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Alternative fuel vehicles- A buyer's guide

Exploring options: A user's guide to buying alternative fuel vehicles
By Sharon Silke-Carty

With gasoline prices high, politicians and auto executives are talking up the benefits of alternative-fuel vehicles.

That includes cars that run mostly on corn-based ethanol to gas-electric hybrids, and from diesel-powered vehicles to cars that burn natural gas.

But sorting out what's in showrooms and what the fuel savings are can be confusing. And industry watchers say many consumers are sitting on the sidelines because they aren't sure gasoline prices will stay high. "It's almost impossible to tell where (gas prices) are going," said David Cole of the Center for Automotive Research.

If you're convinced gas prices will stay high and you're willing to buy a new car now, here's a guide to alternative-fuel vehicles.

Hybrids

Tell someone you're thinking about buying a gas-electric hybrid, and there's a chance the person will whip out a calculator to prove what a dumb idea that is.

Hybrids save fuel by using an electric motor at times rather than the gasoline engine. But the cost of the extra motor, an additional battery and other needed technology have made hybrids about $3,000 more expensive than their traditional gas-only counterparts. That cuts into the savings on gas.

However, the equation soon may start changing in hybrid's favor. For one thing, higher gas prices mean bigger savings with a hybrid.

Toyota said last month that it plans to dramatically increase the efficiency of its popular Prius hybrid; it had already said it wants to cut the hybrid premium to about $1,500.

Other automakers also are responding to price sensitivity in the hybrid market. General Motors Corp. announced last month that it will price the new Saturn Vue hybrid SUV at $23,000, about $1,500 more than a comparable gasoline-powered Vue.

Buyers also may get a tax credit for purchasing a hybrid. It varies, based on fuel economy, from under $1,000 to more than $3,000 and is limited to a certain number of vehicles.

Diesels

Shedding their reputation as belchy, smoky messes, diesel engines are growing in popularity among American consumers. Since 2000, registration of diesel-powered passenger vehicles has gone up 80 percent, according to R.L. Polk.

"Americans are increasingly looking to diesel as a readily available solution to help alleviate their pain at the pump," said Allen Schaeffer of the Diesel Technology Forum.

Diesel fuel can cost more than gasoline but gets 20 percent to 40 percent better fuel efficiency, meaning you go farther on a gallon.

Right now, there are only a handful of diesel cars available to U.S. consumers. Volkswagen sells its Beetle, Golf and Jetta in diesel versions, and Mercedes sells the E320 sedan in diesel. Chevy, Dodge, Ford and GMC sell diesel pickups.

There could be more in the future. Strict emissions laws have kept many automakers from jumping on board. But DaimlerChrysler promises its BlueTec engine, when used with low-sulphur diesel available in the U.S. this fall, will make its diesel engines clean enough to meet new emissions standards in all 50 states.

The downside? Even though the technology is better, diesels are still louder than traditional gas engines.

Flexible-fuel

The hype surrounding ethanol is making Detroit automakers and corn farmers happy.

There are already about 5 million flexible-fuel vehicles - FFV - on the road that can run on E85, a blend of 85 percent corn-based ethanol and 15 percent gasoline, or on regular gasoline. All are from domestic automakers, which are primed to introduce more of them.

There are two big downsides to ethanol: One, it's less efficient than gasoline, so vehicles get fewer miles to the gallon, and drivers need to refuel more often. That leads to the second big downside: There are only about 600 refueling stations in the U.S., most in the Midwest.

Natural gas

California drivers can buy the Honda Civic GX, which runs on natural gas.

To make refueling convenient, owners also can lease a natural gas home-refueling appliance. It is mounted on a garage wall and allows the GX to refuel overnight from a homeowner's natural gas supply line.


Hybrid

Hybrid vehicles save fuel by using an electric motor at times rather than the gasoline engine. The cost of the extra motor, an additional battery and other needed technology have made hybrids about $3,000 more expensive than their traditional gas-only counterparts.

Diesels

Since 2000, registration of diesel-powered passenger vehicles has increased by 80 percent. Emission laws have kept many automakers from marketing cars that run on diesel - which costs more than traditional gasoline but gets 20 to 40 percent better fuel efficiency.

Flexible-fuel

Vehicles run on E85, a blend of 85 percent corn-based ethanol and 15 percent gasoline. Ethanol is less efficient than gasoline, so vehicles get fewer miles to the gallon, and there are only about 600 refueling stations in the United States.

Natural gas

Only California residents (and beginning in the fall, New Yorkers, too) can buy the Honda Civic GX, which allows owners to rent a natural gas home-refueling appliance that taps into the family natural gas line.