Cato Institute
Policy Analysis
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Environmentalist
vehicles), and are less convenient because of
of the National Academy of Sciences and
the lack of driving range and the necessity
the National Academy of Engineering criti-
Amory Lovins
of long refueling times. New battery
cized the technology as not environmental-
has called electric
options to increase driving range aggravate
ly cost-effective.1 6 2
vehicles "else-
the cost disadvantage.1 5 4
Natural Gas and Propane Vehicles
Electric vehicles are touted as being 97
where emission"
percent cleaner than conventional vehicles.
Like electric vehicles and solar and wind
vehicles.
But studies have shown that the tradeoffs
applications, gas-powered vehicles were
with economics and convenience are not
once economically viable without govern-
matched by emission reductions, since most
ment subsidy. At the turn of the century
of the electricity is generated by fossil fuels.1 5 5
demonstration coal-gas vehicles could be
found in major metropolitan areas.
Environmentalist Amory Lovins has called
Decades later propane vehicles became
electric vehicles "elsewhere emission" vehi-
cles.1 5 6  A team of experts from the
commonplace in rural settings (farms in
particular) where refueling limitations were
Massachusetts Institute of Technology con-
less of a constraint and the fuel was not
cluded that electric vehicles yield an "imper-
subject to motor fuels taxation. Vehicles
ceptible overall environmental benefit" since
fueled by compressed natural gas have been
up to 65 percent of fossil energy is lost when
fewer and more recent.1 6 3
burned to generate electricity, and 5 percent
to 10 percent of the generated electricity is
Largely because of ratepayer subsidies,
lost in transmission and distribution.1 5 7
which allowed utilities to pass fleet conver-
sion costs on to their captive customers, a
Battery wastes are another unique envi-
number of natural gas distribution compa-
ronmental problem with electric vehicles,
nies converted fleet vehicles to natural gas
given that gasoline is now lead free.
and erected related infrastructure in the
Complained Dan Becker of the Sierra Club,
1970s and early 1980s. But conversions
"[Electric vehicle] batteries are filled with
proved to be technologically problematic as
badness--things like lead and cadmium."1 5 8
well as expensive and inconvenient relative
Sodium-sulfur batteries and other substi-
to conventional vehicles.1 6 4 The effort also
tutes introduce their own set of environmen-
tal and safety problems.1 5 9 But even if the
lost momentum as gasoline and diesel
prices fell beginning in 1981.
environmental problems with batteries are
In the late 1980s a second effort to pro-
overcome, their sheer size, weight, and
mote natural gas vehicles commenced with
expense are formidable arguments against
greater emphasis on dedicated vehicles
their replacing the $50 fuel tank of conven-
tional vehicles.1 6 0 Operational problems with
than on converted conventional vehicles. In
addition to support from state utility regu-
batteries in cold-weather climates add to
lators, subsidies and vehicle purchase man-
those problems.1 6 1
dates from the federal government (such as
A hybrid electric vehicle, which com-
those in the Energy Policy Act of 1992) were
bines an internal combustion engine with
adopted. Falling natural gas prices and
battery-powered
electronics,
shows
plentiful supply were also coming into play.
promise, particularly in heavy-duty trucks
The improved position of natural gas vehi-
using diesel. Onboard recharging offers
cles was evident when the CEC reported in
advantages over dedicated electric vehicles.
the 1995 Fuels Report:
Yet the use of diesel or gasoline reduces the
alleged environmental benefits of onboard
In the late 1980s, methanol was tout-
recharging, and the complexity of the
ed as the alternate fuel of choice in the
hybrid design results in a significant cost
transportation sector. Now natural
premium compared with conventional
gas is beginning to assume that role,
vehicles. That is why a study by a committee
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