Tuesday
Dec092008
Automakers must "transform" energy, efficiency
Tuesday, December 9, 2008 at 1:31PM
Chairman of the House Select Energy and Global Warming Committee Edward Markey (D-Mass.) said that U.S. automobile companies are in trouble because of "their inability to move from Car 1.0 to Car 2.0 over the past half century. A business model premised on bigger cars, wider highways, and more oil is a failed equation."
At a hearing to discuss the potential automobile bailout's effect on energy independence, Markey said that these car companies should "use this moment as an opportunity to transform." He felt that "innovation and technological change over the long term" must be made a priority in the future for these companies.
The automobile industry is a "very cornerstone industry" in the U.S. said Rep. Candace Miller (R-Mich.). If they went bankrupt, Miller said it would have "a catastrophic effect on our economy." Miller praised the automobile industry as a lynchpin for creating the U.S. middle class.
Joan Claybrook, President of Public Citizen, felt that laws must be put in place to demand technological and energy-efficient improvements to ensure that auto industries sufficiently attempt these initiatives. She stated that the fuel efficiency required of 35 mpg by 2020 is a "meager provision."
"We're going to have these vehicles one way or the other," said Peter Morici, Professor of International Business at the Robert H. Smith School of Business at the University of Maryland, referring to more energy-efficient and higher gas mileage automobiles. He felt that the only question is whether these improved vehicles are going to be made in the U.S. or not. Morici thinks that these companies should be bailed out only if they agree to share their patents with their competitors for a small price.
At a hearing to discuss the potential automobile bailout's effect on energy independence, Markey said that these car companies should "use this moment as an opportunity to transform." He felt that "innovation and technological change over the long term" must be made a priority in the future for these companies.
The automobile industry is a "very cornerstone industry" in the U.S. said Rep. Candace Miller (R-Mich.). If they went bankrupt, Miller said it would have "a catastrophic effect on our economy." Miller praised the automobile industry as a lynchpin for creating the U.S. middle class.
Joan Claybrook, President of Public Citizen, felt that laws must be put in place to demand technological and energy-efficient improvements to ensure that auto industries sufficiently attempt these initiatives. She stated that the fuel efficiency required of 35 mpg by 2020 is a "meager provision."
"We're going to have these vehicles one way or the other," said Peter Morici, Professor of International Business at the Robert H. Smith School of Business at the University of Maryland, referring to more energy-efficient and higher gas mileage automobiles. He felt that the only question is whether these improved vehicles are going to be made in the U.S. or not. Morici thinks that these companies should be bailed out only if they agree to share their patents with their competitors for a small price.
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