As GM launches its plug in hybrid, the Chevrolet Volt, and Nissan releases its all electric Leaf, Mercedes Benz will also be releasing it hydrogen powered vehicles to California residents. Mercedes is leasing the vehicles to a small groups of people in order to study the vehicles performance in real life conditions. This information will be provided to the Department of Energy to help them in their effort to meet stringent mileage and emission regulations.

Powered by an electric motor delivering 134 horsepower, the Mercedes F-Cell B-Class offers the advantages of a gas-powered conventional car, while using half the fuel and emitting only water. “We believe this is a great addition to our fast-growing portfolio of alternative fuel vehicles.” said Sascha Simon, head of advanced product planning at Mercedes-Benz USA. The information gathered by this study will help the effort in transforming the U.S. into a country that is fueled entirely by domestically produced energy

Toyota has announced that it will repair almost 380,000 2004-2007 Prius models in the United States for coolant pump problems. There have been no reports of injuries or accidents related to the problem, but complaints of power loss has lead the company to fix the minor repair without issuing a recall. A Toyota spokesperson explained that air bubbles entering the system through the pump reduces the efficiency of the cooling system. When the pump malfunctions, the car’s hybrid system switches off to prevent overheating and the vehicle’s regular gasoline engine takes over. Overheating of the vehicle could activate a warning light on the dashboard, and a significant loss of power will be noticed. Toyota said it would begin notifying owners of the Prius repair campaign in the United States in early December.

With over twenty electric car models arriving at dealerships over the next three years, auto manufacturers feel that the battery powered cars will be the next big seller. The Obama administration is giving more than five billion in tax credits to buyers, and subsidized loans and grants to automakers in an effort to meet the goal of one million hybrids or electric cars on U.S. roads by 2015. But skeptics feel that hybrid and electric vehicles don’t make sense for most drivers, even with tax credits. Electric cars are too expensive, take too long to recharge and don’t provide enough driving range to be practical for most Americans. They feel that only 3% of drivers will actually buy the vehicles, because in order for electric cars to be cost effective for buyers, gas prices will have to rise to almost nine dollars a gallon.

Nonetheless, some of the biggest manufacturers in the auto industry are rushing to produce EVs. Honda recently pledged to put out an EV in 2012. Toyota is creating an electric version of its RAV4 sport-utility vehicle with Tesla Motors and a subcompact electric car based on its tiny IQ. Ford plans an electric version of its Focus compact and an electric van. BMW is building the MegaCity electric vehicle, which will feature carbon-fiber body panels to reduce weight and boost driving range.

Much of this is spearheaded by California’s laws that are requiring that the top six auto makers in California offer a zero-emission model by 2012 or face potentially huge fines. The only other alternative is to build electric models under the U.S. Environmental Protection Agency’s clean-air and fuel-economy standards, which are set to get tighter in 2012, and receive government credits.

Since the end of 2009, China has become one of the largest auto manufacturers and markets in the world. The number of registered vehicles on the road in China reached 62 million in 2009, and is expected to exceed 200 million by 2020. Almost half of the cars manufactured and sold in China are Chinese vehicles, the rest are being produced by joint ventures with foreign car makers such as Volkswagen, General Motors, Hyundai, Nissan, Honda, Toyota,… etc.

The negative impact of cars in Chinese cities is already obvious. Congested roads, car accidents, fuel shortages, air pollution, parking difficulties,…etc, have already become issues. Government officials warn that overcapacity of the market will lead to negative market competitiveness, a loss in enterprise efficiency, factory stoppages and other problems. Analysts feel that the development of green energy vehicles is the best way for China to reduce the environmental impact the exploding auto industry will have on their country.

The green industry in China may seem like a good market to get into, but the hope that American workers will see their products exported to this rich foreign market are not good. China will only do business with companies who share their intellectual property and who manufacture in their country. A foreign company must enter a joint venture with a Chinese firm, and that the firm has to have substantial ownership of the intellectual property, otherwise, there will be a duty on making the car in China.

The White House has already got a jump start on electric technologies by encouraging construction of plants that make electric cars, batteries and parts that go into them. According to the Obama administration, the United States is on track to produce 40 percent of the world’s battery technology by 2015. The industry expects the American market to gobble up most of that supply. In order to keep jobs here, U.S. demand for EV components must rise, otherwise the risk of exporting yet another industry away from U.S. soil will be the result.

As states across the country brace for the wave of electric plug in vehicles to hit the streets, utility companies warn that there could be glitches. A smarter electrical grid has been developed to accommodate the surge in power usage, and utility companies have been working with the automakers to ensure a smooth transition, but too many drivers trying to charge their vehicles at the same time, could lead to low voltage situations.

Executive vice president and chief operating officer of Novi-based ITC Holdings Corp., said that as plug-in use grows and more public charging stations are installed, substations or lines may need to be upgraded. Experts, however, don’t believe electric vehicles will be widespread until 2020, giving utilities at least a decade to figure out ways to handle new loads and educate consumers about scaling electricity during peak times.

For now, utilities are installing smart meters in homes and businesses to help consumers better manage electricity use. The meters allow utilities to charge rates based on peak and off-peak use and track that data. This will encourage drivers to charge in off peak hours as well as give information on where upgrades need to be made. As technology advances, cars plugged in for recharges could actually help the grid, said Scott Miller, director of Coulomb Technologies’ ChargePoint America. “These can act as remote storage units, transferring some of the energy from the cars back to the electrical grid in times of need.”

Toyota has set itself up as one of the top hybrid makers in the world with the development of one of the first hybrid vehicles, the Prius. They share their technology with companies like Nissan, Mazda and Ford, which allows them to produce hybrids in larger numbers while keeping the cost down. Recently, Toyota has partnered with Tesla Motors to develop and electric version of Toyota’s RAV4 crossover. The RAV4 EV will be making its debut at this years LA Auto show, and will begin selling the model to the public in 2012.

Japanese media reported this Friday that Toyota may be expanding it’s hybrid empire. Dailmler is working on its own hybrid technology and has approached Toyota about sharing its gas electric hybrid technology with them. The two companies have been in negotiations for over a year now, so an official announcement is expected soon. If the deal should go through we could see Toyota technology showing up in Mercedes-Benz vehicles as early as 2012.

According to GM executive director of global electrical systems, “The Chevrolet Volt’s batteries have exceeded performance targets and are ready to hit the road.” To prove it, Chevrolet is offering one of the automotive industry’s longest, most comprehensive battery warranties for an electric vehicle. The standard 8 year, 100,000 mile warranty will also be transferable at no extra cost to other vehicle owners.

The Volt’s comprehensive battery warranty covers all 161 battery components as well as the thermal management system, charging system and electric drive components, which allows the Volt to operate under a full range of climates and driving conditions without concern about being stranded by a dead battery. It has a range of about 340 miles and is powered with electricity at all times. For up to the first 40 miles, the Volt is powered solely by electricity stored in its 16-kWh lithium-ion battery, using no fuel and producing no emissions. When the Volt’s lithium-ion battery runs low, an engine/generator operates to extend the driving range another 300 miles on a full tank of fuel.

According to Nancy Laubenthal, plant manager of the Brownstown Battery Plant, “We’re moving fast to deliver for the customer and ensure the Volt launch stays on track.” “Last August we announced the investment in the Brownstown facility and in January built our first completed battery pack. Now we are finishing pre-production batteries and soon we will begin building production batteries for Chevrolet Volts that will be delivered to dealers before the end of the year.”

Ford Motor Co. will be investing $135 million at two Michigan plants that will help introduce five new models by 2012. Ford said it will begin selling two electric vehicles and three new hybrids to meet the new U.S. fuel economy standards. Ford plans to introduce a gasoline-electric version of its Lincoln MKZ sedan and an electric versions of the Transit Connect van this year, and the Focus electric car in 2011.

The investment will result in 220 new jobs by 2012, Ford said, including 130 hourly jobs at a trans-axle plant in Sterling Heights, Mich., and 40 hourly jobs at a Ypsilanti plant that will build battery packs. Fifty engineering jobs will be added as well.

Ford has eliminated 47 percent of its North American workforce since 2006, and had 70,000 workers in the region at the end of the first quarter. The company has cut costs and overhauled its model lineup to become less dependent on sport- utility vehicles and pickup trucks. The automaker ended three years of losses with a $2.7 billion profit last year as the U.S. auto market fell to the lowest level in 27 years.