John Ryden is an Engineer with a background in Finance and Economics. Here he will discuss how energy production, energy use, and conservation affect us and the rest of the world with a focus on the economic implications.
The big 3 auto manufacturers have seen their auto sales slump 30 to 45% in recent months. Years of bad designs, questionable quality, high costs, and bad management / labor relations have finally caught up with them. Watching the CEOs of the big 3 and the head of the UAW beg congress for money was depressing.
We need to remember that we are entering a new era where high oil prices and global warming concerns will cause major changes to our transportation system. We will probably still be driving cars, but they will probably be very different from the current gasoline powered cars of today.
Tesla Motors recently received $40 million in convertible debt financing from private sources to accelerate manufacture of their Tesla Roadster. This is an all-electric sports car that is now on sale in the United States and Europe. The company is located in San Carlos, California (Silicon Valley).
The Tesla Roadster is a very high performance car. It will accelerate from 0 to 60 in 3.9 seconds and travel 244 miles on a single charge. They are sold out of cars for 2008 and have 1,200 deposits for cars to be delivered in 2009. They are planning on building a 5 passenger sedan for delivery starting in 2011.
Instead of putting more money into the failed businesses of the big 3, we should be looking at funding new companies like Tesla Motors that have the vision to build cars that get 100 mpg or more per gallon. This will greatly reduce our consumption of imported oil over time and if the electricity for these cars comes from green energy sources, we will reduce our carbon emissions and clean up our environment at the same time. The government is actually doing this already. Tesla will receive low interest loan money from the recently enacted $25 billion congress appropriated to build high efficiency cars.
Tesla is planning on building a production plant in California to produce its new sedan. Maybe they will have a chance to get an already built plant cheap from the Big 3 in bankruptcy court. Experienced industry executives will also become available to help build and grow new innovative companies. Creative destruction is fundamental to our good economic performance over time. Reallocating manufacturing facilities to innovative companies will create more jobs over time and make our economy stronger.
Adding solar cells to any electric car will reduce the cost to operate the car and reduce consumption of oil. It can also make economic sense.Toyota announced that they would be adding solar cells to their popular Prius electric hybrid. The intention... Read More Topics:
Global Warming ,
gasoline ,
electric car ,
hybrid electric ,
Prius ,
Toyota
The major constraint to more widespread production and use of fuel saving electric cars has been the battery technology. Current battery technology is just barely able to produce a usable car. The batteries cost too much, don’t have a long enough... Read More Topics:
Global Warming ,
gasoline ,
electric car ,
chevy volt ,
hybrid electric ,
capacitor
I’ve always wanted to get a big monster truck. Huge tires, sits really high off the road, good visibility, don’t have to worry about road obstructions like pot holes, goes in the snow, even take it off-road. The problem is that these big... Read More Topics:
electric car ,
hybrid electric ,
Oshkosh ,
HEMTT-A3 ,
capacitor ,
Diesel
Tesla Motors is selling an all-electric car. It is different from a hybrid electric in that it does not have a gasoline engine to provide power in case you run out of electricity from the battery. But it does have a rather large battery that gives... Read More Topics:
Global Warming ,
Carbon Dioxide ,
electric car ,
hybrid electric ,
Tesla
Electric cars, particularly gas electric hybrid cars, have the potential to lower our gasoline costs. But do they really save us any money? First, how much does the electricity cost to charge a car? A gallon of gasoline has the equivalent energy... Read More Topics:
gasoline ,
electric car ,
chevy volt ,
GM ,
hybrid electric
The Electric Hybrid car design uses a battery with a backup gasoline or diesel engine to provide power after the battery power is used up. General Motors has announced that their Chevy Volt electric car will get at least 40 miles on a charge. Assuming... Read More Topics:
oil ,
gasoline ,
electricity ,
electric car ,
chevy volt