Toyota is rejoining the compressed natural gas (CNG) vehicle market with a concept version of a CNG Camry Hybrid at November’s Los Angeles Auto Show. The Japanese automaker sold a four-cylinder CNG version of the Camry sedan in 1999 with abysmal results in fleet sales that ended the experiment in 2000. Toyota made the announcement last week at the Sustainable Mobility Seminar in Portland, Oregon without referencing potential testing, fleet sales and product rollouts.
Toyota’s second effort at CNG-powered vehicles is due to a number of financial incentives now available to car owners. The Los Angeles Times claims that CNG is available for the equivalent of $2.50 per gallon in the small number of refueling stations available in southern California. The network of CNG pipes has extended to 1.8 million miles in the last few years with 1,000 refueling stations available nationwide. While less than half of these stations are open for the average consumer, the increased availability of CNG will make it easier financially to open a refueling station. Toyota is also looking at the $4,000 alternative fuel tax credit from the federal government as a potential sales point for the CNG Camry hybrid.
The economic viability of the Toyota CNG concept dovetails with the automaker’s concern about its competitors. Honda is the only automaker in the United States with a natural gas vehicle on the market with the Civic GX. The Civic GX has been selling out its production run of 1,000 vehicles to government agencies and businesses involved in the Honda fleet program. Honda plans on increasing production to 2,000 vehicles in 2009 to keep up with demand. General Motors is also considering a CNG version of the all-electric Volt to diversify its alternative fuel options.
While the Los Angeles Auto Show is two months away, it is easy to imagine the CNG Camry Hybrid as a success among industry observers. The Camry is a popular make in the Toyota roster and the company’s pedigree with hybrid vehicles makes the move to natural gas seem plausible. Toyota is playing down expectations for this concept vehicle due to its lackluster past in the CNG market. The rising cost of fuel, the popularity of Toyota vehicles and interest in new fuel sources by America drivers could create the perfect storm for the CNG Camry Hybrid.
I love the look of this car. If it gets terrific gas mileage, so much the better!