ADVERTISEMENT

Prime Minister Abdullah Ahmad Badawi told the state Bernama news agency he had already test-driven the car and urged the company to continue researching energy-saving techonologies.

“The kind of car that all countries and car companies love now is the green car. Consumers will also be happy when they drive such a car knowing it saves fuel and does not pollute,” the Star daily quoted him as saying.

“Such an effort by Proton will also assist the government in saving petrol and preserving the environment.”

Hybrid vehicles, which deliver power by switching between a gasoline (petrol) engine and an electric motor, can save up to 30 percent on fuel costs but they are more expensive than conventional models.

Proton was formed 25 years ago by former premier Mahathir Mohamad as part of an ambitious national industrialisation plan but its market share has slumped over the years, as it faced difficulties coping in a new deregulated market.

The government has urged it to forge a partnership with a foreign automaker to give it the expertise and economies of scale that it needs to survive, but talks with Volkswagen and General Motors have collapsed.

The company aims to launch its first multi-purpose vehicle early next year, Bernama reported.

PM: Crucial for Proton to develop fuel-efficient cars

SHAH ALAM: There is potential in the market for the hybrid car being developed by Proton, Prime Minister Datuk Seri Abdullah Ahmad Badawi said yesterday.

Asked on when the hybrid car was expected to be ready, he said: “It depends on Proton. How fast they can work and I have test driven one.

“It looks good and it depends on Proton, how fast they can develop this car.”

Abdullah was speaking to reporters after test driving one of the prototype hybrid car at Proton’s plant here yesterday.

He had earlier launched Proton’s third millionth car and also Proton’s Technology Week.

Abdullah said he felt, gathering from a briefing given to him by Proton’s management team, that with its set of plan the country’s national car producer will become a progressive automotive company capable of competing and staying relevant in the future.

At the same time, he said, it was crucial for Proton to take into account the latest developments in the research and development of cars with fuel efficient engines that use hybrid engines, electricity or those that use cheaper fuels than petrol apart from being environment friendly and affordable.

Abdullah said the government will also look at suitable incentives for the development of hybrid cars and that such encouraging measures had been practised in other countries including developed countries like Japan and the US.

Incentives could be along motivating incentives so that many more such cars could be built, he said when asked if the government will be providing incentives to developers of hybrid cars.

He said the government was also prepared to help Proton in the research and development that they will be entering into in the area.

It is only reasonable for the government to continue to support local companies that are looking at high value addition to the country’s economy via R&D activities and the use of high technology including Proton, he said.

Asked if the incentives for hybrid car development will be tabled at the upcoming Budget 2009, he said the decision for incentives itself was only recently made.

Referring to other new grounds being tested including electric cars and those using hydrogen fuel, he said the government would look into how it can help in terms of incentives.

Abdullah who witnessed the signing of a collaborative agreement between Proton Holdings Bhd and Saipa Co of Iran at the event yesterday, also called on Proton to work harder to raise its capacity and competitiveness to be on par with leading car producers in the world.

The deal with Saipa will see them exploring the possibility of collaborating in areas of engine manufacturing, model development and research and development (R&D) activities.

— Bernama