Honda may develop plug-in hybrid cars as Obama alters US policy

Honda, which sells the FCX Clarity hydrogen car, may also develop plug-in electric models as US policy shifts to favor battery-powered autos. US President Barack Obama has announced no new federal effort to promote hydrogen. Honda still sees hydrogen as the best long-term alternative that can cut carbon exhaust tied to global warming, Honda President Takeo Fukui said. Still, the company will respond to a push by the Obama administration for carmakers to sell plug-in hybrids. "Oil prices are going to go up. When that time comes, fuel cells, solar panels, hydrogen, those will be the key words," Fukui said. "We will have packages that will be very competitive at that time."

General Motors, Toyota and Nissan, and startups Tesla and Fisker are rushing out plug-in hybrid cars as the US moves to tighten fuel-economy and greenhouse gas rules. Honda has yet to announce plans to sell one, citing high costs for the lithium-ion batteries needed to power them and poor range. Honda last week began building a lithium-ion battery factory with joint-venture partner GS Yuasa to make packs for gasoline-electric hybrid cars. Honda plans to produce the vehicles in late 2010.

- And I was wondering where was Honda's PHEV policy. Now with Honda officially in the plug-in hybrid game, being one of the last major car-makers to announce their PHEV plans, the race for market share is on. Now all we need to change the entire global vehicle fleet and transport infrastructure to run on electric power is around 30 years, $45 trillion, and a lot of luck.

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