(Source: Wall Street Journal)

DALLAS — Since Henry Ford began mass production of the Model T nearly a century ago, car-loving Americans have gulped ever-increasing volumes of gasoline. A growing number of industry players believe that era is over.

Among those who say U.S. consumption of gasoline has peaked are executives at the world’s biggest publicly traded oil company, Exxon Mobil Corp., as well as many private analysts and government energy forecasters.

The reasons include changes in the way Americans live and the transportation they choose, along with a growing emphasis on alternative fuels. The result could be profound transformations not only for the companies that refine gasoline from crude oil but also for state and federal budgets and for consumers. Much of contemporary America, from the design of its cities to its tax code and its foreign policy, is predicated on a growing thirst for gasoline.

 As Americans commute less, use more fuel efficient cars and take more public transportation, gas stations have shut down. There are 11% fewer places to pump gas in the U.S. today than there were a little over a decade ago.

In the vast market for crude oil, American gasoline consumption matters. One of every 10 barrels of crude ends up in U.S. gasoline tanks, more than is used by the entire Chinese economy.

Right now, the recession is curbing U.S. gasoline consumption, as laid-off workers stop commuting and budget-conscious families forgo long road trips. Drivers filled their cars with 371.2 million gallons of petroleum-based gasoline every day in 2007, according to the U.S. Energy Information Administration. It expects that to fall 6.9% to 345.7 million gallons in 2009, as demand at the pump declines and the use of plant-based ethanol increases. Even if usage climbs after the recession ends, it won’t exceed 2007 levels, according to EIA forecasts.

Demand for all petroleum-based transportation fuels — gasoline, diesel and jet fuel — fell 7.1% last year, according to the EIA. This is the steepest one-year decline since at least 1950, as far back as the federal government has reliable data.

Many industry observers have become convinced the drop in consumption won’t reverse even when economic growth resumes. In December, the EIA said gasoline consumption by U.S. drivers had peaked, in part because of growing consumer interest in fuel efficiency.

Exxon believes U.S. fuel demand to keep cars, SUVs and pickups moving will shrink 22% between now and 2030. “We are probably at or very near a peak in terms of light-duty gasoline demand,” says Scott Nauman, Exxon’s head of energy forecasting.

If Exxon is right, the full impact of falling demand for fuel would take years to be felt. But some deep changes are under way.

Click here to read the entire article.    Also, don’t forget to explore the interactive graphic that offers some stunning statistics.  Below is a video report from WSJ for this story. 

(Source: Autobloggreen)

 

You know what state needs more smart fortwos? Texas. That must have been Daimler’s thinking before approving an expansion of the car2go carsharing service there. Daimler started car2go in Ulm, Germany last October and it will be coming to Austin, Texas – that little blueberry in the big red cherry pie of a state – this fall. There are now more than 200 fortwo cdi models that anyone in Ulm, visitor or resident, can rent by the minute, hour or day, 24/7. Costs range from 19 euro cents a minute to 9.90 euros an hour to 49 euros a day. Unlike other car-sharing services, registering for the car2go service is free. Daimler didn’t release any information on possible pricing for the U.S. service.

 

The Daimler press release available on Autobloggreen has some additional info. on this, including this nugget:

The capital of Texas with its 750,000 residents is appreciably bigger than Ulm and is distinguished by its open-mindedness and its very involved citizens. “We very much look forward to becoming the first international partner of car2go,” says mayor Will Wynn. “Our city is known for its strong sense of environmental responsibility. car2go fits this wonderfully because we can then offer the residents of Austin an intelligent mobility concept with a high positive environmental factor. The project has our full support.” 

As in the first phase of the German pilot project, car2go will begin in Austin with a defined group of users, for example city employees. It is then planned to make car2go accessible to the public in Austin in a second step.  Other factors predestining Austin to be the first international car2go city are the city’s size and its up-to-date economic structure. Among other things it is the location of the fourth largest university in the USA. Beginning in autumn 2009 a fleet expected to number 200 smart fortwo mhd vehicles with automatic start/stop function will be put into operation there.

Click here to read more and to view an awesome picture gallery showing more Smarts in Austin.

(Source: KERA – Publicbroadcasting.net)

Texas boosters of a cross-state high-speed rail project are looking at the Federal Stimulus package. There’s money available that could put the Texas T-Bone on the right track. Texas Public Radio’s David Martin Davies has the story.

The Texas T-Bone is a high speed rail plan that would stretch from San Antonio to Dallas parallel to I-35. But midway – in Temple – the rail would branch off to the east to College Station and over to Houston.

Fickes: We’re talking 180 to 220 mph high speed rail.

Gary Fickes is a Tarrant County Commissioner and the secretary of the Texas High Speed Rail and Transportation Corporation.

Fickes: There’s no engineering been done, There’s no environmental been done. Nothing is shovel ready. We’d like to start doing our feasibility studies. Identify right of way. I think primarily that’s what you’re going to see the stimulus dollars on high speed rail go towards.

Texas agricultural interests are viewing the project with suspicion. They see it as gobbling up precious Texas Farmland.

Click here to read the entire article.