Ford CEO: Challenge Is Significant, But We Have A Plan

Ford CEO Alan Mulally told Congress Wednesday he has a plan to resolve the company’s issues.

Ford Motor Company CEO, Alan Mulally, told Congress Wednesday that it has a plan to turn around the troubled car-marker, as well as how to work towards lowering greenhouse gases.

“As you know, Ford is facing significant challenges in North America and some of you might be wondering what the future holds. I can tell you that we have a strong plan, with the right team, to turn around our company,” Mulally said.  “Our plan is rooted in the deployment of advanced, innovative technologies to improve the fuel efficiency of our vehicles and to deliver outstanding quality and features that our customers desire.”

Mulally said that the transportation sector produces approximately one-third of the nation’s CO2 emissions, however an effective energy policy must have an “integrated approach” of all stakeholders in order to be successful.

Analysis from Ford has found that the most cost-effective solution to lowering CO2 emissions from vehicles must include a combination of bio-fuels and vehicle technology advancements.

“No one can predict if the powertrain of the future will be hydrogen, bio-fuels, battery electric, advanced diesel and gasoline or some combination of these technologies,” Mulally said. “There is ‘no silver bullet’ solution and that's why we are involved in so many development paths, sometimes with unique partners.”

Mulally also warned about using the Corporate Average Fuel Economy (CAFE) as the only resolution to the CO2 emissions issue, reminding Congress that the unexpected result was lower gas prices and higher fuel consumption by the consumer.

“While the number of vehicles on the road today is three times the number in the late 1960s, the miles traveled has quadrupled making us more dependent on foreign oil,” Mulally said. “Therefore, new solutions to address the energy security and climate change problems must not have unintended consequences or impede our U.S. global competitiveness.”

Mulally also emphasized the need for additional fueling stations across the country in order to have a great acceptance of alternative fuels by the consumers.

“Currently there are over 6 million flexible fuel vehicles on America's roads but only 1,100 E85 fueling stations and that's out of over 170,000 retail gasoline stations nationwide,” Mulally said. “We stand ready with the technology and we are willing to lead the way, but we need to partner with government and fuel providers – we must have the fuel infrastructure before we can effect change.”

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