China Targeting Low speed Vehicles?

According to one analysis, China will reach their 2020 goal of being the largest manufacturer of electric vehicles in part by focusing on low speed vehicles.  The author states that the Chinese government believes this will help them develop expertise for highway capable electric passenger vehicles. This reasoning is disputed in the analysis and I would agree.  In fact , one of the reasons California reduced how many credits an LSV is worth in their vehicle emissions regimen is that they did not believe the technology developed for LSVs was transferrable to highway capable electric vehicles. What will be interesting to see in China, where LSVs are more likely to be a consumer’s first vehicle ownership experience, is if LSVs will have greater traction than in the US, where they are typically being purchased by consumers with a lifelong experience with highway capable vehicles.  Learn more:  Plugincars.com

 

Road Use Regulations Roundup – August, 2010

Some trends in this latest regulation roundup:

• More public road access for mini-trucks, UTVs and less frequently ATVs
• More public road access for golf cars which, if it becomes more widespread, could reduce demand for LSVs.
• Some municipalities rejecting use of golf cars and off road vehicles on public roads because of safety concerns

San Juan Islands, WA – Bill passed state senate that will allow NEVs on roads with speed limits up to 45 mph. In some cases the use of NEVs had been limited because a short drive on higher speed roads were required for local trips.

Nebraska – A bill is moving through the legislature that would allow the use of golf cars or LSVs during daytime on streets with speed limits up to 35 mph.

Wisconsin – Governor signed a bill in March that allows farmers to use light utility vehicles, like Gators, on roadways for agricultural purposes.

Chillicothe, MO – City council passed an ordinance that allows golf cars and UTVs on city streets. Drivers of the vehicles must be insured and registered.

Cedaredge, CO – The municipality which allows NEVs on local low speed roads is considering allowing golf cars as well.

Englewood, CO – The city council is considering a law that would allow LSVs and golf cars on city streets.

Carlton County, MN – The county board approved the use of mini-trucks on county roads.

Highland City, UT – ATVs have been approved for use on city streets. Under city regulations mini-trucks are considered ATVs and were the original impetus for the ordinance.

Lyon County, MN – An ordinance was drafted earlier this year to allow golf cars, ATVs and mini-trucks on some public roads. Permitting of vehicles would be left to local municipalities.

Otter Tail County, MN – Officials are re-examining the use of mini-trucks on country roads. Previously they declined to allow their use.

Williamsville, IL – Considering ordinance allowing the use of golf cars and ATVs on municipal streets.

Creston, IL – Village board is developing an ordinance to allow golf cars and utility vehicles, but not ATVS, on city streets.

Mason City, IA – City council is considering ordinance allowing the use of ATVs on city streets but support is mixed.

Carman, Manitoba, Canada – The town is developing a pilot project to test the use of LSVs on town streets.

Vernon, British Columbia, Canada – The city council rejected a proposed law to allow LSVs on city streets citing safety concerns.

Tampa Bay, FL - Golf cars will remain illegal to drive on public streets on Davis Island.

Clare City, MI - The city council voted to keep a ban against allowing off-road vehicles on city streets. While the county allows their use, municipalities do so on an individual basis and the city council had safety concerns.

Seoul, Korea – In April a law went into effect allowing NEVs on certain designated roads.

LSV Market Shows Growth Potential

I came across a couple of stories recently that highlight the growth potential in the LSV market. One story features the market in Southern New Jersey where state and local LSV laws have paved the way for use in island communities. This represents an expansion beyond the traditional campground market which was mainly served by golf carts that have become more customized as the market developed.  As one recent LSV buyer from Ocean City remarked in the article,

“I think it’s going to be good over here. We’re in the north end and anticipate going to the beach and downtown to shop, wherever a regular vehicle is used but this should be easier because its smaller and more environmentally friendly.”

The other story highlights efforts by community planners in Southern California to use LSVs to improve air quality and reduce traffic. They see potential for households using the vehicles as a second vehicle.

In both cases the ability to drive the vehicles on public roads is key. This is one reason why golf cars for use as personal transportation are likely to be displaced in growing numbers by LSVs. The added versatility and convenience of being able to use LSVs on local roads in addition to one’s own property or a gated community will allow more and more customers to justify the higher cost of LSVs relative to golf cars. The advent of LSV compliant off-road utility vehicles will only add momentum to this trend.

Learn more: Findashorehome.com

Learn more:  Press-Enterprise

Insurance Institute Wants To Restrict LSVs

The Insurance Institute for Highway Safety (IIHS) wants to restrict the use of LSVs on public roads over concerns about crash safety, or have the government review current LSV safety standards.  Based on results from recent crash tests, the IIHS believes the mixing of LSVs with larger , full-functioning vehicles is a recipe for more serious injuries and deaths in vehicle accidents.

IIHS crash test simulating a GEM being hit by an SUV

The institute recently conducted a number of crash tests including a GEM e2 simulating a side impact with a SUV traveling at 31 mph, a GEM e2 being impacted by a Smart Fortwo and similar tests with a Changan Tiger Star mini-truck.  The institutes’s position is that crashworthy enough to be on the road with larger, faster vehicles.  At the same time, the group cannot point to evidence of  “…large numbers of people being hurt or dying in such crashes.”   Learn more:  Wheels.blogs.nytimes.com

Another article on the issue provided some responses from LSV manufacturers.

Chrysler Group responds, “GEM vehicles offer customers an inexpensive, clean solution for low-speed environments and comply with (the NHTSA’s) standards for low-speed vehicles, which limit the maximum speed of the vehicle to 25 mph.”

“It’s a grave generalization to say that all LSVs are simply souped-up golf carts,” says Mike McQuary, CEO of Atlanta-based Wheego Electric Cars, which manufactures the Whip LSV. “The Wheego Whip … is a full-functioning, steel unibody automobile that certainly nobody would ever mistake for a golf cart.”

Learn more:  USAToday.com

CT&T Eyes Hawaii For Assembly Plant

CT&T is working with the governor of Hawaii to build an electric vehicle assembly plant.  According to reports, Oahu is the general location mentioned in the memorandum of understanding signed with the governor.  CT&T reports looking at four potential sites in the area for a facility that will produce up to 10,000 low speed vehicles annually.  The company hopes to have the plant operating in two years.

Hawaii is considered favorable market for LSVs by some people for a number of reasons. The government is pro-green and pro electric vehicle, travel distances are short and the large tourist market would be ideal for rental fleets.  Learn more:  Hawaiinewsnow.com

Comment: Hawaii now joins Pennsylvania and North Carolina as potential locations for assembly plants.  To date none of these plans have come to fruition beyond the early planning stages.  The company was talking about Pennsylvania locations back in September 2009.  A plant with the capacity to produce 10,000 vehicles seems very high for the Hawaiian market and shipping them from Hawaii, at first glance, would appear to be an expensive way to supply other markets.  It remains to be seen if plans for any of these potential plant locations moves to the next stage.

Wisconsin Purchases 23 LSVs For State Parks

The Wisconsin Department of Natural Resources recently announced the purchase of 23 electric powered LSVs for use in 22 state parks.  The department purchased the vehicles from e-Ride Industries of Minnesota and Columbia ParCar of Wisconsin.  The vehicles have a utility vehicle configuration and feature enclosed cabs.  Parks management noted the low operating costs of the vehicles and lack of air pollution they produce.  Learn more:  NBC15.com

American Custom Golf Carts Develops Highway Speed Prototype

American Custom Golf Carts Pulse Electric Car

American Custom Golf Carts a producer of LSVs that look like Escalades, Hummers and Roadsters has produced a prototype highway speed electric vehicle.  The Pulse Electric reportedly reaches speeds of 70 mph and is based on a gas powered vehicle from China.  There is no timetable for market launch since the company needs several million dollars for crash testing and airbag system development. Learn more: Carconcerns.blogspot.com

CT&T Still Looking For Plant Sites

Korean neighborhood electric vehicle manufacturer CT&T is still looking for plant sites in the Pittsburgh and Philadelphia areas.  The company plans to open 30 to 40 sales and assembly locations throughout the US eventually but has not yet broken ground on the first one.  Previously the company had announced orders for 4,000 of their vehicles for California police departments and another 27,000 bound for the US in the short term. Learn more:  PittsburghLive.com

Comment: It remains to be seen if these various plans and vehicle sales come to fruition.  I recently checked the SEC filings of T3 Motion, the exclusive distributor for CT&T vehicles for the security market segment, and their most recent quarterly findings indicated no significant revenue from CT&T vehicles.  I followed up with a phone call to T3 Motion’s CEO and founder Ki Nam.  He confirmed that there have been no significant vehicle sales and that they have received only a small number of vehicles.  They are currently working with CT&T to make some vehicle modifications to better meet the needs of the security market customer. – Marc Cesare

CT&T Reports $400M In Orders For 38,000 EVs

At the Tokyo Motor Show last week South Korea based CT&T announced orders and distribution agreements worth $400 million for 38,000 of its e-Zone EVs.  The e-Zone is configured as an LSV for the US market but can have a top speed of 44 mph. The vehicle’s range is 41 and 68 miles with the lead-acid and lithium in battery packs respectively.

The vehicles are expected to begin shipping next month with 27,000 bound for the US.  Another 5,000 are headed for Canada, 4,000 for Japan and 2,000 for Taiwan.  This production volume is expected to be fulfilled at the end of first quarter 2010.  The vehicles will be delivered as complete units until CT&T’s Regional Assembly and Sales Systems(RAS) are developed.  The company is currently looking in the Pittsburgh and Philadelphia areas to locate two such regional assembly and distribution centers.  Learn more:  Greencarcongress.com

Tampa Allows Free NEV Service To Return

The Hillsborough County Public Transportation Commission voted to rescind their earlier decision that effectively stopped NEVs from being offered for free transportation.  The vehicles charged no fee for short rides in the downtown area but sold advertising and allowed drivers to accept tips.  The service angered local taxi drivers and the commission passed an earlier ruling halting the service.  There is some disagreement over the commission’s right to regulate the vehicles since they may not technically be taxis since they are free.  The commission is trying to obtain a legal ruling in that regard, and establish some regulatory procedures.  While that process moves forward, they are asking NEV operators to voluntarily follow some safety and insurance guidelines.  Learn more:  Tampabay.com