Most know House Resolution 6899 as the offshore drilling bill, but it also contains the plug-in tax credit that Toyota complained about yesterday, as well as a mandate that all gas stations offer an alternative fuel pump by 2018. The U.S. House of Representatives passed the bill today with a vote of 236 - 189, and the details of the plug-in tax credit are different than what Automotive News reported yesterday. Kicking Tires reports that the tax credit would apply to any "new qualified plug-in electric drive motor vehicle" with a battery of at least 5 kWh. It would start at $3,000 and add $200 for every kilowatt hour over 5 up to a maximum of $5,000. The 2011 Chevy Volt is the only plug-in vehicle officially confirmed for sale so far, and with a 16kWh battery would max out the credit at $5,000. The bill also reveals that the plug-in tax credit would have an identical lifespan as currently available hybrid tax credits, which means the first 60,000 vehicles per company that meet the requirements would be eligible, and the credit would be reduced by 25% then 50% before being phased out. If passed into law, the plug-in tax credit would take effect after December 31st, 2008, though the first eligible vehicle won't be available for another two years. As for the section on mandatory alternative fuel pumps, it requires that every gas station owned by a major gas company have at least one alternative fuel pump by 2018. The bill specifies "alternative fuel" as natural gas, E85 or higher, biodiesel, renewable diesel or hydrogen. Any company not in compliance by 2018 would be fined $100,000 per station, though a $50,000 tax credit would be offered to stations that choose an E85 pump.





Volkswagen CEO Martin Winterkorn has revealed a new concept today called the Golf Twin Drive. The Twin Drive is a plug-in electric hybrid that uses a powerful 82-hp electric motor and a 2.0L turbodiesel producing 122 hp. The electric motor is fed energy from a pack of lithium-ion batteries that can sustain the car's mobility for about 50 kilometers or 31 miles, after which the diesel engine will take over propulsion duties. While we do know the Twin Drive also features start-stop technology and regenerative brakes, we're still a bit unclear on how everything works. From the way it's been described in the news and VW's somewhat vague press release that we've translated from German, the gas and electric motors are completely isolated, with one unable to provide the other assistance under heavy loads like in the Prius or a typical parallel hybrid. At the same time, the Twin Drive Golf doesn't sound like a series hybrid in the same vein as the Chevy Volt, as the gas engine (or diesel in this case) is directly connected to the drive wheels. In other words, the engine onboard is not simply a range-extending generator supplying power to recharge the batteries like in the Volt. What the Twin Drive appears to be is a plug-in hybrid with a very robust electric drivetrain that's forced to drag around an internal combustion engine in case it gets too far away from home. Regardless, when we find out exactly how Twin Drive works, we'll let you know.
Volkswagen is developing the Twin Drive system with eight German partners and is planning a trial fleet of 20 Golfs outfitted with the system in 2010. The German government is along for the ride, and for a good bit of green PR, VW promises the the electricity used to charge the fleet of test vehicles will be generated from renewable sources like wind and solar power.


In what seems like a convenient answer to Mark Fields' request just yesterday for government assistance for the development of plug-in hybrids, the Department of Energy has just announced that it will be granting up to $30 million for just this type of vehicle. Not that thirty-mill is a small sum or anything, but that amount of money will be spread rather thin, being divided across three separate projects from three different manufacturers. Ford is one of them, while General Motors will receive funding for battery development and Chrysler, in partnership with General Electric, will also get some love.
The end-goal of this funding is a plug-in hybrid vehicle that is capable of traveling 40 miles on electric power alone. The DOE hopes that these specifications can be cost-effective by the year 2014 with vehicles on the road around 2016. We're a little puzzled, however, by the relatively small amount of money being handed out to reach these goals. Hydrogen fuel cell technology has received over four times as much funding and is nowhere near as close to production as PHEVs. Regardless, we look forward to seeing some of these investments bear fruit as soon as possible.

If you read our post yesterday that talked about a lithium Ion-powered plug-in Prius for 2010, thoughts of 100 mpg cars may have danced in your head. Well, take it easy, because the think tank over at Toyota doesn't want you to get your hopes too high. Toyota Advanced Technology manager Bill Reinert spoke in Washington yesterday at a plug-in conference and said that real-world driving conditions will make 100 mpg unattainable for many drivers. While plugging in more powerful batteries will give drivers a full battery and greater EV range, hard acceleration could limit electric-only driving to well under 40 miles.
While it's nice of Toyota to give a plug-in reality check to an efficiency-hungry public, we don't think this message is going to get through to the masses. Besides, if Toyota's next-gen hybrids can reach anything close to 100 mpg, we think shoppers of fuel-efficient vehicles will be too busy foaming at the mouth to even notice.

In these days of nearly nonexistent profits for every one of Detroit's Big Three automakers, R&D funds must be allocated very carefully. In contrast, Japanese manufacturers such as Toyota and Honda have been earning profits on a yearly basis. Not long ago, a mild spat arose regarding whether or not the Japanese government helped fund the development of Toyota's Hybrid Synergy Drive. Even if they didn't do it in the past, Ford's President of the Americas Mark Fields indicated that they are doing it now at a conference held today in Washington, D.C. by Brookings and Google.org titled Plug-In Electric Vehicles 2008: What Role for Washington?
Fields called on the U.S. government to step up to the plate, mentioning tax breaks and incentives as one option to aid consumers who'd like to purchase these ultimately expensive vehicles one day. On the manufacturing side, Fields suggests that plug-in hybrids should be a "national priority", with Washington needing to allocate funds for research and development. Another area singled out is a domestic supply of batteries, since most of the units used in today's hybrids are being manufactured overseas.
It should be noted that General Motors already has a head start towards PHEVs with its upcoming Chevy Volt. As far as we're aware, the development costs for this vehicle and its batteries has been moving forward without direct assistance from the government. Feel free to read Field's entire speech after the break.
