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VW will expand goodwill package to larger diesels

Volkswagen Group of America will expand its goodwill package to affected owners of the VW Touareg and other models with the 3.0 TDI. The company may also replace the catalytic converter on some cars equipped with the 2.0-liter four-cylinder TDI engine to bring it into compliance with US emissions. VW Group of America boss Michael Horn told Reuters he plans announce the goodwill program's expansion to the 2009-2016 Touareg during the Detroit Auto Show, and company spokesperson Jeannine Ginivan also confirmed this to Autoblog. Audi intends to extend the offer to its affected owners, too. As with the previous goodwill package, participating customers would receive a $500 prepaid Visa card and $500 to use at dealers. The EPA issued a violation notice against the 3.0 TDI in November and later extended it to additional model years. Audi later admitted that the engine, which was also in the Touareg and Porsche Cayenne, had undisclosed emissions management software. However, the automaker limited the goodwill package only to the 2.0-liter powerplant while it investigated the allegations against the larger mill. VW has not announced a recall plan in the US for the 2.0 TDI so far, but VW Group CEO Matthias Muller recently outlined a possible solution that could fix about 430,000 of the 482,000 affected vehicles. "We have one [catalytic converter] in the works and we believe that will be a part of the technical solutions," he told Reuters. Muller plans to discuss the repair while in Washington D.C. on Wednesday to meet with the EPA. "I think we can now offer a package that will come very close to what the EPA is expecting from us," Muller said to Reuters. He also suggested the company might buy back some affected models but didn't confirm the recent rumor claiming that the buy-back may cover as many as 115,000 cars.

2014 Audi S1 is a little hatch hiding huge power [w/video]

The Audi S1 takes the Four Rings' high performance brand to its smallest model yet. Offered in three- and five-door forms (pictured above), the S1 is a subcompact hot hatch that seems specially suited for Europe's dense cities and tight roads.
The S1 follows the rest of the Audi S vehicle lineup with a very understated design. It maintains the looks of the standard car, but the larger air dam, 17-inch wheels and side sills tells viewers that something mean is lurking under the surface as well. It packs the Volkswagen Group's ubiquitous 2.0 TFSI four-cylinder, tuned here to produce 228 horsepower and 279 pound-feet with a six-speed manual transmission and all-wheel drive, and it is enough to get it to 62 miles per hour in less than six seconds for either body style and to a top speed of 155 mph. Handling is aided by a more sophisticated four-link independent suspension to replace the standard A1's torsion beam setup.
They come in just two colors for now - Vegas Yellow or Sepang Blue - and are hitting European roads later this spring. UK prices start at £24,900 ($41,518) for the three-door and £25,630 ($42,735) for the five-door.

Audi creates new diesel fuel from carbon dioxide and water

What if you could power cars of the future with pollution created by the cars of the past? That's what German automaker Audi is hoping to achieve by creating a new synthetic fuel using renewable energy to turn water and carbon dioxide gas into a new kind of fuel they call "e-diesel." The new diesel is being produced at Audi's pilot plant Sunfire in Dresden, Germany. Only a few gallons were created, which the German Federal Minister of Education and Research Johanna Wanka put into her Audi A8 to prove the fuel's bonafides. The base fuel is known as "blue crude" and begins from a green source. Audi uses electricity from wind, water or solar power sources to separate hydrogen from oxygen in water. The hydrogen is then mixed with carbon dioxide which has been converted in carbon oxide. The blue crude is then further refined to create the e-diesel. The carbon dioxide is currently supplied by a biogas facilities, but some of that CO2 was captured from the air. "The engine runs quieter and fewer pollutants are being created," says Sunfire CTO Christian von Olshausen. The fuel can be combined with conventional diesel fuel, as biodiesel fuels already and would be competitively priced against regular diesel, according to Gizmag. Sunfire can produce about 42 gallons of e-diesel a day. That seems like barely a drop in the bucket in terms of Europe's energy use, but Audi is ready to commercialize the technology with plans to expand production with a bigger facility in the future.