Only an elite group of manufacturers will benefit from the UK’s £50 million Low Carbon Vehicle Procurement Program, but one of them may be Smith Electric Vehicles (SEV).

The scheme, which aims to jump-start sales of low-carbon vehicles for use in public sector fleets, and is funded by the Department for Transport, has shortlisted the group among its second stage list. The company is a division of the Tanfield Group, the world’s largest manufacturer of road-using electric vans and trucks.

Under the Government plans, the majority of the funding will be put towards the procurement of lower-carbon vans. It will also conduct a smaller procurement of all-electric vans as well as a low-carbon minibus and potentially a fleet of plug-in hybrid passenger cars.

According to official figures, vans make up around 15 per cent of road transport emissions in the UK with their emissions rising more than any other form of road transport. That is why the Government has expressed a commitment to developing lower carbon options to meet public sector demand.

The program will see an initial £20million paid out for the difference between a conventional diesel van and a low carbon equivalent. Funding will begin in 2009 and will run until 2011 with a further £30 million available if the scheme proves to be a success.

The successful list of suppliers will be unveiled within the next few months.

 Another motor show is just around the corner – the Bologna Motor Show will kick off on December 3 – and one company is already planning a spectacular new launch to mark the event.

Having just unveiled the four-door sedan version of the Mazda3 at last week’s Los Angeles Motor Show, the Mazda Motor Corporation will now introduce a five-door hatchback version of the same car. Most notable is that the petrol-powered versions of the Mazda3 will feature the first vehicle catalyst constructed with Mazda’s new catalyst structure which will substantially reduce the amount of precious metals required.

A standard three-way catalyst, which features platinum, rhodium and palladium, is less effective due to the exposure to gas heat which causes the precious metal to agglomerate into larger particles. So to tackle the problem, Mazda has developed a catalyst material that uses single, nano-sized precious metal particles in fixed positions. With no agglomeration occurring, the amount of high-priced precious metals used can be reduced by 70-90 per cent. In a similar fashion, Nissan has recently released a new version of the Cube which incorporates an ultra-low precious metal catalyst.

The catalyst is just one of the many improvements to the Mazda3, which is available with a 2.2litre turbo-diesel engine, a 1.6litre turbo-diesel, as well as 1.6 and 2.0litre petrol models.

 Thailand has seen more than its fair share of troubles in recent weeks, but that isn’t stopping the country making significant green progress – even if it is thanks to a Swedish car manufacturer.

Volvo Car Thailand has introduced two green cars to the country in the form of the Volvo C30 1.8F, which is an E85 flexifuel model, and the Volvo S80 2.5FT which is Thailand’s first and only locally produced flexifuel vehicle.

Speaking about the decision to introduce the vehicles to the country, Khun Isara Vongkusolkit president of the Mitr Phol Sugar Corp said that this will give Thai customers a great opportunity to become more aware about the importance and benefits of alternative energy for both the country and the Thai people.

He stated that even though fuel prices are currently going down, they always rise in the long term and as such it is much better for Thai motorists and businesses to be prepared for using fuel that can be renewed by agricultural projects to ultimately reduce the country’s dependency on oil. His company has already placed an order for 25 of the Volvo S80 vehicles to highlight its commitment to taking action for the environment.

The announcement comes at the same time as the Ministry of Energy, PTT Plc and Bangchak Petroleum made the decision to sell E85 fuel commercially.

 When you think of green hotspots around the world, Arkansas is unlikely to feature on the list. However, students at Hendrix College in the state have firmly caught the green bug.

Students and staff have been making huge strides towards green living by implementing geothermal heating in dorms and offering a major in environmental studies. Now, they are introducing electric cars on the grounds.

Speaking about the decision to bring electric cars to the college, Mark Scott, director of media relations, commented that as the fleet of college vehicles grew older they felt it was the right choice to replace them with eco-friendly alternatives even if it meant spending a little extra upfront.

The vehicles are made by Chrysler and run completely by battery meaning they have no direction emissions. Instead they can simply be charged at a regular outlet but there are concerns that the batteries are only expected to last between three and five years.

Although the vehicles will not leave campus they are still equipped with hard doors and heaters so they can be used in all weathers. The Conway Police Department, which utilises the same environmentally friendly car for patrolling downtown parking, helped the college reach the decision to use these green cars.

Dealers are being instructed that a new marketing approach is needed to sell green cars. Dealers need a different approach to reach customers for the new environmental sub-brands that motor manufacturers are starting to apply to mainstream, motor industry consultancy Network Automotive advises. Vehicles such as Volkswagen’s Bluemotion range and Ford’s Econetic models have such a strong selling points in their environmental credentials that retailers need to make sure they make the most of them.

Managing director Colin Bruder said: “Most dealers have not had cars in their showrooms before which wore their environmental credentials so proudly and they need a new marketing approach.

“Potential customers for these eco-models will not necessarily be tempted into the showroom with the same kind of marketing tools that have worked for other family cars in the past.

“They are likely to be less impressed by the showroom appeal of a car and more by hard facts about its green performance. A serious minded approach is needed by dealers.”

Bruder explained that one idea that his company was discussing with dealers was environmental sessions where potential customers could find out about subjects such as greener driving techniques.

He added: “We are still really finding out about these customers but it does seem that a customer who wants a very low CO2 car often also wants to know how to drive it as economically as possible.

“It could be that dealers also look at tie-ins with other organisations that wish to promote greener motoring, such as local authorities or fleets operating in environmentally sensitive industries.”

Bruder said that fleets were likely to be among the early major customers for these environmentally branded cars and vans.

He said: “This will happen because of taxation factors such as the CO2-based benefit in kind taxation scheme but also because many drivers and their employers are keen to be seen to be green.”

 Most critics accept that green cars such as electrics and hybrids are necessary if the motoring industry is to reduce its reliance on oil and move towards an environmentally friendly future. However, the stumbling block has been finding the money to make that last leap – something that the European Commission has been keen to address.

On Wednesday, the Commission offered five billion euros to help car manufacturers make safer and greener cars – an initiative that will be funded by the European Union, industry and member states. It is part of a wider 200billion euro package aimed at stimulating a flagging economy.

Known as the European green cars initiative, the money will be poured into projects such as researching new technologies and smart energy infrastructures. Around four billion will be raised through soft loans from the European Investment Bank, while Brussels also proposes reductions in car registration and road taxes for lower emission vehicles to boost interest. 

Speaking about the funding, European Commission chief Jose Manuel Barroso told a Press conference that it was necessary to transform the motoring industry with a more modern and environmentally friendly structure.

The move is timely after French President Nicolas Sarkozy spoke earlier this week about his determination to help the car industry weather the economic storm and his concerns that the $25billion plan for the US auto industry may leave Europe at a disadvantage.

 It is the biggest deal in the company’s history – Korean car maker CT&T has broken into the US market, and it has the boys in blue to thank.

Police departments in San Diego, California, and several other cities have agreed to buy 4,000 of the company’s four-wheel drive E-zone vehicles at a total cost of around $50 million.

The electric car, which was only developed by CT&T earlier this year, can move at speeds of 34.2mph and may make a good alternative for low-speed city chases and patrolling.

Amazingly, the vehicle has yet to make a significant breakthrough in its own country, however – electric cars are banned on Korean streets because of their low speeds. As such they are generally only used on golf courses and the Korean Government is working on electric cars that can travel at least 80kmph.

However, in the US, where 47 states permit electric cars on public roads, the maintenance cost of the vehicles makes them highly appealing. Electric cars are up to 90 per cent cheaper than conventional cars – not to mention the fact that they can lower carbon dioxide emissions by two-three tons a year.

The new Fiat Panda Cross, a car that was only launched in the UK three months ago, has scooped its first major off-roading honour – 4×4 of the Year 2009.

The award comes from the specialist magazine 4×4 and MPV Driver, whose panel of expert judges put the new all-terrain Panda at the top of a list of extremely capable, and more expensive, competitors.

And the best news of all is that the Panda Cross has truly impressive green credentials within the 4×4 market, returning 54.3 mpg on a combined cycle and 136 g/km of CO2. Not what you would expect the readers of a 4×4 magazine to select. Yet the judges praised the Panda’s off-roading capability which cannot be said to be compromised by its either smaller dimensions or the size of its 1.3 16v MultiJet engine.

“The diesel engine has made a star out of Fiat’s baby off-roader. It’s a viable motorway cruiser now, while bringing out the fun side of the Cross’s handling on twisty roads, something that is never at the expense of a surprisingly comfortable ride,” says Bob Murray, editor, 4×4 and MPV Driver.

“The Panda Cross rewrites the rulebook for baby 4×4s in most areas, emerging as a capable all-rounder at a time when small is increasingly beautiful. We say it is the best new 4×4 launched in the past 12 months.”

Andrew Humberstone, managing director, Fiat Group Automobiles UK, adds: “The Panda has a long and distinguished record in this country – as it has across Europe – and it’s fantastic to see it not only continuing to be a top choice for our customers, but still able to impress very influential judging panels.”

I guess now off-road ability need not always come at the compromise of economy.

 Some green car concepts seem a little too good to be true.

Take the Renault ZE Concept for example. It boasts some unique (or should that be bizarre) features including solar panels in the roof, bodywork that resembles a Thermos flask to keep the driver warm or cool and a scooter in the boot.

Surely this is the stuff of a designer’s vivid imagination that will never see the light of day, right? Well, the ZE Concept is actually scheduled to come to life in just three years time and is likely to be launched officially at the 2012 London Olympics.

Renault has been working on numerous green car concepts behind closed doors including a Megane-based saloon and a plug-in Kangoo. However, a journalist at the Sun was invited to get behind the wheel of the new ZE Concept and he was seemingly impressed with this unique motor vehicle.

Among the state-of-the-art functions of the ZE is the fact that it eliminates the need for any major climate control or on-board computer using any battery energy to actually power the car. Instead, it uses heat reflective paint to keep the occupants at an ideal temperature and there’s a thin layer of insulating material in the body panels that reduces temperature changes.

Solar panels on the roof power the small climate control system as well as the TV screens, while the Sat Nav and music system are completely run by your mobile phone.

The Renault ZE Concept also has a man machine interface (MMI) which recognises the car’s occupants as they approach and can pinpoint the nearest car parks and battery recharging stations. Perhaps most uniquely however, it includes a foldaway electric scooter in the boot that has been designed with the idea that most city centre streets will be pedestrian-only in five-ten years time.

Admittedly the vehicle only manages 30mph top speeds, but with zero emissions this is definitely a futuristic concept to keep your eyes on.

 Chinese car manufacturers may not be as well known internationally as their Japanese counterparts, but that may change as the green car era gathers pace.

The country’s biggest manufacturer, SAIC Motor Corporation has unveiled plans to set up a venture with its state-owned parent that will invest 2billion yuan (approximately $293million) towards the development of green cars.

The venture will put the focus on the development of green cars such as hybrids and electrics with the SAIC group holding a 90 per cent stake.

It’s not SAIC’s first commitment towards green cars. Back in January, the company formed a venture with General Motors (GM) to roll out its first locally produced hybrid car. It also stated that it would introduce fuel-cell vehicles to the Chinese motoring market after 2010.

Indeed the Chinese are determined to play catch up with the rest of the world. BYD Auto has already captured headlines with plans to launch an electric car in China during the second half of 2009. The company is highly sought after and may soon expand into America too.