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California adapts ZEV mandate with PHEVs for smaller automakers

California is the nation's largest market for zero-emissions vehicles with over 100,000 of them estimated to be on the roads there. The state's goal is to keep that number growing every year. To that end, the California Air Resources Board is now tweaking its rules in a way that might not boost ZEVs but could mean more plug-in hybrids for the Golden State. Jaguar Land Rover, Mazda, Mitsubishi, Subaru, and Volvo asked for an exemption to the state's zero-emissions vehicle mandate last year due to their relatively small development budgets compared to larger automakers. CARB denied their request but did craft a compromise, according to Automotive News. Rather than being required to offer a ZEV in the state, companies with an annual global revenue of less than $40 billion, like those in this group, may instead sell plug-in hybrids to earn ZEV credits. The companies aren't completely off the hook, though. If these plug-in hybrids don't earn enough credits, the corporations must buy them on the market to make up the difference. Automakers with popular electric models like Nissan and Tesla have made a big business through this trading system by selling their surplus to rivals. Tesla alone pocketed $51 million in the first quarter from this part of its business, according to Automotive News. The changes to the regulations also aren't set in stone, yet. CARB is meeting in 2016 and could adjust things further at that time. Related Video: News Source: Automotive News - sub. req. via Hybrid CarsImage Credit: Justin Sullivan / Getty Images Government/Legal Green Jaguar Land Rover Mazda Mitsubishi Subaru Volvo Emissions Electric Hybrid California zev credits zero emissions vehicle

Subaru testing a BRZ with STI badging and a big wing

Pretty much since the introduction of the Subaru BRZ and its identical Toyota- (or Scion-) badged twin, enthusiasts have been pining for a more powerful version, preferably with an STI badge and all the performance tweaks that come with it. So far though, Subaru has only shown a turbocharged concept that's now a couple of years old, as well as a Japan-only BRZ tS by STI, which only had suspension and handling upgrades. But now, spy photos show Subaru is working on another STI-badged BRZ, and it's testing in the US. Our spy photographer caught this prototype near Subaru's office in Ann Arbor, Michigan, and it's wearing Michigan manufacturer plates. And, although Subaru taped over it, we can still clearly make out the STI badges on front and back. Despite the STI badges, we don't see any evidence that this BRZ has any kind of power adder like a turbocharger or supercharger. The front vents appear to be the same size as the current model, and there's no hood scoop to feed a possible top-mounted intercooler. The exhaust also looks roughly the same as the naturally aspirated BRZ. There are some other upgrades, though. Most noticeable is the huge rear wing, which has similar stanchions to the BRZ tS. In addition to the wing, the body is accented with the STI lip spoiler, side skirts, and rear bumper extensions available on the current BRZ. Behind the multi-spoke wheels are Brembo brakes at each corner. Based on these photos, we'd say this STI-badged BRZ is probably a track package/trim that improves the car's already excellent handling. We of course hope that there may be some horsepower upgrades under the hood. But a lack of visual changes for forced induction, and Subaru's history of reluctance regarding more powerful BRZs, has us erring on the slow side. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Poor sales prompt Subaru to kill the Crosstrek Hybrid

The Subaru XV Crosstrek is a major hit. It's high off the ground, offers enough seating for five, and has Subaru's iconic all-wheel-drive system, which is exactly what modern consumers want. As we pointed out last year, Subaru posted impressive sales figures thanks to its crossover lineup, which includes the Forester, Outback, and XV Crosstrek. It turns out, though, that Subaru owners aren't interested in the hybrid variant of the crossover, as Subaru plans to axe the XV Crosstrek Hybrid, reports Cars Direct. The discontinuation of the XV Crosstrek Hybrid is due to the crossover's poor sales figures, claims Cars Direct. Subaru introduced its first-ever production hybrid, the XV Crosstrek Hybrid, in 2013 and after just three years the vehicle is being killed. As we pointed out in our review of the vehicle, the hybrid's larger price tag and marginally better fuel economy made it a tough choice over the non-hybrid models. The XV Crosstrek Hybrid starts – sorry, started – at $27,245, while the base 2.0i model has - had - a price tag of $22,445. That's $4,800 more for a vehicle that gets seven mpg better in the city and only three mpg more on the highway at 30 mpg city and 34 mpg highway. We reached out to Subaru for a comment, but haven't heard back yet. We'll update the story when we hear back from the automaker. Related Video: Featured Gallery 2014 Subaru XV Crosstrek Hybrid: First Drive View 53 Photos News Source: Cars DirectImage Credit: Copyright 2016 Jonathon Ramsey Green Plants/Manufacturing Subaru Crossover Hatchback subaru xv crosstrek subaru hybrid discontinued subaru xv crosstrek hybrid