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GM Broadens Battery Replacement to Cover All Recalled Bolts

General Motors now plans to replace all battery modules on Chevrolet Bolt electric vehicles covered by recall the company announced back in July.

A recent Chevy Bolt fire in Ashburn, Virgina caused $235,000 in damage. (Photo credit: Bobby Busche via Facebook)

The module replacements, which could start this month, follows GM’s announcement this week it was recalling 2017-2019 Bolt battery-powered cars for the second time in less than a year, according to Reuters.

Two recent fires involving affected Bolts were reported after the initial recall, including one vehicle that had updated software, the agency said.

GM said in a statement Monday it would replace recalled vehicles’ lithium-ion battery modules with new modules, rather than replacing entire battery packs. “The battery pack case, wiring and the other pack components are not defective and do not need replacing,” the statement said.

Earlier recall plan fails to solve problem

charred Chevy Bolt in garage — One of the two recent Bolt fires included a vehicle that completed the software update.

GM said earlier the high-voltage batteries being recalled were produced in South Korean battery manufacturer LG Chem’s facility in Ochang, South Korea.

The company disclosed July 23, along with LG Chem, it identified the presence of two manufacturing defects in the same battery cell as the root cause of battery fires in certain Bolt EVs. GM described the defects as “rare” by GM.

LG Energy Solutions, a wholly owned LG Chem battery subsidiary, said in a statement to Reuters it “will actively cooperate to ensure that the recall measures are carried out smoothly.”

Last month, GM disclosed it was taking an $800 million charge to cover the cost of the recall of the battery electric vehicles.

2022 Chevrolet Bolt EV — The new Chevrolet Bolt is not affected by the battery pack issue.

The recall of Bolt EVs comes as GM is preparing to ramp up a multi-billion-dollar investment that will put 30 new electric vehicles on the road by 2025. One of the first new models, the GMC Hummer EV, is scheduled to appear this fall. In addition, GM is now committed to building four new battery plants in the United States through a partnership with LG Chem, according to GM chairman Mary Barra.

GM’s not alone

GM isn’t the only automaker facing lithium-ion battery fires. Hyundai Motor Co., Ford Motor Co. and BMW AG have faced similar recalls in recent months.

In February, Hyundai recalled 82,000 battery-electric vehicles worldwide for lithium ion batteries that could catch fire. Vehicles affected include approximately 76,000 battery-electric Hyundai Kona EVs built between 2018 and 2020, with the rest consisting of Hyundai Ioniqs and city buses. Hyundai replaced the batteries rather than resolving the issue through software updates. The recall, which cost Hyundai $900 million, comes after at least 15 Konas reportedly caught fire.

LG Chem, which produces the cells, claims the automaker incorrectly applied recommendations about fast battery charging management. Hyundai advised vehicle owners to limit charging to 90% of the battery capacity until the cells can be replaced. Nevertheless, the battery supplier assumed 70% of the recall cost.

Jeep Plugs In — Brand Expecting Plug Models to Generate 70% of its Sales

Slowly, carefully, the driver eases his Jeep Wrangler forward, its big wheels grabbing a purchase on the boulder blocking its way. The nose now pointing up at a seemingly impossible angle, the SUV quickly scrambles to the top of the craggy hill, offering a commanding view of Texas Hill Country.

The Jeep Wrangler 4xe is a massive hit for the off-road brand. The entire 2021 allotment is sold out already.

Jeep fans likely would say it’s all in a day’s driving off-road with a Wrangler. But what’s particularly notable about the excursion is the fact the SUV is doing it all in near silence. That’s because it’s the new Jeep Wrangler 4xe, the brand’s first electrified model.

Since it was launched this past April, the plug-in hybrid 4xe has caught on like a California wildfire, accounting for more than 20% of total Wrangler sales — a figure limited only by available production. Jeep’s U.S. brand boss Jim Morrison said dealers have now ordered every one of the plug-in hybrids the brand can build for the rest of the year.

A plug for every purse and purpose

The Wrangler 4xe may be the first plug-based model in the Jeep line-up, but it won’t be last — nor will it be alone for long. By mid-decade there will be a 4xe version of every model in Jeep’s product portfolio, global CEO Christian Meunier said during a webinar earlier this week. About the same time, Jeep will offer a full battery-electric vehicle in every single product segment it competes in, he added.

A 4xe version of the new Jeep Grand Cherokee will debut late this year, Jeep officials confirmed, with a plug-in option coming soon for the new Compass model introduced this week at the Chicago Auto Show.

“Electrification is the big opportunity for Jeep,” said Meunier. While the automaker will have to comply with increasingly stringent emissions and fuel efficiency standards, it plans to get out ahead of the regulators because it believes there will be growing consumer demand. “It’s an opportunity to make our products even more capable.”

Instant torque

The Grand Cherokee will be the next plug-in offered by Jeep with more to follow.

The Wrangler 4xe puts out 375 horsepower and 470 pound-feet of torque. But even those seemingly impressive numbers tell only part of the story. The SUV’s two electric motors deliver virtually all of their rock-crawling torque the moment they start turning, quickly earning the plug-in a reputation for being especially capable off-road.

The electric drive system allows a motorist to shut off the Wrangler’s gas engine entirely, operating in near silence when driving off-road. On pavement, the SUV can manage up to 21 miles in electric-only mode, while also boosting mileage when its 4-cylinder gas engine fires up.

Since the 4xe’s launch, “We’re seeing customers who wouldn’t have considered a Wrangler because it was politically incorrect” (and often derided by environmentalists as a gas guzzler), said Morrison during an interview in Chicago. But now, the SUV is winning over eco-friendly converts. And Jeep officials are betting they’ll gain even more traction as they add more PHEVs and, eventually, BEVs to the brand.

An important anniversary

Meunier formally estimates that plug-based products will account for 70% of Jeep’s global sales by 2025. “And I think 70% is on the low side,” he added during this week’s webinar.

2021 Jeep Wrangler Rubicon 392 with Xtreme Recon package also makes its appearance at the Chicago Auto Show this week.

The transformation comes at a significant time for the brand. It is celebrating its 80^th anniversary July 15, and it is in the midst of one of the most aggressive product campaigns in its history. Along with the Compass, it brought to Chicago the new Wrangler Rubicon Recon model. It is launching the next generation Grand Cherokee, and the first 3-row Grand Cherokee L. There’s also the high-line Wagoneer and Grand Wagoneer models coming later this year.

While Jeep was an early SUV pioneer, it missed a number of opportunities, Morrison conceded, by not expanding its line-up nearly as fast as key competitors such as Ford or Toyota. And that gave an opportunity to upstarts like Subaru, as well.

Now, brand officials are confident they’ve left few open niches. If anything, however, going electric will create even more options, said Mark Allen, the director of Jeep exterior design.

A new design paradigm

Pure electric vehicles, in particular, offer “exciting” possibilities,” said Allen, since their batteries and motors are moved under the load floor. That essentially eliminates the need for a conventional engine compartment.

“I see us able to open up (the design) of a vehicle in ways we can’t now,” added Allen, highlighting sketches of some radically different Jeep designs that could come to market in the decade ahead.

There will be “plenty of new opportunities for Jeep,” echoed Morrison. As it goes electric, it will give the brand a chance to enhance the off-road capabilities it is best known for, while adding on-road comfort and features it couldn’t offer with conventional, gas and diesel-powered products.

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Lexus Finally Gets Charged Up Over EVs

The first Lexus electric vehicle will be a rapid, five-passenger SUV with a dramatic shape that previews the future of the Japanese luxury brand. As The Detroit Bureau has previously noted, Lexus and its parent company, Toyota, have not always been enamored by EVs. Toyota’s President and CEO, Akio Toyoda, called BEVs overhyped late last year, and he’s questioned their environmental benefits as countries plan to phase out sales of gas and diesel-powered automobiles.

While the debut of the Lexus LF-Z Concept and Toyota bZ4X show the two brands are moving ahead with full-electric models, their ambitions for EV models is far more muted than rivals like Volkswagen and General Motors. In total, Lexus will have 10 “electrified” vehicles in its lineup by 2025.

Keep in mind that Toyota and Lexus count hybrid models, even those without any electric-only range, as falling into the electrified category. This being said, Lexus’ first dedicated EV will be part of this grouping and promises to have the performance to match competing model like the Audi e-tron, Jaguar I-Pace, and Tesla Model X.

What you see is what you’ll get

In terms of design, the production version of the LF-Z should remain close to the concept. This includes highly sculpted sides, tapering tail, and a grille-less version of Lexus’ signature (and still controversial) spindle grille. The gaping maw found on current Lexus vehicles has been blanked off on the LF-Z Concept – and arguably looks better for it. Similar to today’s Jaguar I-Pace, the LF-Z seeks to bridge the gap between swept-back sedan and high-riding

2021 Lexus LF-Z concept rear — The 2021 LF-Z concept is just the latest LF concept car shown by Lexus.

The cabin of the LF-Z Concept offers fewer hints about what to expect when Lexus’ electric SUV rolls into dealerships within the next 3 years. The driver sits in a pod-like enclosure in which the right-side bottom of the seat sweeps upward and connects to the dash.

No big surprise, the dashboard consists of touch screens, three of them to be exact. And true to concept car norms, the end result looks extremely futuristic, mostly unfeasible for production, and incredibly uncomfortable. Why do concept car seats never have cushions of any sort?

What we know so far

Details like pricing, performance, and range are still under lock and key. While the Lexus EV will be based on the same platform as the Toyota bZ4X and Subaru Solterra, very few specifics about these joint-venture-engineered vehicles has been released up till now.

All three ride on versions of the jointly developed e-TNGA platform, and the Lexus variant will certainly have the upper hand when it comes to outright performance. While the LF-Z Concept boasted in excess of 500 horsepower and a range of nearly 400 miles, we expect those figures to float slightly back to Earth in the production model.

2021 Lexus LF-Z concept cockpit — The LF-Z’s battery-electric concept interior

A range of 250 to 350 miles sounds realistic, as does a 0-60 mph time of roughly 4.0 seconds – the LF-Z supposedly needed only 3.0 seconds for the same acceleration run. Lexus has stated its electric SUV will feature an advanced all-wheel drive system capable of shuttling power and grip extremely fast from wheel to wheel.

Lexus has said even less about pricing than it has any mechanical aspects of its first dedicated EV (the brand presently sells an electrified version of the UX crossover in Europe). An educated guess would put the production version of the LF-Z around $60,000-$70,000, which is right on point with rivals from Audi, Jaguar, and Tesla.

Tank Truck Driver Shortage Could Hit Hard During Independence Day Break.

After more than a year of pandemic restrictions, nearly 50 million Americans are expected to travel during the Independence Day break — and while motorists are used to paying a premium for fuel on holidays, there’s also the risk that some pumps could be running dry.

Houston traffic — Travel over the holiday is expected to run 40% higher than 2020, according to AAA.

This time, it’s not hackers to blame, no shutdowns like the one that hit the Colonial Pipeline in May. The problem is getting fuel from refineries to pumps with a serious shortage of drivers for the nation’s tank truck fleet.

In recent days, there have been reports of pumps running dry all along the Pacific coast, as well as Colorado, Iowa, Indiana and Ohio, according to tracking sites such as the Oil Price Information Service. And the situation could get even more severe as motorists take to the road for the holiday.

Travel rebounds

The AAA estimates 47.7 million Americans will travel for the holiday, a 40% increase from the pandemic-plagued 4^th of July break in 2020, though still slightly down from 2019 numbers. About 43.6 million will take to the highways, the travel service forecasts.

As is the norm, fuel prices have gone up in anticipation of higher demand. GasBuddy.com showed prices for regular fuel running a national average of just over $3.13 a gallon as of Friday morning, July 2. That’s about a nine cent jump in the past 30 days.

The increase is actually modest heading into a major holiday, based on historical records, however. And it actually lags the roughly 20-cent run-up between the beginning of April and June 1. A sharp increase in gasoline stocks during June helped rein in costs, according to AAA.

As much as a quarter of the nation’s tanker trucks have been idled by a shortage of drivers.

“Despite the latest increase in demand, many motorists are not seeing significant pump price jumps due to increasing stock levels, which have significantly built over the last four weeks,” Jeanette McGee, AAA spokesperson said late last month.

Plenty of fuel — at the refinery

There is plenty of fuel at refineries and even regional storage depots across the country, particularly with the Colonial Pipeline and other national distribution networks up and running. The problem is getting fuel to local pumps.

This has been a matter of growing concern for several years, escalated by the pandemic. The National Tank Truck Carriers, a trade group, reported this spring that 20 to 25% of gasoline tankers were sitting idle, with no one available to put behind the wheel. And, if anything, trucking companies are finding it difficult to replace drivers who continue to quit or retire in large numbers. If anything, the number of drivers who quit the business accelerated in 2020 as demand for fuel plunged and tanker companies cut work schedules.

Operating a tanker truck can be a dangerous job and requires additional training and licensing. So, resolving the shortage of drivers could take time to address.

For now, that means service stations placing an order for more fuel might have to wait a couple days, rather than expect same-day delivery, said Tom Kloza, global head of energy analysis for the Oil Price Information Service.

Getting gas — There are steps you can take to avoid running out of fuel, even if shortages worsen over the holiday.

Spot shortages – and what to do if you find one

AAA’s McGree told TheDetroitBureau.com spot shortages were already popping up around the country by April, especially in popular destinations like Las Vegas and Orlando.

Where else shortages might pop up is hard to predict, according to Patrick De Haan, head of petroleum analysis at GasBuddy. So far, they’ve been “random in nature,” and motorists could find one station completely dry while others nearby have plenty of fuel.

“What we don’t want to happen this holiday is for someone to see a bagged pump and start to panic,” McGee told the Bloomberg news service.

Experts offer several bits of advice:

Make sure to have plenty of fuel in your tank before heading out on the road;
Don’t let your car run dry before seeking a place to refill — especially if you’re in parts of the country where service stations are few and far between;
If you do pull off and find a station has run dry, look around. Odds are there’s another place nearby with plenty of fuel;
Use one of the many apps, like GasBuddy, to track fuel availability on the road. They’ll also help you find the best price.

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EV Sales Nearly Double in U.S.

The surge in demand for new vehicles has been driven by trucks and crossovers — and electric vehicles.

2021 Tesla Model Y blue — Tesla’s Model Y was the top-selling EV through the first four months of the year.

New data from Experian reveals that new vehicle registrations for electric vehicles are up 95% during the first four months of 2021. The entire market isn’t languishing as its up 36% overall. The jump pushed the market share for EVs to 2.3% — a jump from 1.6% for the same period in 2020, Automotive News reported.

Surprisingly, not every maker is enjoying the stratospheric rise. Tesla Inc., the top seller of electric vehicles around the world, saw registrations decline on three of its four vehicles during the period. Only the Model Y rose, much of that attributed to the fact it had just begun production at the end of last February.

According to Experian, Model Y sales jumped from 2,260 during the first four months last year to 53,102 units for the same time this year — a 71% jump. Once the company’s best-selling vehicle, the Model 3 is down 12% and the Model S and Model X are down 63% and 75% respectively.

Not all bad news for Tesla

2021 Ford Mustang Mach-E — The Mustang Mach-E is the first new introduction on Experian’s top 10 EV registrations list through April.

Despite three quarters of its line-up losing sales, it still accounts for the top two selling EVs in the U.S.: Model Y (53,102) and Model 3 (35,468). The S and X are No. 9 and No. 10 vehicles on the list, which is below:

Tesla Model Y
Tesla Model 3
Chevrolet Bolt (13,611)
Ford Mustang Mach-E (6,104)
Nissan Leaf (5,023)
Audi e-tron (4,321)
Porsche Taycan (3,002)
Hyundai Kona (2,192)
Tesla Model X (1,730)
Tesla Model S (1,633)

In all, 133,509 EVs were sold through April and 126,186 of those came from the top 10 vehicles. The e-Golf saw registrations decline, but production of the vehicle ended last year.

2019 Hyundai Kona EV charging — Hyundai’s Kona EV was in the top 10 EV registrations in the U.S.

Where are the EV buyers?

Unsurprisingly, California was the leader, accounting for 38% of EV registration. However, that number is down from 45% from the same period in 2020 — despite a 64% jump in the number of vehicles registered through April.

Other warm weather states, Florida and Texas, took the No. 2 and No. 3 spots in registrations at 7.2% and 5.9 percent. That said, California is helping to lead the way to the overall increase, according to Experian.

In the first quarter — excluding April results — electrics accounted for 7.53% of all vehicles sold in California. For all other states, it was 1.6%. The firm also noted that EV buyers are more likely to buy another one when they buy a new vehicle — and that loyalty is rising.

Among luxury brands, 65% of EV owners bought another in 2018. That figured jumped to 71.8% in 2020. In mainstream vehicle brands, 53.9% bought another EV in 2018. That number jump nearly 10% in 2020 to 63.7 percent.

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Lincoln Planning “Full Portfolio” of EVs by 2030

After years of delays and false starts, Lincoln finally plans to introduce what it describes as a “full portfolio” EVs, with the first to make its debut in 2022.

Lincoln chief Joy Falotico revealed the brand’s plans to add four new BEVs to its line-up and offer a “full portfolio” by 2030.

In all, four battery-electric vehicles, or BEVs are now in development, Lincoln said in a statement. The luxury brand also said a “full line-up of connected vehicles” is in the works, taking things a big step beyond what it currently offers through its Sync infotainment system.

The rollout of the first Lincoln EV will come during the same year the brand celebrates its 100^th anniversary, “no better time to propel the Lincoln brand forward,” said Joy Falotico, the automaker’s president.

The technology will fit Lincoln’s “Quiet Flight” mantra she added, since electric motors are virtually silent and smooth. They can also produce the sort of horsepower and torque that luxury buyers expect.

Brand’s history with hybrids

Lincoln has offered a handful of conventional hybrids in the past decade, as well as plug-ins like the 2021 Lincoln Aviator Touring model. But it has repeatedly scuttled plans to bring a fully electric model to market. That includes a battery SUV that, it announced two years ago, would be developed as part of parent Ford Motor Co.’s alliance with EV startup Rivian. That project was scuttled last year, though Ford said it eventually will work with Rivian for a new, all-electric model.

Lincoln is not saying what sort of BEV it plans to debut next year. But with the company effectively out of the passenger car market in the U.S., it appears highly likely that the marque will introduce some sort of utility vehicle.

Lincoln EV Interior Cutaway sketch — Lincoln is looking to reimagine its vehicle portfolio as it moves toward electrification.

It will be based on an all-new “flexible architecture,” a skateboard-like platform putting both batteries and motors below the cabin load floor. The platform will be able to configured in either rear- or all-wheel drive, according to Lincoln.

Ford was an early pioneer in electrification with products like the short-range Focus EV and Lincoln MKZ Hybrid. But it lagged behind as other manufacturers, starting with Tesla, began rolling out longer-range BEVs that also delivered more sporty performance.

Coming back to battery power

The carmaker joined the expanding market with last year’s launch of the Mustang Mach-E. And CEO Jim Farley said last month that the company will boost its investment in electrified vehicles to more than $30 billion by mid-decade. That will include more pure battery-electric models than previous planned. The next model in the rollout will be the Ford F-150 Lightning pickup set to begin production early in 2022.

While more and more mainstream products are coming to market, the higher premium for battery power has led many manufacturers to emphasize premium and luxury segments. Mercedes-Benz will join the fray later this year with the EQS, an all-electric alternative to the familiar S-Class. Startup Lucid will debut with a nearly $150,000 version of its Air sedan late this year.

Some of the shift to EVs may offer a chance at a new vehicle design ideas.

Lincoln’s technology push also will see it upgrade its connected vehicle technology and services. Today’s Lincolns come equipped with the brand’s version of Ford Sync. Using a smartphone app, a customer can lock the vehicle, remotely start some models, and performance a variety of other remote functions. Lincoln wants to go several steps beyond and is expected to introduce pay and even subscription services, as well.

Among other things, connected vehicles could be linked to a local network — or even to each other — to track weather and road conditions.

New Lincoln models are being equipped with smartphone-style over-the-air update capabilities. These will allow the automaker to remotely update software and even add new vehicle functions, such as advanced driver assistance systems.

That, said Falotico, will allow Lincoln “to create an always-on relationship with (customers) and help transform the Lincoln brand for the future.”

BMW Shows Off Newest EVs: iX and i4

BMW is keeping up with the Joneses when it comes to new electric vehicles, showing off the long awaited iX and i4 today to the U.S. public.

The new BMW iX puts out 516 horsepower and races from stop to 60 mph in just 4.6 seconds.

The new models offer something for all tastes: a new utility model as well as a coupe-style sedan and its first-ever M-branded EV, the i4 M50 — not that performance will be an issue for any of the new models.

The 2022 iX xDrive50 debuts as a “new generation” sport-activity vehicle for the Bavarian automaker. Unfortunately, those in the U.S. wanting to take part in its debut are going to have to wait until Q1 next year for it arrive in America.

When it does arrive, they’ll be very happy, sliding behind the wheel of a 516-horsepower all-electric beast that runs from 0 to 60 mph in just 4.6 seconds — with an estimated range of 300 miles per charge.

The new i4 eDrive40 boasts 335 hp and 300 miles of range.

Not only does it drive fast, the iX charges fast with DC fast charging at up to 200 kW, available 5G and Personal eSIM support. It also offer plenty of room for passengers with an open, airy cabin featuring a single-piece panoramic glass roof with electrochromic shading.

Impressive on the inside

In addition, it follows the trend of others in the luxury space with the BMW Curved Display and iDrive 8, BMW Digital Key Plus with ultra-wideband radio technology, available Bowers and Wilkins Diamond Surround Sound with 4D audio and the iconic BMW kidney grille serving as an intelligent sensor panel with self-healing capabilities.

The new SAV aimed to offer “an exhilarating driving experience combined with a sense of well-being for both drivers and passengers all the while enjoying the journey with safety, security and in luxury,” the company said.

A more powerful iX M60 model, with over 600 hp and the first all-electric Sports Activity Vehicle from BMW M GmbH, is planned for the future. The new iX xDrive50 starts at $83,200 with destination charges of $995.

The 2022 BMW i4 M50 is the company’s’ first-ever all-electric M-branded performance offering.

The flip side

While sedans are on the outs, they’re still viable in electrified form and the new i4 borrows from BMW’s coupe-like styling for many of its performance models. The i4 blends the functionality and space of the gran coupe design with the instantaneous power delivery of BMW’s fifth generation eDrive, the automaker says.

Class-leading driving dynamics and long-distance comfort, elegant design, uncompromising workmanship, cutting-edge user-vehicle interface and advanced infotainment and driving assistance technologies all combine to deliver a zero-emissions BMW worthy of the Ultimate Driving Machine moniker.

Power is provided by BMW’s latest 5th generation eDrive technology which combines the electric motors, power electronics, charging system and high-voltage battery. The electric motor, power electronics and transmission share one compact housing while the high-voltage battery measures only 4.3-inches in height and is mounted low in the floor of the new i4 for improved vehicle agility.

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Former Michigan Governor in Line for Secretary of Energy Post

Former Michigan Governor Jennifer Granholm is President-elect Joe Biden’s choice for Secretary of Energy.

President-elect Joe Biden is apparently prepared to nominate former Michigan Governor Jennifer Granholm to lead the U.S. Department of Energy, giving the domestic auto industry an influential ally in the new administration’s inner circles.

Granholm’s selection, which hasn’t been announced formally, was kept well below the radar. However, Biden worked with Granholm on the critical effort to rescue General Motors and Chrysler Corp. during the early days of the Obama administration in 2009 when she was in her last term as Michigan’s governor.

As Michigan’s governor, Granholm was a forceful champion of the domestic auto industry and pushed hard to bailout Chrysler at a time when some of Obama’s Wall Street-oriented advisers and others were recommending the company be allowed to fail and its remnants absorbed by other automakers.

(As Biden’s new Transportation chief, “Mayor Pete” will face massive list of automotive challenges.)

Granholm’s advocacy earned her the thanks of the United Auto Workers and her proven track record with union should help bolster the Biden administration’s credibility with blue-collar workers, particularly in the Midwest.

General Motors Chairman and CEO Ed Whitacre (left to right), Michigan Governor Jennifer Granholm, U.S. Energy Secretary Steven Chu and Wayne County Executive Robert Ficano look on as the first Chevrolet Volt battery comes off the line at the GM Brownstown Battery plant in Brownstown Township, Michigan Thursday, January 7, 2010. The facility is the first lithium ion battery pack manufacturing plant in the U.S. operated by a major automaker. X10SN_SN013 (Photo by Steve Fecht for General Motors) (01/07/2010)

Then-GM Chairman and CEO Ed Whitacre, left, Granholm, and U.S. Energy Secretary Steven Chu at the GM battery plant in Michigan.

At the same time, she also prodded Detroit’s automakers to adopt new technology.

In addition, Granholm has long been a champion of alternative energy, pushing Michigan’s utilities to develop wind and solar power despite opposition from state Republicans, the Michigan Chamber of Commerce and other business leaders, who complained incessantly that the state’s cold, cloudy weather made it impossible to use wind or solar power.

Now Michigan’s two major electric utilities, Consumers Power and Detroit Edison, are in the process of phasing out coal-fired plants.

Granholm’s commitment to alternative energy dovetails neatly with Biden’s own commitment to develop new sources of energy that could gradually wean the U.S. from its dependence on the oil — a commitment Biden defended during his final debate with President Donald Trump before the election.

Under Trump, the DOE had been run by former Texas Governor Richard Perry, who was heavily influenced by oil and gas interests.

(Barra, Gamble meet with President-elect Biden.)

According to Politico, the lion’s share of DOE’s budget is revolving around nuclear power and nuclear weapons.

However, it also oversees a network of 17 national laboratories that act as a key resource for the development of new technology and have worked closely with automakers on batteries and electric propulsion and other inventions for use in manufacturing.

Granholm, left, with then-auto recovery czar Ed Mongomery. She lobbied to get assistance for Chrysler Corp. in 2009.

Carla Bailo, CEO for the Center for Automotive Transportation in Ann Arbor, Michigan, said during a webinar sponsored by the Alliance for Automotive Innovation it is important that the technology necessary for building and operating electric vehicles be developed in the United States and not drift offshore to China and Europe, which are making major investments in electric vehicles.

While the Trump administration has made a trade a central part of its China policy, the incoming Biden administration is very aware that the U.S. is in a race for new technology with the Peoples Republic of China, according to Chris Krueger, managing director of the Cowen Washington Research Group.

Getting more consumers to use battery electric vehicles will also require a substantial effort to educate consumers about the noted, Michelle Krebs, executive analyst with Autotrader. Up until now, consumers have been reluctant to let go of traditional vehicles, she noted.

Granholm was first elected Attorney General of Michigan in 1998 and served one term before capturing the Democratic nomination for governor in 2002. She was re-elected in 2006, defeating Richard DeVos, the husband of Trump’s Secretary of Education, Betsy DeVos.

(Unions helped Biden in 2020 election.)

Since then she has been a law professor at the University of California-Berkeley and a political commentator on CNN.

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How to buy carbon offsets that actually make a difference

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Cadillac Ready to Buy Out Dealers Who Won’t Go Electric

Some dealers are balking at Cadillac’s push to invest in EV sales and service, which can top $200K.

As Cadillac prepares to become an all-electric luxury brand it is offering dealers who don’t want to plug in incentives to go away.

For the last several years, General Motors CEO Mary Barra has said the automaker is on a “path to an all-electric future,” and the automaker last week said it would boost its spending on EVs and autonomous vehicles by 35% through mid-decade. While all GM brands will be part of the transition, the switch is expected to move particularly fast at Cadillac which hopes to be 100% electric by decades end.

But the luxury brand has been running into resistance from some dealers who are balking at spending the estimated $200,000 it will cost to install chargers, train staff and make the other investments needed by the time the brand’s first all-electric model, the Lyriq, reaches showrooms in 2022. For them, Cadillac is offering buyouts that can reach “upwards of $500,000” to give up their franchises.

(CEO Barra wants GM to be dominant global EV maker.)

“We wanted to move fast and make sure dealers are ready for the acceleration,” Mahmoud Samara, vice president of Cadillac North America, told trade publication Automotive News. “This is purely an option for those dealers who feel the EV journey is not suitable for them.”

Some Cadillac dealers have been offered as much as $500K in buyout packages.

This isn’t the first time Cadillac has looked at thinning its herd. For many decades it was the industry conventional wisdom that the strongest manufacturers had the largest dealer base. That perception began to change as imports moved into the mainstream in the 1970s and 1980s. And the arrival of foreign luxury marques like Mercedes-Benz, Lexus and BMW showed clear advantages to having fewer retail outlets.

Until now, however, buyout programs have had relatively little impact and Caddy still has far more dealers, based on sales volumes, than its key foreign competitors. But that appears to be set to change.

All-electric vehicles like the Lyriq will require some big investments by Cadillac dealers. They will have to install chargers, purchase new tools and then train both sales and service staff to deal with the new products. The typical investment is expected to run around $200,000 – but can run to several times that amount if a major renovation is required. For smaller dealers, that could make the difference between a profit and a loss.

(GM investing $2B to build Cadillac Lyriq at former Saturn plant.)

“Enough money is being offered” in buyout incentives “that it is clearly getting the attention of a lot of the smaller dealers,” Shawn Mercer, a Tallahassee, Florida attorney who represents a number of dealers in that region, told the trade publication.

GM is serious about Cadillac’s electrification, investing $2 billion to build the new Cadillac Lyriq at its Spring Hill, Tennessee plant.

The automaker has been generous, according to several of those quoted, with offers that are running at $300,000 or more, some dealers getting buyout bids topping $500,000. That sort of money can equal the sort of profits they otherwise might not see for five years or more.

“They’re looking at this as a godsend, almost,” said Stuart McCallum, an automotive consultant from Princeton, New Jersey.

For others, however, the money may not be worth getting out of the business, especially for those heavily dependent upon the Cadillac franchise. Good dealerships can go for millions of dollars when the market is strong. But one of the challenges will be to figure out whether the Cadillac brand is worth betting upon.

Automakers, in general, are pushing into the electric vehicle space at a pace few might have anticipated five years ago. And that’s particularly true of luxury brands that will face bigger challenges meeting new emissions and fuel economy mandates going forward. Electric powertrain technology can allow them to continue delivering the sort of power and performance high-line buyers demand, even as improved lithium-ion batteries allow for substantially more range.

(End of the “oil era”?)

Cadillac’s goal is to offer as much as 400 miles per charge, brand boss and GM’s North American President Steve Carlisle said earlier this year. He also said that Caddy hopes to be selling battery-electric vehicles exclusively by 2030.