain mired in seemingly endless losses, and point to union compensation and health care costs as the sources of their problems. Toyota and Honda are doing quite well, by contrast, and have remained as profitable as ever. Ford and GM complain about costs, but they don’t mention that their competitors manufacture their vehicles either in Japan, Germany, or right here in the US – all high wage locations. Japan and Germany generally require companies to provide more benefits to workers than the US, hardly giving their car companies a cost advantage.

Might the problem be that Americans don’t want to buy American cars? Ford and GM have been steadily losing market share for years, a trend briefly halted by the SUV craze, but which has now accelerated as consumers look to foreign makers for efficient vehicles. Outside of the truck segment, Ford and GM simply don’t seem to have any products that anyone wants.

How did that become the case? Toyota, Nissan, and other foreign automakers do a significant amount of vehicle design for the US market here in the US. Does this mean that Ford and GM are incapable of hiring good designers? Many “foreign” cars like the Toyota Camry are now made in the USA; how then can there be such a perceived reliability gap between domestic and foreign car models?

Using the same talent pool, Toyota, Honda, Nissan, and others have run circles around the Detroit club. It’s gotten so bad that the governor of Michigan is openly recruiting investment by foreign automakers. It’s not that Americans don’t buy American cars; they buy plenty of cars made in America by companies with Japanese (or German) owners. Perhaps this is just the case of two companies with terrible management, bloated bureaucracy, and glacial efforts at restructuring.

Unless you’re loyal to their brands, don’t despair over troubles that Ford and GM brought on themselves. Hey, chances are you’re driving an Accord by now anyway.

Posted on by praveenghanta 0