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Saab goes ahead with ethanol cars

22 April 2005

Saab is forging ahead with powerful new models that can run on wood pulp-derived ethanol fuel, but is frustrated that it can’t bring the greener cars to the UK.

Fancy a more powerful Saab that's cheaper to run?

Saab is forging ahead with powerful new models that can run on wood pulp-derived ethanol fuel, but is frustrated that it can’t bring the greener cars to the UK.

The company’s BioPower 9-5 is proving popular with buyers in Sweden thanks to its increased power output and other benefits such as free parking in cities, exemption from congestion charges, cheaper fuel and 20% lower company car tax bills.

Saab says that in the UK tax and other incentives have not yet been positive enough to encourage the spread of the alternative fuel beyond a handful of sites. Although the government has reduced duty by 20p per litre, production costs are still high and mean it is only a penny per litre cheaper in the UK than standard fuel. In Sweden it is a third cheaper.

With more support and more refuelling points, Saab says it would bring the cars to the UK. It reckons BioPower would be only about £500 more expensive than standard models.

The first of the BioPowers in Sweden is based on the 9-5 2.0-litre petrol turbo. As ethanol has a higher octane rating than petrol (104 versus 95/98 RON) it allows higher compression ratios to be use. It’s 30bhp more powerful as a result at 180bhp.

Combined fuel consumption is similar to that of a comparable petrol car, but carbon dioxide emissions plummet to just 41g/km, more than 150g/km lower than usual. A company driver would pay tax based on just 9% of the car’ value instead of the 26% band with the petrol car. Bills for higher-rate earners would drop from £175 a month to £62.

It is also likely that the cars would be exempt from the London congestion charge.

Saab is now planning BioPower versions of its 9-3 saloon, convertible and forthcoming estate due this summer.

  • Ethanol and biodiesel equivalents are produced from vegetable matter like crops or wood pulp. Unlike fossil fuels, such as petrol or diesel, fuel made from sustainable sources in this way don’t add to worldwide carbon dioxide levels.