German automakers, known for their luxury and performance, hold different views on the use of e-fuels. While Mercedes-Benz CEO says it will favor “technically superior” EVs over ICE vehicles powered by e-fuels, Audi’s CEO says the synthetic fuels will play a major role within the Volkswagen Group’s plans, including Porsche.
E-fuels are synthetic fuels made using captured carbon dioxide emissions or hydrogen produced using CO2-free electricity, such as wind or solar energy. The idea is that by capturing these emissions that would have otherwise been released into the atmosphere makes them carbon neutral.
However, to produce e-fuels, a source of carbon is still needed, which primarily comes from oil and gas fields. More importantly, they are still used to fuel internal combustion vehicles and emit just as many harmful air pollutants as fossil fuels.
Earlier this year, Germany objected the EU’s proposed ban on new ICE vehicles in 2035 until the commission made a compromise to allow e-fuels as a “climate-neutral” fuel source.
Several German automakers have publicly spoken about using e-fuels and EVs going forward with different viewpoints on synthetic fuels.
Audi Q8 55 e-tron quattro (Source: Audi)
German automakers mixed on e-fuel use over EVs
Mercedes Benz CEO Ola Kallenius reaffirmed the automaker’s plans to focus on EVs going forward, telling a German newspaper earlier this week that the automaker will continue to favor superior electric motors over internal combustion engines powered by e-fuels.
Kallenius said that EVs offer advantages in power efficiency, describing them as “technically superior” and “sensationally good” while pointing out the fact that e-fuels cannot compete with EVs being zero emission. He added:
The electric car is still a young technology compared to the combustion engine. We still see great potential for progress: the electric drive will overtake the internal combustion engine in terms of performance before the end of this decade.
Meanwhile, fellow German luxury automaker Audi’s CEO, Markus Duesmann, spoke to the German newspaperWELT to share his views on the EU’s ban on ICE vehicles and the use of e-fuels.
Duesmann explained that although Audi is phasing out ICE vehicles by 2033, the automaker will still offer different drive systems for buyers, saying:
E-fuels have an important role to play, especially in making the existing fleet of ICEs carbon-neutral. E-fuels are also the only decarbonization technology we know for air travel and ocean shipping. Within the Volkswagen Group, Porsche’s current e-fuels pilot plant in Chile is demonstrating that this technology really works.
This comes despite Volkswagen brand chief Thomas Shafer claiming e-fuels are “unnecessary noise from my point of view,” and by 2035, combustion engines are done anyway.
Shafer added that e-fuels won’t replace EVs and that “we don’t have enough energy as it is, so why waste it on e-fuels.”
Electrek’s Take
As Kallenius and Shafer both point out, e-fuels are unnecessary noise at this point. Producing e-fuels is an expensive and energy-intensive process. It also still promotes fossil fuel production and prolongs how long automakers can continue building gas-powered vehicles.
Instead of wasting the investment into e-fuel development and production, using the resources to fund zero-emission EV technology makes a lot more sense.
With nearly every automaker targeting an entirely electric lineup, what’s the point of wasting time and resources on synthetic fuels that will be phased out before they become widely available anyway?
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The electric construction equipment experts at XCMG just released a new, 25 ton electric crawler excavator ahead of bauma 2025 – and they have their eye on the global urban construction, mine operations, and logistical material handling markets.
UPDATE: telematics announcement.
Powered by a high-capacity 400 kWh lithium iron phosphate battery capable of delivering up to 8 hours of continuous operation, the XE215EV electric excavator promises uninterrupted operation at a lower cost of ownership and with even less downtime than its diesel counterparts.
XCMG showed off its latest electric equipment at the December 2024 bauma China, including an updated version of its of its 85-ton autonomous electric mining truck that features a fully cab-less design – meaning there isn’t even a place for an operator to sit, let alone operate. And that’s too bad, because what operator wouldn’t want to experience an electric truck putting down 1070 hp more than 16,000 lb-ft of torque!?
Easy in, easy out
XCMG battery swap crane; via Etrucks New Zealand.
The best part? All of the company’s heavy equipment assets – from excavators to terminal tractors to dump trucks and wheel loaders – all use the same 400 kWh BYD battery packs, Milwaukee tool style. That means an equipment fleet can utilize x number of vehicles with a fraction of the total battery capacity and material needs of other asset brands. That’s not just a smart use of limited materials, it’s a smarter use of energy.
“XCMG remains committed to advancing engineering technology to empower a sustainable future. Our mission is to deliver efficient, intelligent, and eco-friendly lifecycle solutions for global clients,” said Mr. Yang Dongsheng, Chairman of XCMG Group and XCMG Machinery. “Today, 19% of our product portfolio comprises green innovations under our ‘Green Mountain’ new energy line, with full electrification across all series underway.”
On today’s troubling episode of Quick Charge, we explore all the troubles befalling Tesla (and TSLA stock) in the month April – with top executives fleeing the ship, demand plummeting, sales slipping, government incentives at home and abroad under threat, and a raft of receipts brought on by an OpenAI lawsuit hitting the brand, it’s already a bad month for Elon … and there’s still 20 more days to go!
None of this even touches on the $43 million “backlogged” rebate scandal Tesla’s facing in Canada that’s being blamed for people’s negative attitudes about the brand (ha!) or the fact that neither the long-promised Roadster 2.0 or the Tesla Semi will see production anytime this year, either.
The word you’re looking for when you think of Tesla these days is, “cooked.”
New episodes of Quick Charge are recorded, usually, Monday through Thursday (and sometimes Sunday). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.
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Renewable developer Vesper Energy has cut the ribbon on Hornet Solar in Swisher County, Texas, one of the largest single-phase solar farms in the US.
As Electrek reported in January, the 600-megawatt (MW) Hornet Solar includes over 1.36 million modules covering more than 6 square miles. The project will contribute more than $100 million in new tax revenue to Swisher County and deliver 600 MWac of energy–enough to power 160,000 homes annually.
January 30, 2025: “The seamless coordination between our team and our EPC partner, Blattner, has enabled us to remain ahead of schedule and on budget while ensuring quality throughout the process,” said Juan Suarez, co-CEO of Irving-based Vesper Energy.
Hornet Solar uses bifacial solar panels mounted on a single-axis tracking system to maximize efficiency. The solar farm is connected to Oncor Electric’s transmission system within ERCOT and is contracted to provide power to four off-take partners through individual Virtual Power Purchase Agreements (VPPAs).
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The Hornet Solar project in the Texas Panhandle is on track to be fully online by spring 2025.
Texas is a utility-scale solar leader in the US, with a ranking of No. 2 and 37,713 MW currently installed. It’s projected to install 51,144 MW over the next five years and move into the No. 1 spot, according to the Solar Energy Industries Association (SEIA). The total solar investment in the state is $45.2 billion.
On January 21, the SEIA, Conservative Texans for Energy Innovation (CTEI), Advanced Power Alliance (APA), and the Texas Solar + Storage Association (TSSA) reported that existing and expected utility-scale solar, wind, and battery storage projects will contribute over $20 billion in total tax revenue – and pay Texas landowners $29.5 billion – over the projects’ lifetimes.
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