NEWSBRIEFS FOR THE WEEK OF JAN. 12, 2006

Jan. 1, 2020
Proposed Bill Trades Healthcare Costs For Fuel-Efficient Vehicles ... Using Vehicle Exhaust To Generate Electricity ... EPA Draft White Paper On Nanotechnology Released ... Ward's Announces 10 Best Engines for 2006 ... Conference Reviews Program for

NEWS BRIEFS FOR THE WEEK OF JAN. 12, 2006Proposed Bill Trades Healthcare Costs For Fuel-Efficient Vehicles

WASHINGTON - Prior to the congressional recess, the "Health Care for Hybrids Act" was introduced into both the Senate and House of Representatives. Sponsored by Senator Barack Obama (D-IL) in the Senate and by Representative Jay Inslee (D-WA), the bill seeks "to provide incentives to the auto industry to accelerate efforts to develop more energy-efficient vehicles to lessen dependence on oil."

The legislation would give financial assistance to struggling domestic automakers to help them pay for their retirees' health benefits, in return for the automakers commitment to invest a minimum of 50 percent of their realized health care savings in fuel-saving technologies such as:

* Manufacturing and commercializing more efficient alternative fuel vehicles, hybrids, hydrogen fuel cells and other fuel saving technologies.

* Retaining workers and retooling assembly lines to meet the bill's requirements.

* Initiating research and development consistent with the bill's criteria.

* Assisting domestic automobile component suppliers in their efforts to retool in order to meet the requirements of the act.

Domestic automakers have long complained that their health care costs are burdensome and put them at a competitive disadvantage compared to foreign automakers in countries where health care is nationalized. In return for relief in this area, the bill's supporters say the United States would realize less dependence on foreign oil, reduce the social costs of disease and environmental impacts that petroleum-based vehicles cause and provide competitive economics for an automotive industry that employs many Americans.

Walter McManus, director of the University of Michigan Transportation Research Institute's Office for the Study of Automotive Transportation, says the legislation represents a solution to a national crisis by building up, not bailing out, the U.S. auto industry. 

McManus added, "Obama and Inslee have recognized these companies are circling the drain, and with them, our national economy and energy security. Their stroke of genius is in connecting the dots. Decreasing oil consumption is clearly a top national priority, but it will not happen without a national investment. While the Big Three have the technology and know-how to build the cars, trucks and SUVs that consumers love while providing the fuel economy they now demand, at this moment in history, Detroit simply does not have the financial strength needed to transform its fleet quickly enough to survive."

(Source: The Library of Congress, University of Michigan Transportation Research Institute)

Using Vehicle Exhaust 
To Generate Electricity

LONDON - Dirty exhaust gases could actually help cars become cleaner - thanks to a British invention. 

British engineers on the British automobile industry-backed Foresight Vehicle initiative have developed a simple but revolutionary way of recovering energy that would normally be lost exiting the exhaust pipe. Foresight is a division of the U.K. Society of Motor Manufactures and Traders (SMMT) and functions as a primary research and development knowledge transfer network for the U.K. automotive industry towards the development of enabling technologies for future automobiles.

The "free power" breakthrough has three key environmental benefits: It makes engines more efficient, reduces emissions and creates enough electricity to run all of a car's power systems. Because the technology is fairly simple, it could be fitted on all car, van, bus and truck engines within a few years and, says engineers, could reduce fuel consumption by up to 10 percent and help reduce greenhouse gas emissions. Foresight engineers working on the project say this is only the beginning. 

The Turbo-generator Integrated Gas Energy Recovery System (TIGERS) is designed to recover some of the power lost through a vehicle's exhaust system.
(Photo: Foresight Vehicle Initiative)

So, how does it work? Just below the manifold, where the exhaust system joins the engine, the engineers have installed an extra waste pipe. A valve, linked to the engine's management control system, allows some of the high energy gases to be drawn off to drive a special generator, using a device called a switched reluctance drive (SRD). 

Because so much energy is tied up in the high-temperature exhaust gas, which can reach 130 mph, it can spin the generator at up to 80,000 rpm to create electrical power of up to 6kW - more than enough to drive a car's electrical systems. Dr. Richard Quinn, one of the engineers leading the Turbo-generator Integrated Gas Energy Recovery System (TIGERS) project says the system could be developed to produce anything from 12 volts to 600 volts of electricity. 

The "free" electricity could drive all of a car's heating, lighting, air conditioning and in-car entertainment systems. For future vehicle designs, the cam belt, drive belts and alternator could be scrapped and the TIGERS electric drive used instead, which would reduce friction losses. 

In a hybrid electric car, the TIGERS system could be even more efficient, feeding the "free" power directly to boost the main drive motors or back to the battery to give the car an even greater range. On trucks, the extra electricity could be used to power electrical systems to run refrigeration units for chilled food, turn the motors on cement mixers or power pumps on fuel tankers.

The TIGERS group includes researchers from Visteon UK in Coventry, Switched Reluctance Drives of Harrogate and the University of Sheffield Electrical Machines & Drives Research Group. Dr. Quinn, of Visteon's European Powertrain operations, said: "TIGERS is a really exciting development. Up to a third of the power that a conventional engine produces is wasted as exhaust gases. By harnessing some of that power we can make the engine more efficient." 

(Source: SMMT)

EPA Draft White Paper on Nanotechnology Released 

WASHINGTON - The U.S. Environmental Protection Agency (EPA) has issued the Draft Nanotechnology White Paper, a road map that identifies critical questions that must be addressed in order for the United States to reap the potential environmental and economic benefits of nanotechnology. 

Nanotechnology is the science of creating or modifying materials at the atomic and molecular level to develop new or enhanced materials and products. In December 2004, EPA's Science Policy Council created a cross-agency work group to identify and describe the issues EPA must consider to ensure protection of human health and the environment as this new technology is developed. The draft white paper on nanotechnology is the product of the work group.

The full 135-page PDF report is available online at www.epa.gov/osa/nanotech.htm. Along with presenting the anticipated benefits of nanotechnology, the paper also deals with risk management of possible negative impacts of the new technologies. EPA was accepting public comments on the draft white paper and will provide those comments to external reviewers for their consideration. Following the expert review, EPA will issue a final white paper on nanotechnology in early 2006. 

The white paper identifies data gaps that need to be filled and the research that EPA will conduct to fully grasp the applications and the implications of nanotech. Those research results will inform the appropriate regulatory safeguards for nanotechnology. The latest nanotechnology and potential environmental benefits of nanotechnology are detailed. Risk management issues and the agency's statutory mandates are outlined, following an extensive discussion of risk assessment issues. The white paper concludes with recommendations on next steps for addressing science policy issues and research needs. 

(Source: EPA)

Ward's Announces 
10 Best Engines for 2006 

SOUTHFIELD, MI - The winners of Ward's 10 Best Engines for 2006 demonstrate U.S. auto consumers can still have it all: Many of this year's winning engines highlight sophisticated new technology that generates performance while improving fuel economy.

Ward's 10 Best Engines for 2006, along with the vehicle it was tested in, include:

* 2L FSI turbocharged DOHC I4 in the Audi A3.
* 4.2L DOHC V-8 in the Audi S4.
* 3L DOHC I6 in the 330i.
* 5.7L Hemi Magnum OHV V8 in the Charger R/T.
* 4.6L SOHC V8 in the Mustang GT.
* 2L supercharged DOHC I4 in the Chevrolet Cobalt SS.
* 2.8L turbocharged DOHC V6 in the Saab 9-3 Aero.
* 2.3L DISI turbocharged DOHC I4 in the Mazdaspeed 6.
* 3.5L DOHC V6 in the Infiniti G35 6MT.
* 3.5L DOHC V6 in the Lexus IS 350.

Ward's noted two important engineering developments that dominated the list: direct injection gasoline technology and forced induction. These systems allow engineers to develop engines that generate improved power yet return acceptable fuel economy.

(Source: Ward's AutoWorld)

Conference Reviews Program 
for Senior Drivers

WASHINGTON - At the recent White House Conference on Aging, the American Occupational Therapists Association (AOTA) demonstrated proper methods for ensuring the personal fit of an automobile for aging seniors to the Department of Transportation Secretary Norman Minetta.

Known as CarFit, the program is designed to help mature drivers find out how well they currently fit their car and what actions they might be able to take to improve it. 

"A proper fit in one's car can greatly increase not only the driver's safety but also the safety of others," said Dr. Carolyn Baum, AOTA president. "The White House Conference on Aging is an important place to emphasize programs like CarFit, which can enable seniors to continue doing meaningful and enjoyable activities."

The CarFit program is a joint venture by the American Occupational Therapy Association (AOTA), the American Society on Aging, AAA Auto Club and the American Association of Retired Persons (AARP). CarFit reviews 12 key areas of the driver's fit to the car that are important to road safety:

* Proper adjustment of rear-view mirrors to minimize blind spots for drivers.

* Correct foot positioning on the gas and brake pedals. If the driver is reaching with their toes to press on the pedals, it can cause fatigue in one's leg and slowed reaction times.

* Sitting closer than 10 inches to the steering wheel can run the risk of serious injury.

"The great thing about CarFit is that many of these preventive measures are easy to take," added Dr. Baum. "By increasing safety for senior drivers, we increase safety for everyone."

(Source: American Occupational Therapy Association)

Fuel Cell/Hybrid Scooter Set For Launch

Fuel Cell/Hybrid Maxi Scooter 
(Photo: Vectrix Corp.) PALO ALTO, CA - Vectrix Corp.'s Fuel Cell/Electric Hybrid Maxi Scooter is bringing fuel cell and hybrid technology to two-wheeled transportation. 

Frost and Sullivan recently presented its 2006 Technology Innovation & Leadership of the Year Award in alternative vehicles to Vectrix. According to Frost and Sullivan, Vectrix's ability to advance electric and fuel cell technologies to create a functional, as well as aesthetically pleasing product is expected to propel this company into a sales leadership position in the market.

"A factor that is fueling consumer interest is an extremely appealing design that has the vehicle resembling more of a modern motorcycle than a scooter," said Frost & Sullivan consulting analyst Mary-Beth Kellenberger. "Test track performance has wowed industry observers with its power, performance, smooth ride and range."

Vectrix and its partners invested more than $50 million in materials technology, product development, production and marketing, and, in 2005, began marketing its new line of electric scooters. Launch is slated for mid-2006. 

According to Vectrix, the Maxi scooter responds to all performance-critical needs with an almost silent motor. It is capable of a top speed of 62 mph, and accelerates from zero to 50 mph in 6.8 seconds. The scooter's average range is 155 miles, and with conscientious use of the regenerative throttle, the vehicle's range can be extended by up to 12 percent, adds the company. An all-aluminum construction, nickel-metal-hydride batteries and a customized regenerative braking system allows the driver to use the throttle rather than brakes. Other features and benefits as well as specs can be viewed at the company's Web site

(Source: Vectrix Corp., Frost & Sullivan)

Preventative Health Care Is Not Unlike Preventative Auto Maintenance

PRINCETON, NJ - The rising cost of health care has led to a number of changes in recent years to employee plans. Increased copays, tailored plans and the advent of health care accounts in the workplace are some of the repercussions. But one emerging trend - disease management programs (DMPs) - is remarkably similar to the automotive service and repair industry.

DMPs operate on the premise that it is cheaper in the long run to manage one's health on an ongoing basis, as opposed to waiting until a serious breakdown occurs. Not only are health care costs higher in a health breakdown event, but the loss of a trained, experienced employee can impact the employer in terms of income, production and more. 

The argument for DMPs are not unlike those of automotive shops selling the merit of preventative maintenance to their customers verses the emergency repairs when something breaks or quits working. But how does one transform this hypothetical belief into the reality of acceptance? What is the rationale to elicit buy-in? Without a means to measure the cost effectiveness of maintenance versus breakdown management, it's a tough sell - for everybody involved. 

To help address the problem, firms in the health management industry are looking for solutions. For instance, APEX Management Group, a healthcare actuarial consulting organization, has developed new assessment tools that will allow employers to evaluate the cost-effectiveness of disease management programs. 

"Over the last few years, employers have been adding various disease management programs in an effort to help manage the cost of their healthcare benefit programs," said Barry Rosenfeld, a senior consultant at APEX. "Now, virtually every employer with a disease management program is questioning whether these programs are saving money and having an impact on their workers."

At the heart of APEX's program are its proprietary predictive modeling and forecasting tools, which are used to identify the extent of real cost savings attributable to an employer's disease management program. "Until now, employers have relied on potentially biased performance and savings data produced by a disease management program vendor to try and evaluate cost savings," said Rosenfeld. "Our approach ensures that benefit managers receive a completely independent analysis of whether real savings occurred and whether any are the result of the disease management vendor's interventions."

The program measures the return-on-investment (ROI) for a DMP. The process involves analyzing the claims and medical resource use of disease management participants who were covered by an employer's medical program for at least 12 months prior to joining the disease management program. These costs are analyzed both before and after the start of the disease management program. In addition, the participant group's costs are compared with a second group of workers who do not participate in the disease management program but who closely match the health status and demographics of the program participants.

Rosenfeld says, "There's no question that these programs can potentially have an enormous impact on the health and productivity of a company's workforce, as well as its bottom line." 

(Source: APEX Management Group)

The Quest For Entry-Level Automotive Professionals Continues

LEESBURG, VA - With nearly 22 years of service to the industry, the National Automotive Technicians Education Foundation (NATEF) recently reported passing the 300,000 mark in the number of young men and women taking NATEF-certified programs across the nation. In 2005, more than 2,000 NATEF-certified training programs in secondary and post-secondary facilities graduated 36,000 new technicians in mechanical, truck and collision repair and refinishing areas. 

NATEF continues to liaise with state Departments of Education, as it fulfills its mission of improving the quality of technician training programs through voluntary certification. Given the ongoing discussion about where tomorrow's entry-level technicians will come form, NATEF CEO Ronald H. Weiner said, "I think it's important to recognize what we have that is working well, and NATEF certainly plays a key role in ensuring a qualified workforce for the entire automotive industry."

(Source: NATEF)

House Passes Pension Protection Legislation

WASHINGTON- The U.S. House of Representatives recently passed the Pension Protection Act (H.R. 2830). The legislation is an attempt to strengthen outdated worker pension laws to help ensure employers properly and adequately fund their worker pension plans, provide meaningful new disclosure to workers about the status of their pension plan, protect taxpayers from a possible multibillion dollar taxpayer bailout, and make common sense modifications to encourage greater personal savings for retirement and other needs. 

The law includes six key reforms to the defined benefit pension system, the defined contribution system, and the laws impacting personal savings, as well as health and long-term care: 

Certainty: H.R. 2830 establishes a permanent interest rate to more accurately calculate employers' pension liabilities to ensure a company funds its worker pension promises. 

Common sense: The bill gives employers incentives to help build up a cushion in their worker pension plans during good economic times, raising the maximum deductible amount for pension plans contributions. 

Stability: The measure closes funding loopholes and reduces volatility in worker pension plans by ensuring employers make adequate and consistent cash payments to their plans. 

Transparency: The bill ensures workers and retirees are given timely, accurate and straightforward information about the health of their plans and, thus, their own financial future. 

Honesty: With hundreds, if not thousands, of significantly under-funded pension plans across the country, H.R. 2830 includes reasonable restrictions to ensure employers and union leaders cannot jeopardize the health of a pension plan by promising extra benefits if it is less than 80 percent funded. 

Portability: The bill helps resolve legal uncertainty to ensure hybrid plans such as cash balance pensions - which offer portable benefits that allow workers to earn more generous benefits steadily throughout their careers - remain a viable part of the defined benefit system. 

Chairman John Boehner (R-OH) of the House Education and the Workforce Committee issued a fact sheet on Dec. 14, outlining the specific action points for each of the above provisions, which can be viewed online.

(Source: House Education & the Workforce Committee)

EPA Amends Enforcement for 
CA's Phase 3 RFG Program

WASHINGTON - The U.S. Environmental Protection Agency (EPA) completed an amendment to exempt refineries covered by California's Phase 3 reformulated gasoline (RFG) program from some federal enforcement provisions as part of efforts to streamline requirements. 

The final amendment will prevent refineries, importers and blenders of reformulated gasoline from having to comply with duplicated federal and state requirements. RFG is blended to burn cleaner and to reduce smog-forming and toxic air pollutants. This cleaner-burning fuel is required to assist areas of the country in meeting EPA's National Ambient Air Quality Standards. 

The exemptions in this rulemaking will not excuse industry from meeting federal RFG standards. However, the final amendment will reduce compliance burdens on regulated industry without resulting in any negative environmental impact.

(Source: EPA

China's Geely to Export to 
the U.S. in 2008

(Photo: Geely Holding Group)

NINGBO, CHINA- According to reports in the China Daily and Shanghai Daily, Geely Holding Group will be the first Chinese automaker to exhibit a Chinese automobile manufacturer to exhibit products at the 2006 North American International Auto Show, held in Detroit Jan. 14 through 22. 

The automaker has already been exporting its models to the Middle East and Eastern Europe and intends to launch U.S. sales in 2008. Geely will be the second Chinese automaker to announce intentions to sell in the United States. One of Geely's vehicles, the 7151 CK sedan, is expected to retail for less than $10,000.

(Source: China Daily)

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