According to a study in the ACS's Journal of Agriculture, spent coffee grounds contain between 11% and 20% oil by weight, similar to other popular sources of biodiesel such as soy and palm seeds. Since approximately 16 billion pounds of coffee is grown each year, spent coffee grounds can be used to create as much as 340 million gallons of biodiesel. While this is barely enough fuel to cover the US for a day, it is a surprisingly cheap and easy process they say could net an $8 million average profit in the US alone. We could probably fuel a TDI SportWagen by just following Wert around for the day. Press release below.

Waste coffee grounds offer new source of biodiesel fuel

Researchers in Nevada are reporting that waste coffee grounds can provide a cheap, abundant, and environmentally friendly source of biodiesel fuel for powering cars and trucks. Their study has been published online in the American Chemical Society's (ACS) Journal of Agricultural and Food Chemistry, a bi-weekly publication.

In the new study, Mano Misra, Susanta Mohapatra, and Narasimharao Kondamudi note that the major barrier to wider use of biodiesel fuel is lack of a low-cost, high quality source, or feedstock, for producing that new energy source. Spent coffee grounds contain between 11 and 20 percent oil by weight. That's about as much as traditional biodiesel feedstocks such as rapeseed, palm, and soybean oil.

Growers produce more than 16 billion pounds of coffee around the world each year. The used or "spent" grounds remaining from production of espresso, cappuccino, and plain old-fashioned cups of java, often wind up in the trash or find use as soil conditioner. The scientists estimated, however, that spent coffee grounds can potentially add 340 million gallons of biodiesel to the world's fuel supply.

To verify it, the scientists collected spent coffee grounds from a multinational coffeehouse chain and separated the oil. They then used an inexpensive process to convert 100 percent of the oil into biodiesel.

The resulting coffee-based fuel — which actually smells like java — had a major advantage in being more stable than traditional biodiesel due to coffee's high antioxidant content, the researchers say. Solids left over from the conversion can be converted to ethanol or used as compost, the report notes. The scientists estimate that the process could make a profit of more than $8 million a year in the U.S. alone. They plan to develop a small pilot plant to produce and test the experimental fuel within the next six to eight months.

Biodiesel is a growing market. Estimates suggest that annual global production of biodiesel will hit the 3 billion gallon mark by 2010. The fuel can be made from soybean oil, palm oil, peanut oil, and other vegetable oils; animal fat; and even cooking oil recycled from restaurant French fry makers. Biodiesel also can be added to regular diesel fuel. It also can be a stand-alone fuel, used by itself as an alternative fuel for diesel engines.

[Source: American Chemical Society]

[Photo: GABRIEL BOUYS/AFP/Getty Images]

Jalopnik Snap Judgment: What. The. Hell. This email hits us and we damn near lose our minds with all the crazy angles it has. BioWillie? That sounds like the title of the worst sci-fi porno you've ever seen. And this "traveling across the country in a Jetta powered with Willie Nelson-branded biofuel" — read that sentence again — its like a spoof of a spoof of a spoof. If we didn't know better we'd wonder if this is some kind of front operation for evading the IRS, smuggling dope, plying the bandanna trade, or an homage to men with ponytails. Can you even imagine how many times these guys will be listening to On the road again? And then they tell us they're thinking of opening it up to other teams next year for a Cannonball-style Willierun09. There may not be enough rolling paper in the world to support such an undertaking. [WillieRun08]

SOUTH SAN FRANCISCO, CA - June 27, 2008: Solazyme announced recently that SoladieselRDTM , a microalgae-derived renewable diesel, has passed American Society for Testing and Materials (ASTM) D-975 specifications. SoladieselRDTM is the first algal-based renewable diesel to meet these standards.

In a 100% blend, SoladieselRDTM has been road tested in a factory standard 2005 Jeep Liberty diesel. The fuel's chemical composition is identical to that of standard petroleum based diesel, and SoladieselRDTM is fully compatible with the existing transportation fuel infrastructure. Having fewer particulate emissions, SoladieselRDTM also has a more desirable environmental footprint than standard petro-diesel. In addition, it meets the new ASTM ultra low sulfur diesel (ULSD) standards.

"This now marks the production of our second fuel that meets current U.S. fuel specifications and is an important validation of our proprietary process using microalgae to produce renewable fuels," said Jonathan Wolfson, chief executive officer of Solazyme. "Solazyme's leadership in the green fuels space will continue to grow as we now execute on our strategy for commercial launch."

The only advanced biofuels company producing at scale, Solazyme implements a unique microbial fermentation process that allows algae to produce oil in massive vessels quickly, efficiently and without sunlight. The process can utilize many forms of non-food feedstocks, including waste glycerol and many cellulosic materials including wood chips, corn stover and switchgrass. The resulting oils can be leveraged across a wide variety of industries and applications, including fuels, edible oils and chemicals and are completely biodegradable, nontoxic and safe.

Why biodiesel in a racing car?
Christian Bokich: We're racing to show people what's coming in our future cars, and to show that we're leaders in diesel. It has always raced on GTL; it's not from an oil barrel, it's from natural gas using a high-tech conversion. The new twist is the GTL was only the stop-gap to learn how to create synthetic diesel. We know we wanted to do biomass diesel, not based on foodstuffs.

Racing is fun. Racing is exciting. But we're racing for a reason: A to win, and B to bring the technology to customers. Though we don't recommend more than 5% biodiesel in our cars now, we want to say for the future you can use it in one of our new cars with a full warranty, and racing is an easy way to test that technology.

Did you have to make any adjustments to the cars to run the mixed fuel?
We did not. There were no adjustments.

You ran a mix of GTL and BTL, that's what you're trumpeting, but did you run it the whole time?
We were running the fuel mixture the entire race. There was no night-time mixture or day-time mixture.

WIll you continue to use BTL or is this a one-off race, albeit a successful one, with a low mix?
I think eventually you'll see higher mixes. We haven't announced what's going to happen now with the remainder of the US races we have. I assume we will continue. I think if we start using it now it would only make sense to keep using it now.

What's better, ethanol or diesel? You race against the E85-powered Vette; do you want to talk some smack?
Diesel offers the benefits that ethanol might have, but we have tremendous amounts of range. The R10 TDI, if it were not for the restrictions that were placed to put our cars on a level playing field, not only on the size of the gas tank but the rate at which we can refill, we could go lap and lap and lap without refueling.

Sure, we think diesel has an advantage over ethanol. The fact that we're using BTL that just uses garbage is a sign that we're investing in technology that uses a lot of existing resources. From what we know, ethanol does interfere with the human food chain.

This was your first trip to Le Mans, how was it?
I've never seen a race that seems more prestigious. I've been to the Indy 500, to all the ALMS races for two-years running. I guess the length of the race itself is prestigious. The regalia and the tradition that goes with it. We arrived and we went to this parade and they have all these fancy cars. And you look at the caliber of the people walking around. It's just an exciting and enthralling place. It was overwhelming, but it was kind of cool. I don't get very euphoric at times, but it was pretty easy to get euphoric about it.

[Photos: Robin Thompson for Audi of America]

Jalopnik: Where did you get this idea? David Levine: I got the idea for the project from my brother's work and from readings being done in the field. My brother's undergraduate thesis work is in the area of using algae to treat wastewater, and in so doing, make oil. We modified that a bit to the current project.

J: What are the steps needed to produce this biofuel?
D: Step 1: Culture algae in varying media to optimize its growth
Step 2: Design & build photobioreactors (the large tank-like structures that the algae grow in)
Step 3: After sufficient growth, harvest algae
Step 4: Extract algae oil
Step 5: Chemically modify oil into biodiesel (transesterification)

J: How did the students react to the project?
DL: Student reactions were varied, but almost all positive. This was an incredibly authentic learning piece for them that truly affects their day-to-day life. As a result, engagement was high, completion of the project and report was above average, and students continually remarked that what they were learning and doing mattered. Ciera Rice, one of my students, showed up in a green shirt, green pants, green jacket, green hair tie, and green stickers on her cheeks.

J: How big was the grant you got from BP?
DL: The A+ For Energy grant was for $10,000. The grant has covered most major expenses. Incidental costs have been covered by me. There's no doubt, however, that the grant has morphed my classroom. You walk in and the equipment resembles that available in the suburbs.

J: What was your biggest surprise with the project?
I was most surprised by the ease with which the students took to a green mindset. Discussions about a carbon footprint or about reducing one's hours behind the wheel would have been taboo a few months ago. Now they're something about which my students feel empowered and ready to act on... even if they still make fun of me for riding my bike to school.

J: What were the biggest challenges?
DL: Harvesting and extraction. Once perfected for industry, the harvesting process will probably require a continuous flow centrifuge to concentrate the algae. Even the greenest algae you saw in my room is still about 99% water. Concentrating the algae is key to a successful extraction and yield (because water can wreak havoc on the chemical reaction, depending on your extraction method). The extraction procedure in itself still requires fine-tuning for an industrial scale process. This project certainly did not solve those issues, but it did experiment with one wet extraction procedure that has not yet been published.

J: How has this impacted your students?
D: I've touched on the impact a bit already above, but I also think that this project has given them the opportunity to enter in to and engage in the green movement like few other high schoolers do. I firmly believe that the green movement will be successful at attacking eco-equity issues through technological innovation, and my kids now have a leg up in that race. I'm looking forward to seeing them come back from college armed with new ideas and skills that will revitalize our community.

J: You seem tired and friends have told me you've not been getting much sleep...
DL: I sleep about 4 hours every night during the week. So, that's about 4 hours a day of lost sleep, a staggering sleep debt that's probably keeping me from properly expressing myself right now.

(Ed Note: As a matter of full disclosure, my fiancee is in the Teach For America program so I probably have some bias towards it.)

The Idea
David Levine, a second-year teacher placed in Chicago through the Teach For America program, faced a common problem: how to get students to take the same interest in their studies as in Grand Theft Auto IV. His school, the Al Raby School for Community and Environment, serves populations from the predominately African American neighborhoods on Chicago's West Side, a place where the median income is more than 40% lower than the city as a whole. How could he motivate his students to invest their time and interest in the scientific process?

Levine settled on one of the biggest issues facing this generation of students: the impact, both environmental and political, of our dependence on foreign sources of fuel. According to the UN Human Development Reports, the US emits 21% of the world's carbon dioxide despite having only 4.6% of the world's population. We're currently engaged in our second war in the oil-rich Middle East. Using these issues as a starting point, Levine sought a project that would address the problems while at the same time providing an educational and compelling experience for his students. Thus the Algae Biodiesel Van was born.

The goal was to create enough biodiesel from algae, grown and processed in the classroom, to power a vehicle from the school to Chicago's Sears Tower and back, an approximately 20-mile round trip. Because algae sucks carbon out of the atmosphere, it is relatively carbon neutral to produce and, unlike corn or soybeans, isn't a food crop. But how do you turn single-celled plants into viable fuel within the confines of a classroom?

The Process
You can't miss the algae-processing unit that occupies the corner of Levine's science classroom. Giant bags filled with a specific strain of fuel-producing algae are stacked on top of one another, connected by a series of tubes that pump the bright green organic slime around a stack of fluorescent lamps to encourage photosynthesis. This would actually make a great lighting fixture for a trendy LA sushi place.

Students have been working with Levine to cultivate the algae in their classroom and refine it down to fuel. Almost all the work was done on-site, though at one point the solution had to be taken to a centrifuge at the University of Illinois Chicago for final separation, an event which afforded students a chance to see a fully operational lab.

After spending a large portion of their junior year working through the process, the students were able to create what they hoped was enough fuel to power a vehicle the full distance: one gallon. Right before the trip one of the students showed off their beaker of algaediesel, which I can attest smells much better than petrodiesel. Though that's not saying much.

The Van
Working with a small grant from BP America's A+ For Energy program, there wasn't much room in the budget for buying a car specifically for the purposes of the test. Thankfully, the fuel is of such high quality that, when mixed with vegetable oil, it can run on most unmodified diesel engines. Here's where the 1982 Vanagon Diesel Westfalia Camper comes into the picture.

Faded orange with a white camper top, this particular Vanagon was loaned to the class for this experiment by a trusting friend of Levine's family. Still used for camping, the small fridge inside the van features remnants from previous outings, plus a bed, kitchen and radio; it's actually a small home they're running on their fuel, made all the more so due to the absence of seat belts.

The Fantastic Voyage
After draining off the low-sulfur petrodiesel in the tank, a large crowd of students, faculty and media collected around the van to see if it would actually start. There was a sense of hopeful expectation as Levine slowly poured a gallon of his student's labors into the VW. After taping the plastic back over the fuel tank (they had trouble getting the cap back on), Levine lodged himself in the driver's seat, while his fellow science teachers piled in to provide moral support and, should the van break down, actual physical support. Engaging the clutch, a few held their breath has he turned the key. Put, Put, Put, Put, Put. The familiar register of a diesel engine filled the air, overtaken immediately by the applause of students.

Levine drove the van around the block and returned victoriously to this group of excited students suddenly filled with that sense of accomplishment that comes from a job well done. But one more test remained. Had they made enough good fuel to get the van to the Sears Tower and back? In traffic?

The principal decreed that students couldn't ride in the van since it lacked safety belts and, really, anything resembling safety equipment. Besides, limiting weight was a primary concern: The range calculations for a single gallon of fuel were fairly rough. The driving would be handled by James, David's father and a veteran of the One Lap of America (he raced a Porsche 911 RS). Navigation was up to Evan, another science teacher involved in the program. I had the final seat on the back couch where I would serve as the historian and archivist. After a slight top-off with the remaining fuel mixture and a check of the systems (assuring the plastic was completely taped over where the gas cap should go) we set off for the Sears Tower.

Driving into downtown Chicago, especially on a Friday afternoon, requires an ability to improvise. Construction, traffic and frequent fender benders all lead to the sorts of complex traffic patterns that we don't currently have the processing power to comprehend. Thankfully, the Tower is the tallest building in the city and, therefore, was easy to spot out the van's windows.

Given our limited resources, we decided to tack east using a narrow road that runs predominately underneath the elevated train tracks. Though not the most direct route, we hoped to avoid congestion and keep track of our chase car, piloted by students and running on good ol' 89 octane. The first few minutes out everything was going well. There was no foul smell or smoke and the engine was running smooth for a van older than the students who fueled it.

That's when the oil light blinked at us. Could the fuel be interfering with the engine's oil pressure or temperature? Were we just unlucky enough to be having an unrelated problem while winding our way towards the city's most recognizable piece of architecture? James gets on the phone with David and they quickly decide that it's unrelated and not a concern.

Pushing forward, we keep spotting the peaks of the Tower between the other building that ring the outer loop. As we get closer to the city we start getting looks from the commodity traders, receptionists, service employees and others who are hoping to escape the city for the weekend. Even without the knowledge we're running on algae, the van is hard to miss.

The oil light still illuminated, we weave our way past cabs and around buses until we see the sign for the Tower's parking garage. We've made it... halfway at least. Given the beefed up security downtown, I'm hoping we don't get stuck and have to explain why we parked this funny-smelling van right next to the building's foundation.

James parked the van down the street from the amazing structure, thus lowering the risk of clogging traffic any further and providing a better location for photos. After a quick picture with two of the students, we raced back across town to the school. Worried about fuel levels, there wasn't time to dawdle. We cut south before going west, hoping to avoid the worst traffic. Our gambit worked, and we arrived at the school a few minutes earlier than planned. So early, in fact, that there was no one around to celebrate our victory over the forces of fuel consumption. Where the hell were the students?

It turns out they were inside munching on donated snacks and enthusiastically sharing their research and work on environmental projects they designed as part of the "Green Fair" planned around the launch of the Algae Car. Inspired by the fuel project, more students than usual actually completed their assignments. One of the coaches at the school remarked that in high school he just did his assignments to do them, but that Levine's kids "were actually doing the work because they cared and believed in it." Talking with some of the students and teachers, it's clear that this may be the day's biggest victory.

Victory And Hope
It's hard to overestimate either the technical or educational achievement of this project. While this particular journey back-and-forth from the school to downtown isn't going to fundamentally change our nation's energy policy, it did impact the very people who will be involved in finding solutions in the future. The next night I joined a tired but proud Levine for dinner. In addition to the joy he felt from successfully completing the project, he also had great news about his student's educational progress.

The students in his classes dramatically improved their scores on the scientific portion of the ACT compared with the previous year. It isn't easy to quantify the amount that this specific project contributed to the leap in test scores, but it would be hard to deny the impact after seeing his excited students cheer on their project car.

Having driven another special diesel prototype, the Audi R8 V12 TDI LeMans, I can't say that the Vanagon is quite as menacing. And instead of being flanked by black SUVs driven by off-duty cops, we were followed by an old silver Camry driven by a couple of students. But if I had to choose which experience I thought was more important, more impressive and more downright awesome I'd have to go with the Algae Car. With a significantly smaller budget, a group of determined students and their dedicated teachers proved our options for the future are only limited by our own imagination.

We've heard all the arguments before: lack of infrastructure, high development costs, unproven technology, bad leadership; but here are vehicles which, as we speak, are being driven to Washington DC in climate-controlled comfort by their student creators

Yes, GM is developing the Volt, a car that's essentially electric on a platform allowing for production-swappable powertrain technology to eliminate the limited range. Basically, it allows for every powertrain under the sun including diesel, petrol, hydrogen and probably poop — but we don't want to wait until 2011 to drive it, we want it now damnit. Yes, even the poop-powered version. The company intends for Challenge X to highlight possibilities, and it does. However the unfortunate flip-side is it also highlights the lack of foresight in their past, a mistake they're only now trying to fix. After all, if a bunch of kids can build a fleet of alternate-fuel cars, why can't one of the world's biggest companies? And no, a limited-run fuel cell Equinox fleet does not count.

I'm looking for input from my fellow Jalopniks on the best "alternative" commuter car. The obvious choice would be either a bike or something like an old CRX or Civic Hatch, which can be entertaining in their own right, but I'm looking to get a little more creative. Electrics, bio-diesel/veg oil (but what car?), bike-powered kit cars are all on the table. It's gotta be reasonably reliable and cheap, like under $15k and preferably under $10k, with the goal of minimizing $/mile while keeping me out of a soulless Prius. I've got tools, skills, space and (some) time to make it work, but I need some ideas.

So what do you think? Should he go all-out ecomodder? Anyone know who bought Daryl Hannah's biodiesel camino? We're partial to the OM617 so why not pick up a diesel 300TD wagon on the cheap for a veggie oil conversion? He's got at least $10K for this project, meaning that some of you can envision products that leave $9,500 for parts. Let the project car hell begin!

It's assumed that Richardson intended to convert the grease into biodiesel that he could then use in his own vehicle to save money on fuel, or to sell for a profit. It's not known what penalties he'll face.

It seems odd that a fast food restaurant manager would report someone stealing grease, but could be an indicator of things to come. Could used cooking grease become a commodity just like other fuel sources? [Via CBS5]

The mission was more than just showing off the chocolate truck—the pair delivered a biodiesel processing unit to a charity in Timbuktu to allow the locals to create their own biodiesel from sustainable resources. The journey took the pair a month to complete.

All equipment created and used was salvaged from scrap yards; the inventive duo will be leaving the chocolate truck in Timbuktu. This made me think of chocolate bunnies, those hollow Easter treats that we all love to decapitate. How about a real chocolate truck, confected along the same lines as the bunny, to celebrate Pag and Grimshaw's achievement? [Boing Boing]

The El Camino

special secret surprise!!!
the baddest assest biodiesel "el camino" ever
with your own b100 biodiesel pump + station!!!

uh huh...
that's right...
the original black beauty biodiesel el camino
run on b100 sustainably sourced biodiesel
this super stealth flat matt black el camino hasn't seen a lick of petroleum + has been my daily driver 4 several years
one of the few diesel el caminos ever made
factory diesels r super hard 2 find
(they only made a few hundred in 83' +84')
it's fully smoked + tinted by a custom shop
it gets pretty decent gas mileage cause it's not so heavy
5.7l gm diesel, automatic, cruise control ac, pb, ps,
139,000 miles
i love it soo much + I wanna share the love
(u know i'll find another one 4 myself)
+
it comes with a basic oh so easy home fueling station -
if you have room 4 a trash can - you have room 4 your own gas station!
easy instructions included
a 55 gallon super lightweight storage drum - a hand pump + filter
with unique quick release fittings that take the hassle out of threading etc.
so easy I can do it myself all dressed up + no mess
+
we'll give you a resource guide 2 finding the most sustainable b100 biodiesel source near you!

2 see more about bio-diesel + the el camino -
(go 2 dhlovelife bio-diesel vlog#1)

so get up and get off the fossil fuels!!!
xo
daryl
Sale info will be posted on Dec. 20th. Keep you eyes open!

The Ranch BioBeast

ranch bio-beast!!!
meet tomcar....
isn't he cute?
this tough buddy will + can do almost anything you need on the ranch
a sandrail (think baja 1000), mule hybrid
the tomcar is workhorse extraodinaire
+ it runs on b100 biodiesel
(sustainably sourced - the only kind we like )!!!

25 mpg - up to 250 miles fuel range
(with optional 2nd tank).
the highest safety profile - like a roll cage on wheels
designed for 300hp but powered by 35...
seamless frame + roll cage welded as one unit.
safety fuel tanks, racing regulation 4 point seat belts.
very low center of gravity
+ long suspension travel makes the tomcar extremely safe 2 drive
for all skill levels
towing capacity - 2500 lb, up to 100% cargo payload (on TM5 models).
3 cyl turbo diesel running on b100!

street legal (low speed vehicle)
built to do the toughest jobs ever imaginable
+ made in the u.s.

(h/t to Rafael) [Camino & Ranch Beast]

BURBANK, CA—(Marketwire - November 17, 2007) - Neil Young will be interviewed on CNN's "American Morning" on Monday, November 19th. Young, in the middle of a North American tour, went to Wichita, Kansas to meet with John Goodwin, who is converting Young's 1959 Lincoln Continental Mark IV convertible to run on biodiesel and electricity. Young and Goodwin describe the new fuel-efficient life of the car and how it holds exciting possibilities for the future.

Neil Young is directing a movie about the experience, including the drive from Northern California to Kansas to deliver the vehicle. Titled "Linc-Volt," the film is scheduled for a 2008 release. Once the conversion is complete, Young will drive the Lincoln from Wichita to Detroit for meetings with the auto industry, and then return to Kansas to retrace the route back to Northern California, raising awareness of the feasibility of hybrid-powered cars within the mainstream consciousness. He describes the Lincoln's new form and function as the embodiment of "classic Americana from then, meeting the Americana from now." The Linc-Volt is expected to achieve up to 100 miles per gallon on the highway.

"American Morning" airs on the CNN television network 6-9 a.m. EST. Neil Young's interview will also be featured on www.cnn.com.[MarketWire h/t Tina Chow]

· Gasoline direct injection or clean diesel technology
· Limited but enduring demand for hybrids
· Biofuels to reduce foreign oil dependence incrementally, but not ethanol — biodiesel.

Thus, in Bosch's world, the car of the near future will be a common-rail turbodiesel hybrid running on vegetable oil. Here's hoping Audi and Toyota can get along well. That V12 TDI Synergy Drive would be perfect for a new Supra. (Press release / speechification after the jump.) – Mike Spinelli

Press Release:

Christopher Qualters
Director of Diesel Sales and Marketing
Bosch USA

Speech for the 58th International Automotive Press Briefing
June 2007 in Boxberg
Ladies and Gentlemen,

America is becoming more focused about saving energy. There are several reasons for this increased focus:

· Gasoline and diesel prices have more than doubled since the early 1990's. Consumers are therefore becoming seriously concerned about rising fuel costs.

· The government is very aware how dependent America has become on imported oil - particularly now that U.S. oil extraction is not enough to satisfy demand. Energy-saving has therefore become an issue of national security.

· In addition, various organizations are trying to raise people's awareness of environmental issues, such as global warming due to greenhouse gas emissions.

Perhaps the most striking example of the new environmental awareness is the '20-in-10' plan announced by President George W. Bush, which aims to reduce fuel consumption by 20 percent over the next ten years. It's an ambitious target when you consider America's love affair with SUVs and other large V8-powered vehicles. There are currently over 230 million registered vehicles in the U.S., including more than 95 million light trucks. But if the U.S. does succeed in meeting this target, it could reduce its current imports of Middle Eastern oil by 75 percent.

Government backing for efficient engine designs
Accordingly, President Bush's plan focuses on more efficient engines for cars and light commercial vehicles and greater use of alternative fuels. The facts are clear: the fastest and most effective way to achieve meaningful fuel savings is through optimized internal combustion engines with gasoline direct injection or clean diesel technology.

But to anticipate what you're all thinking, the possibilities for hybrid vehicles are still limited. Last year approximately 16.5 million cars and light trucks were sold in the U.S., and around 240,000 of them were hybrids. That's just 1.5 percent of all new vehicle registrations in the United States. By 2010, global production capacities for hybrid vehicles are expected to reach a million units. But that will only cover six percent of demand in the U.S. market and around two percent of global demand for new vehicles.

Gasoline direct injection can have an immediate effect on fuel consumption when combined with downsized engines. A turbocharged 6-cylinder direct fuel injection engine uses 10 to 15 percent less fuel than a larger 8-cylinder engine - with the same performance. For this reason, the U.S. is already witnessing the same trend toward downsizing that has been seen in Europe. We anticipate that in the year 2015, more than 14 percent of cars and light commercial vehicles manufactured in the U.S. will have gasoline direct injection.

We also anticipate significant growth in clean diesel, which is undergoing an image makeover in the United States. In October 2006, we saw the launch of clean diesel fuel with a sulfur content of just 15 ppm. This ultra-low sulfur diesel is now available across the U.S. at 42 percent of the country's 76,000 fueling stations.

Gone too are the days when diesel cars and light trucks could not be registered in all states. Modern diesel vehicles aren't just efficient and powerful, they are also clean enough to comply with very strict U.S. thresholds for diesel engines. The last obstacle was NOx emissions, which manufacturers are now keeping in check with the help of the latest clean exhaust technologies like Bluetec. The first series-production car to feature this technology, the Mercedes E 320 BLUETEC with Bosch fuel injection technology, was named World Green Car in New York at the beginning of April.

Diesel projects for the U.S. market
With all these new developments coming on line, clean diesel is becoming a hot topic in the United States. Bosch is working with all the major U.S. vehicle manufacturers on diesel projects. The popular Chevrolet Silverado/Sierra and the Dodge Ram pick-ups are already on the market complete with modern diesel technology from Bosch.

A recent Harris Interactive survey found that 31 percent of informed buyers of new vehicles would select a clean diesel engine for their next vehicle over other available powertrains, including hybrids.

Bosch is reinforcing the favorable perception of clean diesel through its fact-based marketing campaign. We are working together closely with our customers in the automotive industry, with state and federal government, as well as with other suppliers and leading industry organizations. Our shared goal is to educate Americans about the continuous improvements taking place in diesel technology in terms of fuel consumption, performance and environmental compatibility.

Our activities have included our own "Diesel Day" events in Detroit and California, a promotional fleet of clean diesel cars and SUVs, and a Diesel Learning Center exhibit. In 2006 alone, Bosch was involved in promotional and educational activities that reached more than two million people.

The number of new diesel registrations in the U.S. has risen by 80 percent since 2000 to almost 560,000 units in 2006 - more than double the figure for hybrids.

Seen in this light, it is realistic to expect a noticeable growth in diesel's share of the U.S. market. We are assuming that the proportion of newly-registered passenger cars, light-duty trucks and light commercial vehicles in the U.S. will grow to 15 percent by 2015. That's three times the current level of around 5 percent.

Biofuels - beneficial on a number of levels
The U.S. will also be investing more in the production of renewable energies. One of the favorite candidates is ethanol, because the basic feedstock - corn - can be grown domestically. The U.S. expects to benefit from this in several ways. Domestic farmers will have a guaranteed market, and at the same time, dependence on foreign oil will decrease. From a U.S. perspective, the result is better national security. Thanks to federal and state incentives, ethanol is slightly less expensive than gasoline at the pump.

However, ethanol has 27 percent less energy content than gasoline, resulting in up to 21 percent more fuel consumption and offsetting the price advantage. Added to this is the fact that the U.S. does not yet have a nationwide delivery system for the fuel: ethanol is currently only available at approximately one percent of U.S. fueling stations.

This is why some states such as California are working to ensure the long-term success of biodiesel, which does not require any additional infrastructure.

There are limitations on the resources available for alternative fuels. The amount of biodiesel produced today is just enough for a maximum 5 percent blend (or B5) with conventional mineral oil diesel - far from the U.S. goal of 20 percent (B20).

In addition, current quality standards for biodiesel are not adequately established, and extended storage can lead to ageing of the product and damage to fuel systems. This is not acceptable to consumers. Legislation is urgently needed to establish binding standards.

Only when these and other challenges are overcome will alternative fuels become a truly viable, widescale option. An increase is also expected in the number of Flex Fuel vehicles, which can run on different combinations of fuel. There are currently six million of these vehicles on U.S. roads. The Big Three of the U.S. car industry - General Motors, Ford and Chrysler - are expected to double production of these models by 2010.

Stricter emission limits require new engine designs
Stricter exhaust gas requirements to be introduced in 2009 will play an essential part in progressing modern engine technologies and alternative fuels to the series production stage.

Hybrids stand the best chance in states with tough environmental legislation, such as California, and urban areas. But tax incentives have been an important ingredient of their success so far. Bosch anticipates that these vehicles will account for around six percent of U.S. automotive production by 2015.

The reasons for this cautious prediction are the comparatively slow growth of production capacities, but also the uncertainties regarding the residual value of the vehicles, which might influence their resale.

Ladies and Gentlemen,
in summary, a combination of alternative fuels, including ethanol and biodiesel, are emerging in the U.S., as well as a variety of propulsion systems. Clean diesel, gasoline direct injection, and hybrid technology have the best prospects. For its part, hybrid technology requires a clean, efficient combustion engine at its core. In the foreseeable future, the optimized internal combustion engine will continue to grow and assert its position as the technology of choice for the American market.

Thank you for your attention!

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