Plug-in Hybrid Electric Vehicles (PHEVs)

We are currently developing and testing plug-in hybrids in preparation for bringing them to market in 2012. PHEVs are similar to HEVs in that they are equipped with both an electric battery and a gas-powered engine. Unlike today's hybrids, however, PHEVs are equipped with a high-capacity battery that can be charged from an ordinary household socket. In addition, while regular HEVs maintain a roughly constant battery charge, plug-in hybrids discharge the battery while driving to provide additional fuel savings. PHEVs have the potential to reduce tailpipe emissions to near zero when running on battery power. However, the vehicle's overall life-cycle emissions depend on the electrical power source. PHEVs could be significantly less expensive for consumers to operate because they allow drivers to travel on grid-based electricity stored in batteries instead of more costly gasoline.

In 2007, Ford committed to a collaborative project with Southern California Edison to develop a fleet of plug-in hybrid vehicles as part of a PHEV demonstration project. The project seeks to provide real-world usage data and to understand critical implementation issues, including the vehicle-utility interface, the impact of plug-ins on utility operations and emissions, and the value to users, utility companies and vehicle manufacturers. Since the project began, numerous organizations have joined the partnership and helped to evaluate our PHEVs in different geographical locations. These partners include the Electric Power Research Institute, the New York State Energy Research and Development Authority and utilities including American Electric Power, ConEdison, DTE Energy, National Grid, New York Power Authority, Progress Energy and Southern Company-Alabama Power.

In 2008, Ford also announced a program with the U.S. Department of Energy (DOE) to identify a sustainable pathway toward accelerated, successful mass production of plug-in hybrid electric vehicles. The program includes a three-year demonstration project with a vehicle fleet deployed by DOE and energy partners to collect real-world battery performance data and evaluate PHEV and grid performance. Ford was awarded a $10 million contract by DOE in support of this work. Ford has already deployed 10 vehicles with its utility partners and DOE, and is scheduled to deploy an additional 10 in 2009. The PHEV demonstration fleet uses a blended, or parallel, hybrid configuration. Parallel hybrids can be propelled by an electric motor, a gasoline internal combustion engine, or both together. This parallel system enables flexibility and efficiency in battery sizing while maximizing battery life and investment. Initial field data shows significant improvements in fuel economy – possibly up to 120 mpg when vehicles are operated with a charged high-voltage battery – and the potential for reduced emissions.

Ford's PHEV demonstration fleet vehicles use advanced lithium-ion batteries supplied by Johnson Controls-Saft. In February 2009, we announced the continuation of our partnership with Johnson Controls-Saft to develop an advanced lithium-ion battery system to power our first commercial plug-in hybrid. We plan to have a plug-in hybrid vehicle available commercially in 2012, as part of our overall plan for vehicle electrification.