Toyota moves to corner the 'plug-in' market

The impact on America's dependence on foreign oil could be dramatic if such technology were widespread, according to energy-security hawks like former CIA director James Woolsey, who has cited the technology as a key to cutting US reliance on Mideast oil. President Bush also mentioned the technology in his State of the Union speech.

Frank's studies suggest a major impact on US oil dependence if most vehicles were plug-ins. While an average person might fill the tank with gasoline about 35 times a year, a plug-in would require perhaps six times.

A great idea? Perhaps. But when offered a detailed look at the machine, each of Detroit's Big Three took a pass, Frank says.

Toyota, however, accepted his offer. It loaded up the students' plug-in truck and flew it back to the company's research headquarters in Japan. A few weeks later the truck was returned intact, many of its technological secrets well digested.

Gas prices were probably the biggest factor in changing Toyota's stance. But it also probably helped that Daimler-Chrysler has been delivering its first plug-in hybrid vans to big companies.

That impetus, plus the other auto companies talking about it, apparently pushed Toyota to go public. After all, it has established a lead in hybrid technology with the Prius – and it wants to remain out in front.

Another factor might have been the nudge from a group of tech guys working in their garages, modifying a regular Prius into a plug-in vehicle. Such changes voided the warranty, but CalCars founder Felix Kramer says he's pleased if his group has goaded Toyota into making a production plug-in – the group's goal all along.

"I'm the first consumer-owner of a Prius converted to a plug-in and ... I'm getting at least 100 miles per gallon equivalent. We're still working on better versions, and it's catching on."

Battery technology remains a challenge. Deep discharges can wear out ordinary and previous-generation batteries. But Mr. Kramer says today's lithium ion batteries are up to the challenge.

In fact, since proving it could be done by making their own in a garage, after- market conversion companies are now offering to convert regular Priuses into plug-ins for about $10,000 to $12,000.

Despite some concerns that plugging in might stress the electric grid, or actually increase carbon dioxide emissions by relying on coal-fired power plants, Kramer is not worried. Most charging would be done at night, tapping power at a low-demand time. And because electric power is much more efficient per mile, the amount of pollution and carbon dioxide sent skyward would still be far less than an automobile engine, his analysis shows.

"What it gives you is the world's cleanest extended-range vehicle," he says. "If Toyota were to begin selling these tomorrow they could sell as many as they could build."

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