by Joseph Szczesny

(2007-07-01)

Officials from General Motors Cadillac Division have confirmed the automaker is considering the feasibility of offering a hybrid powertrain in all of its future products.

Cadillac spokesman Kevin Smith said given the current regulatory and fuel-prices environment, the only prudent policy is too look at all possible powertrain options for vehicles that are now in the planning process. The effort will include looking at whether hybrid powertrains make sense for any or all of Cadillac's future vehicles, said John Howell product planning manager.

"It just makes sense to look at everything," added Smith. "We're looking at hybrids and whatever other technology is out there, including diesel and alternative fuels," he said.

The current debate over fuel-economy standards now pending in Congress is having an impact on the planning process, Smith added.

Meanwhile, Cadillac is now scheduled to introduce its first hybrid, an Escalade equipped with GM's 2Mode hybrid system next year. Hybrid versions of the Chevrolet Tahoe will appear in the late autumn, GM officials said last week.

On a side note, GM sold its Allison Transmission division to the Carlyle Group and Onex Corp. last week for $5.6 billion. However, GM excluded from deal an Allison plant inBaltimore, Md., which is scheduled to build the new 2Mode hybrid powertrains.

In addition, GM announced plans to invest $945 million to make its European model line more environmentally friendly. The investment would help build cleaner and more efficient 1.3-liter engines that will emit less carbon dioxide per kilometer than required by the European Union's controversial standards of 2012. The new engine will power the Corsa, which is one of GM Europe's most important models.

Carmakers have missed previous targets and the EU is beginning to take a tougher line with carmakers that sell vehicles across Europe. The new engine is part of what GM described as its new ecoFLEX program, which is designed to make the company's vehicles less dependent on gasoline for fuel. "Eco does not mean spartan or cheap," said Hans Demant, head of the Opel's car division.

GM also would offer an ecoFLEX variant with lower emissions in each model line.

As part of the program, Saab will expand its range of engines that run on biofuel and Bob Lutz, GM's vice chairman, said the program offers ways to cut CO2 emissions quickly. Lutz said GM is counting on a variety of technologies and a variety of fuels including E85, a blend of ethanol and gasoline, to power vehicles in the future.

"E85 has a very strong potential to significantly reduce CO2 from passenger cars in the near term. What is required is a pan-European policy to make the necessary fuels widely available and reflect the lower CO2 emissions in vehicle taxation,'' Lutz said.

Lutz also predicted that GM would be able to sell between 20,000 and 30,000 Chevy Volts annually once it reaches the market early in the next decade.

GM recently moved 500 engineers working on the company's fuel-cell program from advanced engineering to the GM Powertrain Group, which has to sign-off on the production of all of GM's engines and transmissions.

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