Despite McCain’s hype, GM’s new hybrid car is not all that it could be

GM's Chevy Volt (image via gliving.com)
Back in July, when John McCain visited the GM Technical Center in Warren, Mich., he boldly stated that, “The eyes of the world are on the [Chevy] Volt.” lGeneral Motors (NYSE:GM) has also touted it as “the car of the future.”
But when asked about the potential of GM’s newest electric vehicle, the response from auto experts was lukewarm, at best. Two auto experts expressed doubt about the car’s prospects. One of them said garnering a consumer base would be a major obstacle to success. The other suggested that GM is purposefully restricting electric-vehicle technology to stay in the good graces of oil companies and that the Volt is merely a compromise between consumer demand and energy politics.
The Chevy Volt is a hybrid vehicle that runs on both electric power and gas. GM is promoting a 2010 release date for the car (which will cost $30,000-$40,000) though some are not sure if it will be ready by then. Bruce M. Belzowski, assistant research scientist in the University of Michigan’s Automotive Analysis Division, says he can’t tell what kind of progress they’re making. “There doesn’t seem to be any obvious breakthrough in battery technology,” he said. “They may be holding these results close to the vest.”
Another expert, a GM product specialist who did not wish to reveal his name, had a different answer when asked if a 2010 release date was realistic. “Of course it’s realistic. Is it what GM is going to do? Not so sure,” he said. “We’ve seen it before with their EV-1.”
The EV-1 was released in 1996 and was the first all-electric vehicle to be manufactured by a major automaker. It was discontinued in 1999. Four years later, in 2003, GM had removed all EV-1s from the road in a recall that is still surrounded by controversy. A 2006 documentary called “Who Killed the Electric Car?” traced the EV-1′s demise back to the influence of oil companies. GM’s insider says the Volt is a step backwards when it comes to technology.
“Why did the EV-1 not use any gas but an electric car years later needs gas and gets less than half the range?” the product specialist asked.
He added:
“[The Volt is] not only a PR move but a fine balancing act of maintaining the political status quo with oil industries and pleasing the demand for green energy.”
But GM argues that the range of the EV-1 was limited. “[The EV-1] could only go as far as the charge would take it [100 miles],” GM spokesperson Clay Perry told Michigan Messenger. “The beauty of a hybrid is that for the 80 percent of Americans that only drive 40 miles a day, the Volt would be fine.”
There are still some known glitches that need ironing out before the Volt hits showrooms for purchase, says Belzowski. “You have to be able to develop something that works. Then you have to be able to mass produce it,” he said.
Even so, the Volt won’t be mass-produced at first according to auto experts. In fact, Belzowski is sure the Volt will be a limited edition. He said GM would only make up to 10,000 units because he doesn’t see a huge demand for the Volt at first. And in terms of a financial venture, both Belzowski and GM’s specialist agree that the Volt isn’t something GM’s going to rely on for cash anytime soon.
“The vehicle is so new they won’t make money on it,” Belzowski said. “There’s so much money put into R and D in the first place. They want to get it out there to get some good press.”
Some other setbacks GM is struggling with are whether to make the Volt a coupe or a four-door as well as working out battery efficiency. One GM spokesperson told Wired magazine about battery draining issues, with the windshield wipers, lights, AC and sound system sucking up power.
These are two points that the GM specialist sees as a “smoke and mirrors” tactic from GM. He pointed out that the Volt has a 45 kilowatt continuous power stream and all of the accessories that take up electricity combined would be less than one kilowatt.
“If you don’t do the math [...] it’s easy to say, ‘those things use power,’” he said. “The thing that GM’s not pointing out is how much power.” The specialist suggested that these claims may be an excuse from GM to put off the release of the Volt.
Then there’s the issue of recharge time. That’s important if you run out of energy on the road. With the Volt, the gas-powered engine kicks in when the battery dies. Belzowski said it was expected to be an overnight charge. GM estimates show that it could take anywhere from 4-8 hours to get it juiced up for a 40-mile roundtrip drive before it starts using gas and 48 hours of charge before it needed to be unplugged. Actually, the Volt’s ability to use gas is what Belzowski said is the Volt’s “advantage” over the EV-1.
He said chargers for electric cars will not be in gas stations anytime soon because it takes hours to charge a car and people are unlikely to leave their cars for hours at a station.
GM’s insider isn’t buying it. He said that the charge time issue seems like another ploy by GM to distract consumers. “These are the same arguments we heard with the EV-1,” he said. “The same cannibalistic smears but this time to a smaller degree,” he said, suggesting GM restricts its own technology to appease powerful oil industries. He indicated that if indeed the issue with electric cars was charging time, then GM should hold off until they get that resolved instead of teasing consumers with a release, then a recall.
The GM insider went so far as to say that he would not buy the Chevy Volt. To him the price was discouraging and he is waiting on a purely electric car because he is confident that GM and other automakers have the time and money to create one.
The GM specialist’s less than enthusiastic assessment of the Volt is also dampened by the fate of the EV-1. “History has a tendency to repeat itself. That’s why I’m cautious about the Volt,” the specialist said.
But according to the GM spokesperson, the Volt will be different. “When you introduce a radically different product, you have to do it at the ideal time.” Perry said. He suggested low fuel prices made the EV-1 less appealing at the time of its introduction in 1996. “[Now that] gas prices are high, people are going to look for alternatives.”
The expert’s responses certainly raise some questions. If GM’s not depending on Volt sales for money or looking to use it as the prototype for creating a whole new fleet of cars in the near future, then the hype does seem based on political rhetoric. Is the Volt marketing campaign targeted at consumers, or at Congress, which has the power to hand out billions in the name of developing green energy? It also might be a tactic to convince Wall Street that GM won’t go bankrupt.
If nothing else, the Volt is a good look. “[The Volt has] a touch of the ‘cool’ factor,” GM’s product specialist said. “They look awesome.” The question is: Will the Volt be awesome enough to bring GM out of its slump?