Electric technologies to drive GM

November 29, 2006

Electric technologies to drive GM

Wagoner will stress future of plug-in hybrids during speech today at Los Angeles Auto Show.

David Shepardson / Detroit News Washington Bureau

WASHINGTON -- General Motors Corp. today will tout its commitment to using advanced technologies to power vehicles with electricity and its research into plug-in hybrids -- a cornerstone of its turnaround plan.

In a speech at the Los Angeles Auto Show, GM Chairman and CEO Rick Wagoner will outline a product plan based on "energy diversity" using a variety of advanced technologies and fuels that emphasizes the use of electricity to power vehicles.

Wagoner also will talk about plans to use an advanced two-mode hybrid system on some larger 2008 model vehicles.

The two-mode hybrid -- which GM, BMW and DaimlerChrysler AG will jointly produce -- will have an extended driving range on battery power and feature a gasoline or diesel engine that powers the car when the battery is low.

Ultimately, the two-mode hybrids could be converted to plug-in hybrids with advances in battery technology, GM officials said.

In his 25-minute speech, Wagoner will talk up the company's belief in the promise of plug-in hybrids and will reference an upcoming announcement at the Detroit auto show, officials told The News.

Next month, GM is expected to show off a concept plug-in hybrid -- dubbed the I-car within the company, or iconic vehicle.

Wagoner won't commit to building a plug-in until the company can overcome technical hurdles and improve battery technology. He will say production timing is specifically linked to technical improvements, according to people familiar with his speech. But GM officials believe the hurdles are "surmountable."

GM has quietly been making significant investments in battery technology, working with its suppliers and battery manufacturers.

"We're trying to make a statement that says we are part of the solution," to oil woes and environmental concerns, Troy Clarke, GM's president for North America, said Tuesday night at a GM media event where golfer Tiger Woods helped the automaker unveil the Buick Enclave crossover. "We have the right technology and we know what customers want."

GM Vice Chairman Bob Lutz, head of product development, said this month it will take three to four years "to convert from 'power' lithium batteries to 'energy storage' lithium cells," which would allow vehicles to travel farther distances.

GM is "studying plug-in hybrids, and will have more to say about those soon. The whole key there is the development of significantly improved battery technology," Lutz said on a company Web blog in September. "But rest assured I truly believe that electric-drive vehicles have a real future"

Wagoner's speech today will emphasize the challenges the industry faces and note that no one could have predicted where the industry was headed in 2001. He will note the national security implications of not moving to eliminate U.S. dependence on foreign oil.

Ultimately, GM sees hydrogen fuel cells as the likely solution to ending the country's reliance on oil. GM believes the key is in using electricity -- through hybrids, batteries and fuel cells.

GM has made strides in hydrogen technology. It hopes to have 1,000 hydrogen vehicles on the roads by 2010, including 100 Chevy Equinox fuel cell SUVs next year. Its most advanced hydrogen vehicle, the concept Chevy Sequel, can travel 300 miles before refueling.

Plug-in hybrids are gas-electric vehicles that can recharge their batteries with an extension cord and a normal wall outlet.

Like conventional gas-electric hybrids, which have two drivetrains, a plug-in hybrid also can recharge its batteries through a regenerative brake system while on the road. The range on plug-in cars has typically been no more than 20 or 30 miles on battery alone.

But most vehicle trips are under 30 miles, which would remove the need to use any fuel in many trips.

Bruce Belzowski, assistant research scientist at the University of Michigan Transportation Research Institute, said the jury is still out on what technology will win out in the years to come.

"People are placing bets across the range," Belzowski said. "There are no sure winners."