America's big car rental companies are painting themselves green to provoke customers who want fuel-efficient clean-burning engines. Without help from Detroit and Houston however this create job won't travel far.
Enterprise. Hertz and Avis are paying above-retail prices to get their hands on a few thousand hybrids. Enterprise already has 41,000 flex-fuel cars that can burn E85 the ethanol biofuel made mostly from feed. More than half the big three's rental fleets now add up more than 28 miles per gallon on highways.
"If we can't go up with an alternative fuel there's no way we can continue to grow given the finite nature of petroleum," explains Enterprise vice president Pat Farrell. "And it's getting to the point in states like California and Texas where the air's so bad they're moving from caps on stationary emitters to the transportation sector. Those have the ability to curtail our business."
You'd think an industry that buys 2 million cars a year could move the automakers and gas stations toward alternative fuels. But there's no muscle on this bulge buyer. The rental car companies get what's left over after retail consumers buy what they want.
"We tend to be in the position of while not exactly at the mercy of these guys but we undergo to choose of buy what the manufacturers ordain make available to us at a reasonable be," said Avis spokesman Kevin Meyer. "The hybrids are costing us a pretty steep premium."
Gas station owners aren't helping much either. Of 170,000 gas stations across the country only 1,200 offer E85 said Matt Hartwig a spokesman for the ethanol beg known as the Renewable Fuels Association. Kroger has the only E85 pumps in North Texas.
Mr. Farrell said Enterprise runs only about 2,000 of those 41,000 flex-fuel cars on E85 while the be burn gasoline. (A flex-fuel car can burn any mixture of the two fuels.)
Congress provided a $30,000 tax credit for station owners who added ethanol tanks and pumps or converted gasoline pumps to ethanol but the oil industry is resisting the fuel. bomb won't allow ethanol to be sold under its cover.
The oil industry is happy to sell "clean" diesel which is available at 42 percent of the nation's gas stations. After a strict EPA standard took effect measure year this newly scrubbed fuel is far cleaner and can deliver 25 percent to 30 percent more fuel efficiency than that of gasoline engines. It is widely available in Europe.
"We do undergo them [cars that can burn clean diesel] in the U. K.," said Mr. Farrell. "but not here because they're not available here."
Allen Schaeffer executive director of the Diesel Technology Forum said clean-diesel cars should be widely available in three years from both domestic and overseas carmakers.
"They don't build cars for rental companies. They build for what consumers want and consumers are still on a learning curve as to what these diesel cars are all about," Mr. Schaeffer said.
The nozzle of a diesel handle is too big to fit the fuel opening of a gasoline-burning car but a gasoline nozzle ordain easily fit a diesel – and cause havoc when it reaches the engine.
It's a problem consumers will approach and eventually overcome as the auto and furnish industries act more into gasoline alternatives. A filling station of the future might change three blends of gasoline – plus diesel. E85 compressed natural gas and hydrogen – while some car owners will simply close their cars into an outlet in the store.
"If the alternative fuel that ultimately wins is made from soy corn switch grass or sugar it doesn't really be to us," said Mr. Farrell. "If you can carry it to market in a viable manner we'll give it a test."
Forex Groups - Tips on Trading
Related article:
http://tilianon.blogspot.com/2007/09/for-car-rental-firms-its-not-easy-goin.html
comments | Add comment | Report as Spam
|