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David Thomas, CDK Global.
David Thomas, Director of Content Marketing at CDK Global.

The common belief that the simpler design of EVs and fewer mechanical parts would prove a detriment to car service providers is slowly changing course. There may not be an oil change but software- and hardware-related issues, along with an array of recalls, have shown EVs will be making repeated stops in the service department.

That’s why CDK Global reached out to dealership and service department leaders across the country and brands that sell EVs to find out where they stand today and what they think of the future. If nothing else, the EV Service: Today and Tomorrow study suggests that the current service model is unlikely to radically change for years to come.

When you look at EV sales and service, there are a lot of conflicting numbers out there. There are two important facts, though, that overshadow the entire conversation that need to be addressed head-on and then simply put aside. Essentially, half of all EVs sold today are Teslas. And half of all EVs, Tesla or not, are sold in California.

These giant figures are why you hear such different attitudes about EVs from traditional automakers and, of course, their franchised dealer networks. Overall, EV sales may be up by 50 percent in 2023 but to a dealer in the Midwest or Southeast, they may be staring at slow-moving inventory and sales in the single digits.

Just 2.5 percent of new car sales at franchise dealers nationwide are EVs. Not surprisingly, 2.4 percent of all repair orders at dealership service departments are for EVs. These numbers may rise as 2023 comes to a close, but it’ll still be far lower than any national number that’s being reported, which includes Tesla sales and, of course, California.

Yet, every respondent in CDK’s survey said they’ve already begun servicing EVs or will within the next two years, and 99 percent said they have at least a portion of their staff trained on EVs. Nearly nine out of 10 (88 percent) has charging stations on site and 64 percent of those respondents have more than one charging station in the service department. The next time you see a story that claims dealers aren’t prepared for EVs, please keep this in mind.

Perceptions vs. Profit

The single finding that I come back to in our study is that dealers are somewhat pessimistic about EVs in the service lane but not about how much money they’ll make. Only 42 percent of service leaders feel positive about the future of EVs. There’s no sugar coating that.

But when you ask this same group where they see revenue going in the next two years, four out of five see both total revenue (79 percent) and EV revenue (78 percent) increasing.

Much of this is likely due to warranty work, which has always been profitable for dealers, but the latest wave of EVs have proven to require a bit more than most anticipated. Indeed, 89 percent of the service leaders CDK surveyed expect EV warranty volume to increase in the next two years.

EV service at dealership.

EV Service Not Much Different

Two of the primary reasons people choose a dealer over an independent mechanic or chain for service is for the factory-trained technicians and OEM-supplied parts.

When you look at the EVs from traditional OEMs today, and in the next few years, there are few, if any, options for service outside of a dealership.

Service retention falls quickly when a new car ages out of its warranty, but for EVs that may not be the case. And in many areas across the country, there simply won’t be another option for many years. That could be why 77 percent of service leaders said they expect retention to remain the same or increase for EVs.

Now, will independent shops eventually be able to invest in the advanced equipment, additional lifts, safety gear, and training that dealers already have to fix EVs? Yes. But this is one area where traditional dealers have a leg up on the competition, and they need to ensure they prove their value during this transitional moment.

Service departments will focus more on tire maintenance with the demise of oil changes to keep customers coming in and many respondents agreed on their importance. And while there are fewer moving parts in an EV, there’s more technology that’ll require skilled labor to address. Not everything will be solved by an over-the-air update.

EVs will need service and maintenance, and the infrastructure for it is already in place at the dealership.

David Thomas is Director of Content Marketing at CDK Global, a leading provider of cloud-based software to dealerships and original equipment manufacturers across automotive and related industries.

DRIVETHEARC EV fast charging corridor breaks ground in northernEVgo, which maintains the largest network of DC fast chargers in the U.S., reports it has experienced a significant increase in use by electric vehicle drivers over the past two years. In 2016, the company says its network of chargers delivered enough electricity to enable 22 million miles of battery electric driving, with that number increasing to 40 million miles in 2017. Some 1.1 million charging sessions occurred in 2017. EVgo points to the expanding number of EV models available to consumers and an overall increase in the number of electric vehicles on our highways as driving an increasing need for public fast charging.

The company’s fast-charge network now numbers over 1,000 in 66 markets across the country. Its DC fast chargers are typically located in major metro and retail areas to make charging convenient for plug-in drivers.

In addition, EVgo has collaborated with others to complete key charging networks in 2017 that serve the needs of EV drivers wishing longer-distance travel. This includes Northern California’s ‘DRIVEtheARC’ corridor that enables fast charging in the San Francisco Bay Area, Monterey Peninsula, Lake Tahoe, and Sacramento regions. Along with EVgo, the partnership includes the State of California’s Governor’s Office of Business and Economic Development, Nissan, Kanematsu, and Japan’s New Energy and Industrial Technology Development Organization (NEDO).

"Nissan is determined to widely spread EV use to help benefit the environment on global basis. The U.S. is among the top markets in the world for EV sales, and California represents a staggering 40 percent of all EV sales in the country, making the state the catalyst for furthering the adoption of EVs into the future," said Hitoshi Kawaguchi, Chief Sustainability Officer of Nissan Motor. "An adequate public charging network is one of the key factors for EV expansion. Northern California has a diverse geography but until now did not possess a true inter-city EV fast charging network. We are excited to implement this network and study EV use in Northern California so that we can apply the lessons we learn to future fast charging network projects around the world."

The Ford Edge with HySeries(TM) DrivePlug-in vehicles are on a roll. That’s not to say that battery electric or plug-in hybrids will eclipse internal combustion or hybrid vehicles in the market anytime soon. But the fact that there are 40 plug-in models available in the U.S. during calendar year 2017 speaks volumes on how seriously automakers are taking electrification.

In the market for a plug-in vehicle? Here are your options this calendar year. Prices do not take into account an available federal tax credit up to $7,500 that may apply, or state incentives that can range up to $5,000 or more. Happy hunting!

Audi A3 Sportback e-tronAUDI: Audi has big plans for plug-in vehicles in its lineup, although the A3 e-tron represents the solitary choice at present. That said, it’s a good one since the A3 has long been a popular and approachable model in the U.S. and represents the right starting point for Audi. Offered at a base price of $39,500, this plug-in hybrid provides 16 miles of battery electric range and an overall driving range of 380 miles. The automaker plans to have three e-tron models within the next three years and others coming after that.

bmw-i3-drivingBMW: This automaker is a prolific marketer of plug-in vehicles. Its sole all-electric model is presently the innovative i3, which features a base price of $42,400. It emerged with a larger battery pack in the 2017 model year. The i3 BEV is powered by a 60 AH battery that delivers an EPA rated 81 mile range, with the 94 AH battery variant providing 114 miles of all-electric driving. The i3 REx comes with an engine-generator range extender that enables 97 miles on battery power and an overall range of 180 miles with electricity generated on board. Five additional plug-in hybrids are in BMW’s stable including the sporty i8 ($143,400), 330e $44,100), 530e ($52,950), 740e ($90,700), and X5 xDrive40e ($56,600).

The Cadillac CT6 Plug-In Hybrid goes on sale in North America inCADILLAC: The short-lived Cadillac ELR extended range electric car, an upscale version of the Chevrolet Volt, was a flash-in-the-pan that illustrated you couldn’t market a high-end – and high priced – plug-in hybrid based on a lower-price Chevy model and get buyers to step up. Cadillac’s answer is its all-new CT6 Plug-In, a luxury model based on its flagship CT6 sedan offering great tech and style. The CT6 plug-in hybrid delivers a 31 mile all-electric range and a 440 miles driving range overall, at a base price of $76,095.

2017 Chevrolet Bolt EVCHEVROLET: GM has the technical prowess to create exceptional electric vehicles, as shown by the acclaimed Chevrolet Volt extended range electric sedan that’s beloved by its owners. The $34,095 Volt provides a 53 mile battery electric range before reverting to electricity created by its on-board engine-generator, for a total range of 420 miles. Chevrolet’s new Bolt EV raises the bar for battery electric cars with an all-electric range of 238 miles before requiring a charge. This all-electric compact crossover is replete with the latest on-board tech and comes in at an MSRP of $37,495.

2017 Chrysler Pacifica HybridCHRYSLER: Chrysler was serious about electric and plug-in hybrid vehicles years ago with many concepts and demonstration vehicles, but that faded away as the company focused on getting its finances and mojo back. As part of FCA Group, Chrysler is once again showing its chops with the field’s first-ever plug-in hybrid minivan, the Chrysler Pacifica Hybrid, much to the delight of families and others who have been waiting for such a breakthrough in this vehicle class. The Pacifica Hybrid drives 33 miles on battery power and 570 miles overall, offering a base price of $41,995.

2017 Fiat 500eFIAT: The Fiat 500 is a pint-sized, fun vehicle as a gas-powered model. It’s even more fun in our opinion as an electric. The Fiat 500e is cute, nimble, and delivers 84 all-electric miles of driving. No matter that Fiat Chrysler Automobile’s CEO Sergio Marchionne once said the automaker loses $15,000 on every Fiat 500e sold and wasn’t particularly enthusiastic about that. This automaker is still in the game and 500e fans are a happy bunch because of it. The Fiat 500e features a base price of $32,995.

2017 Ford Fusion EnergiFORD: Ford is offering the Ford Focus Electric as its sole all-electric vehicle along with two plug-in hybrids. The $29,120 Ford Focus Electric has a range of 115 miles before a recharge is needed. Ford is using its Energi PHEV technology in the CMAX, a five-door, compact multipurpose vehicle and Fusion mid-sized sedan. Energi technology includes a 2.0-liter 4-cylinder engine, 118 horsepower electric motor, and 7.6 kWh lithium-ion battery. The $24,120 CMAX Energi delivers 22 electric miles and an overall driving range of 570 miles, while the $31,120 Fusion Energi drives 22 miles on battery power with a total range of 610 miles.

2017 Honda Clarity ElectricHONDA: The 2017 Honda Clarity was launched first as a hydrogen fuel cell electric vehicle in California and is being joined by battery electric and plug-in hybrid variants this year. The Clarity Electric will drive 80 miles on batter power and initially be available in California and Oregon only, while the Clarity Plug-In Hybrid is expected to be available in all 50 states. These electrified sedans seat five, are quite spacious, and loaded with connected tech and an array of driver-assist systems. The Electric will be leased at $269 per month for 36 months, with $1,730 down (this folds the federal tax credit into the lease terms). The Clarity Plug-In is expected to deliver an electric-only range of 42 miles with an overall driving range of 330 miles. Honda has not yet announced a price for the Plug-In.

hyundai-ioniq-plugged-inHYUNDAI: Hyundai’s all-new Ioniq comes in hybrid, plug-in hybrid, and battery electric choices. At an MSRP of $29,500, the battery electric version features a 124 mile range and an EPA estimated 136 MPGe. It will be available exclusively in California. The plug-in hybrid coming this fall is expected to provide an estimated all-electric range of about 25 miles and hybrid power will take it hundreds of miles past that, although overall range specifics and pricing have not yet been announced. Hyundai’s $34,600 Sonata Plug-in Hybrid, which delivers 27 miles of range on battery power and 590 miles overall, is sold at Hyundai dealerships in 10 states and can be custom ordered elsewhere.

Karma Revero Driving OrangeKARMA: Karma Automotive, a new company owned by China’s Wanxiang Group, has revived the defunct Fisker Karma extended range electric car of five years ago and is now manufacturing it in Southern California. Now called the Karma Revero, this grand touring car retains the original’s breathtaking design with some tweaks and benefits from significant technology upgrades and luxury appointments. It’s built on a lightweight aluminum spaceframe and powered by two high-power electric motors energized by lithium-ion batteries, delivering a 0-60 mph sprint in 5.4 seconds. The car drives 50 miles on batteries alone and about 300 miles on electricity generated on board by its 2.0-liter engine-generator. The Revero’s price of entry is $130,000.

2017 Optima Plug-In HybridKIA: Kia’s plug-in offerings include the boxy, battery-powered Soul Electric that’s been around for a number of years and the more mainstream Optima Plug-In Hybrid sedan. The plug-in Optima variant was missing from the new-generation Optima launch in 2016 but happily arrived with new technology for 2017, at a base price of $35,210. It offers 29 electric miles of driving and 610 miles overall range. The Soul Electric features a 93 mile battery electric range. Coming is the Kia Niro plug-in hybrid, a compact SUV that will join the new Niro lineup in 2018.

MY17 C350eMERCEDES-BENZ: Mercedes-Benz is serious about high-efficiency electrics. The automaker is planning at least 10 new plug-in hybrid models with the aim of electrifying nearly all vehicles in its model lineup. Presently available plug-ins in the U.S. market include the B250e electric five-door hatchback, which features a driving range of 87 miles and a base price of $39,900. Plug-in hybrids this year include the $46,415 C350e and $96,600 S550e sedans, plus the $66,300 GLE550e SUV. Each of these delivers 12 to 14 miles of battery electric driving and a 400 to 460 mile overall range.

mini-electricMINI: For the first time ever there will be a plug-in hybrid from MINI, the MINI Cooper S E Countryman ALL4. All of the new Countryman variants feature a 1.5-liter 3-cylinder engine. The $36,800 plug-in Countryman adds an 87 horsepower electric motor and 7.6 kWh lithium-ion battery, providing an EPA estimated all-electric range of 12 miles and an overall driving range of 270 miles. The engine drives its front wheels while the electric motor delivers power to the rear axle.

2014 i-MiEV SilverMITSUBISHI: The eggplant-shaped, four-passenger Mitsubishi iMIEV that’s been knocking around since its introduction seven years ago boasts the lowest cost of entry for a mainstream battery electric car in the U.S., at $22,995. It also has the shortest electric driving range at 59 miles, which may fit the needs of some folks but certainly not all. A 66 horsepower motor provides very modest performance. On the plus side, this battery electric model achieves 112 MPGe efficiency.

nissan-leafNISSAN: Nissan’s LEAF is not only the best-selling electric car in the country, but also in the world with some 250,000 examples on the road. Featuring a unique and highly-recognizable design, it delivers a 107 mile driving range and is EPA rated at 112 MPGe. Power is provided by a 107 horsepower electric motor and 30 kWh battery pack located beneath the floor. An ‘eco route’ feature analyzes available battery power and displays charging stations within range.

porsche-panamera-4-hybridPORSCHE: When Porsche offers a plug-in hybrid, you know it’s going to be fast. So it is with the automaker’s new Panamera 4 E-Hybrid, which boasts a total system output of 680 horsepower that brings 0 to 60 mph in 3.2 seconds and a top speed of 192 mph. All-electric range is 11 miles with an overall range of 480 miles. Porsche also offers the Cayenne S E-Hybrid that's powered by a 333 horsepower V-6 and 95 horsepower electric motor, a combination that delivers 14 miles of electric driving and an overall 480 mile range.

2017 smart electric drive cabrioSMART: The Smart fortwo Electric Drive is an interesting proposition. In general, the Smart has not flourished in the U.S. because the big deal about the Smart is its diminutive physical footprint, a plus in space-impacted European cities but not so much in the wide-open USA. That said, electric drive gives the Smart an environmental edge. It’s powered by a 74 horsepower motor and updated lithium-ion battery pack that reportedly increases electric driving range to 80 miles, up from the previous generation’s 68 mile range. The Smart fortwo Electric Drive comes at a base price of $24,550 with a convertible variant priced at $28,750.

tesla-model-3TESLA: Tesla’s Model S luxury sedan, which starts at a base of $69,500 and goes up to $140,000 depending on powertrain and battery, is the longest range battery electric vehicle around. Its base powerplant delivers an electric driving range of 249 miles. The all-wheel drive Tesla Model X SUV starts at $82,500 and delivers 237 electric miles, topping out at $145,000. Powertrain options bring additional range. Tesla’s Model 3, which begins production this month and will be on sale shortly, aims to be the automaker’s first affordable electric at a base cost of $35,000. However, with the Model 3’s large number of preorders it’s expected that Tesla will first deliver highly optioned – and more expensive – Model 3 orders well above the $35,000 base cost.

toyota-prius-primeTOYOTA: The Toyota Prius Prime plug-in hybrid can run on its gas engine or motor alone, or a combination of both. This $27,100 plug-in hybrid features a dual-mode generator drive system enabling both the primary drive motor and motor-generator to provide power when maximum acceleration is demanded. An 8.8 kWh lithium-ion battery pack provides 25 miles of all-electric range, while overall range on electric and hybrid power is 640 miles. It achieves an EPA estimated 54 mpg and 133 MPGe while running on battery power. Prius Prime automatically relies more on electric capability in situations where it is more efficient than running the engine.

vw-egolfVOLKSWAGEN: VW has updated its e-Golf electric hatchback with an improved battery, greater range, and additional on-board electronics. It also benefits from styling updates to give it a crisper look. The latest electrified version of VW’s popular hatch offers a more powerful motor that delivers greater horsepower and torque, plus 50 percent greater electric range at 125 miles per charge. That’s a significant improvement in a world where electric range has become an increasingly important market differentiator. Additional updates include VW’s digital and interactive Digital Cockpit with information presented on a 12.3- inch color screen. The e-Golf has a base price of $29,815.

The new Volvo XC90 T8 Twin Engine petrol plug-in hybrid driven iVOLVO: Volvo’s seven passenger, $67,800 XC90 T8 luxury SUV uses a twin engine plug-in hybrid powertrain for power and increased efficiency. It features the automaker’s 316 horsepower, turbocharged and supercharged 2.0-liter four-cylinder Drive-E engine mated to an eight-speed automatic transmission. The T8 uses an 82 horsepower electric motor on the rear axle and a lithium-ion battery pack that delivers 14 electric miles, with a total hybrid range of 350 miles. Volvo has other plug-in models in the works including its new S90 luxury sedan.

 

2017-gcoy-winner-a

Green Car Journal has named the all-electric 2017 Chevrolet Bolt EV its 2017 Green Car of the Year® during AutoMobility LA at the Los Angeles Auto Show. The Bolt EV emerged the winner over fellow finalists BMW 330e iPerformance, Chrysler Pacifica, Kia Optima, and Toyota Prius Prime. Widely recognized as the auto industry’s most prestigious environmental honor, the award was presented by Green Car Journal editor and publisher Ron Cogan and accepted by Chevrolet Cars & Crossovers marketing director Steve Majoros.

The Green Car of the Year jury selected the 2017 Bolt EV for its milestone 238 mile battery electric driving range, stylish design, pleasing driving dynamics, and welcome suite of advanced and connected technologies. Along with its distinction as the first production battery electric vehicle to achieve a 200-plus mile driving range, the 2017 Bolt EV offers an array of features that provide a unique and catered ride to the driver.

ron-cogan-and-steve-majoros-at-gcoy-stageEditors and jurors note that Chevrolet’s all-new 2017 Bolt EV is a breakthrough vehicle in every sense, sending a clear signal that an electric car’s environmental achievement is well-suited to the mass market. From the time modern electric vehicles emerged in the 1990s, limited driving range has presented a core challenge to the commercialization of electric cars affordable to everyday drivers. Bolt EV overcomes this with its 238-mile battery electric driving range and approachable price, the first production electric car to achieve this milestone.

Each year, an expanding number of environmentally positive vehicle models are considered for the Green Car of the Year® program, an illustration that the auto industry is continuing to expand its efforts in offering new vehicles with higher efficiency and improved environmental impact. The Green Car of the Year® is selected through a majority vote by a jury that includes celebrity auto enthusiast Jay Leno, as well as leaders of noted environmental and efficiency organizations including Jean-Michel Cousteau, President of Ocean Futures Society; Matt Petersen, Board Member of Global Green USA; Dr. Alan Lloyd, President Emeritus of the International Council on Clean Transportation; Mindy Lubber, President of CERES; and Kateri Callahan, President of the Alliance to Save Energy.

2017-green-car-of-the-year-stage-1Staff jurors include Cam Benty, Ron Cogan, Drew Hardin, Jeff Karr, Todd Kaho, and Dr. Bill Siuru, all veteran auto writers and editors with decades-long careers in the auto industry. Their deep understanding of the importance and nuances of vehicles includes their time spent as editors of such noted legacy auto publications as Motor Trend, Hot Rod, Car Craft, Truck Trends, Popular Hot Rodding, and others.

During the award’s vetting process, Green Car Journal editors consider all vehicles, fuels and technologies as an expansive field of potential candidates is narrowed down to the final five.  Finalists are selected for their achievements in raising the bar in environmental performance. Many factors are considered including efficiency, performance characteristics, ‘newness,’ affordability and overall environmental achievement. Availability to the mass market is important to ensure honored models have the potential to make a real difference in environmental impact, and finalists must be available for sale by January 1 of the award year.

2017-chevy-bolt-and-volt-on-stage

Among owners and fans, it’s a foregone conclusion that Tesla will remain the dominant producer of electric vehicles (EVs) as the automotive world increasingly adopts this technology. And why shouldn’t it? Tesla produces the best EVs, and perhaps the best cars made, has developed an incredible brand, and fills waitlists years before a new car is delivered. This all seems to indicate that Tesla has developed a world-beating business model, but is it actually a signal of future trouble?

thomas-bartmanTesla’s strategy has always been to build EVs that are better than their internal combustion competitors and sell them for premium prices. In the language of innovation theory, strategies that offer existing consumers better products at higher prices are called sustaining innovations. Sustaining strategies tempt entrepreneurs because they appear so logical: build a better product and customers will come. But research shows that it is a losing strategy for new businesses. In sustaining competition, the industry incumbents nearly always win.

Incumbents are favored because sustaining strategies build on capabilities that they have developed over the course of their rise to dominance. Worse still, a sustaining strategy presents the entrant as a clear and direct threat to the incumbents. The combination of these two factors creates a response that often proves overwhelming for the entrant. Incumbents respond ferociously and deploy so many resources to the battle that the entrant is overcome.

Consider the situation for Tesla: It would be difficult enough for a company that sells 50,000 units per year to fight even one major automaker head-on. But Tesla has attacked not just the automakers but also every incumbent in the value network that produces automobiles, including the entire base of suppliers and dealers. The resources that these aligned interests can bring to bear are vast. Collectively, these firms spend more on R&D every year than Tesla has invested in its lifetime.

Many have argued that the move away from internal combustion is simply too technologically painful for automakers, but the technology underpinning EVs is largely a modular combination of standard components purchased from independent suppliers. The technology simply isn’t a constraining factor, and with every new auto show the automakers demonstrate this with new concept cars, such as the Porsche Mission E, squarely targeting Tesla. With its fantastic design and beloved product, Tesla might have written the playbook that the incumbent automakers will follow to dethrone it.

tesla-storeIf better products and technological barriers aren’t enough to defeat incumbents, is there any hope for entrepreneurs? We’re believers in disruptive innovation strategy, which allows entrants to beat even the most-powerful incumbents. Disruptive innovation begins at the bottom of existing markets or by creating new markets where people don’t currently consume. They target the least-attractive customers and produce worse products for less money with lower-cost business models than conventional offerings. In doing so, they create the phenomenon of asymmetric motivation, which causes incumbents to ignore or flee them. But disruptive strategies don’t remain at the bottom of the market – they possess a technological core that allows them to improve their performance over time, capturing more of the market and pushing incumbents into ever-smaller segments at the high-end.

Many observers say this approach could never work in EVs, but we’re seeing it happen today. It takes the form of low-speed EVs driven by security guards on college campuses, retirees in the Sunbelt, and middle class families in China. The manufacturers are largely unknown and that’s the point. Each year they grow bigger and improve their products without any resistance from incumbents. Soon they will be good enough to lure the least-demanding customers away from traditional automakers and the disruption will have begun. While these companies improve their performance to capture more customers, Tesla’s only option is to reduce its performance. Which position would you rather be in?

Thomas Bartman is a Senior Research Fellow at the Forum for Growth and Innovation at Harvard Business School

Chevrolet Offers Sneak Peek At Next-Gen Chevy Volt

The Consumer Electronics Show is a big deal in the consumer electronics industry. With the expanding integration of advanced electronics into cars it has become a high-profile venue for auto manufacturers as well, with automaker CEOs giving keynote addresses and auto press conferences growing in volume. Most of these involve connectivity, autonomous driving, and other advanced on-board systems. But the scope is expanding significantly as CES is growing ever-brighter on the automakers’ radar.

A case in point is Chevy’s move to provide a sneak peek of its all-new 2016 Chevy Volt extended range electric car at 2015 CES. This preempts the official debut of the new Volt at the coming North American International Auto Show (NAIAS) in Detroit, one of the auto industry’s premier events.

The ‘peek’ was just that – a teaser showing the new Volt’s front end and a bit of the driver’s side, with the rest blocked with purposeful positioning and a strategically placed speaker tower. Still the front end view showed a handsome evolutionary design with the partial profile that could be seen indicating a somewhat smaller model with a redefined roofline and window design. It has been previously disclosed that the 2016 Volt will use a new 1.5-liter engine-generator, a bigger battery pack, and offer additional range.

We are all enamored by the advanced technologies at work in vehicles today. And why wouldn’t we be? The incredibly efficient cars we have today, and the even more efficient models coming in the years ahead, are testament to a process that combines ingenuity, market competitiveness, and government mandate in bringing ever more efficient vehicles to our highways.

It’s been a long and evolutionary process. I remember clearly when PZEV (Partial Zero Emission Vehicle) technology was first introduced in the early 1990s, a breakthrough that brought near-zero tailpipe emissions from gasoline internal combustion engine vehicles. That move was led by Honda and Nissan, with others quickly following. Then there were the first hybrids – Honda’s Insight and Toyota’s Prius – that arrived on our shores at the end of that decade. Both technologies brought incredible operating efficiencies that drastically reduced a vehicle’s emissions, increased fuel economy to unexpected levels, or both.

Of course, there were first-generation battery electric vehicles in the mid-1990s that foretold what would become possible years later. That first foray into EV marketing was deemed by many a failure, yet it set the stage for the advanced and truly impressive EVs we have today. Those vehicles may not yet be cost-competitive with conventionally powered vehicles due to very high battery costs, but that doesn’t diminish the genius engineering that’s brought them to today’s highways.

Even conventionally-powered cars today are achieving fuel efficiency levels approaching that of more technologically complex hybrids. Who would have imagined popular cars getting 40 mpg or better, like the Dodge Dart, Chevy Cruze, Mazda3, Ford Fiesta, and many more in a field that’s growing ever larger each year?

VW and Audi have proven that clean diesel technology can also achieve 40+ mpg fuel efficiency while providing press-you-back-in-your-seat performance, and importantly, doing this while meeting 50 state emissions criteria. That’s saying something considering diesel has historically had a tough go of it meeting increasingly stringent emissions standards in California and elsewhere. Yet, with elegant engineering by these automakers and their diesel technology supplier Bosch – plus this country’s move to low-sulfur diesel fuel late last decade – ‘clean’ diesel was born.

I would be remiss if I didn’t mention natural gas vehicles. There was a time when quite a few automakers were exploring natural gas power in the U.S., but that faded and left Honda as the lone player in this market with its Civic Natural Gas sedan. Now others are joining in with dual-fuel natural gas pickups and vans, benefitting from advanced engine technologies, better natural gas tanks, and a sense that with increasing natural gas reserves in the U.S., demand for natural gas vehicles will grow. As Honda has shown with its Civic, it’s possible to operate on this alternative fuel while also netting admirable fuel efficiency.

All this advanced powertrain technology is important. It makes air quality and petroleum reduction goals achievable, even ones like the ethereal 54.5 mpg fleet fuel economy average requirement that looms for automakers by 2025. There’s no doubt that advanced technologies come at a cost and reaching a 54.5 mpg average will require the full range of efficiency technologies available, from better powerplants and transmissions to greater use of lightweight materials, aerodynamic design, and answers not yet apparent. But I’m betting we’ll get there in the most efficient way possible.

 

Ron Cogan is editor and publisher of Green Car Journal and editor of CarsOfChange.com