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EREN NETWORK NEWS -- January 15, 2003
A weekly newsletter from the U.S. Department of Energy's (DOE)
Energy Efficiency and Renewable Energy Network (EREN).
<http://www.eren.doe.gov/>
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Featuring:
*News and Events
           Toyota to Produce First Hybrid Electric Luxury SUV in 2005
           GM Introduces Hybrid Electric Military Pickup with Fuel Cell
           California Proposes Delay to Zero-Emission Vehicle Program
           ChevronTexaco to Use Ethanol in Southern California by May
           N.Y. Governor Proposes 25 Percent Renewable Power Mandate
           Solar Power Installed at the White House and in California

*Site News
           Autoclaved Aerated Concrete Products Association (AACPA)

*Energy Facts and Tips
           EIA: U.S. May Draw on Imports for 70 Percent of Oil by 2025

*About this Newsletter


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NEWS AND EVENTS
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Toyota to Produce First Hybrid Electric Luxury SUV in 2005

Toyota Motor Corporation unveiled a new hybrid electric drive system
last week and promised to use it in the Lexus RX 330, a luxury sport
utility vehicle (SUV), by 2005. Toyota's new hybrid system uses
wheel-mounted electric motors on all four wheels, combined with a
traditional gasoline engine and a nickel-metal-hydride battery pack.
According to Toyota, the hybrid electric Lexus RX 330 will use a
six-cylinder engine to produce the power and torque of an eight-
cylinder engine with "the fuel mileage of a compact car." For now,
the new hybrid drive is featured in Toyota's sport utility hybrid
vehicle (SU-HV) concept car, now on display at the North American
International Auto Show in Detroit.

Toyota also unveiled a new fuel-cell-powered concept car last week.
The sporty concept vehicle, called the "FINE-S," is reminiscent of
the Hywire concept vehicle introduced by General Motors Corporation
in October 2001. Like the Hywire, the FINE-S "reveals the potential
styling versatility for fuel-cell vehicles," making it possible to
"install the technology in a wide variety of vehicle types, shapes
and sizes, based on a shared platform." See the January 7th press
releases from Toyota at: <http://pressroom.toyota.com/>.

The North American International Auto Show is also debuting a new
all-electric vehicle, the Matra P75. Produced by French automaker
Matra Automobile, the working prototype combines a lithium-ion
battery and a 50-kilowatt motor to achieve a top speed of 87 miles
per hour and a range of 124 miles. The car is at the auto show as
part of the Michelin Challenge Design display. See the Michelin
press release and the Matra Web page at:
<http://www.michelinchallengedesign.com/matra.htm> and
<http://www.matra.com/gb/alaune/liste_com.php3>.


GM Introduces Hybrid Electric Military Pickup with Fuel Cell

General Motors Corporation (GM) introduced last week a fuel-
efficient pickup truck for use by the U.S. Army. Based on the
Chevrolet Silverado, the military vehicle is powered by a hybrid
electric drive that features a diesel V8 engine. The truck also
features a 5-kilowatt regenerative fuel cell, manufactured by
Hydrogenics Corporation, that serves as an auxiliary power unit
(APU) for powering equipment in the field. The fuel cell APU
produces hydrogen while the truck is running, then converts the
hydrogen into electricity in the field, serving as a clean and quiet
generator. The hybrid diesel system can also be used as a generator,
providing up to 30 kilowatts of either direct-current or
alternating-current power. According to GM, the diesel hybrid system
reduces fuel consumption by 20 percent compared to conventional
diesel vehicles. The Army is expected to want 30,000 hybrid electric
tactical vehicles by the end of this decade.

GM also generated three press releases on its plans for hybrid
vehicles for consumers, as reported in this newsletter last week.
See the GM press releases at:
<http://www.gmability.com/environment/gm_and_the_env/releases/>.

GM's work for the Army is just one of several projects aimed at
increased fuel efficiency for the U.S. military. For example,
UQM Technologies, Inc. has been developing hybrid vehicles for the
Army and announced in December a new contract to do the same for the
U.S. Marine Corps. In September, that company claimed to have
achieved a breakthrough in electric motor performance. Oshkosh Truck
Corporation is also developing hybrid drives for the Army, while
IdaTech, LLC is developing fuel cell APUs. See the press releases
from UQM Technologies, IdaTech, and Oshkosh Truck, respectively, at:
<http://www.uqm.com/news.html>,
<http://www.idatech.com/media/news.html?article=42>, and
<http://www.oshkoshtruck.com/htm/company/ShowNews.cfm?ID=138>.

Why all the emphasis on military fuel efficiency? One reason is a
report produced by a Defense Science Board task force in January
2001, called "Improving Fuel Efficiency on Weapons Platforms." The
report found that delivering fuel deep into battle areas for the
Army costs hundreds of dollars per gallon. Fuel alone accounts for
more than 70 percent of the total weight of materials needed to
position the U.S. Army for battle. The figures are equally
astounding for the U.S. Air Force, which uses 85 percent of its fuel
budget to deliver, by airborne tankers, just 6 percent of its annual
jet fuel use. Based on these findings, the task force recommended
that the U.S. Department of Defense explicitly include fuel
efficiency in its acquisition requirements, while basing its
decisions on the true cost of delivered fuel. The full report is
available as a 1.12-MB PDF file on the Defense Science Board Web site
at: <http://www.acq.osd.mil/dsb/fuel.pdf>.


California Proposes Delay to Zero-Emission Vehicle Program

The California Air Resources Board (ARB) proposed new changes to its
Zero-Emission Vehicle (ZEV) program last week, delaying the start of
the program until 2005. ZEVs are battery- or fuel-cell-powered
electric vehicles that produce no air emissions while on the road.
First adopted in 1990, the ZEV program was meant to advance
ZEV technologies and improve the state's air quality by phasing in a
mandate for a percentage of cars sold in the state to be ZEVs.

Initially planned to begin in 1998, the program was most recently
modified in 2001 and set to begin this year, but faced both
administrative and legal challenges that delayed its implementation.
An attempt to provide partial credit for hybrid electric vehicles
failed a legal challenge because the rule included references to
fuel economy.

In the new proposal, the ZEV program will begin in 2005, and hybrid
vehicles and vehicles with gaseous storage systems will earn partial
credits regardless of the fuel efficiency they achieve. Automakers
will be able to meet up to three-quarters of their ZEV requirement
by selling these "advanced-technology partial ZEVs" or "AT PZEVs"
through 2011. The estimated result (compared to the 2001
amendments): by 2011, 36 percent more AT PZEVs will be sold in the
state, but the number of true ZEVs sold will drop 57 percent, to a
total of 20,800. A public hearing on the latest proposal will be
held on February 27th. See the "Staff Report: Initial Statement of
Reasons" and the public hearing notice on the ARB Web site at:
<http://www.arb.ca.gov/regact/zev2003/zev2003.htm>.

One interesting development: The new ZEV proposal includes higher
credits for hybrid electric vehicles that can be recharged by
plugging them in. That addition stemmed from recent research carried
out by the Hybrid Electric Vehicle Working Group under the direction
of the Electric Power Research Institute (EPRI). The research
demonstrated significant fuel and emissions benefits from such
"plug-in" hybrid vehicles. For details, see the December press
release by selecting "News Releases," then "2002 Index" on the
EPRI Web site at:
<http://www.epri.com/corporate/discover_epri/news/index.html>.

The ARB also announced in January that grants of up to $11,000
per vehicle are available to fleets that purchase ZEVs. The vehicles
must be garaged and operated in a community that is not meeting
ozone standards and that is disproportionately impacted by poor air
quality. See the Fleet ZEV Incentive Program on the ARB Web site at:
<http://www.arb.ca.gov/msprog/zevprog/fleetzip/fleetzip.htm>.


ChevronTexaco to Use Ethanol in Southern California by May

ChevronTexaco announced last week that it will discontinue its use
of MTBE in gasoline blends sold in southern California by May,
switching instead to ethanol. In northern California, the company
relies primarily on a non-oxygenated blend of gasoline, but plans to
completely phase out its use of MTBE by the state-mandated deadline
of December 2003. With that announcement, ChevronTexaco became the
last major refiner in California to commit to phasing out its use of
MTBE. According to the Renewable Fuels Association (RFA),
ChevronTexaco controls 18 percent of the retail gasoline market in
the state, which means that the producers of more than 80 percent of
the gasoline in the state have committed to phasing out MTBE. See
the press releases from ChevronTexaco and the RFA at:
<http://www.chevrontexaco.com/news/press/2003/2003-01-08.asp> and
<http://www.ethanolrfa.org/pr030109.html>.

The U.S. ethanol fuel industry continues to grow. A new farmer-owned
plant capable of producing 45 million gallons of ethanol per year
started up in late November, and construction began in December on a
plant that will be capable of producing 40 million gallons of
ethanol per year. In November, the industry set another production
record, averaging 166,000 barrels per day. See the RFA press
releases at: <http://www.ethanolrfa.org/pr021125.html>,
<http://www.ethanolrfa.org/pr021209.html>, and
<http://www.ethanolrfa.org/pr021218.html>.


N.Y. Governor Proposes 25 Percent Renewable Power Mandate

New York Governor George E. Pataki proposed last week a requirement
for the state to generate 25 percent of its electricity from
renewable energy sources within ten years. Governor Pataki announced
during his annual State of the State Address that he was directing
the Public Service Commission to implement the requirement, which is
known as a Renewable Portfolio Standard. New York currently produces
about 17 percent of its electricity from renewable energy sources,
primarily hydropower. The governor also proposed that the state
adopt carbon dioxide emissions standards for motor vehicles, similar
to those proposed in California. See the Governor's press release
at: <http://www.state.ny.us/governor/press/year03/jan8_03.htm>.

The proposal came near the end of the governor's address, which is
available at:
<http://www.state.ny.us/03sosaddress/sos2003text.html>.

The news was applauded by the American Wind Energy Association
(AWEA), which estimated that the new initiative will eventually
generate $100 million dollars a year in income, local tax revenue,
and jobs to farmers and communities that host wind power generators
in New York. See the AWEA press release at:
<http://www.awea.org/news/news030801rps.html>.


Solar Power Installed at the White House and in California

A number of large solar power installations have been installed in
recent weeks, including one at a high-profile address:
1600 Pennsylvania Avenue, better known as the White House. Evergreen
Solar, Inc. announced last week that it provided a 9-kilowatt grid-
connected solar power system for installation on a White House
grounds maintenance building. Solar Design Associates oversaw the
installation, which also included two solar thermal systems -- one
for the pool and spa, and one for domestic hot water. See the
January 8th press release from Evergreen Solar at:
<http://ir.ccbn.com/ir.zhtml?t=ESLR&s=400>.

Meanwhile, on the other side of the country, California continues
its leadership in large solar power systems. In late December,
Kyocera Solar, Inc. announced that it will provide 2.4 megawatts of
solar modules to the California Fair Industry for installation
throughout the state. At about the same time, WorldWater Corporation
announced that it sold a total of 600 kilowatts of solar water
pumping systems to the Joshua Water Basin District in Joshua Tree.
Within the next few months, Loyola Marymount University (LMU),
located in Los Angeles, will follow the trend by drawing on
723 kilowatts of solar power provided by the PowerLight Corporation.
The $4.3-million installation will cover 81,000 square feet of
rooftop on three buildings at LMU's Westchester campus. And on a
smaller scale, Prevalent Power recently installed a 37.5-kilowatt
solar power system on the roof of a kennel in San Francisco. See the
press releases from Kyocera Solar, WorldWater, LMU, and Prevalent
Power, respectively, at:
<http://www.kyocerasolar.com/news/news_detail.cfm?key=16>,
<http://www.worldwater.com/htmlpages/worldwaternews.html>,
<http://www.lmu.edu/pages/3.asp?EventID=41>, and
<http://www.prevalentpower.com/business_aboutus_press.html>.

Solar power installations are progressing in other states as well.
In Chicago, Spire Solar Chicago installed two 18-kilowatt systems on
affordable multifamily housing developments in December. In New
Jersey, Cordis Corporation, a Johnson & Johnson company, installed a
72-kilowatt solar system from PowerLight on a roof at the company's
site in Warren. And on the lighter side, the Florida Solar Energy
Center (FSEC) designed a solar-powered doghouse that won the "Most
Scientifically Designed Pet House" award from the Orlando Science
Center's Pet House Contest. See the press releases from Spire Solar
Chicago, Cordis Corporation and FSEC, respectively, at:
<http://www.spiresolarchicago.com/solar/News/390SSC.htm>,
<http://www.cordis.com/press12-10.asp>, and
<http://dbase.fsec.ucf.edu/pls/operation/press_display?pressid=2106>.


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SITE NEWS
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Autoclaved Aerated Concrete Products Association (AACPA)
<http://www.aacpa.org/>

The AACPA promotes the use of autoclaved aerated concrete, a
structural building material, in North America. Products include
blocks, structural panels, lintels, and cladding panels. According
to the AACPA, these products are energy efficient, reducing heating
and cooling costs by as much as half.


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ENERGY FACTS AND TIPS
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EIA: U.S. May Draw on Imports for 70 Percent of Oil by 2025

The U.S. dependence on oil imports will grow over the next 22 years,
according to DOE's Energy Information Administration (EIA).
Currently, the United States relies on imports to meet 55 percent of
its petroleum needs, but by 2025, the EIA projects that percentage
will grow to at least 65 percent and perhaps as high as 70 percent.
In its Annual Energy Outlook 2002, released last week, the EIA
projects that a growing consumer appetite for large vehicles with
poor fuel economies will cause the U.S. consumption of energy for
transportation to increase 63 percent by 2025, an increase that
cannot be met with domestic energy sources.

A similar trend is evident in residential energy consumption, which
is projected to grow 26 percent by 2025. According to EIA, using the
best available technologies would essentially halt that growth in
energy use. To meet the growing U.S. demand for natural gas, the EIA
assumes that an Alaskan natural gas pipeline and a pipeline in
Canada's MacKenzie Delta will both be built, as well as several
facilities for importing liquefied natural gas (LNG). See the EIA
press release at: <http://www.eia.doe.gov/neic/press/press205.html>.

Turning to the full report, the EIA projects that renewable energy
use will grow at an average rate of 2.2 percent per year through
2025, primarily due to state mandates for renewable electricity
generation. About 55 percent of the projected demand for renewable
energy in 2025 is for electricity generation and the rest is for
distributed heating and cooling, industrial uses (including combined
heat and power), and fuel blending with ethanol. See the full
report, a 1.96-MB PDF file, on the EIA Web site at:
<http://www.eia.doe.gov/oiaf/aeo/pdf/0383(2003).pdf>.


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ABOUT THIS NEWSLETTER
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