Solectria Corporation; Grant of Petition for Temporary Exemption From Four Federal Motor Vehicle Safety Standards |
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Topics: Solectria, Chevrolet S-10
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Christopher A. Hart
National Highway Traffic Safety Administration
March 28, 1994
[Federal Register Volume 59, Number 59 (Monday, March 28, 1994)] [Unknown Section] [Page ] From the Federal Register Online via the Government Printing Office [www.gpo.gov] [FR Doc No: 94-7159] [Federal Register: March 28, 1994] ----------------------------------------------------------------------- DEPARTMENT OF TRANSPORTATION [Docket No. 93-84; Notice 2] Solectria Corporation; Grant of Petition for Temporary Exemption From Four Federal Motor Vehicle Safety Standards Solectria Corporation of Arlington, Massachusetts, petitioned to be exempted from four Federal motor vehicle safety standards for trucks that it converts to electric power. The basis of the petition was that compliance with the standards would cause substantial economic hardship. Notice of receipt of the petition was published on December 23, 1993, and an opportunity afforded for comment (58 FR 68189). This notice grants that petition. Previously, petitioner received NHTSA Exemption No. 92-2 covering Geo Metro passenger cars that it converts to electric power, and markets under the name ``Solectria Force.'' As of the date of the latest petition, 45 Solectria Forces had been sold. Petitioner now intends to convert new Chevrolet S-10 pickup trucks to electric power. The vehicles to be converted have been certified by their original manufacturer to conform to all applicable Federal motor vehicle safety standards. However, petitioner determined that the vehicles may not conform with all or part of four Federal motor vehicle safety standards after their modification. The standards for which exemptions were requested are discussed below. 1. Standard No. 204, Steering Control Rearward Displacement The conversion affects the ability to meet paragraph S4.2. According to the petitioner, ``[b]ecause the weight in the hood is changed, a 30 mile per hour crash test under the conditions of S5 would be needed to determine the steering wheel's rearward displacement.'' 2. Standard No. 208, Occupant Crash Protection The conversion affects the ability to meet paragraphs S4.2.2 and S4.6.1. According to the petitioner, ``[b]ecause the Solectria pickup has manual Type 2 seat belts, S4.2.2 requires that the pickup meet the requirements of S4.1.2.3. S4.6.1 requires that Solectria's pickup meet the frontal crash protection requirements of S5.1.'' 3. Standard No. 212, Windshield Mounting 4. Standard No. 219, Windshield Zone Intrusion According to the petitioner, ``[t]he modifications will affect the requirements'' of each of these two standards. Exemption was requested from these four standards for a period of three years. the conversion of the vehicle to electric power results in a net weight increase of 500 pounds which is 17 percent over the weight at which the vehicle was originally certified. It involves the substitution of electrical propulsion components for the original ones relating to internal combustion propulsion, and modifications to the heating system and drive shaft. Petitioner stated that ``thirty-mile per hour barrier crash testing is needed to determine the actual energy absorbing characteristics of the new front compartment components.'' Petitioner argued that to require immediate compliance would create substantial economic hardship. As of September 30, 1990, the end of its first fiscal year, the company had a net income of $8,186. However, at the end of its second and third fiscal years, it had net losses, respectively of $87,602 and $106,243. Thus, as of September 30, 1992, it had cumulative net losses of $185,659. It estimates that the total cost of testing for compliance with the four standards would be $155,520. If modifications appear indicated, further testing would be required. An exemption would permit vehicle sales and the generation of cash permitting testing and full certification of compliance while the exemptions are in effect. It anticipates orders for 25 trucks in its first year of production, 50 units in the second year, and 150 vehicles in the third. A denial of the petition would delay Solectria's production ``for several years and would likely prevent production altogether.'' According to the petitioner, granting the exemption would be in the public interest and consistent with the National Traffic and Motor Vehicle Safety Act (the Act) because it ``will be able to make a substantive contribution to the nation's clean transportation needs. '' No comments were received on the petition. Petitioner's lifetime financial history through September 30, 1992, indicated a cumulative net loss of almost $186,000. It is doubtful that the results for the year ending September 30, 1993, which have not been supplied, would materially improve the picture. According to The New York Times (January 28, 1994, page D4), Solectria's total vehicle production since its founding is about 60, and it has orders for about 52 vehicles more. It has estimated compliance testing costs for the four standards to be approximately $155,000. Further costs would be incurred if modifications are indicated. In the agency's view, the petitioner has demonstrated that immediate compliance would cause it substantial economic hardship. Because the host vehicle is certified to be in compliance with all applicable Federal motor vehicle safety standards, the statutory language requiring a finding that the petitioner has made a good faith effort to comply with the standards from which exemption is sought must be considered in a different light. Petitioner has evaluated the effect of its conversion operations upon a certified vehicle, and has determined that its converted vehicle may not conform with four Federal motor vehicle safety standards. It has further estimated the cost of testing to verify the compliance status of its vehicles, a sum that approaches in amount its cumulative net losses to date. During the time the exemption is in effect it states that it will carry through its compliance testing program to achieve full conformance. Under these circumstances, NHTSA believes that the petitioner is making a good faith effort to comply with the standards. Finally, though the volume of production would be small, the exempted vehicles would emit zero emissions. Thus, an exemption would be in the public interest, and consistent with the objectives of the Vehicle Safety Act to promote alternatives to the internal combustion engine and to relieve on a temporary basis restrictions upon small manufacturers consistent with safety. On the basis of the foregoing, it is hereby found that immediate compliance would cause the petitioner substantial economic hardship, that the petitioner has in good faith attempted to conform with the standards from which exemption is requested, and that an exemption would be consistent with the public interest and the objectives of the Act. Accordingly, Solectria Corporation is hereby granted NHTSA Temporary Exemption No. 92-2, expiring February 1, 1997, from the following standards, or portions thereof, applicable to its Chevrolet S-10 pickup truck conversion: 49 CFR 571.204 Motor Vehicle Safety Standard No. 204 Steering Column Rearward Displacement; paragraphs S4.2.2 and S4.6.1 of 49 CFR 571.208 Motor Vehicle Safety Standard No. 208 Occupant Restraint Systems; 49 CFR 571.212 Motor Vehicle Safety Standard No. 212 Windshield Mounting; and 49 CFR 571.219 Motor Vehicle Safety Standard No. 219 Windshield Zone Intrusion. (15 U.S.C. 1410; delegation of authority at 49 CFR 1.50) Issued on: March 22, 1994. Christopher A. Hart, Deputy Administrator. [FR Doc. 94-7159 Filed 3-25-94; 8:45 am] BILLING CODE 4910-59-M