Gigaton Throwdown steps up for flex fuel
June 30th, 2009 by infoThe Gigaton Throwdown Initiative comprised of investors, entrepreneurs, executives and academics investigated what it would take to reach gigaton scale for 9 technologies currently attractive to investors, including alternative liquid fuels. Here’s what they had to say about the need for fuel flexibility to be a standard feature as a market enabler for fuel competition:
“If flex-fuel capability were required of all new vehicles starting in 2012 at a cost of $70 per vehicle, 128 million new flex-fuel vehicles would be produced by 2020, and the total cost would be approximately $10 billion spread over 10 years”
“Because of the low cost of converting new vehicles ($70 per vehicle), new vehicle flex-fuel requirements would be the most economic strategy for ensuring flexible fuel options and driving private investment in infrastructure to support more widespread deployment of biofuels.”
“A large-scale expansion of ethanol production will require coordination with car manufacturers to expand the FFV fleet. Sales of [light duty vehicles] in the U.S. were 16.1 million in 2007. It is unlikely that FFV deployment can be accomplished through pure consumer choice given the chicken-and egg relationship between vehicle deployment and the need for sufficient density of vehicles to support private investment in fueling infrastructure. As noted previously, new vehicle flex-fuel requirements would be the most economic strategy for driving private investment in infrastructure to support more widespread deployment of biofuels.” Gigaton Throwdown report (p.35, 36, 39)