Market in Sight This Time
Starting a few days after the historic roll-out of General Motors’ EV1, the mood at the Electric Vehicle Assn. of the Americas conference here last week was upbeat and market-focused, unlike past conventions where the talk was of the future and the “if-come,” to use former General Motors Chairman Robert Stempel’s phrase.
The difference is that all manufacturers have their eyes on what will shortly become an actual market--as long as government mandates for clean-emission vehicles remain in force. The best known of those mandates is California’s requirement that 10% of all new vehicles sold in the state by 2003 be zero-emission.
But more immediate, and potentially more lucrative for the auto makers, are provisions in the 1992 Environmental Protection Act that laid down stringent quotas specifying that by 2000, a minimum 75% of all new-car fleets bought by federal, state and local governments be powered by alternative energy sources--starting with 25% by next year.
While governments have a history of deferring the 1992 bill’s deadlines, the auto industry is energized by the expectation that the Energy Department will let stand next year’s first-phase quota that 25% of all new federal vehicles purchased use alternative fuels.
“By 2000 we should be selling 150,000 alternative-fuel vehicles. That’s one-third of all our light vehicles--if everyone is in compliance,” said Beryl Stajich, a team manager for Ford Motor, which in late 1997 will roll out an electric Ford Ranger pickup priced at $32,795.
Little wonder then that six of the U.S. car market’s largest manufacturers--GM, Ford, Chrysler, Honda, Toyota and Nissan--all exhibited vehicles here and are staking out turf. All will have electric autos of varying sizes, models and prices on the road by January 1998.
Stempel’s company is the Troy, Mich.-based parent firm of Ovonics, owner of patented nickel metal hydride battery technology that over the next year or two will replace lead acid battery science as the leading power source of electric cars. Ovonics investors include GM and Honda.
The trick for Ovonics is to get the price of a pack of nickel metal hydride batteries down to about $5,000--about one-quarter the current cost.
In addition to the six giant car exhibitors, the conference also featured half a dozen small car companies hoping to interest major auto makers in carrying them on a “menu” of electric vehicles at dealerships.
One of those smaller firms is Unique Mobility Inc. of Golden, Colo., maker of the Ethos, a stylish car it built in a joint venture with Pininfarina of Italy, manufacturer of bodies for Ferrari, Fiat and Cadillac. Chairman Ray Geddes said he is trying to interest a major manufacturer in hiring his firm to “develop a vehicle to their specifications.”
Chris Kraul can be reached by e-mail at chris.kraul@latimes.com or by telephone at (619) 544-6040.
Tuesday: Farming and Food
