Australians looking for a cheaper alternative to gasoline now have a very cost effective option with a dual fuel conversion being offered by Holden. The installation allows Commodores and derivatives to be operated on either LPG or gasoline. Holden recently dropped the conversion price of the system by $1,000 (AUS) from $3,900 to $2,400. The Ute pickup variants went from $4,900 to 3,400. The net cost for sedan buyers can drop to as little as $400 thanks to a $2,000 tax rebate from the federal government. That expense can be recouped in operating cost savings in about four months for the sedan and one year for the Ute thanks to LPG costing less than half the price of gasoline right now. The conversion is done on vehicles with the 3.6L DOHC V6 that also use in a wide variety of North American market GM cars and CUVs. The fuel system can automatically switch from LPG to gasoline on the fly when the fuel level drops too low. The press release is after the jump.

[Source: General Motors]

The Australian auto market is an interesting beast. Many of the big players in America offer vehicles there which are completely different from what is available stateside. Ford and General Motors have continued to develop large, rear-wheel-drive passenger cars for the Australian market, and these have recently proven desirable in the states again. New fuel economy regulations, though, may put an end to the idea of importing Australian-designed Ford and Holden vehicles into America. In fact, even the Australians may find it tough to keep these vehicles on the road. Federal industry minister Kim Carr would like to help Holden and Ford make their vehicles more fuel efficient, which could mean an abrupt halt to vehicles like the Ford Falcon and Holden Commodore in their current forms. Incentives are being provided which could bring engines like Ford's 3.5 liter Duratec engine to Australia, in both normally aspirated form and even equipped with the new EcoBoost technology. These direct injected and turbocharged mills produce gobs of power while offering a slight increase in fuel efficiency.

[Source: GoAuto]

The premier of the Australian state of New South Wales is a big supporter of hybrid vehicles. The state government already has 355 hybrid vehicles in the the government fleet. However, as with governments everywhere, if something is made locally Morris Iemma would prefer to buy domestic. Unfortunately of all the cars made in Australia, none are propelled by hybrid powertrains. The hybrids in the NSW fleet are all imported Honda and Toyota models.

Iemma has approached Holden about producing a hybrid version of the Commodore sedan which we get over here as the Pontiac G8. Toyota has been examining the prospect recently of building hybrid Camry's in Australia. Iemma has committed to using domestic hybrids in the NSW fleet if they are built. The Holden may actually turn out to be the first to produce a domestic hybrid. When GM announced the second-generation mild hybrid system earlier this year, they said the system would be compatible with rear wheel drive vehicles such as the G8/Commodore. Given the realities of fuel economy regulations, it seems almost certain that a hybrid version will debut sometime around 2010-11. If that does happen, it will likely be offered in Australia as well.

[Source: The Australian, thanks to Berto for the tip!]

Hot on the heels of word that Holden Special Vehicles was looking at alternative drivetrains for future high performance models for the GM Australian lineup comes news that Holden will introduce a mainstream hybrid within two years. Nick Reilly, GM President Asia-Pacific was in Australia recently for an annual review at Holden and announced that the brand that developed the Zeta platform would introduce a gas-electric hybrid within two years. According to Reilly, the big Commodore sedan would likely be the first to go hybrid. Actually selling hybrids in Australia could prove problematic though since buyers there have generally shown little willingness to pay the extra cost. Reilly is encouraging the Australian federal government to introduce tax breaks to eliminate some of the financial sting for consumers.

Of particular interest to Americans is that the Commodore is now available in here as the Pontiac G8 and the new Camaro that is debuting this summer is also based on the same architecture. If a hybrid Commodore appears, it is almost a certainty to show up in at least the G8 and possibly the Camaro soon after. GM already showed a two-mode hybrid equipped concept pickup at the Chicago Auto Show called the GMC Denali XT which is built on the same platform. At the debut of the two-mode Tahoe last year, GM officials described a third smaller rear wheel drive passenger car variant of the system which could make its debut in the Commodore. The next generation of GM's mild hybrid is also possible and GM explicitly said that system could be used in rear wheel drive applications.

We contacted GM's US hybrid spokesman Brian Corbett for comment on which system might be used. Corbett declined comment on any unannounced products.

[Source: Sydney Morning Herald]