Prius Delievers Slow Relief at the Pump
Sunday, July 6th, 2008
Joshua Silver asked:
In the ironic words of Kermit the Frog, “it isn’t easy being green”. The irony is noted by our present day efforts to conserve energy or in other words become “green”. The notion behind this movement is fueled by two variables: cost and the well being of our global environment. As gas prices at the pump skyrocket, the demand for better gas mileage rises. Also, as fears of global warming start to materialize, the demand of a “green” vehicles rise as well. We have seen automobile manufacturers, who produce hybrids, capitalize on this sellers market, created by the two variables above. Toyota Motor Corporation has been marketing to our fears and petrol price woes with the Prius for just about seven years now in the US. Has the existence of the Prius over the past seven years placated our fears? Many of us would like to think so, especially those of you who are Prius owners. However, the sad truth is that it falls short of the marketed claims, producing unsatisfactory results across the board.
Let us first look at gasoline consumption. The 2007 Prius receives 46 miles per gallon and wears this stat like a green badge of honor. This means that the 11.9 gallon fuel tank on the Prius only needs to be topped off about twice every four weeks (based on the national average automobiles that are driven 12,000 miles per year). Thus, the Prius consumes only $1,043.48 in gasoline per year, with a price per gallon of $4.00. How can these savings be unsavory? Would less gas equate to greater gas savings? It sure would, but let us enter a common scenario. Recent economic conditions force you to cut your costs. Your current car is a gas-guzzling Hummer H2. You decide the best route to go is trade in for a mid sized sedan. Instantly you think “Toyota” and find the 2007 Prius and the 2007 Camry your best two options. Standing on the lot, we see the sticker price and MPG. The Camry shows a base price of $18,085.00 and a total of 24 MPG. On the other side of the balance we have the Prius. With 46 MPG and a base price of $23,730.00, it is hard to tell which automobile will be the most cost efficient.
To help turn this into an effortless decision, I have constructed a schedule of cost comparison between our two prospective cars. The equation used to forecast these costs is Approximate Miles Driven per year/ MPG = Total Gallons Used. To convert this into a dollar figure, multiply Total Gallons Used by the Price of Fuel. This yields the average cost of fuel each vehicle will consume yearly. The average cost of fuel is then added to the sticker price of the vehicle. The schedule will illustrate the cost of purchasing and fueling of each car, allowing us to simply compare and contrast.
Model Prius Camry
Base
Price $23,730 $18,085
Year
1 24,773.48 20,085.00
2 25,816.96 22,085.00
3 26,860.43 24,085.00
4 27,903.91 26,085.00
5 28,947.39 28,085.00
6 29,990.87 30,085.00
* Using 12,000 miles driven per year and $4.00 per gallon. Both models are taken from 2007
The schedule clearly displays the Camry holding the cost advantage over the Prius for the first five years. It is not until the 6th year that exceptionally high gas mileage of the Prius starts to off set the cost. If you are cost conscious, you will most likely decide to finance the Camry for five years and look to trade it in after it is paid off. Or maybe you are environmentally conscious, and it is not the cost that motivates your decision but consumption of gasoline. The person with the “green” mindset would opt for the Prius, but are there hidden environmental infractions committed by the Prius?
The environmentalist who decides on the Prius is only thinking in terms of personal consumption, which is displayed in the schedule above. A true tree hugger would be concerned about total energy consumption, which accounts for all energy used in producing, consuming, and disposing of a product. The Prius boasts high gas mileage, but what it saves in petroleum consumption, it wastes in production. As we know, hybrids consist of an internal combustion engine and a battery powered electric motor. The battery is made from Nickel that is mined in Sudbury, Ontario and smelted a short distance from the mines. The smelting process produces large amounts of sulfur dioxide, directly causing highly concentrated acid rain to fall in the surrounding area. The acid rain has destroyed the surrounding wilderness leaving in its wake a barren waste land with no sign of life. Moreover, NASA often uses this barren area to test and train astronauts in moon buggy maneuver, since the outskirts of Sudbury, Ontario sharply resembles the landscape found on the moon.
Not only is the Prius’ manufacturing pollution one of the worst in the automotive industry, but the smelted nickel goes on a petroleum dependant journey that travels over 10,000 miles. Transported by diesel locomotive and container ship, the amount of fuel used in this stage of production seems to fade the luster Toyota Motor Corporation painted on the Prius and its performance.
Ask Toyota if it is easy being “green”. I am willing to bet their answer would be similar to our proverbial green profits’ ironic statement above. It seems we can not overcome barriers of energy consumption; we restrict energy consumption in one area and double consumption in other areas, allowing companies like Toyota, to hide behind their green badge of marketability gold. Prius brightly displays this badge, but now we find it is just a façade erected by the marketing department, with one objective: to influence public perception before they have a chance to hear or read an article like this.
Florence
In the ironic words of Kermit the Frog, “it isn’t easy being green”. The irony is noted by our present day efforts to conserve energy or in other words become “green”. The notion behind this movement is fueled by two variables: cost and the well being of our global environment. As gas prices at the pump skyrocket, the demand for better gas mileage rises. Also, as fears of global warming start to materialize, the demand of a “green” vehicles rise as well. We have seen automobile manufacturers, who produce hybrids, capitalize on this sellers market, created by the two variables above. Toyota Motor Corporation has been marketing to our fears and petrol price woes with the Prius for just about seven years now in the US. Has the existence of the Prius over the past seven years placated our fears? Many of us would like to think so, especially those of you who are Prius owners. However, the sad truth is that it falls short of the marketed claims, producing unsatisfactory results across the board.
Let us first look at gasoline consumption. The 2007 Prius receives 46 miles per gallon and wears this stat like a green badge of honor. This means that the 11.9 gallon fuel tank on the Prius only needs to be topped off about twice every four weeks (based on the national average automobiles that are driven 12,000 miles per year). Thus, the Prius consumes only $1,043.48 in gasoline per year, with a price per gallon of $4.00. How can these savings be unsavory? Would less gas equate to greater gas savings? It sure would, but let us enter a common scenario. Recent economic conditions force you to cut your costs. Your current car is a gas-guzzling Hummer H2. You decide the best route to go is trade in for a mid sized sedan. Instantly you think “Toyota” and find the 2007 Prius and the 2007 Camry your best two options. Standing on the lot, we see the sticker price and MPG. The Camry shows a base price of $18,085.00 and a total of 24 MPG. On the other side of the balance we have the Prius. With 46 MPG and a base price of $23,730.00, it is hard to tell which automobile will be the most cost efficient.
To help turn this into an effortless decision, I have constructed a schedule of cost comparison between our two prospective cars. The equation used to forecast these costs is Approximate Miles Driven per year/ MPG = Total Gallons Used. To convert this into a dollar figure, multiply Total Gallons Used by the Price of Fuel. This yields the average cost of fuel each vehicle will consume yearly. The average cost of fuel is then added to the sticker price of the vehicle. The schedule will illustrate the cost of purchasing and fueling of each car, allowing us to simply compare and contrast.
Model Prius Camry
Base
Price $23,730 $18,085
Year
1 24,773.48 20,085.00
2 25,816.96 22,085.00
3 26,860.43 24,085.00
4 27,903.91 26,085.00
5 28,947.39 28,085.00
6 29,990.87 30,085.00
* Using 12,000 miles driven per year and $4.00 per gallon. Both models are taken from 2007
The schedule clearly displays the Camry holding the cost advantage over the Prius for the first five years. It is not until the 6th year that exceptionally high gas mileage of the Prius starts to off set the cost. If you are cost conscious, you will most likely decide to finance the Camry for five years and look to trade it in after it is paid off. Or maybe you are environmentally conscious, and it is not the cost that motivates your decision but consumption of gasoline. The person with the “green” mindset would opt for the Prius, but are there hidden environmental infractions committed by the Prius?
The environmentalist who decides on the Prius is only thinking in terms of personal consumption, which is displayed in the schedule above. A true tree hugger would be concerned about total energy consumption, which accounts for all energy used in producing, consuming, and disposing of a product. The Prius boasts high gas mileage, but what it saves in petroleum consumption, it wastes in production. As we know, hybrids consist of an internal combustion engine and a battery powered electric motor. The battery is made from Nickel that is mined in Sudbury, Ontario and smelted a short distance from the mines. The smelting process produces large amounts of sulfur dioxide, directly causing highly concentrated acid rain to fall in the surrounding area. The acid rain has destroyed the surrounding wilderness leaving in its wake a barren waste land with no sign of life. Moreover, NASA often uses this barren area to test and train astronauts in moon buggy maneuver, since the outskirts of Sudbury, Ontario sharply resembles the landscape found on the moon.
Not only is the Prius’ manufacturing pollution one of the worst in the automotive industry, but the smelted nickel goes on a petroleum dependant journey that travels over 10,000 miles. Transported by diesel locomotive and container ship, the amount of fuel used in this stage of production seems to fade the luster Toyota Motor Corporation painted on the Prius and its performance.
Ask Toyota if it is easy being “green”. I am willing to bet their answer would be similar to our proverbial green profits’ ironic statement above. It seems we can not overcome barriers of energy consumption; we restrict energy consumption in one area and double consumption in other areas, allowing companies like Toyota, to hide behind their green badge of marketability gold. Prius brightly displays this badge, but now we find it is just a façade erected by the marketing department, with one objective: to influence public perception before they have a chance to hear or read an article like this.
Florence
