Saturn Vue Green Line: hybrid for tightwads

Diposting oleh Unknown on Sabtu, 27 Januari 2007

With its first mass-market hybrid, GM emphasized cost savings. That may be just what the market needs.

By Peter Valdes-Dapena, CNNMoney.com staff writer.

NEW YORK (CNNMoney.com) - In creating its first gas-saving for the mass market, General Motors took the cheap way out. This time, it could prove to be a very smart move.

The fact is, s just aren't selling like they used to. While the Toyota Prius is still a hot item, Ford is offering incentives on its s, and sales for other hybrid vehicles are softening.

One reason is that most hybrids, unlike the Prius, are not distinctive. A Toyota Highlander Hybrid looks like a Toyota Highlander. A Ford Escape Hybrid is a Ford Escape. "So the hybrid becomes another powertrain option," said Anthony Pratt, an analyst with J.D. Power and Associates.

That means that consumers are increasingly putting hybrid systems through the same cost/benefit analysis to which they would subject any other high-cost option.

For consumers simply looking to save money in the face of rising gasoline prices, it makes more sense to purchase a fuel-efficient vehicle that doesn't rely on hybrid technology. Hybrid versions of vehicles usually cost about $3,500 to nearly $8,000 more than non-hybrid versions. Part of that cost is for unrelated options that usually come as part of a hybrid package that you might not even want - third row seats, leather interior, wood grain veneer.

Another answer might be to buy a vehicle with a less complex, less expensive hybrid system. It might not be quite as fuel-efficient but it will pay for itself faster.

The Saturn Vue Green Line hybrid SUV, coming out this summer, will cost about $2,000 more than a regular Saturn Vue. Its sticker price will be about $23,000, making it the cheapest hybrid SUV you can buy.

"A total price in the low $20,000 range, I think, opens the door to the mass market," said Jesse Toprak, executive director of industry analysis for Edmunds.com.

The uses a system that relies on lower voltage than other hybrids. That means, for one thing, that the Vue Green Line doesn't need nearly as large of a battery pack. Batteries cost money and add weight. It also made the Vue's hybrid system easier to integrate into a normal automotive electrical system which, again, means lower cost.

But the Vue Green Line's electric motor can't actually drive the vehicle on its own even at low speeds, the way, for example, a Ford Escape Hybrid's can. In all hybrid vehicles, the gasoline engine automatically shuts off as soon as the vehicle stops moving even at stop signs and red lights. That saves all the gas wasted in pointless idling.

But, once the vehicle gets going again, the can crawl through city traffic without starting its gasoline engine at all, at least until the battery needs recharging. In the Vue Green Line, however, the gasoline engine starts running the moment the driver's foot lifts off the brake pedal. The electric motor in the Vue assists the gasoline engine in propelling the vehicle but it is too weak to do much on its own.

Instead of having a high-efficiency continuously variable transmission, as other hybrid vehicles do, the Vue Greenline has the same four-speed transmission as the regular Vue. Again, the slight gain in efficiency that would have come from a CVT wasn't worth the added cost.

Some hard-core hybrid fans may look askance at the Vue's low-cost hybrid compromise. It does save gas, but not huge amounts. GM claims the Vue Green Line will get 20 percent better fuel economy than the a regular 4-cylinder Saturn Vue SUV.

Since the Vue is already a relatively efficient SUV, 20 percent means five miles per gallon. Overall, its estimated mileage is a little less than a Ford Escape Hybrid or , but the Vue Green Line will also cost thousands less than those SUVs.

The Vue Green Line's hybrid system may be the right way for GM to crank up its hybrid vehicle portfolio but it will still face serious hurdles with buyers. For one thing, it's a Saturn Vue. The Vue has not been treated nicely by Consumer Reports, an influential source for car shoppers, which gives it "Much lower than average" marks for predicted reliability and has little good to say about it otherwise. (Despite the criticism, the regular Vue has been selling about as well as the average mid-sized SUV, though, according to Edmunds.com.)

Also, Toprak of Edmunds.com points out, the Vue Green Line will be available in two-wheel-drive only, eliminating a big reason many buyers opt for an SUV to begin with.

In creating a cheaper way to make small hybrid vehicles, GM has taken an important step toward making the technology truly mainstream. Now the trick will be to build a really compelling vehicle around this new powertrain. As gas prices rise, a cheap, efficient vehicle that's genuinely good is something that car buyers will really have an appetite for.
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Hybrids: Don't buy the hype

Diposting oleh Unknown on Minggu, 21 Januari 2007

Sure, hybrids save gas but they won't save you money. There are smarter ways to go.

By Peter Valdes-Dapena, CNN/Money staff writer

NEW YORK - Toyota is now measuring "time on the lot" for the Toyota Prius in hours, not days. The average Prius goes unsold for only about 20 hours after it hits a Toyota dealer's lot, according to a recent report.

With gasoline prices now around $3 a gallon, you might think it makes a lot of sense that hybrid cars are hot sellers.

Actually, it doesn't -- at least not a lot of financial sense.

They may make a social statement you're interested in, but if you want to save money because of rising gas prices, you're heading down the wrong road, at least for now.

Some simple calculations by our partners at Edmunds.com revealed the following:

A hybrid Honda Accord costs about $3,800 more than the comparable non-hybrid version, including purchase, maintenance and insurance costs. Over five years, assuming 15,000 miles of driving per year, you'll make up that cost in gasoline money if the price of gas goes up immediately to $9.20 a gallon and averages that for the whole period.

For the Ford Escape hybrid, the difference is less stark. To make up the difference over five years between the Escape hybrid and a Ford Escape XLT, gas prices would have to average $5.60 after you purchase the vehicle.

The Prius itself, however, could be an exception. There is no such thing as a non-hybrid Prius, making a direct comparison impossible. Compared to a Toyota Camry, a car with similar interior space which costs about $100 more over five years, the Prius driver could actually save a small amount of money.

There is a tax deduction of $2,000 available for purchasing a hybrid vehicle, but that translates to a one-time tax savings of less than $500 for most buyers. That's nice, but it's not enough to make much of a difference in the long run.

The recently passed energy bill includes a tax credit that would range from $500 up to $3,400, depending on the fuel efficiency of the car, for vehicles purchased after Jan 1., 2006. The credit could be enough to create some real savings. For example, Ford estimates the tax credit on a Ford Escape hybrid to be $2,600.

The new rules are extremely confusing, though, said David Mellem of Ashwaubenon Tax Professionals in Wisconsin, and the IRS hasn't yet published an official list of what vehicles will qualify for what sort of tax credit.

Certainly, though, most car buyers who are considering a hybrid will be far better off waiting until 2006 to make that purchase, said Mellem.

In the meantime, there are other ways to save gas that won't cost you any extra money.

Drive more gently

First, change the way you drive. There's no trophy for being first to arrive at the red light, or beating everyone away from the green. In driving tests by Edmunds.com, simply going easy on the gas and brake pedals garnered gas mileage improvements of about thirty percent. Hybrid buyers pay thousands for that kind of savings.

Check out diesels

Second, consider buying diesel. Diesel cars cost only a little more than gasoline-powered cars, but they get far better fuel mileage. Also, because their engines are more durable, diesels have better resale value than gasoline-powered cars. That alone should be enough to make up any additional cost of the vehicle, leaving the gas-money savings in your pocket. Also, diesels will qualify for tax credits under the new tax rules. Again, diesel buyers might want to wait until next year to buy.

Shop smarter

Third, look more closely at the actual fuel economy numbers when you buy and consider what you're willing to give up. The promise of hybrids is better fuel economy with the same, or more, engine power. But, for that, you pay more for the complex technology and, to date, long-term resale value is unknown.

You could simply decide that you could do with less engine power or a smaller, lighter vehicle. That way you could get better fuel economy while paying even less money for the vehicle itself. And you don't have to buy a subcompact.

For example, an two-wheel-drive Ford Escape hybrid has a sticker price of about $26,900 and gets an EPA-estimated 33 miles per gallon in combined city and highway driving.

A Ford Focus wagon gets an EPA-estimated 28 mpg in combined driving but it costs about $10,000 less. With the Focus you get about same amount of interior space for passengers and even more cargo room.

Also, you'll have a much easier time negotiating a good price on the Focus wagon than you will on the Escape hybrid, which typically sells at full sticker price.

There are, of course, an endless number of similar comparisons out there. The point is, don't just get sucked into the hype. If what's really important to you is saving on fuel, do a little thinking before you buy. There are lots of options available.

Source: CNN Money
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Survey: Consumers skeptical of hybrids

Diposting oleh Unknown on Minggu, 14 Januari 2007

Cost of servicing hybrid system, and its lifetime performance among consumers' main concerns.

NEW YORK - Wary of purchasing that even though gas prices are pinching your wallet?

You're not alone.

According to a survey released Thursday, a majority of consumers are skeptical of even though they feel that hybrid vehicles, which use electric motors in addition to gasoline engines, are likely the future for the American automobile.

In an online survey, conducted by Kelley Blue Book, more than half of 425 individuals polled said they are not interested in purchasing a hybrid or said that they needed more information about the technology.

"Although they've been hyped in the media, the average consumer still questions whether hybrids are for them," says Jack Nerad the editorial director and executive market analyst for Kelley Blue Book. "Based on the results of this study, it seems the auto manufacturers still have work to do before alleviating consumer concerns about the long-term viability of current hybrid technology."

The two most important causes of consumer skepticism, according to the survey, were the potential costs of servicing a hybrid vehicle and maintenance over its lifetime.

Sixty-one percent of consumers said they were worried about the servicing costs to fix a , while 55 percent of those polled expressed concern about the longevity of the battery pack.

Taking a back seat to maintenance concerns were worries about driving performance or delivering the promised level of fuel efficiency.

At the same time, consumers are optimistic about the future of hybrid technology.

More than half of those polled said that in five to ten years, hybrid cars will be able to deliver the same performance as a gasoline engine, while 36 percent said that they believe that hybrid engines will take over the automobile market in that time.

A third of those surveyed maintain that today's gasoline engine will continue to be the engine of choice for automakers.

While consumers typically pay more for a hybrid car than its gasoline counterparts, the Kelley Blue Book survey learned that of those individuals who would consider purchasing a hybrid, they are willing to pay, on average, $2,355 more to own one.

Source: CNN Money
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Green cars starting to take root

Diposting oleh Unknown on Sabtu, 06 Januari 2007

Demand for hybrid market expanding

From CNN's Phil O'Sullivan

TOKYO, Japan (CNN) -- Environmentally friendly are finally being mass-produced -- thanks to an increase in demand due to rising fuel costs, cheaper technology and growing public acceptance.

Viewed in the industry as the most important innovation since automatic transmission or the self-starting motor, run on two power sources: a standard combustion engine, backed up by an electric battery.

Japanese car makers Toyota and Honda have both been producing hybrid cars since the late 1990s.

(Picture Below: The waiting list for the Toyota Prius is months long in the U.S.)

And while hybrids still make up a fraction of all vehicles manufactured, the two automakers look set to put the latest eco-friendly technology up against each other, as the hybrid vehicle becomes accepted by the masses.

Toyota's hybrid sedan, the first mass-produced environmentally friendly vehicle, is so popular that waiting lists in the U.S. are months long.

It is so high-tech, it can even park itself.

Toyota spokesman Paul Nolasco said s were becoming increasingly popular among consumers.

"This car is not a science experiment. It's a real car -- it's very practical -- that you can use in daily life," he told CNN.

Honda has also joined the hybrid party, with the and a V6 version of its popular Accord car. Ford has come out with a hybrid version of its SUV Escape.

Honda spokesman David Iida said these vehicles were good news for the environment.

"Basically, Honda's philosophy is to introduce environmentally friendly technologies in cars that are mass-produced. That way we can get the biggest effect on the environment as quickly as possible," he said.

Iida said that hybrid vehicles were paving the way for more advanced environmentally friendly technology.

"In the future we see this (hybrid cars) as an interim technology. In the future -- long-term -- fuel cells (may be) the best alternative."

The combustion engine in hybrids kicks in only when required, at higher speeds, for example. When the vehicle is stationary at lights or stuck in traffic jams, the combustion engine is less likely to be running, which means less fuel use, and no polluting emissions.

There is no need to recharge the car's battery; it is replenished by the engine or from energy created by friction from the car's brakes.

Kurt Sanger, auto analyst at Macquarie Securities, said the production of hybrids was still in its infancy.

"Volume-wise, you're seeing maybe 4,000 (or) 5,000 Prius a month in the U.S., versus 25-30,000 Camrys."

Toyota will begin producing Prius vehicles in China -- an important market for the car industry -- next year. Greater volumes will eventually mean lower prices.
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Is a hybrid right for you?

Diposting oleh Unknown on Rabu, 27 Desember 2006

Gas-electric hybrid cars are turning out to be hot sellers. Would it make sense for you?

Peter Valdes-Dapena, CNN/Money staff writer

NEW YORK (CNN/Money) - High-rolling exotic car aficionados are familiar the idea of months-long waiting lists for new models. Now gas-sippers are joining the rubber-scorchers as waiting lists for the keep getting longer.

Are they worth the wait?

In a purely economic sense, it's difficult to make the case for hs. The added cost of the vehicle and possibly faster depreciation -- it's too soon to know how they'll fare in the resale market -- could quickly soak up any fuel-related savings. The $1,500 tax deduction available of gas-electric hybrid vehicles does help, but remember, that's a deduction not a credit so it might save you about $300 on your tax bill.

There are a lot of other factors to consider. People make far sillier car purchases for reasons of public image and trendiness all the time.

To decide how much sense it makes, start by asking yourself these questions.

Drive much?

The less you drive, the longer it's going to take to make up the added cost of a hybrid as compared to a similar non-hybrid car.

Official government estimates give the Prius 60 miles to the gallon in city driving and 51 on the highway. (Please don't write in to tell us those numbers are backward. Hybrids get better mileage in the city than on the highway.) Those figures are EPA estimates, though. Your mileage may vary, as they say.

But you pay a lot for that fuel efficiency. To see how much more, consider the hybrid version of the Honda Civic and upcoming Ford Escape SUV, which both cost about $3,200 more than their respective non-hybrid versions.

To make up the difference in price, Kelley Blue Book estimated that the average Civic Hybrid driver would have to travel at least 180,000 miles, assuming $2.15 a gallon of gas. (If gas prices stay lower than that, you'd have to drive even more to make up the difference.)

What's the premium for a Prius? There is no non-hybrid Prius with which to make a comparison. But in terms of size and interior space, the most similar car in the Toyota line-up is the Camry (though Prius shoppers are more likely to also research the Corolla, according to data from Edmunds.com.)

The Prius costs about $2,200 more than a base four-cylinder Camry with an automatic transmission. The difference in fuel efficiency between the Camry and Prius is greater than that between the Honda Civics. It would take 60,000 miles of driving, an amount the average driver covers in about 4 years, to cover the additional cost of the Prius over a Camry LE, according to calculations provided by Kelley Blue Book.

Have a really lousy commute?

If you spend lots of time plying America's broad ribbons of interstate, you'll get a lot less savings from a hybrid than you might think. Unlike non-s, the Prius is more efficient in stop-and-go city driving than in steady highway cruising. (The Civic Hybrid, which uses a very different hybrid set-up from the Prius, has nearly the same mileage in city and highway driving.)

Since electric motors are better than gasoline engines at supplying low-speed acceleration, the electric motor is does a large part of the work when starting from a dead stop. When the car is up to cruising speed, the gasoline engine takes over completely. Whenever a hybrid car is stopped, in fact, the gasoline is often turned off altogether.

Getting the possible best mileage from a Prius requires some counter-intuitive use of the gas pedal, said James Bell, a Prius owner and director of sales for automotive data company IntelliChoice. Slowing down and speeding up a lot actually improves his highway mileage, he said.

The does not, evidently, get better mileage in all sorts of city driving. Some cities are tougher than others. In several test drives by a CNN/Money staffer, the Prius averaged about 30 miles to the gallon in mid-town Manhattan's rush hour crunch and about 45 miles to the gallon in a more normal mix of highway and suburban driving, according the vehicle's own mileage tracking computer. (For more, see our full report.)

It's smoggy out. Do you care?

If you're just interested in saving money on gas, a diesel might make more sense. A turbo-diesel Volkswagen, for example, gets much better gas mileage than a car with a gasoline engine without resorting to complex, expensive electrical technology.

Hybrids already coming:

Vehicle Available
Ford Escape hybrid Fall, 2004
Lexus RX400 h Fall, 2004
GMC Sierra 1500 hybrid Fall, 2004 (fleet only)
Dodge Ram hybrid Fall, 2004 (fleet only)
Honda Accord hybrid Fall, 2004
Toyota Highlander hybrid Early 2005
Saturn VUE hybrid Not announced

The Volkswagen Jetta TDI gets an EPA estimated 41 mpg overall compared to an overall 24 mpg for the a Jetta with the 1.8 liter regular gasoline engine. While not as good as a hybrid car, the Jetta TDI's fuel mileage is still outstanding.

The Jetta TDI will also contribute less to possible global warming problems than the standard car. The diesel produces 5.1 tons of greenhouse gases a year, according to EPA estimates. That might sound like a lot, but the standard-engined Jetta produces 2.8 tons more each year.

(Picture Left: A "Hybrid" badge is one of the few, subtle marks that a Honda Civic Hybrid is different.)

The hybrid Prius produces even less, though, at just 3.5 tons. And when it comes to air pollution in general, the Prius rates a nine or 10 out on the EPA's 10-point scale depending on the state where it's purchased. The Jetta TDI earns a rating of just four.

So if you're concerned about the impact your driving has on the environment, diesels still aren't as clean as hybrids in spite of recent advances in diesel technology. If you just want to save gas, a diesel will get you much better mileage than a standard gasoline engine without all the added cost and complexity of a hybrid.

Do you care who knows?

There are more hybrid options out there than just the Prius and more are on the way. But it's the Prius that leaps to mind when the word "hybrid" is mentioned.

To some degree, that arises from the fact that the Prius is available only as a hybrid and, frankly, it looks like a hybrid car. Its most similar competitor, the Civic Hybrid, looks little different from a regular, "all combustion, all the time" Honda Civic.

That may limit the appeal of the Civic. Other than an upturned lip on the trunk to improve aerodynamics and a special badge, there's little on a Civic Hybrid to let the world know that you're driving a hybrid. If you're trying to send a message, the Civic Hybrid sends it only as far as the car that's tailgating you.

The Prius distinctive appearance was important to Bell of IntelliChoice, for instance. He felt it was important that people see him as knowledgeable about the latest automotive technology and the Prius was sort of a rolling billboard for that.

"There's a ton of Civics driving around," he said.
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Hopes high for Japan's hybrid cars

Diposting oleh Unknown on Sabtu, 16 Desember 2006

From CNN's Technology Correspondent Kristie Lu Stout

HONG KONG, China (CNN) -- gasoline-electric cars have been getting off to a slow start, but in Japan hopes are high that the latest clean machines will outpace the gas guzzlers.

At Toyota's fifth environmental forum in Tokyo, the carmaker is driving home a simple message -- the hybrid is still hot.

"We have continued to pursue development of technology as a versatile power source, as the core technology for eco-car development," says Toyota Motor Corp president, Fujio Cho.

cars take in both climate-heating gas and eco-friendly electricity, emitting as much as 40 percent less carbon dioxide than the usual internal-combustion engine.

U.S. automakers Ford and General Motors have plans to roll out cars in the next two years. The only ones on the market today are built by Japan's Honda and Toyota.

Launched back in 1997, Toyota's Prius was the first on the block. These days, the company is kicking the tires of a new and improved version.

The Prius 2004, analysts say, is bigger, faster and cleaner than the original.

"The next generation Prius is exciting technology. Its proof that technology can deliver both better performance as well as better environmental protection," Jason Mark, Director at the Union of Concerned Scientists says.

Cho is optimistic about the new model, which will go on sale later this year in Japan, Europe and the U.S.

"Toyota has sold only 140,000 hatchbacks around the world. To spur demand, the carmaker is banking on more choice," he says.

Toyota aims to achieve this by boosting its hybrid model range to six in the next three years -- a range that includes a minivan, a luxury car, even a SUV, which is the vehicle class that has provoked the ire of environmentalists.

Also in the pipeline is a city bus, which will start service on the streets of Tokyo later this year.

The market for electric cars is expected to grow from 100,000 a year to 500,000 by 2008. Its a sizeable increase, but it is still a tiny market.

There are about 70 million cars on the road in Japan right now and it will take some time for this clean machine to go bumper to bumper with the gas guzzlers.
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Honda, Toyota missing from White House 'hybrid car' event

Diposting oleh Unknown on Sabtu, 09 Desember 2006


Not ready to roll: Domestic prototypes only

From Major Garrett, CNN White House Correspondent

WASHINGTON (CNN) -- Japanese automakers and ran into a dead end at the White House Monday, when they were excluded from a high-profile promotion, intended to showcase vehicles that run on cleaner, alternative-style engines.

A executive complained about the exclusion to CNN, but White House Press Secretary Ari Fleischer said the event was organized by domestic automakers. "My understanding is this event was set up in connection with domestic producers of automobiles, and I don't think it's any reflection beyond that," Fleischer said. "It was just the hosts of this event were the domestic producers."

and make so-called " vehicles," models of which are already on the road. That's in contrast to the automakers invited to the White House; their models aren't available to consumers yet.

President Bush and top Cabinet officials inspected vehicles brought to the South Lawn for the event. The White House said Bush wanted to highlight $3 billion in proposed tax credits for the purchase of vehicles -- which use both electricity and gas -- as a means of improving energy conservation and reducing pollution.

The vehicles the White House featured -- the Chevy Silverado, the Ford Escape and Daimler-Chrysler's Town and Country Natrium -- are not commercially available and aren't expected to be in showrooms for at least 18 months.

The Toyota Prius and Insight -- which weren't featured in the administration's showcase -- are available now. The Prius has a four-cylinder engine combined with an electric motor and gets 52 miles per gallon in the city and 45 miles per gallon on the highway.

The Insight combines a three-cylinder engine with a tiny electric motor. It's the most fuel-efficient vehicle on the market, getting 61 miles per gallon in the city and 70 miles per gallon on the highway, according to the Department of Energy.

Drives right past Japanese cars

In his remarks, the president pointed to the potential of domestically produced vehicles, but did not point out that there were Japanese vehicles already on the market.

"Hybrid cars, the likes of which we just saw over there, are already in existence," Bush said. "They run on a mixture of gas and electric power. They are several times more fuel-efficient than most cars on the road today. I was told by the representatives of the manufacturing companies that more and more cars will be available in the marketplace next year."

Fleischer warned against reading anything into the exclusion of and from the event.

"As far as the president is concerned, the consumers should have a choice of whichever vehicle the consumer wants to purchase," he said. "And the president wants to generally promote the use of fuel vehicles as a way of promoting conservation."

Pressed about the "domestic" nature of the event, Fleischer conceded that international car companies have plants in the United States, as this country does abroad.

"Obviously, it's a very integrated world," he said.

White House officials did not deny the sales value of videotape showing Bush, Energy Secretary Spencer Abraham and Environmental Protection Agency Director Christie Whitman inspecting the three domestically produced vehicles.

(Picture Above: The Honda Insight, left and the Toyota Prius)

Still, White House Communications Director Dan Bartlett denied any effort to intentionally exclude the Japanese automakers.

"It's not a slight of any sort," Bartlett said. "I sat in on several meetings and I never heard anyone say we should exclude foreign-owned companies."

Asked if he thought that omitting and was an oversight, Bartlett said: "I really can't comment, not without having all the facts."

Ed Cohen, vice president of North America, told CNN he first heard of the hybrid car event on Friday and called the White House's Council on Environmental Quality seeking someone to talk to about participating in the event, but was unable to reach anyone. Cohen said he left a message but no one from the White House called back.

"It's all well and good to demonstrate concept cars, but we have the cars on the road now," said Cohen. "If the purpose of the event is to demonstrate new technology that has the potential to reduce fuel consumption and pollution, we have the cars now. This is old thinking. We're all global companies now."

Cohen also said showrooms will soon feature the Civic , which will average 50 miles per gallon and be available in hybrid and natural gas-powered models.

On the South Lawn

The three vehicles featured at the White House all combine electric motors with standard internal combustion engines.

The Chevy Silverado, GMC Sierra truck combines an electric motor and a conventional V-8 engine. It's to be available in model year 2004.

The Ford Escape HEV ( electric vehicle) combines an electric motor with a fuel-efficient gas engine. It touts acceleration comparable to a 200-horsepower engine and 40 miles per gallon in the city. It's to be available in model year 2004.

The Town and Country Natrium, made by Daimler-Chrysler, is a fuel-cell minivan that produces no tailpipe emissions -- meaning no carbon dioxide, no carbon monoxide and no hydrocarbons. There was no estimate provided by the company on when this vehicle might be available for purchase.
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