Archive for May, 2008

High energy costs and consumer behavior

Wednesday, May 28th, 2008

Changing the behavior of consumers is the only way to make real progress in curbing greenhouse gas emissions. In a recent article in the Wall Street Journal Jeffery Ball writes that many consumers are beginning to change their behavior, but not out of concern for the environment:

“For all the talk about global warming, what is prompting Americans to rein in their fossil-fuel use isn’t the effect of their consumption on the planet. It is the effect on their pocketbooks.”

As fossil fuels continue to increase in price it’s now in the best interest of consumers to curb their energy use. The increase in the price of gasoline is the most obvious, as the cost of driving one mile has nearly doubled since 2002. Strong international demand does not appear to be lessening, and according to Lee Schipper of the University of California, Berkely “about 5.7% of the average U.S. household’s spending went to gasoline — a level not seen since 1983.” In addition to gas prices, American’s should expect utility company rates to rise because of strong international demand for commodities and fossil fuels.

This means one thing for the consumer: either become more efficient in your use of energy or begin paying the cost. The economics are forcing people to change their ways, but this will be a change for the good. Even if energy prices begin to fall in the near future consumers should see the benefits of a more energy efficient lifestyle and continue this new found ecological awareness.

Electric Cars by 2010?

Thursday, May 22nd, 2008

Rick Wagoner, CEO of General Motors was on a trip in Germany when he discussed the company’s plan for electric vehicles. The interview will be published May 23rd in the Frankfurter Allgemeine Zeitung, but the following excerpt is available today:

“The company previously said it plans to start serial production of an electric car, the Chevrolet Volt, by the end of 2010. ‘Our two challenges are lowering the cost of batteries and convincing consumers of the advantages of the Volt,’ Wagoner told the newspaper”

The Volt has been a public concept car for a couple of years now and the timetable on its commercialization continues to move forward. General Motors gambled by developing this car long before battery technology made the actual vehicle feasible, but as the batteries continue to improve their energy storage, heat, size and cost issues GM is now positioned to capitalize.
Because of its early investment, GM is primed to win the race to the electric car and the prizes are many: new customers for the brand, accolades from the international media and the attraction of new outside investment for the company.

Being the first automaker to bring a fully electric car to market is the green motoring equivalent of the first moon landing. An electric vehicle will be a game changer, a vehicle that can ease environmental concerns, save consumers from high prices at the pump, make government fuel economy standards achievable and usher in wholesale changes in automotive components, maintenance and manufacture. General Motors has moved one step closer to winning this race.

Over one million sold (and counting)

Friday, May 16th, 2008

When most people think of a hybrid the first thing that comes to mind is the small, bullet shaped, extremely quiet vehicle known as the Toyota Prius. Like iPods or Google the Prius has become more than a product or a brand, achieving cultural icon status in the United States. As the quote below from the May 15th BusinessWeek article explains there is more to this story than 1 million in sales:

“Look a little deeper and there are some other numbers that show the real significance of the Prius. Almost 60% of those sales are in North America. The car has sold in nearly twice the volume here that it did in Japan, where Toyota really is king and gasoline is even more expensive. What’s more telling is that Prius sales in the U.S. are up 21% this year and were up 70% last year to 181,000 cars.”

Toyota merits credit for seeing where the American car market was going long before any other automaker. While many others were still building gasoline intensive, heavy emission vehicles Toyota went the opposite direction. Other automakers are now scrambling to catch up and more and more hybrid vehicles are released each year. Toyota pushed the rest of the auto making world toward more efficient, cleaner and technologically advanced cars.

Now, not just automakers but the entire world economy is shifting toward more efficient and cleaner products through the use of advanced technology. Whether the industry is power generation, manufacturing or construction, every firm’s goal is to have their new green product’s name to be synonymous with the innovation, a goal Toyota achieved with the Prius.

More Refueling Stations

Thursday, May 15th, 2008

Larry Burns, the General Motors vice-president for Research and Development, recently challenged the government and the oil industry to build 40 hydrogen refueling stations in southern California. Right now there is only one public station, but there are many people who own Equinox Fuel Cell vehicles who need refueling stations.

While addressing the National Hydrogen Association Conference in Sacramento, California he said:

“While automakers continue to commit resources to the development of full-performance, affordable and durable fuel cell-electric vehicles, there appears to be comparatively little parallel investment and resource allocation for development and deployment of commercially ready retail hydrogen infrastructure.”

Research and development from all sectors of the economy must be present to make the energy policies we need to reduce American consumption of oil.

Greenest House

Thursday, May 8th, 2008

Washington Families are now competing in a local reality TV show to see who the greenest family is. The Greenest House is a “reality show that follows two families as they compete against each other to see who can reduce their carbon footprint the most over the course of three months.” The program follows the families over three months as they take ordinary, every day steps to cut down on water, waste, energy and transportation.

This is interesting not only because it demonstrates how green collar jobs are emerging, but really shows how important it is for families to take action to reduce their carbon footprint. If we truly want to find solutions to global environmental challenges, then there has to be a national effort. Although this reality TV show features just two family efforts, it may spark challenges like this across the country.

A bang for your buck?

Monday, May 5th, 2008

What do Gov. Arnold Schwarzenegger, George Clooney and popular rockstars have in common? All are on the list to buy the electric sports car that goes from 0 to 60 mph in just four seconds and can go 225 miles on one battery charge.

The $124,000 Tesla Roadster will soon be available in stores opening in NY and Chicago.

The highly coveted car is described by Autoblog, as “the gorgeous girlfriend that loves football, tunes a hotrod in her spare time, and doesn’t believe in celebrating anniversaries and birthdays. The Roadster is a beautiful car, it runs on exhaust-free plug power, and it’s already primed for more power.”

Although the sports car comes with a high price tag, it will be an electric car that doesn’t run on any gas. Allowing 225 miles on a single charge, most drivers will be able to travel to work and back without having to recharge. The Tesla is an example of the wide range of vehicles that are being marketed to appeal to everyone who wants a greener car. Some just cost a little more green than others.