On  March 31, EU ministers met to discuss the global shortage of around 11million barrels of oil per day. At the meeting, European Commissioner Dan Jørgensen urged nations to outline measures to reduce the use of oil and gas, particularly in transportation. The effective closure of the Strait of Hormuz has caused panic within Europe. As a result, the EU has been advised to consider biofuels as an alternative to fossil fuels.

Unlike America, Europe is struggling to find sources of oil that are either not in Russia nor the Middle East. As a result the European Union has been advised to look again at Biofuels.

The EU’s Renewable Energy Directive requires member states to achieve a 29% share of renewable energy in transport by 2030, including a sub-target for renewable hydrogen and advanced biofuels of 5.5%.

Source: MSN: Read The Article

PSR Analysis: The real question is can biofuels actually replace fossil fuels? While it is possible to grow high energy crops on some poor-quality land, it is generally viewed that biofuels are a niche option at best.    PSR

Guy Youngs is Forecast & Adoption Lead at Power Systems Research

The April 2026 issue of the Alternative Power Report produced by Power Systems Research and authored by Guy Youngs, features articles on problems with biofuels in Europe and how drivers consider EVs again. Read these articles and more in the April 2026 issue of Alternative Power Report today. PSR

Guy Youngs is Forecast and Technology Adoption Lead at Power Systems Research

Ashok Leyland’s move to develop and assemble its own battery packs marks one of its most strategically significant announcements in recent years. As India transitions toward a cleaner, multi-fuel commercial mobility ecosystem, this decision places the company at the center of the country’s electric commercial vehicle (ECV) transformation. The implications extend across technology, cost structure, competitive positioning, and long-term industry dominance.

At the core, battery packs account for 35–45% of an electric vehicle’s total cost, making them the single most influential factor in pricing and margins. By internalizing battery pack development, Ashok Leyland is aiming to break its dependence on third-party suppliers, reduce bill-of-materials cost, and secure tighter control over the EV value chain. This is crucial as global cell prices fluctuate and supply chains remain vulnerable to geopolitical shifts. In-house pack assembly gives the company cost stability, greater design flexibility, and freedom to optimize packs specifically for Indian duty cycles—ranging from stop-and-go urban e-buses to long-haul e-LCVs and future heavy-duty platforms.

Source: Ashok Leyland   Read The Article

The timing of this move is equally important. India’s e-bus demand is set to surge under government-led procurement models, while private fleet operators in logistics, e-commerce, and urban distribution are accelerating their shift to electric vehicles to reduce total cost of ownership.

With the ability to design and customize battery packs, Ashok Leyland can deliver superior range, enhanced thermal management, and higher safety standards—key parameters that fleet buyers evaluate while choosing OEM partners. This directly strengthens the company’s position against emerging EV-focused rivals as well as traditional competitors who are still dependent on external battery suppliers.

Furthermore, battery pack capability aligns with Ashok Leyland’s broader multi-fuel road map. The commercial vehicle market is evolving into a portfolio of fuels—CNG, LNG, electric, hydrogen ICE, and eventually hydrogen fuel cells. Among these, electrification will dominate the urban and medium-duty segments due to regulatory push, operational viability, and falling battery costs. Owning battery pack manufacturing ensures Ashok Leyland is structurally ready for this shift, while also enabling cross-application synergies for future hydrogen fuel-cell vehicles, which too require battery-buffering systems.

This decision also future-proofs supply-chain resilience. As global OEMs increasingly localize components in India to meet Production Linked Incentive (PLI) norms and reduce import dependence, Ashok Leyland’s move places it ahead of the localization curve. It enhances long-term scalability, protects margins, and positions the company as a technology-integrated OEM rather than a traditional vehicle assembler.

In summary, Ashok Leyland’s entry into battery pack manufacturing is far more than an operational development—it is a forward-looking strategic investment that strengthens technological depth, enhances cost competitiveness, and secures leadership in India’s fast-evolving electric CV landscape.  PSR

Aditya Kondejkar is Research Analyst – South Asia Operations for Power Systems Research

Kawasaki Heavy Industries has launched a generator engine that runs on a mixture of natural gas and hydrogen. It can operate using a hydrogen blend of up to 30% by volume relative to natural gas. This is the world’s first product of its kind to be launched.

The newly launched ‘Hydrogen-Blended Gas Engine’ is based on existing natural gas-fueled power generation engines. Due to the explosion risk posed by hydrogen, it is equipped with safety devices and mechanisms to remove residual hydrogen from piping. The engine can also run on a fuel blend of city gas and hydrogen.

When blended with 30% hydrogen, an 18-cylinder model operating at 50 Hz has a power output of 7,800 kilowatts. Kawasaki Heavy Industries is expanding its product range to include hydrogen supply network products.

Source: The Nikkei

PSR Analysis: Using existing natural gas power generation facilities while transitioning to hydrogen utilization is expected to reduce customer investment risk. This approach is likely to attract the attention of infrastructure companies and local governments in domestic and international energy transition markets, particularly in Asia and Europe. It aligns with Japan’s policy of promoting a ‘hydrogen society’, and its adoption in public projects is anticipated.

However, resolving challenges in the fuel supply network, such as hydrogen cost and stable procurement, will be key to the speed of adoption.

Kawasaki Heavy Industries will enhance its brand value across the entire shipbuilding, power generation and hydrogen supply chains, thereby strengthening its position as a comprehensive energy company. In the medium to long term, market expansion is anticipated as a stepping stone towards full hydrogen combustion. PSR

Akihiro Komuro is Research Analyst, Far East and Southeast Asia, for Power Systems Research

According to Iveco, CO₂ emissions reach 28.5 gCO₂/MJ with ethanol and 9.38 gCO₂/MJ with biomethane, versus 86.5 gCO₂/MJ for diesel, representing up to a 90% reduction in greenhouse gases. The concept maintains the payload capacity of the traditional Daily line while exploring production feasibility at Sete Lagoas (MG). It is part of Iveco’s multi-energy strategy, which includes electric, gas, and renewable-fuel solutions tailored for Latin America’s energy matrix.

Source: Estradão      Read The Article

PSR Analysis. Although still a prototype, the Daily Multifuel represents an important technical exploration of diversified propulsion for regions where fuel infrastructure is limited or uneven. By enabling operation with ethanol, CNG, and biomethane, Iveco addresses the supply-security and refueling-network challenges that currently restrict broader adoption of alternative energies.

If future commercialization ensures reliable fuel availability and cost parity with diesel, the concept could evolve into a practical bridge technology—providing fleet flexibility and supporting decarbonization even in areas with lack of infrastructure and reliable CNG of biomethane reliable supply.    PSR

Fabio Ferraresi is Director, Business Development, South America, for Power Systems Research

The rising demand for zero-emission mobility goes beyond the nice idea of preventing a catastrophic climate crisis. EVs are a better fit for the connected, electrified lifestyle of the 21st century; they offer more opportunities for convenience, they are more useful for weathering power outages and climate-connected emergencies, and they are more adaptable to the needs of fleet managers, among other advantages.

However, while some researchers note that “salt batteries” are not quite ready for prime time, other stakeholders — including industry leader CATL — are already laying plans for mass production. Last month, CATL also burned up the Internet when it announced a suite of two sodium-ion batteries ready for full volume production by the end of this year.

The hero of the EV revolution, lithium-ion battery technology, is beginning to make room for new battery chemistries that offer a more abundant and accessible supply chain, reduce the reliance on toxic inputs, and achieve both cost and safety improvements.

Source: Clean Technica: Read The Article

PSR Analysis: Thenew sodium-ion battery is not designed to compete directly against NMC Li-ion in all EVs as its energy density is comparable to LFP Lithium ion batteries, with an energy density of 175Wh/kg. While the battery will need some tweaks, it does support superfast charging and has a good battery life too. There will be a cost advantage over Lithium ion batteries and possibly most importantly sodium is not a critical mineral.    PSR

Guy Youngs is Forecast & Adoption Lead at Power Systems Research

Changan says its batteries will be in production by the end of this year, with verification and calibration procedures taking place next year. By 2027, it expects production cars using its solid-state batteries to be on the road in China.

The Changan solid-state battery is said to have an energy density of up to 400 Wh/kg compared to the best lithium-ion batteries which have an energy density of 350 Wh/kg, but they are expensive. Once fully developed, solid-state batteries are expected to be capable of energy densities as high as 500 Wh/kg

Source: Clean Technica: Read The Article

PSR Analysis: On the face of things, this is great news because it also eliminates the risk of thermal runaway. However, we must remember that the detail is important and if this uses the CLTC method of calculating range (rather than the WLTP method) it could be more hype than substance.    PSR

Guy Youngs is Forecast & Adoption Lead at Power Systems Research

The team suggests halide-free Mg batteries surpass previous batteries in terms of safety, efficiency and stability. The aging effects of energy storage are also apparently mitigated with magnesium, which the team claimed would lead to a longer lifespan of the battery.

The researchers claim that rechargeable magnesium batteries are much safer than lithium-ion batteries, since they are classified as non-flammable products.

Source: Best Mag: Read The Article

PSR Analysis: The researchers say that a flaw with many metal anodes (such as lithium, sodium and zinc) are the formation of dendrites, which is much less likely to happen with magnesium. More research will of course be needed, especially in terms of a cathode which would work well with the electrolyte and anode. PSR

Guy Youngs is Forecast & Adoption Lead at Power Systems Research

“Tesla has benefited from £188m in UK taxpayer subsidies in nine years,” The Independent writes.

After imposing a 25% tariff on automobiles exported from the UK to the US, it’s quite natural for British people in the auto industry and politicians to say, “Hey, we’re spending hundreds of millions of dollars to subsidize your cars, and now you want to slap a tax on ours? Let’s reconsider how our EV policies work….” UK Chancellor Rachel Reeves said the government is reviewing its electric vehicle transition rules, amid calls for reciprocal tariffs on Tesla imports,

Source: Clean Technica: Read The Article

PSR Analysis: The backlash against the Trump tariffs is slowly starting to take shape and a lot of this is directed at Tesla because of Elon Musk and his support for Trump. Given that Tesla put an end to the myth that Europeans won’t buy American cars, it’s a very odd place for Tesla to be in and they probably will remain there until such time as the dump Musk or go bankrupt.    PSR

Guy Youngs is Forecast & Adoption Lead at Power Systems Research

KG Motors, which manufactures and sells the ultra-compact “mibot” EV, is moving toward mass production of the units. It will start mass production in October 2025 at an assembly plant it has built near its headquarters. The company plans to produce 300 units in FY2025, 3,000 units in FY2026, and 10,000 units in FY2027.

The mibot is a one-person vehicle designed for short-distance travel, with a range of 100 kilometers per charge. The planned price at the time of mass production is 1.1 million yen ($7,700 USD), including consumption tax.

The assembly plant in Higashi Hiroshima City consists of a single production line with a main line of seven processes and a subline of four processes. Since there are only a few parts, the number of processes is less than that of a normal automobile production line.

New models will be equipped with Software Defined Vehicle (SDV) functionality. The software that controls the car will be updated over-the-air (OTA). The goal is to personalize each car for each customer and add or improve functionality after the car is sold.

Source: The Nikkei

PSR Analysis: So-called EV ventures are currently enjoying a period of prosperity not only in Japan but also worldwide, and many ambitious venture companies are working on development. KG Motors, introduced here, is one of these companies, and it is almost unknown even in Japan. Their product concept is unique, and they specialize in ultra-compact cars. If you follow the link to the article, you can see a photo of the product, but it is very small, about the size of a one-person car. The road conditions in Japan are very different from those in Europe and America, and especially in urban areas there are many winding roads, so you have to stop and start a lot. For this reason, the market has historically developed around the segment of light vehicles with engines of 660cc or less, and it can be said that the small size is well received in the Japanese market. The mibot has become a leading player in the ultra-compact mobility vehicle market, achieving a reservation volume of 300 units in three days from the start of reservations on August 23 last year, and 1,000 units in about one month. PSR

Akihiro Komuro is Research Analyst, Far East and Southeast Asia, for Power Systems Research