Q1, 2008 Q1,

Ricardo Quarterly review

Winds of Change Ricardo helps develop next-generation wind energy technology

India opens up: SIAM outlook for Indian auto industry New Ricardo office

Hybrids: Why an all new development process is needed

Biofuels: Why automakers should be concerned

Interview: Dr HS Lee, president, R&D, Hyundai

Contents Ricardo Quarterly Review Q1, 2008

08 14

06 20

news features 04 Industry news 08 Wind power: the next generation Detroit’s green agenda; Land Rover diesel hybrid, Ford’s Wind power may be a renewable source of energy, but the downsized SUV; Chrysler’s concepts; Tata launches weather is rarely predictable. Ricardo has been assisting People’s Car in New Delhi; supersports cars go diesel General Compression on novel technology which allows energy to be harvested and stored for periods of peak 30 Ricardo news demand. Anthony Smith reports AFS Trinity Extreme HybridTM demonstrator completed in fi ve months; cost-reduction co-operation on lithium-ion batteries; 17 Ricardo India Ricardo wins motorsport export award; US manufacturing As Ricardo inaugurates its India division, we take a close look collaboration; clean diesel breakthrough at the Indian automotive scene and the fresh way of doing business that the new organisation will usher in questions and answers 20 The challenge of biofuels 06 HS Lee, head of R&D at Hyundai-Kia Once seen as the answer to the world’s environmental President of corporate R&D at increasingly successful Korean problems, biofuels are coming under increasing scrutiny automaker Hyundai-Kia Automotive, HS Lee tells Tony Lewin for their well-to-wheels performance and possible adverse about hybrids, fuel cell vehicles, CO2 saving – and the launch effects on engine durability. Jesse Crosse speaks to Ricardo’s of the group’s luxury Genesis series experts in the fi eld 14 Dilip Chenoy, SIAM 26 Hybrid vehicle development The Director General of the Society of Indian Automotive The step-change in systems integration that comes with hybrid Manufacturers is presiding over an unprecedented boom in and energy-effi cient vehicles means a fundamental rethink India’s auto industry. We hear his views on today’s successes of the way we develop our vehicles. Andy Chien of Ricardo – including the Tata Nano – and India’s prospects for the future Strategic consulting anticipates a revolution in the making

Head offi ce: Conceived and produced for Ricardo by: Ricardo plc, Shoreham-by-Sea, TwoTone Media Ltd West Sussex, BN43 5FG, Editor: Tony Lewin United Kingdom Contributors: Tel: +44 (0)1273 455611 Mark Roberts, Anthony Smith, Ricardo contacts and locations: Jesse Crosse, Andy Chien www.ricardo.com/contacts TwoTone Media Ltd contacts: RQ subscriptions: www.ricardo.com/rq Anthony Smith: [email protected] Sales enquiries: [email protected] Tony Lewin: [email protected] Industry News

Land Rover LRX (left), Cadillac Provoq (below) and Ford Explorer America (above) all caught Detroit’s green mood.

Detroit’s green agenda

etroit 2008 could go down in claiming enhanced off- Dhistory as the event where North road performance as America at last showed it was taking well as the potential for energy saving – and even climate 120 g/km CO2 emissions. be many years change – seriously. Production is likely early before the fuel cell Hybrids were on everyone’s stands, next decade, assuming powertrain makes it into many of them volume production Land Rover’s new owners production, but the smaller models; downsizing was much in approve the programme. and lighter unitary platform evidence, with GM showing a fuel Ford’s Explorer America concept offers useful downsizing of dimensions cell Cadillac and cancelling a V8 sought to redefi ne the iconic SUV, and consumption and will be in the programme, and even Hummer was ditching the big V8 and weighty ladder showrooms – with gasoline power lured into the green camp with a bio- frame chassis for a two litre, four – next year. fuelled concept. cylinder EcoBoost motor and car-like However, just to prove business Notable, too, was the advance of eco unitary construction, giving a projected as usual continues in Detroit, Ford thinking into the gas-guzzling world of 30 per cent fuel saving. unwrapped a fresh V8 F150 pickup, the SUV. Land Rover struck the perfect Premium nameplate Cadillac took Chrysler showed its big bold new Ram note with its smaller, lighter LRX concept, two major steps forward with its pickup and Chevrolet revealed its most its combined electric and diesel drive Provoq, another crossover SUV. It will powerful Corvette ever.

Chrysler shows eco concepts ewly independent Chrysler LLC Nshowed an eco-minded concept for each of its three brands. Jeep’s Renegade is electric, with a Bluetec diesel engine as a range extender, the Chrysler ecoVoyager (right) is a roomy electric people carrier with its batteries topped up by a fuel cell, while the all- electric Dodge Zeo is a sporty 2+2 coupe with a claimed range of 400 km.

BMW joins DCT set Ford: hybrids to make money Ferrari burns ethanol Go-it-alone hybrid The new M3 convertible is the Ford’s hybrid vehicle operations Surprising the crowds at Detroit Ex-Aston Martin and BMW fi rst BMW model to feature the will move into profi t by the end was a Ferrari F430 Spider tuned designer Henrik Fisker has company’s new M Double Clutch of 2008, according to Nancy to run on E85 bioethanol. Race- developed a pure electric luxury Transmission. The seven speed Gioia, director of sustainable derived modifi cations to the fuel sports coupé for his California gearbox has six different shift technologies. The company has feed and engine management organisation Fisker Automotive. programs, allowing the driver to reduced the cost of hybrids by systems allow the engine to The Karma claims 0-100 km/h in

News in brief in News fi ne-tune the change. about 30 per cent since 2004. produce an extra 10 hp. 5.8 seconds.

4 RICARDO QUARTERLY REVIEW • Q1, 2008 RICARDO $2500 People’s Car QUARTERLY stuns auto industry REVIEW erhaps for the fi rst time ever, equipment levels, weighs just 580 kg The task of RQ is to highlight the latest Pthe world car business turned – enabling it to claim 5 litres per 100 thinking in automotive engineering and its focus on New Delhi in January km consumption. The gasoline version technology worldwide – both within for the presentation of Tata’s long- meets Euro 4 emissions standards as Ricardo and among other leading companies. By presenting an up-to-date awaited People’s Car. Priced at $2500, well as local Indian crash safety norms. mix of news, profi les and interviews a fi gure many analysts said would be Tata is working on a diesel version with top business leaders we paint an impossible to achieve, the four-seater as well as better-equipped, more interesting and exciting picture of R&D Nano has a rear-mounted twin-cylinder expensive editions for export. These activity at a world-class automotive gasoline engine and CVT transmission. will have airbags and other safety engineering services provider. The four-door hatchback runs on tiny features not required for the Indian It is a formula that has certainly been a hit with the worldwide automotive 12-inch wheels and, market. Tata Motors sees an community: in the fi ve years since RQ thanks to eventual volume of one was launched we have had to increase simplifi ed million units a year. our print run to 14,000 copies to keep pace with the demand to read about Ricardo and its activities. Client confi dentiality is of the utmost importance to Ricardo, which means that we can only report on a small fraction of the work carried out by the company. So we are especially grateful to those Ricardo customers who have kindly agreed to co-operate with RQ and allow their programmes to be highlighted in print: without such help from customers it would not be possible to present such a fascinating insight into the way vehicles are conceived and developed.

uses spark ignition only for start-up and concept combines a lithium-ion battery Technology trends under full load. with a 120 kW electric motor and a 1.3 litre n what has been a remarkable few GM and Volkswagen have also shown diesel engine to give a range of 55 km in Imonths for engineering innovations, combined consumption systems, allowing zero-emission electric mode before the new combustion systems and plug-in gasoline-type engines to use compression combustion engine has to be fi red up. Audi’s hybrids have emerged as important trends ignition under certain conditions; further Metroproject quattro will be the basis for the approaching production feasibility. away is VW’s CCS, which runs on special new A1 small car, the Tokyo show concept Mercedes-Benz claims a 127 g/km CO2 synthetic fuel for very low emissions. being a through-the-road hybrid with a emissions fi gure for its DiesOtto engine in Detroit saw the second showing of GM’s conventional 1.4 litre gasoline drivetrain at the S-Class-sized F700 concept car: the 1.8 Flextreme plug-in hybrid proposal, this the front and a 30 kW electric motor driving litre four-cylinder unit runs on gasoline but time wearing the US Saturn badge. The the rear wheels.

Supersports cars go diesel ne trend, two extremes: Audi has created the world’s Ofi rst diesel-engined supercar by installing its race-inspired V12 diesel into the R8 two-seater (far right), while Mitsubishi’s Concept RA (right), despite its mid- engined looks, uses the new Lancer four wheel drive platform with the 2.2 litre clean diesel mounted up front.

20 per cent diesel in US? GM’s axes new V8 Fiat’s DCT programme Racing greens One in fi ve Mercedes-Benz sales A high-technology V8 engine Italian carmaker Fiat will launch Automakers are partnering with in the US could be diesel-powered programme has been cancelled by a new family of six-speed US government bodies to launch a vehicles within a few years, Daimler General Motors. The DOHC transmissions in 2010, according green racing series for sports cars chief executive Deiter Zetsche has unit, destined for luxury cars, was to Automotive News Europe. using biofuels, energy-retrieval stated. In 2007, slightly under fi ve due to have entered production The three versions will include and other CO2-saving technologies. per cent of the brand’s quarter- in 2009 to replace the current a manual, a dual clutch and an The fi rst race will be at Sebring in million US sales were diesels. Northstar V8. automated manual. March this year.

Q1, 2008 • RICARDO QUARTERLY REVIEW 5 RQ Interview – HS Lee

HYUNDAI’S “Mr Engine” HS Lee is the engineering visionary behind Hyundai’s spectacular rise to global status – and also the creator of the world engine used by Chrysler, Mitsubishi and Mercedes. Tony Lewin spoke to him as the Korean group presented its i-Blue fuel-cell concept and prepared to enter the luxury market with its Genesis line

What is the top priority in your R&D hybrid vehicles into Europe unless they sizeable plug-in hybrid market is made work right now? were for customers who used them for possible, a positive feedback between Our top priority is to develop a safe car, downtown driving in heavily congested technology development and market an environmentally friendly car, and a big cities. expansion can be created. Based on car that’s convenient and easy to use. this scenario, the era of electric vehicles Basically, it’s safety and environmental If Germany introduced speed limits on could come earlier than expected. friendliness. its Autobahns, would hybrids stand a better chance in Europe? What are the prospects for diesel in You haven’t mentioned performance, Yes, the chances would be better, North America? for instance. Is that no longer a but hybrids are still best for the really A good question. Pick-up trucks have priority? congested city driving. In other respects already started using diesel engines, These days, performance is the I’d rather be driving a fuel effi cient and there’s a change among SUVs same for every car manufacturer. diesel. towards diesel too. The atmosphere is It’s pretty much standard now. It’s a changing. Americans no longer resent baseline for the vehicle – it’s no longer What about a diesel hybrid, then? diesel: they’re starting to calculate the a differentiator between brands. We That’s a possibility, but the issue is costs and performance of the diesel can differentiate our products in two how we control the cost. This is the system. Their diesel engines are ways: how environmentally friendly the key factor. We need to develop a cost- currently large, around six litres: it will vehicle is, and how safe the vehicle is. effective hybrid system, otherwise it take them some time to accept small will be diffi cult to apply diesel hybrid to diesel engines for passenger cars and What is the key technology you smaller vehicles. small SUVs. The emissions target is are pursuing for environmental very tough and the additional cost is friendliness? Is it hybrids? Could you approach the €1000 target very high. The big issue for us is how Hybrid is important, but it’s not the that has been mentioned by some to persuade customers to understand 100 per cent solution. The basic manufacturers and suppliers? they’re getting an advantage by driving direct injection gasoline engine with That’s a tough target: we’d love to diesel. turbocharger will be used; so will the develop a hybrid with just the €1,000 diesel. CO2 emissions are important, so additional cost. It will be very diffi cult Turning to fuel cell vehicles, you we are applying all the state-of-the-art – maybe €1,500 might be a [more showed the i-Blue concept at solutions to these conventional engines. realistic] target. That’s based on a September’s Frankfurt show. When do On top of this we are working hard production volume of about 100,000 you expect a production vehicle? on hybrids and also fuel cell vehicles. vehicles a year. Right now, we are We are participating in the Department Hyundai-Kia Motor is trying to come up producing hybrids in Korea and the of Energy programme in California, with an even more light-weighted car, volume is just a few thousand a year running 34 vehicles with Chevron- introducing aluminium body, optimized – and the cost is high. Texaco. We’re doing a similarly-sized engine structures, new material and test with the Korean government too. process methods. What about plug-in hybrids? We’ve been investing a lot of research Plug-in hybrids are expected to play money and our technology level is Will you need hybrids to meet the the role of a stepping stone leading pretty much the same as any other car European 130 g/km CO2 fl eet average to battery electric vehicles. Currently manufacturer’s. standards? there exists a huge gap between the Europe is a tricky market for hybrids. actual battery technology level and Is the fuel cell stack your own, or is it High-speed driving is still popular in the desired one for electric vehicles to bought in from an outside supplier? Europe – and hybrid is not any help for be put into practical use. The plug-in It’s developed in house – it’s our own this. We would be reluctant to introduce hybrid can help reduce this gap. And if a stack.

6 RICARDO QUARTERLY REVIEW • Q1, 2008 “We can compete with any company Dr Lee, Hyun-Soon President, Corporate R&D, in the world in powertrain. Now we’re Hyundai-Kia Motor Co, Korea developing world-class state-of-the-art 2007 Head of corporate R&D, vehicles like the Genesis” product planning and strategy 2005 Head of corporate R&D Is extreme-temperature performance Are you developing all those in 2001 Head of powertrain R&D centre the biggest problem with fuel cell house, or in conjunction with outside 1996 Assistant head of HMC systems? suppliers? worldwide R&D So far, we’ve got the technology to go Mainly in-house, but for some projects 1993 Director in charge of gasoline successfully to minus 10°C. We’re still we go outside. engine design and looking into extreme conditions, but development cost reduction is another big problem. Barely ten years ago, Hyundai was 1984 Joined Hyundai; increasing The i-Blue is designed around the fuel a small company with minimal responsibilities cell system and has a running range engineering resources and models of 600 km. derived from other carmakers’ products. What has been the most Is Genesis the start of a big push into Planned global emissions standards important factor in the company’s the premium segment? are signifi cantly different between progress? We will be introducing luxury – not Europe, Asia and North America. Our chairman invested huge amounts premium brand, but luxury – vehicles Do you think there can be any of money to build up our R&D for higher markets to enhance our convergence towards a world standard capability. We have a huge R&D centre brand image. So far, we’ve [mainly] in the future? in Korea, with over 8000 engineers in been associated with small and I’d love to see that kind of development. one place. It’s an integrated campus, medium vehicles, which is somehow I’d look forward to it: somehow, we’ve with all the functions working together. tending to drag down our brand image; got to fi x this problem. Not only We’ve been able to develop our world I think it’s time for us to move upwards, emissions standards, but collision powertrain and engine: we don’t just not just to improve our image but to standards and safety standards have our own technology but have improve our profi tability too. We’ll – they’ve got to be globalised. All car been able to give it to DaimlerChrysler keep the small car lines, but strengthen companies are wasting resources trying and Mitsubishi. The world engine the larger car lines and add luxurious to meet so many different standards: programme really propelled our vehicles it’s a big problem. Cars could be engineering capability. We feel very cheaper if they only had to meet one set comfortable in the powertrain area: Will you leave the smaller vehicles to of standards. we can compete with any company Kia in order to move Hyundai upwards? in the world in powertrain. Now we’re No: both companies will continue in If there is going to be convergence, developing world-class state of the the small vehicle market as this market which set of emissions standards art vehicles like the Genesis we have is increasing rapidly, especially in Asia should be the one to converge on? presented at the New York Motor – China, India and now south-east Asia. Another good question. Carbon dioxide Show. That vehicle gives proof of our The growth is extremely high, so we emission regulation is really important technological capabilities. This year cannot ignore this market. Within this for preventing global warming, and (2007) is our 40th anniversary: through market we need to differentiate Hyundai it is also easily understandable by Genesis we would like to jump one step and Kia by styling, performance and by customers and car manufacturers higher in car manufacturing technology. price. – although the Americans are still very reluctant to adopt regulations. i-Blue Concept car We’d love to see just one globalised uses Hyundai’s own emissions regulation. fuel cell system and claims a range of 600km on a single tank How important is the transmission and of hydrogen. the rest of the driveline in the overall CO2 equation? The transmission is also important in the reduction of CO2. We are developing six-speed automatic gearboxes – also seven and eight-speed, too. Those technologies will give us better fuel economy and less CO2; other kinds of technology are the dual clutch transmission and CVT – these are important options for us to consider seriously. The DCT and CVT shift systems give us huge benefi ts in fuel economy.

Q1, 2008 • RICARDO QUARTERLY REVIEW 7 Wind energy

A change in the wind Wind may be a completely renewable source of energy, but weather is unpredictable and wind power is not always available when needed. This intermittency of power supply has limited the contribution that wind turbines are able make to grid power supplies. Now, however, as Anthony Smith reveals, Massachusetts-based General Compression is using Ricardo’s automotive engineering and development expertise to develop new technology to store wind energy and provide something they call ‘wind energy on demand’™

ssues of energy security and global further reinforced this commitment in Portfolio Standards mandate targets for warming are at the very top of the December 2007, unveiling plans for an the proportion of electricity sales which Ipolitical agenda for governments of unprecedented 33 gigawatts of offshore must be represented by renewable all major industrialised nations as well wind power capacity within the same resources. These binding targets apply as those of the developing world. As time frame. If constructed, this would in 24 states plus the District of Columbia a result, renewable energy resources represent a 60-fold increase in the UK’s and together represent more than half are increasingly seen as an important wind-produced energy in relation to of the electricity sales in the United contributor to the future of regional and present day levels – and would be States. national grid power supplies. the power equivalent of the energy If the headline fi gures for aspirations In Europe for example, EU leaders consumption of the country’s entire of future renewable energy levels signed up in March 2007 to a binding housing stock. seem impressive based on today’s target to obtain 20 per cent of their Enthusiasm for the development of usage, they are even more so when power needs from renewable sources renewable energy is also apparent in taking into account projected increases by 2020. The UK’s industry minister the United States, where Renewable in electricity demand. By 2030 total

8 RICARDO QUARTERLY REVIEW • Q1, 2008 EU electricity demand is forecast by or major river networks, virtually every the European Commission to have part of the earth’s surface experiences increased by approximately 50 per cent the natural force of the wind. compared with 2000 levels. But whereas many other renewable resources are predictable to a high Wind’s inherent disadvantage: degree – in the case of tidal power, the weather over many years – the instantaneous Of all of the potentially large-scale availability of wind power has renewable energy resources, wind is traditionally been subject to the perhaps the most universally available. vagaries of local weather conditions. While the generation of biomass-based Whether in the depths of a winter freeze fuels requires space for cultivation of when household heating is added to feedstock and the various forms of the grid baseload requirements for hydropower require access to the sea industry, or in the height of summer

Q1, 2008 • RICARDO QUARTERLY REVIEW 9 Wind energy

when the air conditioning systems of Schematic of typical Compressed Air the major commercial centres make Energy Storage facility similarly high demands, unless the wind blows in the vicinity of the wind farm, no power will be generated. Compressor Turbine Off-peak grid Peak grid Massive grid networking on a national electricity electricity or continental scale could provide a Combustor theoretical solution – after all, even if one Motor Generator given location is becalmed, the wind is Ambient air Fuel always blowing somewhere else. But the practical obstacles are such that wind energy has tended to be used to Pre-heater/ Aftercooler/Heat exchanger augment rather than substitute for base Aftercooler recuperator load power generation capacity.

The value of wind energy on demand The problem is summed up in fi nancial Compressed air reservoir – underground terms by David Marcus, CEO of wind cavern or fabricated storage system energy company General Compression. “Conventional wind turbines have gotten very effi cient at taking The ‘Dispatchable Wind’ system intermittent wind and generating intermittent electricity. Intermittent electricity gets a lousy price in the market – nobody wants to pay for it, Transmission and compressor array housed in it doesn’t benefi t from any time-of- nacelle of wind turbine day pricing, and it doesn’t use the transmission grid effi ciently.” It was this realisation which led to Prevailing the formation of General Compression wind by four founding shareholders, Transmission which included Mechanology, Inc., system Wind a well-established developer of Ambient turbine air Intercoolers and aftercooler use advanced compressors and associated ambient air as cooling medium technologies. Mechanology had the foresight to identify the opportunity to develop a compressor-based energy Compressed air at circa 100 bar delivered to storage reservoir storage capability which could act as a buffer for wind farm output peaks. The company is responsible for the development of the compressor Compressed air energy storage (CAES) is a well proven technology. Dispatchable wind uses wind turbines to feed a central CAES reservoir. technology which will be used by General Compression in its proprietary air and raise it to a given storage the pre-heater or recuperator, before Dispatchable Wind™ systems. pressure. This high-pressure air is piped being released to the atmosphere, thus Summing up the overriding mission to a reservoir and stored, ready to be improving thermal effi ciency. of General Compression, Marcus expanded through a turbine to produce Until now, CAES developments have continues: “We’ve decided to focus on electricity whenever needed. been based in an opportunistic manner how to make wind storable so that we The storage and expansion aspects around favourable geological features can sell it on demand when customers of the Dispatchable Wind system are such as impervious rock caverns want it.” already well proven technologies. and redundant mines. Examples As with many great ideas, the concept Compressed air energy storage include the 290 MW Huntdorf and 110 underlying General Compression’s (CAES) systems have been used for MW McIntosh plants respectively in Dispatchable Wind system is in essence many years alongside pumped-hydro Germany and Alabama, which use very simple. In a traditional wind schemes as a means of enabling the redundant salt caverns as their storage farm the wind turbines are used to large-scale buffering of grid electricity. facilities. However, development work generate DC current, which is passed These facilities purchase low priced, has also more recently been carried to an inverter, matched to the system off-peak energy to compress and store out on smaller-scale CAES systems frequency and fed into the electricity air at high pressure (typically around which use fabricated storage vessels grid. Power transmission is immediate, 50-75 bar) in an airtight storage facility. running at pressures in excess of 100 so the wind energy provider has to The pressurised air is then kept until bar in order to reduce storage capacity take whatever the current market demand peaks, when it can be released requirements. clearing price is for grid electricity. In the through an expander plant in which “When we examined existing CAES Dispatchable Wind system, however, it is heated and passed through a systems two factors immediately struck the DC generator on the wind turbine combustion turbine to create electrical us,” explains Mechanology CEO, Eric is replaced by an array of compressors energy. The waste heat of the exhaust Ingersoll. “Firstly, if you substitute and intercoolers which take atmospheric is typically used to supply energy to a wind turbine instead of an electric

1100 RICARDO QUARTERLY REVIEW • Q1, 2008 motor to drive the input compressor, manufactured and where it is installed.” Enter the Dragonfly™ everything downstream of this in terms Other operating considerations Seeking to subject the Dispatchable of compressed air storage and eventual are that the compressor must match Wind conceptual design to objective expansion is known and well-proven the power input of the wind turbine external peer review, General technology. Secondly, we need a almost instantaneously. While storage Compression and Mechanology completely new and unique form of pressure changes very slowly, wind invited a number of wind energy compressor technology in order to speed can change almost immediately. experts to participate in a seminar accommodate the practical demands of At the turbine this can range for at Mechanology’s headquarters wind power generation.” example from a cut-in speed of in Attleboro, Massachusetts. The typically 5 rev/min to a rated speed of advice was clear and unambiguous: Size matters – so does weight 18 rev/min. While the gear train will the Dispatchable Wind conceptual In order to meet the challenge of take this up to a more amenable speed design was potentially attractive for incorporating a compressor capable for compressor operation, the three- a wide range of wind farm types and of delivering a service pressure of fold speed range is a fundamental locations. There was one problem, around 100 bar within the structure of a challenge for the operation of the however: none of the then-available wind-turbine, a very high power density compressor. compressor technologies identifi ed would be needed. The only plausible As such, the system needs to handle by Mechanology would meet the location for the compressor system rapid and substantial changes in combination of performance, would be in the nacelle immediately speed and fl ow rate while maintaining cost, power density and reliability behind the rotor, which is used to house its service pressure ratio. There are requirements identifi ed. the gearbox and generator set in a some very practical concerns too. The The answer – the invention of the traditional wind turbine. compressor needs to offer high levels Dragonfl y compressor – came as a The need for low weight is obvious of reliability, with no more than routine spark of inspiration. The basic design for such a location, situated as it is at annual planned maintenance over a life for this innovative machine arose the top of the tower structure typically span of 20 years. Above all, it needs to from something of a eureka moment up to 100 metres from the ground. be affordable. between Steve Chomyszak and But size too is important as there are Having looked at the available Alex Doohovskoy, a mathematician practical limits on the dimensions of the compressor technology, Mechanology and colleague. In discussion with nacelle which cannot be breached. quickly established that while there Doohovskoy over a suggested “The limiting factor on the size of were many available devices capable improvement to another product, the nacelle is the maximum dimension of delivering the basic functional Chomyszak attempted to sketch you are legally allowed to place on pressure, fl ow rates and reliability what he thought his colleague was a truck”, explains Steve Chomyszak, targets, none of them had the potential recommending. As it turned out, the Mechanology engineering chief and to meet the power density, size and two of them were completely at cross co-founder. “Every country as well cost requirements of a commercial purposes and the sketch bore no as each individual state in the USA wind farm operation. Put simply, as relation to the discussion at hand. It has its own regulations, so you have Chomyszak explains, “they’re too big, did however represent the concept of to design for the worst case you will they weigh too much and they cost too what could be a potentially high power encounter between where the unit is much for this application.” density compressor. While the detail design of the Dragonfl y is subject to international “We’ve decided to focus on how to make patent applications and must thus wind storable so that we can sell it on remain confi dential, Ricardo engineers found that the Dragonfl y is inherently demand when customers want it” mechanically elegant and appears David Marcus, CEO, General Compression to offer a viable solution. Proving its robustness on a large-scale application requires an equally elegant development process. As a fi rst step Mechanology produced a small-scale 37 kW proof- of-concept demonstrator, named the ‘V0’, in the company’s own workshop. While this machine confi rmed the basic principle of operation, a rather more signifi cant challenge would be to transform it into a production device of approximately ten times this rating. Only an up-scaling of this order would enable the Dragonfl y to form one of the four compressor stages in the nacelle which would be capable of handling 1.5 MW – the typical power rating of a commercial wind turbine – and delivering reservoir compressed air in excess of 100 bar.

Q1, 2008 • RICARDO QUARTERLY REVIEW 1111 Wind energy

Engine engineering skills and Like any compressor, the Dragonfl y systems has utilised a range of CAE and technology generates its own pulsed fl ow with design technologies of the automotive It is often said that a good compressor consequent pressure wave dynamics. industry; the prototype development design plus a fuel system and means Ricardo’s WAVE software, more process too would be familiar to many of ignition can be the basis of a good typically applied to engine, intake and automotive design engineers. However, engine. While the similarities may be exhaust simulation, was an ideal choice whereas multiple engine prototypes more obvious between a reciprocating to simulate the complete system of will usually be produced to fulfi l a compressor and a conventional four compressor stages and associated range of separate test development automotive gasoline or diesel engine, manifolds, ducting and intercoolers applications such as thermal and the basic physics of the pumping installed in the nacelle. While the durability assessment, calibration process are also broadly similar even primary mechanical system is in itself development and ultimately, in-vehicle for a machine such as the Dragonfl y. fundamentally in balance, WAVE prototype development, the scale of The choice of Ricardo to assist in the enables the far more complex system- the Dragonfl y and its intended wind detail design and development of the wide gas dynamics to be considered energy application are such that all machine and its associated hardware and optimised. work will need to be carried out on a was thus an obvious one. Dan Acker, The Dragonfl y drive system also single prototype of each version in an programme manager at the Ricardo benefi ted from Ricardo CAE technology integrated manner. Detroit Technology Campus, takes up in the form of the VALDYN package, For the next stage of Dragonfl y the story: more usually applied to optimise the prototype development, Mechanology “The Ricardo engineers working valve train and belt and chain drive has built its own 525 kW compressor on this project have been closely systems of automotive engines. While test facility at its Attleboro base. It is integrated with Mechanology’s own the original drive system as used planned that the fi rst full-size prototype engineering team, focusing on those for the initial ’V0’ prototype is being Dragonfl y, named ‘V1’, will be tested areas where state-of-the-art automotive scaled up, at least in design terms there during 2008 in parallel with engine design, analysis and engineering for the fi rst full-size ‘V1’ prototype, commencement of engineering design skills and processes can be of greatest Mechanology requested that Ricardo work on the next stage prototype, assistance. The technical challenge investigate two alternative designs in ‘V2’. To improve the effi ciency of the was in taking this well-established parallel for possible substitution at a development programme, however, know-how and applying it in a unique later stage of product development. Mechanology has implemented a situation.” The use of Ricardo’s VALDYN software parallel learning and improvement One of the most fundamental allows engineers to calculate critical process in which high-risk sub-systems considerations was in the detailed parameters such as bearing loads, or problems identifi ed are spun off from design of the various components contact stresses, and resonant the main programme for intensive work and sub-systems of the Dragonfl y, vibration modes in a wide variety of while the prototype itself proceeds enabling it to be taken from a 37 kW confi gurations very quickly. The overall with the best available technology. proof-of-concept model to a 375 kW benefi t is a more robust design in a Chomyszak cites the example of the production device. Ricardo’s Computer much shorter time period. drive system, where Mechanology Aided Engineering (CAE) technology has tasked Ricardo engineers with was used to great effect in examining Development process the concept design of a range of the overall gas dynamics and possible The detailed engineering of the possible alternative solutions based on drive mechanisms of the Dragonfl y. Dragonfl y components and sub- automotive-style technology, while the V1 programme continues based on the If the programme proves successful, the original system of the V0 machine.

idea that wind energy is intermittent Full-scale system evaluation energy may once and for all be consigned The ambitious plans of Mechanology and General Compression aim to bring to the history books Dispatchable Wind to commercial readiness on an extremely tight timescale. Following testing of the ‘V1’ prototype Dragonfl y, Mechanology intends to work with Ricardo and other partners to prepare the next full size prototype, ‘V2’, which is intended for evaluation as a complete General Compression compressor array including all four compressor stages and intercoolers. This will be too big for the company’s in-house test facility, so will instead be tested at a Department of Energy laboratory

Development timeline: Following the testing of the V1 and V2 DragonflyTM prototypes, General Compression plans a full scale array test in 2009 and wind farm trial in 2010.

1122 RICARDO QUARTERLY REVIEW • Q1, 2008 the fi rst three prototype wind turbines – from its own resources. However, the potential attractiveness of a technology which can deliver wind energy on demand is perhaps best demonstrated by the apparent ease with which the company raised its fi rst $8.1 million of external capital in April 2007. The enthusiasm of Mechanology and its partners, including the Ricardo engineering team, is palpable – yet it is also soundly based on the implementation of a methodical and rational approach to design and testing, using the best available technology and support. Chomyszak is confi dent that Dispatchable Wind will deliver: “Our analysis of current CAES systems shows that they have a system effi ciency of around 45%, whereas our system will be around 55%.” Crucially, however, the Dragonfl yTM compressor aims to offer a practical package which can be installed in – one of very few installations globally investment in commercialising the nacelle of a wind turbine and capable of accommodating a 1.5 MW, Dispatchable Wind is no less cope with the severe environmental nacelle-sized machinery installation. impressive than the elegance, simplicity and operational demands that Testing of this array is planned for 2009, and attractiveness of the concept arise from this. If the Dispatchable following which General Compression itself. The company is funding the Wind development and validation intends in 2010 to commission the fi rst entire development process – from the programme proves successful, the idea Dispatchable Wind prototype, featuring detailed design and prototype testing of that wind energy is intermittent energy three commercial-size turbines. the Dragonfl y compressor on which it may once and for all be consigned to The scale of General Compression’s is based, through to the construction of the history books.

Steve Chomyszak, Mechnology and General Compression

Steve Chomyszak was raised in a rural Stanford is one of the world’s leading As an entrepreneur he credits his up-state New York farming community research and teaching institutions. long-time friend and Mechanology where his early practical skills and While there, he also discovered co-founder, Richard Hagan, for interest in all things mechanical was an equal love for engineering and encouraging him in his work and particularly useful. manufacturing. To fund his studies providing the highly necessary “I grew up knowing about how to he took a part time job as a teaching emotional fuel and entrepreneurial drive tractors and perform various assistant in manufacturing technology. skills essential for keeping a startup farm-related jobs. In that environment He confesses that having access to company operating. when something breaks, you’ve gotta a machine shop as well as a design In 2003 Eric Ingersoll, the know how to fi x it.” He was able to studio was perhaps too tempting an company’s CEO, came up with bring these practical skills with him alternative to some of his more formal the idea of putting compressors throughout his education. “In high lectures. into wind turbines and storing the school, I was equally at home taking But in describing this period he energy as compressed air. Two of machine shop and art classes as well also makes a very salient point about Mechanology’s principal investors, as advanced placement classes in education in general, one which seems brothers Michael and David Marcus, math and science”. Following high to defi ne much of his career as an already had interests in wind energy school he studied for a Bachelor’s entrepreneur: “As a graduate student, and in 2006 they, Mechanology, and degree in industrial design at Syracuse I didn’t feel that I was necessarily there power plant developer Summit Power University, a profession which he to be taught – I was there to learn. In Group became the four founding describes as “an ideal blend of my my view, education is a process of shareholders of General Compression, artistic and mechanical talents”. not only building knowledge, but of Inc., the company formed to develop By a stroke of good fortune he was also building the skills necessary to and commercialise the Dispatchable invited to attend graduate school put that knowledge to work. Learning Wind system. at Stanford University in Palo Alto how to learn is the most important In its fi rst round of funding in April California by his mentor, Professor skill that one can take away from one’s 2007 General Compression raised Rolf Faste, to study Product Design education.” $8.1M from over 70 investors.

Q1, 2008 • RICARDO QUARTERLY REVIEW 1133 RQ Interview – Dilip Chenoy

INDIA OPENS UP Dilip Chenoy Director General, SIAM

With the presentation of the $2500 Tata Nano important in future. India is number two in two wheeler at the New Delhi shown in January, India manufacturing in the world, after China. is in the global spotlight like never before. The world’s number one motorcycle Tony Lewin speaks to Dilip Chenoy, Director manufacturer is already present in India. General of the Society of Indian Automotive Countries like Vietnam and Indonesia are huge prospective markets. Manufacturers, about India’s expanding role in A tenth of Indian vehicle industry’s the global auto industry production, over one million vehicles, is being exported. Exports have shown What is India’s future as a more than 25 per cent . remarkable performance during the manufacturing base, perhaps for more The Indian automobile industry year 2006-07, with the growth rate than just low-cost vehicles? has witnessed huge investment being over 25 per cent . Last year, three Although the history of Indian announcements in all the segments wheeler exports grew the most at 87 automobile industry is long, it is only since last year; close to $15 billion is per cent , followed by two wheelers, since the 1990s that the industry expected to come in over next three to commercial vehicles and passenger started developing subsequent to the fi ve years. The investments are in all vehicles exports at 26 per cent , 22 per 1991 liberalization policy of the Indian segments of the industry. cent and 13 per cent respectively. Government. The industry has immense potential Exports are to varied regions and All segments are showing robust and is developing 100 per cent countries, including South Asia, the growth, with production growing at an indigenously designed vehicles at EU (Germany, UK, Belgium, Italy), the average rate of 15 per cent over the last highly competitive prices. Middle East, North America, Russia fi ve years. The fi nancial year 2006-07 and South Africa. [The table opposite showed an encouraging performance What about CVs and two-wheelers? Is gives the Indian vehicle industry’s of the vehicle industry, with production there export potential here and, if so, to overseas sales]. growing at 14 per cent, domestic sales which markets? registering a growth of over 13 per cent The commercial vehicles segment in Can India compete with China on cost in number terms and more than 15 per India is also upbeat; the segment grew of production? How long will this last? cent in value terms. the most – 33 per cent in 2006-07. This What types of manufacturing – engines, All segments have shown growth, led growth was led by the most important transmissions, or complete vehicles? by commercial vehicles at 33 per cent , sub segment under this category, India and China are as distinct as far as three wheelers at 28 per cent , passenger goods carriers or trucks, which grew at their unique advantages are concerned. vehicles at 18 per cent and two wheelers 38 per cent. Indian industry does not get any at 11 per cent . Exports have also grown In the commercial vehicle segment, subsidy from the Government but has remarkably with the growth rate being especially in LCVs, the industry is competed with the rest of the world exploring new on the basis of quality and economy markets. Sub- achieved by the local entrepreneurship. one tonne trucks While companies are already exporting have created transmissions, engine parts and other an interesting systems and parts, India is slowly niche in recent developing into a manufacturing base for years and it is complete vehicles too. Last year, almost expected that 200,000 cars were exported from India. this sub-segment will become Will India enjoy a long-term advantage in costs over China once Chinese India’s $2500 Tata Nano has become government subsidies and incentives the most talked- have ceased? about car in the Companies based in India should global auto industry enjoy an advantage over their

14 RICARDO QUARTERLY REVIEW • Q1, 2008 current competitors. More so Trends in India’s Automobile Exports (In ‘000) because the government of India Category 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 has now become sensitive about the Passenger vehicles 53 72 129 166 176 198 systemic defi ciencies, especially the Commercial vehicles 12 12 17 30 41 50 disadvantages related to the cascading Three wheelers 15 43 68 67 77 144 effect of embedded taxes, and we hope Two wheelers 104 180 265 366 513 619 government will take steps to address Total 185 307 480 630 806 1,011 those issues and make manufacturing Source: SIAM; totals may be affected by rounding competitive. main competitive advantage is in cheap to buy and safe to travel in? Is India happy with western and entrepreneurial skills which help to We understand that any vehicle Japanese OEMs setting up solo integrate small innovations. developed in India would meet all operations, rather than JVs as in emission and safety standards prevailing China? What’s in it for Indian industry? Can India remain a sustainable location in the market. There should not be any One hundred per cent FDI (foreign for worldwide low-cost car production restrictions on adding features. direct investment) is allowed in the as prosperity increases and wage costs automotive sector. Solo operations and rise? Will the low-cost cars be available with joint ventures are company decisions India should remain competitive features such as airbags, ABS, and and there should be no concern about compared with other competing ESC? What emissions level will they solo operations as long as India gains countries in the foreseeable future. meet initially and eventually? in terms of local value addition and Any vehicle sold in India would meet employment. What will be the factors constraining all emission and safety parameters Incidentally all Japanese companies the current sales boom? mandated by the government of India. in India are joint ventures – Maruti- Currently, macro economic factors like Currently we have Euro III equivalent Suzuki, Toyota-Kirloskar, Hero-Honda, rising interest rates, reduced availability standards in cities and Euro II equivalent Honda-SIEL, Mahindra-Nissan, Swaraj- of fi nance, the appreciation of the standards in the rest of the country. We Mazda, HM-Mitsubishi. Even European rupee and rising commodity prices are are expecting to have Euro IV equivalent companies in India are joint ventures: exerting upward pressure on the cost of standards from 2010. Airbags and Tata-Fiat, Mahindra-Renault. production and are affecting demand. ABS are not standard features of basic models of most cars sold in India. These What can India teach the world about Can a 1-lakh car sell beyond the extra features normally come at a cost. low-cost cars? sub-continent? Tata Motors is developing a low cost We feel there are many people for whom What will be the impact of these car in India, which will to come to the a car is only a means of transportation, tightening emissions standards in India? market later this year. However, looking and such people exist in all countries. A The Indian automotive industry is at the potential, Renault has also low cost, fuel-effi cient car without many committed to the roadmap laid down expressed a desire to develop low cost frills should be attractive to many people by the government of India. Stringent cars and is evaluating various options. across the globe. emissions standards are being enforced India has a big labour pool, which increasingly all over the world, and gives it advantage from cost side; In terms of safety standards, how Indian industry would not remain in it is a growing market, too. Its feasible is it to have cars that are both isolation.

Q1, 2008 • RICARDO QUARTERLY REVIEW 15 RQ Interview – Dilip Chenoy

The India Automotive “Firms in India are designing, developing Mission Plan (AMP) and producing vehicles at a cost which is a small fraction of the global cost of such developments. Many of them have found global markets”

depend on outside sources until they India has a substantial share of world catch up on technologies. software and accountancy work for big corporations. What’s next in the Will India implement any policy automotive sector? regarding technology transfer from The auto industry is expected to grow foreign companies or the sharing of rapidly in future and set to double its intellectual property rights? contribution to GDP, from the current We have an IPR regime in place in level of 5 per cent to 10 per cent and India. We do not think Government provide employment to 35 million will come with any mandate on persons over next ten years. technology transfer. Development of the automotive industry in India is What additional aspects of vehicle essentially based on private initiatives development and manufacture could and the role of Government is likely to India begin to offer the global industry? remain passive. All items related to fuel effi cient vehicles.

Where do Indian vehicle producers fall How long before India has a global short of global standards – and how vehicle brand? What type of vehicle can this be remedied? will this be? The vehicles produced in India meet all India is already developing global global standards and are exported to brands. Indigenously developed various discerning markets, including vehicles like Scorpio and Indica are in Europe. Some may not be known as sold not just in India but in other made in India brands. markets as well. Firms in India are designing and However, cost of establishing a developing and producing vehicles at a vehicle brand is signifi cantly higher cost which is a small fraction of global than other products as it includes cost of such developments. Many of the setting up of networks of service them have found global markets. chains in countries. It will take time to The Prime Minister of India launched However, the Indian industry is still in establish these across the world as the Automotive Mission Plan (AMP) the developing stage and would require offering full sales and service backup 2006-16 in January 2007. The plan improvements in [vehicle] fi nish and to the products takes time. sets targets for the industry in the other softer issues. next 10 years and recommends What are the key advantages that suitable interventions from various What does India lack in terms of vehicle SIAM brings to the Indian auto departments. This is an initiative development capability? industry? of the Ministry of Heavy Industries Testing infrastructure – this becomes SIAM activities revolve around its & Public Enterprises, which is more important in the light of future three main agendas - economic, responsible for the development expansion plans of companies. technical and public policy. Its main of this industry. This document Adequate testing infrastructure is not objective is to promote sustainable is a follow-up of Government of yet in place. the development of Indian automobile India’s Auto Policy published in 2002 Industry and Government are industry. and has been prepared with close working in close partnership to cooperation between industry and overcome this inadequacy. The setting Dilip Chenoy is Director General of academia. up of the National Automotive Testing the Society of Indian Automobile and Research and Development Manufacturers, which is the industry Infrastructure Project (NATRIP) marks body representing 38 leading vehicle To what extent can vehicle a very important step in overcoming and vehicle engine manufacturers in development be localised if vehicles this and ensuring competitiveness in India. Prior to joining SIAM in 2004, are to meet global standards? manufacturing and technology. Chenoy was responsible for several The Indian industry is manufacturing The project will be important in the key sectors, including agriculture, world class vehicles and developing harmonisation of Indian standards with life sciences and ICT, within the hi-tech engineering products. However, international norms. As identifi ed in the Confederation of Indian Industry. in the automotive space most of the 2006 Automotive Mission Plan (see left), Previous to this appointment, he patents are held by developed countries NATRIP could play a co-ordinating role worked with Harvard Business School and, as such, for such technologies for all activities requiring data collection Professor Michael Porter on a study of Indian manufacturers would have to and in promoting Centres of Excellence. the competitiveness of Indian industry.

16 RICARDO QUARTERLY REVIEW • Q1 2008 RICARDO INDIA OPENS FOR BUSINESS Launch ceremony for Ricardo India Ricardo’s decision to establish a wholly- (left to right): Richard Stagg, British owned subsidiary in New Delhi shows a major High Commissioner to India, Surjit S. Kalra, chairman of Ricardo India, Dave commitment to India as one of the world’s biggest Shemmans, CEO of Ricardo plc, and Dr. Rajendra Pachauri, chairman of the U.N. and most vibrant markets and is a key element in Intergovernmental Panel on Climate Change the Group’s global strategy. RQ reporters look “In truth, the idea of a fully into the thinking behind the decision established offi ce in India had been on the table for some while,” commented ovember 2nd 2007 will come to Ricardo has of course been an Surjit Kalra, the Chairman of Ricardo’s be seen an important day in the active force in the Indian automotive long established representative Nroll-out of Ricardo’s strategy to engineering sector since December organisation in India and now chairman become a truly global services provider 1986, with noted customers such as of the newly-established organisation. to the automotive and associated Tata Motors, Mahindra and Mahindra, “We’ve just been waiting for the right industries. In celebrating the founding Greaves Cotton, Eicher, Hindustan moment.” of Ricardo India Private Ltd and the Motors, TVS Motors, Bajaj Auto and Ample evidence that this is indeed the opening of its offi ces in New Delhi, others benefi ting from its expertise in right moment is provided not just by the Ricardo is cementing its commitment engine development, transmissions, growing presence of Indian automakers to one of the largest potential markets hybrid engineering and calibration and suppliers on the world stage – Tata’s on the globe, as well as focusing work. Over a span of 20 years Ricardo’s bid for Jaguar Land Rover is just one its renowned emissions-reducing representative offi ce in New Delhi example of this – but, even more vividly, expertise on an area of the world has done an excellent job in attracting by the huge infl ux of inward investment in desperate need of cost-effective engineering work, communicating with from European, Japanese and Korean environmental solutions. Ricardo personnel in locations as varied carmakers. Today, the Indian automotive Speaking at the offi cial ceremony as Detroit, Chicago, Prague and the UK, industry is in the international spotlight inaugurating the new division, Nobel and in seeing programmes through to as never before. Peace Prize laureate Dr Rajendra successful completion. “The volume of business has Pachauri praised Ricardo’s record in certainly been a factor,” says Kalra. mitigating pollution and climate change: Global working patterns “The representative system worked “The challenge of CO2 reduction However, to cope with the demand for well, but we knew we could do better.” concerns us all,” he told the assembled expedient planning and development of In particular, expects Trevor Downes, guests, who also included Richard Stagg, new products to keep pace with global executive vice president of Ricardo British High Commissioner to India, and competition and in the round-the-clock India, the new organisation will be Ricardo Group CEO Dave Shemmans. “I work pattern to which the international better able to understand the precise am excited by the prospect of a company industry has become accustomed, requirements of its Indian customers. such as Ricardo applying its product it was becoming clear that response “Today many of the client engineers engineering skills from the auto industry times had to be accelerated and liaison are highly qualifi ed and have years of to accelerate developments in the further improved. The obvious solution work experience in the world’s best renewable energy sector and energy- offered itself: a wholly-owned Ricardo OEMs in US and Europe,” notes Kalra. effi cient transport solutions.” organisation on Indian soil, allowing “They are a highly motivated group Dr Pachauri leads the UN Indian customers to deal direct with of people. The Indian auto industry Intergovernmental Panel on Climate Ricardo engineers, and enabling has developed over the years and the Change which shared the 2007 Nobel Ricardo to ensure that clients receive CEOs are fully abreast with the latest Peace Prize with ex-US vice president long-term proactive provision of the international practices and trends – as Al Gore. very latest services. much as anyone else in the world.”

Q1, 2008 • RICARDO QUARTERLY REVIEW 1177 Launch of Ricardo India

– and we can then push these forwards to the customer, explaining why they WHY NEW DELHI? ought to have these technologies.” Over the years the Indian auto Speed of response will be industry has grown up all over noticeably quicker, says Downes: the country, often driven by tax “All communications will in effect be concessions offered by the individual internal communications.” In addition, states for setting up plants in says Downes, the many informal economically disadvantaged areas. relationships within the organisation New Delhi enjoys the best links to all can be exploited to get things done such locations and has good internal more quickly. communications too. There are also a number of existing and planned Customer base plants for manufacture of whole “Ricardo’s “Indians are becoming a lot more vehicles and auto components. entrepreneurial in the way the “New Delhi is an automotive hub,” contribution to industries are opening up,” says Kalra. points out Surjit Kalra, chairman reducing exhaust “We’re experiencing this mushrooming of Ricardo India. “Some large of growth of fi nancially strong people manufacturers are there, and as pollutants is world getting together and forming auto the capital city it’s of course the renowned – and I companies. These kinds of companies administrative and fi nancial centre of are relationship based, and having a the country.” am very pleased local offi ce and primary relationships Seminars, exhibitions and shows are that the launch makes all the difference. With the invariably in and around New Delhi, establishment of the Ricardo offi ce in notes Kalra, and New Delhi is the of Ricardo India India – at their very door steps – these kindest environment for expatriate is making these new companies will have a greater employees – a key consideration comfort level in going ahead with their when running a world-class capabilities more aspirations and plans.” organisation. accessible to This is something that is frequently Indian customers” seen, adds Downes. “There are a DR RAJENDRA number of cash-rich manufacturing companies in India who are now WHO’S WHO IN PACHAURI, HEAD OF UN looking to engineer their own products RICARDO INDIA INTERGOVERNMENTAL and increase their product ranges. Chairman: Surjit S Kalra, PANEL ON CLIMATE CHANGE BSc (Engg) Hons, MIE, FIV, FPWI These manufacturing companies who Experience: 12 years with Indian Railway AND NOBEL PEACE PRIZE are now turning to engineering are very Service of Engineers (IRSE), eight years LAUREATE much potential customers for us.” with US aid programmes and CEO of an Export House. 25 years representing “We need a strong network to Increasing business several foreign companies in India service this type of customer,” The volume of Ricardo’s business including UK companies: Ricardo for 21 continues Kalra. “The pace of with Indian customers has increased years and Balfour Beatty for 24 years. response needs to be upped and the fourfold over the past three to four Executive Vice-President: fl ow of latest information maintained years and currently accounts for about Trevor Downes on a continuing basis to service an 3 per cent of Ricardo group turnover. BEng (hons) CEng MIMechE 11 years experience with Ricardo intelligent and aggressive market “If you look at China and Korea, (since September 1996). During this such as the India of today – and they’re closer to 9 or 10 percent,” says time Downes has held operational that’s exactly why we are changing Downes, “and it is entirely reasonable management as well as specialist the Ricardo India format from that India should approach those sorts engineering roles within the company. representation to offi cial presence.” of proportions as well. Over a two to Vice-President: Indeep S Madan, B.Eng three year timescale we could certainly (Hons) Quality of programme delivery be looking at a doubling – there’s Studied engineering at Coventry While in the short term there will be nothing wrong with ambition.” University, worked for three years at continuity in the type of work handled Ricardo Shoreham and four years with through the New Delhi offi ce, the What’s the plan? Kalra Consultants. Marketing Engineer: direct presence of Ricardo will permit “Anyone hoping to see a neat Col JBS Rekhi, BE Mech important enhancements in quality predetermined stage-by-stage plan for 30 years service as an engineer in the of delivery as well as a key change of the rollout of Ricardo’s facilities in India is Indian Army. emphasis in the nature of the business destined to be disappointed. Flexibility, Marketing Engineer: development activities centred on India. adaptability and response to customer Saad Ashraf, B.Tech (Mech) “One of the major benefi ts is in needs are the name of the game in a Two years’ marketing CAD/CAM/CAE the connection between the market fast-expanding market such as India, and software; one year with KCPL. and the engineering operations and for that reason Ricardo India is adopting the technologies Ricardo is choosing a listening and analysing attitude when to pursue,” says Downes. “We can it comes to deciding in which on-the- establish the relevance of technologies ground engineering facilities it will invest to the market because we are close to it in India,” says Kalra.

1188 RICARDO QUARTERLY REVIEW • Q1, 2008 Why India matters

Dr. Rajendra Pachauri (left) and Surjit Tony Lewin provides a perspective Tata Motors, (Ashok) Leyland, Bajaj S. Kalra (above) address the Ricardo India from the world’s automotive media Auto are doing a wonderful job,” launch ceremony Renault-Nissan CEO Carlos Ghosn hree years ago, all eyes were told the Indian media last April. “Why “Just as Ricardo has already done in T on China. Carmakers, truck should we reinvent the wheel when China, we will move along the lines of builders, component suppliers and we can simply learn from them? Bajaj a sales and liaison offi ce to start with,” engineering specialists were swept sells three wheelers for $2000 and I explains Downes. along in the headlong rush to cash would lose my shirt if I try to do that. “We’ll build stronger and stronger in on the biggest vehicle-building Only an Indian company can achieve relationships with existing companies, boom of recent times. But the that kind of a thing. If I have to fi ght on and because we’re based in India new-found focus on Shanghai and cost, I would rather partner with an and in New Delhi, we will also get the Beijing has allowed India to spring a Indian company.” opportunity to tap new clients who have surprise on the global auto industry Japan’s Suzuki, the long-standing been less aware of global developments as major players – both Indian and market leader that is reaping the and who might not have appeared on international – slipped in under the benefi ts of its pioneering investment our radar if Ricardo was only in the UK. radar to set up operations that in the in Maruti, is tooling up for an output Through this strategy, adds Kalra, he long run could become even more increase to almost 1m units by 2010. hopes to develop India’s contribution to signifi cant than those in China. Many of these, along with engines the Ricardo global structure to the point An avalanche of announcements and transmissions from Maruti where it comes close to what China or from companies such as Renault- Suzuki’s Indian facilities, will fi nd their Japan are currently doing. Nissan, Fiat, Suzuki and Tata have way to European and other export “But if, on the way to meeting that ensured that India is suddenly the big customers. target”, he insists, “ we feel the need to talking point in auto business circles: in So too will the all-important small put an engineer, a team of engineers or particular, the realisation that Tata’s 1- gasoline and diesel engines from a whole project team on the ground in lakh ($2500) Nano will be a production Fiat’s joint venture with Tata, a facility India, we will do so if the justifi cation is reality next year has done much to which it is reported will build the there.” convince analysts and commentators Grande Punto and Linea, as well as “What we are targeting is an increase that India is a potent source of new-generation Tata models. in business,” continues Kalra, “but enterprise and ingenuity, rather than India’s increasing emphasis on we are not constraining ourselves by just a vast pool of cheap labour. exports was thrown into even sharper saying ‘we will not do this, not do that’. Fresh from the success of its mid- focus in October last year when Jae Everybody is open to everything, but sized $5000 Logan, Renault-Nissan, Kook Choi, CEO of Korea’s Hyundai– at the moment we’re not rushing to put too, is keen for a slice of the ultra low- which is currently India’s second- engineering services on Indian soil to cost action: its deal with Mahindra biggest carmaker – declared that as start with.” and Mahindra to build a 400,000 unit Hyundai’s global hub for small-car Commenting on the opening of the capacity plant in southern India was manufacture, India would account New Delhi offi ce, Dave Shemmans, hailed by Thiru Dayanadihi Maran, for 30 per cent of Hyundai’s overseas Ricardo Group CEO, summed up the Union Minister of Communications production by 2009 and that half of all key role Ricardo India would play in the and Technology, as “a watershed output would be exported. The new Group’s increasingly global operations: agreement … that will set new i10 hatchback would only be made in “As one of the fastest developing benchmarks for Indian manufacturing India, he said. emerging markets and boasting some of industry and the state.” A more recent arrival is BMW, the world’s leading industrial companies, The new facility at Chennai will build which will make 3- and 5-series India is extremely important for Ricardo. vehicles of all three brands, possibly models in Chennai. “Particularly in the The launch of Ricardo India will bring including the $3000 car currently under premium automobile segment, India us closer to our customers in India study with motorcycle maker Bajaj, offers big opportunities for growth,” and enable us to offer an improved as well as engines for Renault and declared BMW CEO Norbert Reithofer and more responsive level of service. Nissan. Renault will build the Logan in March this year. “Opening this plant An integral part of the global Ricardo in conjunction with Mahindra, while underpins our long-term route to network of offi ces and technical centres, Nissan has a separate deal with Ashok profi table growth.” Ricardo India will also enable us to more Leyland for the production of light And with even Porsche and Rolls- effectively support our Indian customers commercial vehicles. Royce enjoying healthy order banks in as they increasingly aspire to enter “Indian companies like Mahindra, India, few would disagree. regional and global markets.”

Q1, 2008 • RICARDO QUARTERLY REVIEW 1199 Biofuels

Biofuels: friend or foe? Biofuels are widely perceived as an environmental asset capable of cleaning up vehicle emissions overnight. But in reality, reports Jesse Crosse, fi rst generation biofuels may cause as many problems as they solve

f all the methods for reducing biofuels could lead to widespread European gasoline and diesel may CO2 emissions available to engine failures and warranty claims. contain up to fi ve per cent ethanol or O the automotive industry, the Lack of regulation may also mean that biodiesel (the latter offi cially defi ned use of biofuels is proving to be one while biofuels help to reduce CO2, as baseline EN590 diesel and rapeseed of the most challenging. Biofuels are some may actually cause other types methyl ester/RME blend) respectively being widely touted as an easy way of harmful emissions which until now without the base fuel standard being of cutting emissions of greenhouse have remained unregulated. affected and are quite safe to use in gases – irrespective of whether those Perhaps the biggest problem is standard engines without ill effect. fuels are the product of a sophisticated that while gasoline and diesel are two Much more than that, however, and the manufacturing process or derived from distinct fuels manufactured to exacting, situation becomes more complicated. recycled cooking oil in a back-street recognised standards on a global basis, lock-up. the term ‘Biofuel’ does not represent Standards – or lack of standards But nothing could be further than one fuel or even two. In fact it refers Each family of biofuels can be the truth: biofuels vary enormously in to any fuel manufactured from an manufactured using different their environmental impact and in the organic feedstock. Biofuels can take techniques, yet despite active work in other concerns they raise. In fact, there the form of ethanol-based fuel blended this area there are no real standards in is growing unease in the automotive with gasoline, or oils either blended place for biofuel and no specifi cations industry that the unregulated use of with or used as a substitute for diesel. governing their formulation other than

20 RICARDO QUARTERLY REVIEW • Q1, 2008 for constituent parts. While ethanol is they are anything but equal, and the the processes involved, issues faced a fairly standard substance whatever implications for engine, fuel systems by vehicle makers, security and the feedstock or manufacturing process and aftertreatment manufacturers are sustainability of raw material supply used to make it, the chemical make- potentially serious. for production, the blending of fuels up of biodiesel can potentially be Johnson is part of a Ricardo team and its variation across the supplier extremely varied, having been derived charged with staying one step ahead base, fuel distribution and the impact using anything from animal carcases of the biofuels phenomenon, providing on consumers (too much choice is to rape seed. In the real world this information, analysis and advice confusing) and the vehicle parc. There’s could mean one point of sale may be to many vehicle and component a huge degree of variability across the offering a biodiesel fuel with completely manufacturers in the automotive sector whole subject.” different properties, formulation, whose products are becoming affected In road fuel terms, the large scale additives and contaminants to another by the new fuels. adoption of biofuels would represent a across the street. “Part of my role has been to look at huge cultural upheaval in the industry. The situation was summed up by biofuels from a strategic point of view,” “The question is,” Johnson continues, Angela Johnson, principal engineer, she explained, citing a long list of areas “how can we practically use this? Is it technology and systems department, of concern: “The markets, the well- a short term measure or a sustainable at Ricardo when she declared simply, to-wheel implications, the variability long term solution?” “all biofuels are not equal.” Indeed, among fuels (in particular fuel quality),

Q1, 2008 • RICARDO QUARTERLY REVIEW 21 Biofuels

Santa Elisa ethanol plant in Sao Paolo, standard engines can run on gasoline Brazil: supplies one of the world’s leading containing up to fi ve per cent ethanol biofuel markets. without a problem. Beyond that, fl ex- fuel vehicles are needed: these are vehicles whose engines have modifi ed components to resist chemical attack from the fuel and can adapt to the different combustion characteristics resulting from a higher ethanol content. Apart from technical considerations, there are other factors that may affect the consumer too. Because the existing European gasoline standard EN228 includes fuel blended with up to fi ve per cent ethanol, the fact that that fuel contains ethanol at the point of sale is not necessarily publicised to the customer. Yet ethanol contains less Mechanical implications which can in turn cause corrosion; they energy than gasoline by volume. There are two sides to the challenge can also attack seals in the engine and Research is actively being pursued which biofuels present. The fi rst is fuel system. in this area. In the US, Ricardo is their true value in reducing emissions Put simply, there are huge working with Bosch and the University on a well-to-wheel basis. The second incompatibilities between current of Michigan on Department of Energy relates to the mechanical implications engine technologies and biofuels sponsored research to develop an of using biofuel either blended with when those fuels are used in high optimised fl ex-fuel vehicle cpable of conventional fuel or, in particular, when enough concentrations. Ethanol is not running on any blend of ethanol up to it is in concentrated or pure form. so much of a problem and is much and including E85. Biofuels can be powerful solvents, the same molecule whether cracked fl ushing deposits from fuel systems to from hydrocarbons or fermented Biodiesel: the main worry potentially block or damage injection from sugar cane. As a result, there Biodiesel is a different matter and is systems. Alchohol based biofuels are are few issues with bioethanol fuel as where most of the concern lies. Again, often hygroscopic, absorbing moisture far as specifi cation is concerned, and the EN590 standard for conventional

FIRST AND SECOND-GENERATION BIOFUELS: SOURCES, CHARACTERISTICS,

* Ethyl Tertiary Butyl Ether

2222 RICARDO QUARTERLY REVIEW • Q1, 2008 diesel allows it to be blended with up A typical problem scenario is the to fi ve per cent biodiesel. But unlike traveller who drives hard and fast to the Key nations are setting ethanol used in gasoline, globally the airport, arriving with a hot engine and biofuel targets term ‘biodiesel’ can be applied to a wide warm fuel. Worse still, the tank may range of substances and the diffi culties be left almost empty, the remaining arise with blends above fi ve per cent dregs left exposed to air in the tank and – or even the use of 100 per cent (B100) possibly hot sunshine in the summer. biodiesel. “When the blend was mixed it was Commonly used feedstocks are rape one thing,” explains Andersson, “but seed from Europe and palm oil from two weeks later it may have become Indonesia and Malaysia, while the USA something completely different.” relies heavily on soya. Different types Points of sale may suffer similar of oil each have a different chemistry, problems. For the large supermarket explains Jon Andersson, manager, selling large quantities of fuel quickly, EU – Binding commitment to 10 chemistry department, at Ricardo. fuel quality could remain fairly per cent market share of biofuels in “If not properly eliminated in the consistent. But at smaller sites, fuel may transportation by 2020 production process, each will contain degrade in underground tanks over a USA – Renewable Fuel Standards a different set of contaminants that longer period. This potential for fuels to stipulate 25.7 billion litres biofuel by may affect engine performance and change character makes them almost 2010, 227 billion by 2030 durability. The fuels can also degrade impossible for manufacturers to deal over a period of time or through with. Combustion properties vary too, China – Objective set for biofuel to exposure to heat and light.” so accurate engine calibration becomes meet 15 per cent of transportation energy by 2020 “In road fuel terms, the large scale adoption India – Considering a 10 per cent of biofuels would represent a huge cultural target by 2010 Brazil – All gasoline contains 24-27 per upheaval in the industry. The question is cent ethanol; 2013 target of 2.5 billion how can we practically use this? ” litres biodiesel Angela Johnson, principal engineer - technology and Australia – 2010: 1 per cent biofuel; systems department, Ricardo 2020: 5.75 per cent biofuel

ADVANTAGES AND DISADVANTAGES

Q1, 2008 • RICARDO QUARTERLY REVIEW 2233 Biofuels

“We are trying to open the window of understanding on the implications of running these fuels in modern engines – what we really lack is information on the durability impact of these fuels” Jon Andersson, manager, chemistry department , Ricardo a moving target. Fuel systems can be developing engines to run on fuels that can survive combustion. We’ve seen affected by corrosion and deposits, with may only be around for a decade or so different effects with different engines, serious consequences for manufacturer until more stable, second generation but these components can hang around warranties. fuels come on stream. in the combustion and provide a degree Instances of drivers using crudely ” Currently, some heavy duty engine of quenching – which reduces NOx. recycled vegetable oil, harvested from manufacturers will warrant their engines “But they can also end up deposited restaurants, in modern diesel engines for use with B100 but with specifi c on the combustion chamber walls, have produced some alarming results. conditions regarding fuel standard, creating higher levels of particulate Unburned fuel mixing with the engine’s service intervals and driving conditions. matter. There are a number of different lubricating oil is already a problem Emissions can vary wildly too. A effects and it depends on the individual in conventional cars but the use of variety of fuels were tested on Ricardo’s design and how well the injection unmodifi ed vegetable oil fuels (non heavy-duty Euro VI diesel development system is coping. That is why it is so transesterifi ed) without fuel-enhancing project recently conducted with AECC. diffi cult to contemplate a single generic additives can react with the lubricating “We looked at running B30 (30 per cent engine design to cope with all biofuels.” oil to form polymers with very different biodiesel),” said Andersson. “There lubricating properties. were apparent reductions in HC and Ricardo: research for UK government There have been similar occurrences CO in response to reductions in engine In 2001 Ricardo undertook some in fuel systems, raising the spectre of power. Particle number emissions research for the UK Department of increasing numbers of warranty claims increased and effects on NOx emissions Transport into burning vegetable oil. It from disgruntled customers who were uncertain, though PM levels and has also tested a wide range of blends may have unwittingly damaged their the effectiveness of the emissions – including B10, B20 and B30 – for otherwise perfect engines by using control system was unchanged.” various vehicle makers, investigating incompatible fuel. Some component High percentages of biodiesel have jet deposits, general durability and the suppliers are already coming to Ricardo a dramatic effect on the way the fuel effect on DPF regeneration. Ricardo seeking clarifi cation on whether specifi c is combusted. Andersson digs deeper has also undertaken substantial failures were caused by suspect fuel. into the detail of what can happen research into the use of B30 in heavy inside the engine: “Biodiesel is more duty engines, looking at effects of Too much variability dense, with a heavier hydrocarbon unregulated emissions. Even with well-produced fuels, pinning component, a proportion of which “All of these tests have tended to be down calibration standards is proving very diffi cult. “In the diesel arena,” says Johnson, “ultimately, it may be possible to make synthetic diesel (a second- generation fuel which can be better quality than the standard diesel we have today) on a large-scale production basis. What we don’t like at the moment are the fuel variability and quality issues associated with fi rst-generation biodiesels. Nobody has enough money to develop and validate their engines to be capable of coping with all the types and blends that are out there. There’s a risk of spending a lot of money

Mitsubishi Canter Eco Hybrid truck from Daimler: biofuel-capable.

2244 RICARDO QUARTERLY REVIEW • Q1, 2008 ‘bolt-ons’, to test programmes running produced today is fi rst generation, on conventional fuel,” Andersson produced in the case of ethanol by Key challenges for energy continues, “but a major issue is the fermenting crops, or from a wide range suppliers and distributors inconsistency and uncertainty with of different types of organic oils when it biofuel quality and longevity for engine comes to biodiesel. Second-generation type approval because the pass-off fuels will be produced using Fischer- tests for emissions regulations are Tropsch gas-to-liquids (GTL) technology. based on conventional fuel.” The auto This involves specialised heat industry is currently requesting that treatment of biomass to generate a type approval be permitted on either ‘dirty’ producer gas. After cleaning, current reference fuels or B5 and E5. If the producer gas is converted to a granted, this will not become law for at synthesis gas of carbon monoxide and least a year. hydrogen. This is then processed to “We are trying to open the window form liquid fuel. It is not a new process of understanding on the implications of and was developed in the 1920s, but running these fuels in modern engines it produces accurately formulated – what we really lack is information on ‘designer’ fuel to tight standards. the durability impact of these fuels. We “In this way it is possible to build have to nail down what the properties fuels from very small molecules,” of the fuels are and how they degrade in Andersson continues, “producing order to understand how we can create a high quality substitute for either a matrix that is realistic.” gasoline or diesel.” Tying down standards is proving The likely source material or diffi cult. The oil industry does not feedstock will be biomass. This can have the engineering expertise and comprise a wide range of waste legislators don’t view biofuels from material including wood chips as well Blending the same perspective as either the oil as varied organic waste. Relatively Signifi cant issues can occur in the or automotive industries. With over 25 few companies are using the process blending of ethanol and gasoline; years experience in biofuel research, commercially today and there is suppliers may need to use Refi nery this puts Ricardo in a key position in some way to go, perhaps 10 years or Base Oxygenate Blendstock (RBOB) terms of knowledge – and all of its so, before commercially-produced rather than standard gasoline. courses and seminars on the subject designer fuel is available in larger have been oversubscribed. Its biofuel quantities. When it does, the true Distribution specialists also spend a great deal well-to-wheels and emissions benefi ts Fuels containing bio-content of time working with EU legislators of biofuels can be realised properly, (especially ethanol) cannot be and talking to trade groups. “Our fi rst without any damaging side-effects to transported through multi-product approach,” Andersson continues, “is to engines and their components. pipelines. Biofuel use requires help the standards regulators.” In one sense, that time can’t come extensive cleaning programmes at soon enough – but the intervening fi lling stations to remove all water in Second-generation biofuels period can be put to good use. “It’s gasoline tanks prior to using ethanol will be the answer suffi ciently far away,” concludes blended fuel. Ethanol is hygroscopic Most of the problems will be addressed Andersson, ”for both the automotive (draws in water), which can lead by the introduction of so-called second- and oil industries to specify exactly to corrosion issues in vehicle fuel generation biofuels. Most of the biofuel what they want.” systems.

Quality and availability Well-to-Wheels Greenhouse gas emissions versus energy per 100km There is a general lack of fuel standards covering biofuels

/km – currently no standards exist 2 for E10, E85 or B10, B30 or other combinations.

Cost and complexity Considerable cost will be incurred installing dedicated pumps. Many forecourts do not have enough space to permit additional pumps for E85 and other incremental fuels: too much choice could be confusing for the consumer, heightening the risk of using the wrong fuel. Wheel-toWheels Greenhouse gas emissions g CO

Well-to-Wheels Energy to travel 100km (MJ/100km)

Source: Well-to-Wheels analysis of future automotive fuels and powertrains in the European context. EUCAR, CONCAWE & JRC

Q1, 2008 • RICARDO QUARTERLY REVIEW 2255 Energy-optimised vehicle development

Revolution in the making Energy-optimised vehicles will dramatically change the way automotive product development is conducted, predicts Andy Chien, president of Ricardo Strategic Consulting North America

has been fundamentally formulated introduces into vehicle product according to the way vehicles have development is the importance it been designed and developed over the places on integration and optimisation past 100 years. Vehicle systems are of the various systems across the broken apart along arbitrary lines and vehicle. Weight is now at a premium the organisation is set up to develop as it has a direct impact on range and product along these demarcations. performance. Auxiliary systems that However, given the extreme integration draw power no longer can operate required by the new technologies semi autonomously but rather must be to optimise energy usage and continuously monitored in operation consumption, a trigger point exists to and adjusted to optimise the vehicle’s revamp the basic automotive product energy footprint. Functions like braking f a new car company were to development process. interact with the energy balance by be created today, it would look Viewed holistically, automotive providing a way to recover kinetic Idramatically different to today’s product development spans many energy and return it to propulsive auto companies, especially in the elements including organisation, skill power. way product development would be sets, intellectual property, and process. Even driver controls and instruments organised and conducted. Ricardo Strategic Consulting has have an impact by providing the driver Much of the discussion on energy- begun studying how a 21st century with information on how to draw optimised vehicles has been focused automotive OEM, faced with the power most effi ciently from the vehicle on the underlying alternative challenge of developing and producing as well as providing a feed-forward propulsion technologies such as high high volume energy-optimised (as opposed to feedback) information energy density batteries, more effi cient vehicles, might be structured. This loop to anticipate and handle upcoming electric motors, fuel cell infrastructure article examines how product energy demands in an optimum and other material factors. However, development may be conducted in fashion. these vehicles will potentially have the interim while OEMs retool their In the interim environment where an even more dramatic impact on product development organisations to the current method of product how product development may be accommodate the demands of a new development has been adapted to conducted in the future as they become generation of vehicles. meet the challenge of achieving greater mainstream products rather than integration and optimisation, some ‘skunk works’ one-offs or derivatives of What’s different? common practices stand out among existing products. Technology aside, the biggest step- makers of energy-optimised vehicles. Automotive product development change that alternative propulsion

2266 RICARDO QUARTERLY REVIEW • Q1, 2008 “Automotive product development has been fundamentally formulated according to the way vehicles have been designed and developed over the past 100 years”

Stringent requirements development leg of the V and are linked to their software control strategy. Historically, and flowdown process associated validation activities on the vehicle software has been organised Requirements fl owdown is an other leg), more descriptive and richer into a series of loosely ‘federated’ aerospace and software concept that component, system and vehicle-level systems with loose rules for interaction, has been adopted to varying degrees specifi cations allow much more work primarily in response to the differing of consistency in the automotive to be done on allocating functionality rates of electronics penetration into industry. In an energy-optimised throughout the vehicle, better planning the different vehicle partitions. Energy- vehicle programme, the order of in terms of system interaction and optimised vehicles represent an magnitude increase in system more effi cient validation, particularly of application where a top-down software interaction and integration compared the various dynamic operational modes architecture and strategy can be with a conventional vehicle requires which involve cross-vehicle system applied at a vehicle-wide level across all a much stronger and more rigorous interactions. Other benefi ts include partitions and systems. requirements fl owdown from vehicle- a signifi cant reduction of in-fi eld Software module functionality can to-system to subsystem-to-component warranty issues. now be predefi ned based on an overall level. Whereas in the past the architectural strategy and plan rather interdependency between disparate Platform re-use strategies than being an outcome of precedent vehicle systems could be managed A platform and technology deployment and current practice. Improved re-use of by relatively low speed, low reliability strategy is critical to effi ciently software ‘objects’ rather than re-writing asynchronous communications, real- setting up the necessary supporting modules for each new application is time energy fl ow management requires infrastructure (software, systems greatly facilitated, signifi cantly reducing much more sustained interaction and development and more) and ensuring software development resource thus a better description (encompassed that suffi cient fl exibility is incorporated requirements and, more critically, in the specifi cation and requirements to allow for scalability as the underlying reducing or eliminating the level of documents) of how previously loosely technology implementation changes. unanticipated post-launch customer connected vehicle systems like multi- Robust platform strategies will help satisfaction issues due to partially media and energy storage systems will to alleviate the redesign required by validated software. A trickle-down work dynamically together to optimise made-to-order solutions that then need benefi cial impact of the top-down energy expenditure. to be completely redesigned with little software and electronics architecture Viewing requirements fl owdown to no re-use for a new application. defi nition effort is the substantial from the classic V-model product For example, the new systems in cost-reduction benefi ts accruing from development perspective energy-effi cient vehicles have given consolidating the various on-board (requirements and specifi cations many leading OEMs the opportunity modules into a smaller number of more cascade in descending order on one to fundamentally re-architect their integrated controllers.

Q1, 2008 • RICARDO QUARTERLY REVIEW 2277 Energy-optimised vehicles development

“A key question to be asked is this: if a brand new mass-market automotive company were to be formed today to design, develop and manufacture alternative propulsion vehicles, what would it look like? “

Organisation structure In the next generation of vehicle like the emissions catalyst intellectual Organisationally, for the fi rst generation programmes this role is already being property of the early 1970s. These were of energy-effi cient vehicles OEMs have moved to a whole vehicle function as initially patented and even branded by accommodated alternative propulsion well as much further upstream as new the various OEMs, but soon ceased to technologies by treating them as components and systems are being be a unique product differentiator and another system to be incorporated into developed exclusively for energy- became part of the basic knowledge the vehicle. The role of the integration optimised applications. required for vehicle development. engineer has been expanded to include A more sustainable competitive optimising energy fl ow and overseeing Intellectual capital management advantage may be found in the race to and arbitrating that the proper trade- Traditionally, powertrain control capture and disseminate knowledge offs are being made to ensure system strategies have been considered the of best practices in order to engineer optimisation. Rather than managing crown jewels of the automotive OEM. and develop an energy-optimised plug-and-play types of components, Energy management and power vehicle more effectively. Systematic the higher level of integration and storage strategies have become the development and use of design combined/shared functions have made new crown jewels in the energy- practices and integration rules explicitly this role much more complex. This optimised vehicle space. embedding trade-offs are becoming overlay construct allows the gap to be OEMs, particularly Toyota, have more prevalent in upfront energy- bridged between the traditional product aggressively patented many of the optimised vehicle development. development organisation and the new energy management strategies Process-based OEMs may have an requirements imposed by this new type they have developed for their hybrid advantage over OEMs that are more of vehicle. products. While initially used as a heavily reliant on individual effort and For one OEM’s hybrid vehicles barrier to entry, this intellectual capital knowledge, especially as the number programmes, the integration function is being increasingly farmed as a of these types of vehicle programmes is incorporated into the powertrain source of revenue through licensing increase as a percentage of the product organisation. This structure may be agreements with other OEMs. portfolio. more appropriate in the case where In the short term, aggressive Given the amount of new knowledge an alternative propulsion system is intellectual capital management and that is being learned with each incorporated into an existing vehicle protection may serve as a temporary generation of energy-optimised platform, but it still points to a mindset barrier to OEMs that are late entrants vehicles, an effi cient and effective that views energy effi ciency as a to the energy-optimised vehicle space. method to systematically capture separate responsibility rather than as a However, in the longer term, it is more this knowledge and redeploy it on function that is relevant to each system likely that the dissemination of this programmes is a means of offsetting that consumes or generates energy. knowledge will follow a path much the global shortage of engineers

2288 RICARDO QUARTERLY REVIEW • Q1, 2008 “A thought to consider is that while the evolution of the modern vehicle has driven engineers towards increased specialisation, energy- optimised vehicles may reverse this trend”

possessing alternative propulsion and technology to a single OEM or allowing Looking forward systems engineering knowledge. development costs to be spread among OEMs have adapted their current multiple OEMs is the business model organisation, processes and skill sets Supplier relationships that will ultimately prove successful. to accommodate the special needs of More collaborative supplier developing energy-optimised vehicles. relationships signify one of the most Skill sets However, with the amount of change sweeping changes introduced by the In addition to the obvious requirements needed to bring vehicle integration current generation of energy-optimised for personnel with experience in and optimisation to signifi cantly higher vehicles. True supplier co-development the various alternative propulsion levels than at any time in the past, it is now part of almost every technologies, systems engineering is not clear that a simple evolution programme, particularly in the area of competence is becoming a skill set that of the current method of product alternative propulsion technologies. will be even more heavily in demand. development is best for these vehicles. The business relationships OEMs have However, the change in this case is A key question to be asked is this: if developed with battery and energy that systems engineering skills must a brand new mass-market automotive storage suppliers are good examples of also be complemented by a suitably company were to be formed today this trend. deep understanding of how systems to design, develop and manufacture Vehicle OEMs rely on both large and even components operate (when, alternative propulsion vehicles, what and small suppliers as signifi cant as well as how), given the integration would it look like? technology contributors. A variety of requirements demanded by new these While some would argue that such different business models, ranging new vehicles. examples exist today in the form of new from traditional sourcing to joint- A thought to consider is that while entrants developing electric and fuel cell ventures and taking equity stakes in the evolution of the modern vehicle has vehicles, their methods do not appear suppliers, are being pursued. driven engineers towards increased obviously scaleable to the demands of a These are often found together specialisation, energy-optimised high volume car manufacturer. within individual vehicle manufacturers vehicles may reverse this trend; Within Ricardo Strategic Consulting, as they strive to balance achieving a this would lead to the resurgence we plan to continue to investigate unique technology-based competitive of individual engineers who are the impact of these vehicles on how advantage while also trying to share both broad and deep in technical automotive product development economies of scale from the multitude knowledge and who could capitalise is conducted. Potentially, this may of ‘green’ initiatives underway across on optimisation and integration be the ultimate benefi t of the race to all industries. opportunities. This harks back to develop high volume, consumer and It will also be interesting to see the days of the technical giants who commercially viable energy-optimised whether the strategy of restricting founded the automotive industry. vehicles.

Q1, 2008 • RICARDO QUARTERLY REVIEW 2299 Ricardo News

Plug-in hybrid programme delivered in fi ve months he North American International T Auto Show held in Detroit in January saw the unveiling of the XH-150™, the fi rst vehicle to feature AFS Trinity Power Corporation’s Extreme HybridTM technology. The advanced demonstrator was one of two developed by AFS Trinity and built by Ricardo under contract. The vehicles were ready for testing in just fi ve months. Plug-in hybrids offer the prospect of dramatically extending the all-electric vehicle (EV) mode of hybrid vehicles through the use of high capacity energy storage systems which can be recharged using grid electricity (typically overnight using vehicles, modifying the host vehicles’ Trinity to assist in producing the fi rst discounted off-peak power). AFS suspension and chassis control and, demonstrator based on AFS Trinity’s Trinity Power’s patent-pending fi nally, building the vehicles. Extreme HybridTM technology and to Extreme HybridTM technology employs The results of road tests carried out have delivered the vehicle ready for a proprietary dual energy storage by AFS Trinity in December 2007 at testing in only fi ve months. The latest system that combines lithium-ion Michelin’s Laurens Proving Grounds in in a long line of hybrid programmes batteries and ultracapacitors with South Carolina are highly impressive. delivered successfully for our clients, proprietary XH™ power and control In simulated urban/highway conditions this project further demonstrates electronics, with the aim of satisfying the XH-150™ achieved an all-electric Ricardo’s position as a leader in this performance expectations of range of 41.9 miles and a top speed fi eld and underscores the company’s consumers and providing extended of 87 mph. In acceleration tests the impressive vehicle integration vehicle range in a highly energy- company reports an all-electric zero to capabilities.” effi cient and cost-effective package. 60 mph time of 11.6 seconds. The most Looking to the future, AFS Trinity In mid July 2007, AFS Trinity Power interesting 0-60 acceleration time, CEO Ed Furia said: “Our primary asked Ricardo to help integrate the however, was that for the XH-150™ in goal now that we have succeeded Extreme HybridTM system into two full hybrid mode, which was a stunning in developing, demonstrating and identical XH-150™ demonstrators 6.9 seconds. testing the XH-150™ is to license our using two 2007 Saturn Vue Greenline Ricardo CEO Dave Shemmans XH™ system to automakers around SUVs as host vehicles. Ricardo commented: “The need to improve the world who would like to have this responsibilities included integrating vehicle fuel economy is of paramount exciting fuel-effi cient drivetrain in their AFS Trinity’s proprietary power importance to automakers, vehicles. Who better to help integrate and control electronics module into governments and consumers in all the Extreme Hybrid™ technology into the vehicles, incorporating off-the- parts of the world. Plug-in hybrids the vehicles of the world’s automakers shelf ultracapacitors and batteries offer an attractive solution in the urban than Ricardo.” selected by AFS Trinity, designing environment and are likely to play a `Billboard advertising: AFS Trinity and developing a completely signifi cant role in the future. We are announces the XH-ISOTM based on a new Ricardo transmission for the proud to have been asked by AFS Saturn Vue Greenline SUV.

3300 RICARDO QUARTERLY REVIEW • Q1, 2008 Intelligent transport initiative unique collaboration has Abeen announced between Ricardo, Orange Business Services, Land Rover, British mapping agency Ordnance Survey and TRL (Transport Research Laboratory). The Sentience initiative aims to improve the effi ciency and reduce Reduced cost battery the environmental impact of road transport through Intelligent technology for hybrids Transport Systems (ITS). This unusual partnership has been partially ithium-ion (Li-Ion) battery manufacturing cost of a typical hybrid funded by InnovITS, the UK centre of technology shows signifi cant vehicle as well as a considerable L excellence for transport telematics and promise for hybrid and electric addition to the vehicle mass. If sustainable mobility. vehicle applications in terms of its successful, the RED-LION project will Ricardo, together with Land Rover, comparatively high power and energy demonstrate commercially viable is looking at how to make the vehicles density, and its ability to retain charge technologies that are capable of more fuel effi cient. In particular they for extended periods. However, delivering sub-100 g/km CO2 emissions will investigate the improvements in commercial challenges remain in with superior performance compared hybrids which may be possible if the terms of both cost and weight. Ricardo to the equivalent current production vehicle’s control systems could be and leading international defence vehicle. aware of the vehicle’s surroundings and security technology company Mel Brooks, managing director and hence adapt its mode of operation QinetiQ have embarked on a two- of QinetiQ’s Energy and Materials depending on upcoming gradients, year collaborative project which aims business, said: “QinetiQ has a strong junctions, and known areas of to dramatically reduce the costs of track record in delivering high-energy congestion. lithium-ion batteries for hybrid vehicles lithium-ion battery technology to Tom Robinson, senior product while maintaining or further improving military customers. This leading- group manager, control & electronics, vehicle performance. edge battery technology emanating Ricardo, commented: “Even with the The specifi c objective of the Reduced from defence is now poised to make green push towards getting people cost Li-Ion (RED-LION) project is a signifi cant difference to the viability off the roads or using alternative to demonstrate the application of of hybrid vehicles, with the RED-LION modes of transport, we are seeing an new Li-Ion cell chemistry in a hybrid project helping to ensure that cost increase in vehicles on the roads and vehicle battery with an estimated does not stand in the way of more even more traffi c. A two-part system production cost one-third that of widespread commercial adoption.” – which looks at the way vehicles conventional battery technologies and Commenting on the research are engineered and routed as well around half the weight. If successful, programme, Neville Jackson, Ricardo as how our roads are monitored and this breakthrough technology could technology director, said: “By managed – offers a realistic long-term make hybrid and electric vehicles incorporating the very latest high pathway to help alleviate the UK’s fuel commercially more attractive and performance Li-Ion battery technology, emissions and reduce congestion. hence make a signifi cant impact on which offers the potential for signifi cant Sentience brings together the best global CO2 emissions. reductions in both manufacturing cost automotive knowledge and advanced In June 2006 Ricardo, QinetiQ and and weight, we aim to demonstrate that tracking and mapping technology.” PSA Peugeot-Citroën unveiled their we have made progress in developing Orange and Ordnance Survey are 100 g/km CO2 Effi cient-C full hybrid the commercial case for hybrid diesels. leading the telematics and mapping diesel demonstrator vehicle based With this project we aim to show that part of the project, utilising their on a Citroën Berlingo Multispace it can be made commercially viable, breadth of network to develop GPS, (above). While this vehicle provided too. This promising battery technology machine-to-machine and mapping an uncompromised package and could deliver signifi cant benefi ts to applications to provide the vehicles superior performance compared many vehicle types including electric with the information they need to with the equivalent current and plug-in hybrid, as well as full diesel optimise their performance and production turbo-diesel model, the and gasoline hybrids.” reduce their emissions. TRL will project partners estimated that its The RED-LION project is part- be contributing to the research incremental manufacturing cost funded by the by the Energy Saving throughout the project and will be needed to be reduced by around 50 Trust’s Low Carbon R&D Programme leading the testing and assessment per cent (to approximately €2000) on behalf of the UK government’s phase. This will involve undertaking for the technology to become fully Department for Transport, with trials at the TRL test track at commercially viable based on balancing contributions made by Crowthorne, near London, to assess prevailing fuel prices and consumer the participating companies. The the benefi ts of the vehicle fi tted with fi scal incentives. Energy Saving Trust is a non-profi t the prototype engine control system. The battery system represents organisation, funded by both the around one third of the incremental government and the private sector.

Q1, 2008 • RICARDO QUARTERLY REVIEW 3311 Ricardo News

Export award, contract win and customer success for Ricardo motorsport ith its production output Wincreasing threefold in the past four years – and over 50 per cent of that output being export sales – Ricardo’s high performance driveline and transmission business has been recognised with the Motorsport Industry Association (MIA) business excellence award for export achievement. The MIA’s awards recognise excellence at all levels within the Formula Nippon motorsport and high performance (above) and Ford World engineering industry, and the Rally Championship (below): Ricardo is presentation to Ricardo was made on transmission supplier 10 January at the dinner of the Autosport International Show in the hard work and commitment of exclusive supplier of transmissions to Birmingham, UK. the Ricardo team to provide the most Swift Engineering, Inc of California, “We are honoured to have been competitive performance driveline and for the new chassis that will see action recognised with the MIA business transmission systems and components starting in the 2009 season of Formula excellence award for export to our motorsport customers in all parts Nippon, Japan’s premier open-wheel achievement,” said Ricardo’s director of the world.” series. This contract award builds on of high performance transmissions the established reputation of Ricardo products, Mark Barge, on accepting New transmission for Formula Nippon as a transmission, driveline and engine the award. “This accolade underscores Ricardo has been announced as the technology supplier to the highest levels of international competitive motorsport. The company already supplies transmissions for Japan’s Super GT series as well as single-make series including the World Series by Renault and the Indy Pro Series. Work has already commenced on the design and development of the transmission for the future Formula Nippon chassis and the fi rst Ricardo transmissions for the

Alliances in electronics independent technology developers. approach While both partners will continue to which and manufacturing operate independently as dictated will bring eading international electronics by the needs of their respective signifi cant Lcompany Delta Electronics Inc businesses, they both believe that benefi ts to and Ricardo have formed a joint- the benefi ts of the alliance will be customers.” development alliance which aims to extremely attractive to potential “Delta is a challenge the current paradigm of customers. global leader automotive electronics supply. By Ricardo CEO Dave in electronics combining their respective strengths New generation of Tier 1 supplier Shemmans (left) and supply. This in advanced electronics R&D and high “The new business model we aim Simon Chang, corporate alliance will quality manufacturing capabilities, to create through our alliance with vice president of Delta let us devote Electronics the Ricardo-Delta alliance will create Delta will enable customers to access more of our an entirely new business model to the latest technology together with advanced technology and effi cient provide total solutions. high quality, effi cient manufacturing manufacturing capability to the Customers will still be able to work resources, while avoiding the risk of automotive electronics fi eld,” said with a single point of contact for dilution of brand identity and leakage Simon Chang, corporate vice president the purchase of new modules and of IP,” explained Karina Morley, Ricardo of Delta Electronics. “Working with systems; crucially, however, in doing Director of Control & Electronics. “In Ricardo, we can offer customers so they will also benefi t from the effect we are creating a completely advanced, independent R&D capability independent R&D expertise – and new generation of Tier 1 supplier plus our core benefi ts of high quality associated IP protection – of dealing designed to meet the future needs of and good service while maintaining a with one of the world’s leading the industry – it’s a completely new single customer interface.”

3322 RICARDO QUARTERLY REVIEW • Q1, 2008 Swift 017.n are due to be successful design of a competitive WRC delivered in June 2008. transmission such as this: the system is Senior Ricardo “Formula Nippon is a required to operate between maximum appointments highly prestigious project torque and maximum power conditions for Swift Engineering and for most of its working life, placing A number of key we are very pleased to have exceptional demands on its gears, appointments have been Ricardo partner us for the bearings and shafts. made by Ricardo since supply of transmissions” said Commenting on BP-Ford’s success, the last issue of RQ. In Casper van der Schoot, Swift Ricardo director of high performance Germany Dr Peter Heuser Engineering, Inc, programme transmissions systems, Mark Barge, has been appointed as managing director. “Ricardo has a proven said: “We are proud to have acted as director of Ricardo Deutschland track record in the highest echelons the technical partner to M Sport and GmbH. Heuser has been the director of motorsports and will be able to Ford on the transmission of the Focus of Ricardo’s Global Heavy Duty Diesel provide us with fi rst-rate products and RS World Rally Cars. With the BP-Ford product group since 2005 and has also support in this programme. We are very team having secured a back-to-back carried responsibility for all engine excited about this new relationship and victory with the 2007 manufacturer’s engineering activities for Ricardo in are looking forward to seeing the results championship as well as outright wins Germany, a role in which he has had when the 017.n fi rst hits the track in the in 8 of the 16 events of the 2007 season, a signifi cant and positive impact in fall of this year”. we congratulate the team and are growing the business in terms of both pleased to have contributed in some volume and customer base. Second successive victory for BP-Ford small way to this success.” The BP-Ford team secured a back- Ricardo motorsport A further strengthening to-back World Rally Championship transmissions director Mark of the board of Ricardo (WRC) manufacturers’ title victory at Barge (right) accepts the Deutschland GmbH came November’s Rally Ireland. The Focus RS prestigious MIA with the announcement world rally cars of the BP-Ford team export award. that former executive are equipped with an advanced vice president of DaimlerChrysler performance transmission and AG and head of Mercedes Car Group driveline system. R&D, Professor Dr Hans-Joachim The result of an extensive design Schöpf, has been appointed as a and prototype development non-executive director and will also collaboration between Ford, become a member of the Ricardo M Sport and Ricardo (see plc global technical strategy group. RQ Q1, 2007), the advanced With an automotive career spanning competition transmission of 38 years and including some of the the Focus RS rally cars had most senior positions in the German its debut at the end of the 2005 automotive industry, Professor Schöpf season. High levels of design is one of the leading infl uences on optimisation and precision modern automotive R&D. Having manufacture are crucial for the retired from DaimlerChrysler in 2004, Schöpf holds directorships in MAHLE, BEHR, TK Bilstein and Ballard next generation of high-performance US manufacturing Power Systems in addition to Ricardo automotive engines. Deutschland. collaboration The collaboration between MAG n the United States, Ricardo Inc and and Ricardo combines the companies’ In the USA the board of MAG Manufacturing have signed respective strengths in technology, I Ricardo, Inc. is similarly a Memorandum of Understanding innovative powertrain system design strengthened with the (MoU) to collaborate on offering and advanced manufacturing tools, appointment of Dr David cost-effective engineering and systems and processes. Together, E Cole, chairman of the manufacturing programmes for Ricardo and MAG will offer their Center for Automotive Research low- to medium-volume propulsion customers a comprehensive design- (CAR), as a non-executive director systems. A leader in the global through-production solution for the of the company. Dr Cole has spent a metalworking and processing market, production of powertrain systems and long and distinguished career in the MAG has a large portfolio of highly components. North American automotive industry, recognised and well-respected The MoU signed by Ricardo working extensively on internal machine tool brands including Hueller and MAG provides a collaboration combustion engines, vehicle design, Hille, Excello, Lamb, Cincinnati and framework within which the two and automotive industry strategic many others. companies will operate to provide trends. In addition to his work for CAR, In addition to its impressive breadth this new level of service to powertrain Dr Cole is a director of the Original of industrial coverage, MAG also has customers in all parts of the world, yet Equipment Suppliers Association, key capabilities in areas such as the which also allows the companies to as well as a non-executive director machining of compacted graphite iron respond fl exibly and independently of companies including Campfi re (CGI), which is being used widely in as customer and market requirements Interactive and MSX International. the design of cylinder blocks for the may dictate.

Q1, 2008 • RICARDO QUARTERLY REVIEW 3333 Clean diesel breakthrough

signifi cant milestone was of adding a lean NOx trap (LNT) into the Ricardo, Inc., said: “The achievement reached by Ricardo in late 2007 system. And, through simulation and of Tier II Bin 5 engine-out emissions A with the achievement of Tier II test results, early predictions indicate without NOx aftertreatment is a Bin 5 emissions from an automotive that the diesel will be capable of meeting major breakthrough and puts us diesel engine without the use of NOx the requirements of US SULEV/Tier squarely on the path to achieving our aftertreatment. II Bin 2 emissions standards, thereby ultimate objective of Tier II Bin 2, the This research continues with the achieving NOx levels less than one-tenth world’s cleanest emissions standard. aim of demonstrating clean diesel of the Euro 5 levels. By applying a systems engineering technology capable of achieving US approach which combines engine- Super Ultra-Low Emission (SULEV) Clean, but fun to drive out optimisation with advanced and Tier II Bin 2 requirements. By Throughout the project, a major aftertreatment, we have demonstrated achieving this milestone Ricardo emphasis has been placed on that the diesel can provide a clean, fun has positioned the advanced diesel achieving low emissions under to drive, cost-effective, fuel-effi cient alongside gasoline hybrid and fuel transient conditions to maintain and environmentally friendly solution cell powered vehicles as high fuel- or improve the fun to drive for the vehicles of tomorrow. While economy, environmentally friendly responsiveness of the engine without there clearly remain many challenges automotive products of the future. deteriorating emissions performance. in translating this research into high Started in late 2005, the early stages The engine has been developed with volume production solutions, this of the research project has been focused a competitive power rating of 65kW/l achievement provides signifi cant new on developing technologies to deliver to meet U.S. emissions regulations for confi dence in the future viability of engine-out exhaust emissions without both sea level and altitude compliance. clean diesel in north America.” NOx aftertreatment that achieve the Having demonstrated these stringent Tier II Bin 5 US emission accomplishments on the test bed, the Global potential requirements, delivering NOx levels powertrain has now been installed Regarding the international approximately one-sixth those of in a test vehicle to enable calibration applicability of the developed Euro 5. These technologies include refi nement and validation. In the technology, Ian Penny, Ricardo’s global advanced air handling systems, two- coming months Ricardo intends to diesel product group director, said: stage series-sequential turbocharging, carry out extensive vehicle testing to “The advanced diesel technologies advanced exhaust gas recirculation, validate the achievement of SULEV/ developed and demonstrated through and application of closed-loop cylinder Tier II Bin 2, currently the world’s this research project are extremely pressure-based engine controls. cleanest emissions standard. In doing attractive in the European as well as In parallel an advanced exhaust so, the research team aims to maintain the north American market. While aftertreatment system has been or improve engine responsiveness the future emissions regulations developed; this combines a diesel and customer appeal, while also are different for both regions, the oxidation catalyst (DOC) and diesel delivering a signifi cant fuel economy technology we have demonstrated as particulate fi lter (DPF). When combined and CO2 improvement over current US being capable of achieving Tier II Bin 2 with engine optimisation, this has equivalent gasoline engines. US emissions standards is also highly delivered Tier II Bin 5 emission levels Commenting on the achievement of applicable to the challenge of providing without NOx aftertreatment. Further this signifi cant clean diesel research cost-optimised CO2 reduction solutions research has established the feasibility milestone, Dean Harlow, president of for EU6 and beyond in Europe.”

3344 RICARDO QUARTERLY REVIEW • Q1, 2008