The report projects that by 2040, alternative fuel vehicles will consume about 13.7% of our light-duty vehicle fuel.
To be sure, selling alternative fuel vehicles has never been an easy task for Detroit or other carmakers.
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Currently, roughly 50 percent of GSA's 210, 000 leased vehicles are alternative fuel vehicles.
The VAM will help agencies identify opportunities to incorporate alternative fuel vehicles and identify and eliminate unnecessary vehicles from their fleets.
Typical of the corporate average fuel economy (CAFE) rules, there are many credits offered for different types of vehicles based on their drivetrains, encouraging automakers to make and sell alternative drive and alternative fuel vehicles.
Hybrid vehicles cost more than traditional cars but their running cost is much lower and with the gas prices continuing to remain persistently high, alternative fuel vehicles are gaining popularity both domestically and internationally.
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"As Detroit starts putting out lots of alternative fuel vehicles that are competitive, you're going to see individuals across the country opting for alternative-fuel vehicles for their first choice, " says Christine Ervin, assistant secretary for the Department of Energy.
Gunnar Lindstrom, who is charged with marketing Honda's alternative fuel vehicles in the U.S., believes that by 2020 six fuels will split the market: gasoline, diesel, biofuels, hydrogen, natural gas and electricity, perhaps working side by side in a single vehicle.
Secondly, I think there are things the government has a public interest in having the industry do, making these payments into the trust funds that will take over the retiree healthcares, some of the goals on perhaps even exceeding the current requirements for fuel-efficient vehicles or developing alternative fuel vehicles.
It's their reward for building these alternative-fuel vehicles, even though the vehicles themselves rarely actually burn alternative fuel.
Some of the issues that need to be addressed, he says, are the lack of any tax on aviation fuel, fiscal incentives for alternative-fuel vehicles, and the need for a carbon tax to replace the government's ill-directed climate-change levy.
This post kicks off a Forbes conversation on alternative-fuel vehicles that will appear online over the next few days.
Executive Order 13031 requires Federal departments and agencies to report to OMB on the acquisition of alternative-fuel vehicles for use in the Federal fleet.
Mr. PHIL LAMPERT (Director, National Ethanol Vehicle Coalition): It was a tremendous success in that before that, there were no alternative-fuel vehicles manufactured in this country.
Vincentric included 23 diesel vehicles in its alternative fuel analysis which is just about every consumer and commercial diesel currently on sale in the United States.
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Additional tax credits for choosing hybrid, fuel cell, alternative fuel and advanced lean-burn technology vehicles have been offered since 2005.
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More and more gas stations nationwide are installing CNG pumps as natural gas vehicles rapidly become the alternative fuel of choice.
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