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US Congress lets $8,000 hydrogen vehicle tax credit expire

When Toyota introduced the 2016 Mirai last month in preparation for a launch late next year, it said that the hydrogen car will have a $57,500 MSRP and that there will be a federal tax credit available worth up to $8,000. The problem, as we noted at the time, is that that federal credit was set to expire at the end of 2014. The technical language of the current rule says that someone who buys a fuel cell vehicle, "may claim a credit for the certified amount for a fuel cell vehicle if it is placed in service by the taxpayer after Dec. 31, 2005, and is purchased on or before Dec. 31, 2014." With the 113th Congress now finished up for the year and legislators headed home for the holidays, we know one thing for certain: the federal tax credit for hydrogen vehicles was not updated and will end as we're all singing Auld Lang Syne next week. All of this isn't to say that Mirai buyers won't be able to take $8,000 off the price of the car 12 months from now. For proof of that, we only need to look at other alternative fuel tax incentives and realize that this Congress simply isn't moving fast enough to deal with things that are expiring right now. One of the last things that the 113th Congress did in December was to take up the tax credits that expired at the end of 2013 and renew some of them. Jay Friedland, Plug In America's senior policy advisor, told AutoblogGreen that PIA and other likeminded organizations worked with Congress to extended the electronic vehicle charging station (technically: EVSE) tax credit that was part of the Alternative Refueling Tax Credit in IRS Section 30(C) through the end of 2014. "Individuals can deduct 30 percent of the cost of purchasing and installing an EVSE up to $1,000; businesses, 30 percent up to $30,000," he said. "This tax credit is applied to any system placed into service by 12/31/14 and is retroactive to the beginning of the year. So go out and buy your favorite EV driver an EVSE for the holidays," he said. An electric motorcycle credit was killed at the last minute as Congress was getting ready to leave, but H.R. 5771 did extend the Alternative Fuels Excise Tax Credits for liquefied hydrogen and other alternative fuels. These sorts of tax credit battles happen all year long. In July, Blumenthal introduced the Fuel Cell and Hydrogen Infrastructure Act of 2014, which never got out of the Finance Committee. Back to the hydrogen vehicle situation.

We drive Honda's turbo/manual Civic prototype (briefly)

You could almost hear it. There was a furor. And it all had to do with a transmission. On September 16, Honda showed the all-new, tenth-generation Civic. Fitted with a turbocharged engine for the first time, enthusiasts were excited. Until they realized the new 1.5-liter Earth Dreams four-cylinder turbo would only be offered with a continuously variable transmission, something that elicits a passionate, all-consuming, and utterly unquenchable hatred among (most) enthusiasts. Honda was listening. On the recent Civic Coupe launch, the company confirmed to us that a manual transmission will soon be offered on turbocharged Civics, regardless of body style. And then we drove a prototype. Now, let's be very clear, the car we drove was an early test vehicle. It was camouflaged, cobbled together – it was born with a turbo and an automatic before Honda's engineers got their hands on it – and to cap it all off, we got approximately five minutes of seat time. We couldn't even shoot the darn thing, which is why you're looking at one really bad iPhone picture up top. But five minutes is better than nothing at all, right? View 40 Photos The 1.5T and six-speed manual are a natural fit, simply because they're both already so good on their own. Our immediate impression is that even though this is an early development vehicle, fitting the 1.5-liter turbo with a manual transmission is a natural pairing. This is largely because the engine and transmission are so good on their own. We've raved about the turbocharged four-cylinder and its ultra-broad torque peak before – all 162 pound-feet of torque are on tap between 1,700 and 5,500 rpm – but the six-speed stick is no slouch either. Normally paired with the 2.0-liter, naturally aspirated four-cylinder, the clutch's action is light and springy, and finding the catch point is easy. And the shift lever, in typical Honda fashion, has a smooth, enjoyable action and easy-to-access gates. Putting the turbo and manual together doesn't transform a normal Civic into an Si or Type R, but it automatically (sorry) makes for a more engaging and entertaining compact sedan. Because of the broad torque curve, more speed is just a single-gear downshift away. And that downshift is downright easy to kick out, too. Simply put, the turbocharged engine feels more urgent and eager, especially off the line, with the manual.

Honda to import Euro market Civic hatch to America

If you look at the Civic sedan Honda offers in America and look longingly at the hatchback version it sells in Europe, we've got good news. The latest word has it that the Japanese automaker will start offering the Euro-spec hatch in North America. The reason, however, may surprise you. According to Nikkei Asian Review, Honda wants to start selling the Civic hatchback in America less because it thinks that's the model Americans want, and more because it has excess capacity at its plant in the UK. Bringing it to the US would also give Honda an entry against the Volkswagen Golf and other competitors. Honda's plant in Swindon, England, is its sole assembly location in Europe, where the company's market share has dropped to a reported one percent. That doesn't mean Honda is giving up on the European market and its strong currencies, but with models like the HR-V to be manufactured in Mexico and the new Fit/Jazz to be imported from Japan, the Swindon plant doesn't have enough vehicles to produce to make use of its annual capacity of 250,000 vehicles. Producing 30,000-40,000 Civic hatchbacks each year for North America would help pick up some of the slack, but not all of it. It would also only represent a small fraction of the number of Civic sedans Honda moves here. Last year Honda sold over 325,000 Civics in America and over 336,000 the year before, making the Civic its second- or third-most popular model here after the Accord and closely positioned with the CR-V crossover. The reported number of Civic hatchbacks it would sell here wouldn't even keep up with the smaller Fit, but would far overshadow the CR-Z hybrid hatchback. The bigger question that performance enthusiasts will be asking is: What does this mean for the prospects of getting the new Type R hot hatch over here? Revealed in production form at the Geneva show earlier this month, the new Civic Type R is based on the European hatchback in question. Prior to the emergence of this report, the official line was that we wouldn't get the new performance model because its bodystyle isn't offered here altogether, and that our version would more likely be based on the sedan. If the five-door model makes its way here, though, we can't help but wonder if the Type R might not follow close behind. Reached for comment, Honda's US office didn't have anything official to add, but we'll be watching this development closely to see how it plays out. Related Video: