Japan’s Green Car Industry

Honda’s new FCX clarity feels like a perfectly ordinary car—which may well be the most shocking thing about it. It looks and drives like a run-of-the-mill four-seat sedan. Slip behind the wheel and press the pedal with your foot, and the car accelerates with satisfying punch. But after a few minutes of cruising, you’ll notice that something is missing. The only audible engine noise is a faint whir, so faint that you can actually hear the tires swishing along the asphalt.

That’s because the Clarity is a hydrogen-fuel-cell car, one of the most advanced in the world. The once bulky fuel-cell stack that supplies energy to the engine has been reduced in size by half over the past decade while increasing the power output by 50 percent. It’s the first to be certified by the U.S. Environmental Protection Agency, and the first to be delivered to retail customers (albeit on a leasing basis). As for CO2 emissions, the only exhaust it produces is a trickle of water. And perhaps most important of all is what stands behind it: A state-of-the-art factory that’s ready to produce thousands of the vehicles once the market’s ready. Most of Honda’s competitors, by contrast, are still bringing concept cars to the auto shows.

In large part, Japan’s lead in green-car technology is an outgrowth of its old austerity. Japan was obsessed with energy efficiency long before global warming made it a worldwide obsession. For decades Japanese companies have struggled to cope with their oil-poor country’s sky-high energy costs by placing a premium on energy-saving technologies, and it has paid off. Even old Japanese industries are cutting-edge in cutting energy costs. Japan continued to make batteries long after U.S. rivals quit, and now makes the most efficient batteries in the world. Japanese steelmakers have ceded ground to cheaper emerging-market rivals but are still unsurpassed in the fine niche art of making superlight steel for car bodies. The hidden strength of Japanese smokestack industries helped create its green cars, and now the success of those cars is pushing more and more Japanese industries—electronic-motor and control-unit producers, all sorts of material companies—to innovate faster.

The focus on green cars reveals the kind of industrial vision that Japan is often criticized for having lost decades ago. Toyota launched the G21 Project, which ultimately produced the Prius, back in the 1990s, when oil prices were low and America’s love of SUVs was still growing. The idea was to create a model car for the 21st century, and counter Toyota’s reputation for “boring” vehicles. Toyota simply saw the long view before others, assuming that the petroleum-based economy was becoming unviable for a variety of environmental and economic reasons, according to Noriyuki Matsushima, analyst at Nikko Citigroup in Tokyo.

As reported in Newsweek.

McCain Wants To Green Up Washington

In a speech in Santa Barbara, Calif., McCain (R-Ariz.) vowed to “put the purchasing power of the United States government on the side of green technology” by buying fuel-efficient vehicles for its civilian fleet of cars and trucks and by retrofitting federal office space. The pledge comes months after Obama (D-Ill.) outlined a more detailed and ambitious proposal on the subject, virtually ensuring that the next administration will take significant steps to lower the government’s output of energy and pollution.

A greening of the government would probably have a major impact on the Washington region, as the modernizing of buildings would spark a mini-construction boom and ease energy demands. Cleaner vehicles would also reduce harmful auto emissions, environmentalists say.

Saying that the U.S. government ranks as “the single largest consumer of electricity in the world” because it holds sway over “3.3 billion square feet of federal office space” worldwide, McCain said he plans to reduce the government’s carbon footprint by updating its buildings and demanding better standards in new ones.

“By retrofitting where possible, and by applying a higher efficiency standard to new buildings leased or purchased, we can save taxpayers billions of dollars in energy costs and move the market in the direction of green technology,” he said.

McCain did not provide details about his plan, causing some public watchdog and environmental groups to question how much energy would be saved.

As with most proposals by politicians specifics are few and far between.  It is a grand plan, but how will he pay for this proposal?