Ford Touts Environmental Concerns

May 3 -- Is Ford going green?

As rising gas prices and the Bush administration's energy policy become hot-button issues heading into the summer driving months, the Ford Motor Co. announced today that it has begun implementing its plans to produce more fuel-efficient SUVs, and has created an executive team to develop further solutions to global warming.

Company Chairman William Clay Ford Jr. wrote in the company's second annual "corporate citizenship" report that the earth's increasing temperature, "stands out from other environmental issues because of its potentially serious consequences and its direct relationship to our industry."

And Ford's president, Jacques Nasser, wrote "there's no doubt that sufficient evidence exists" showing that the carbon dioxide released when gasoline is burned contributes to global warming. America's second-biggest automaker, Nasser wrote, must "move from argument to action."

Cautious Optimism from Greens

But are Ford's stated concerns real environmental stewardship or just good public relations? Environmentalists are responding with cautious optimism.

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Daniel Becker, director of the Sierra Club's Global Warming and Energy Program, says he "applauds Ford for recognizing the seriousness of global warming, acknowledging that its vehicles create a large part of the problem and committing to cut that pollution," but adds: "Ford is accelerating the race for cleaner cars, but we're only in the first lap."

This is not the first time that Ford has trumpeted its environmental concerns.

Last spring, the company first announced its basic plan to increase the gas mileage of its popular fleet of sport utility vehicles by 25 percent over the next five years.

"Our approach to SUVs and the environment has not always been responsible," William Clay Ford Jr. acknowledged at the time, in a comment that raised eyebrows among environmentalists and stockholders alike.

Even after the changes, Ford's highly popular but gas-guzzling SUVs will still be among the least fuel-efficient vehicles in production — currently the Excursion gets 13 miles per gallon, and the Explorer 16 mpg — but Ford has estimated the better mileage could save 1,700 gallons of gas over the life of an SUV.