Plug-in hybrid cars enter the fast lane — we hope

(Editor’s note: We asked Felix Kramer to write about his 100+ mile per gallon hybrid electric car. Felix’s role, as head of Palo Alto’s CalCars, is significant. He was a member of a group of leaders who traveled to Sacramento to lobby for the global warming act, passed last week. More significantly, we keep hearing about Prius owners disappointed they aren’t getting better mileage. If Felix gets his car company off the ground, he could have a nice market waiting for him.)

In 2002, I founded CalCars as a company to advance cars that get over 100 MPG of gasoline. They’re called “plug-in hybrids” (PHEVs), because you can just plug in to 120 volts at home.. Electric for commuting, gasoline-fueled for longer drives, they’re a quantum step beyond today’s hybrids.

It took us four years to make largely unknown PHEVs a recognized path for automotive development. We built awareness and enthusiasm. Our open-source-style PRIUS+ conversions proved what’s possible.

Along the way we morphed into a dot-org — a “non-profit startup.” We became PHEV evangelists and helped catalyze a national movement . In a great cross-country policy stunt, our prototypes showed up at the U.S. Capitol.

Our timing has been on target. PHEVs respond to three national preoccupations: skyrocketing fuel prices, global warming and addiction to oil. When people hear about “cleaner, cheaper, domestic” PHEVs, the lightbulb goes on.

So why have car-makers remained reluctant to embrace our technology, and try to make a bundle off it? They’re reactive, work in long product cycles. and don’t believe people will pay more up-front. And they can’t see beyond resolveable technical concerns, especially on batteries.

How can we go further? Wise voices have long urged us to start a company. “Change the auto industry by proving your solution can make money.” It helps to have people like top VC John Doerr tell us, “Plug-in hybrids are a really big deal. They are practical, profitable and urgently needed.”

So now we want to launch an ambitious for-profit. We’re talking with other leading PHEV innovators about combining talents and acquiring funding to operate in the high-stakes world. We’re hatching plans to rapidly deliver PHEV conversions to fleets and individuals; work on original designs; license our intellectual property; and keep innovating.

We’ll make customers and partners out of car-makers, suppliers and integrators. Ford, GM and others could get a boost from PHEVs, as could emerging Chinese entrants. (Toyota could do it now, but may wait until 2010.)

Meanwhile, an industrtry in a tailspin drags its heels on innovation, PHEV engineers continue to patent answers to technical challenges that car-makers haven’t yet encountered. Washington is deciding how to make the President’s words come true when he says, “You’ve got your car, you pull in, you plug it right in the wall.” (Like I do every night.) And a half-dozen states are about to put tens of millions into PHEV programs.

PHEVs help GreenTech become the next big thing. The Environmental Entrepreneurs (E2) organization is getting involved . VC partners have driven our cars and talked about them as examples of innnovation.

We’ve started evaluating potential partners and markets. We’re talking with angels and VCs about borrowing an entrepreneur-in residence, helping to recruit auto industry veterans and getting seed funding. We try to involve people who’ve already made their fortunes and are looking to build useful profitable companies. We invoke the spirit of Steve Jobs’ recruitment pitch, “Do you want to sell sugar water for the rest of your life — or do you want to change the world?”

We’re teeing up opportunities. Progress can be frustrating and difficult — like any startup. But we’re having the most fun of our lives!

I’m the world’s first consumer owner of a PHEV. Wherever I park, people say, “I want one. I’ll pay almost anything. Can I get one?” I answer Not yet,” then, “How about a tax-deductible contribution or a seed investment so we can make it all happen?”

The for-profit company I want to build will have a better answer: “Yes.”

Next Story: Newspapers can't innovate — need "Switzerland Inc." to survive
Previous Story: Silicon Valley leaders prove clout on global warming bill