PSA selects Bosch for diesel hybrid

PARIS -- PSA/Peugeot-Citroen has chosen Robert Bosch to supply the key technologies for its diesel-electric hybrid cars. 

PSA’s head of purchasing, Jean-Christophe Quemard, said the carmaker is forming a strategic partnership with Bosch for the diesel-electric powertrains. 

PSA plans to launch its first production diesel hybrids in 2011. These include an SUV based on the Peugeot Prologue concept unveiled at the Paris auto show in October, a large sedan and other unspecified cars. 

Diesel hybrids likely will cost about ?,000 to ?,000 more than a comparable diesel, said PSA’s director of hybrid and electric programs, Eric Breton. 

Some carmakers, suppliers and analysts suggest that consumers will not pay more for diesel hybrids.  

But pressure from the EU to cut average CO2 emissions from new cars to 130 grams per kilometer between 2012 and 2015 from 158g/km now could help PSA sell more diesel hybrids. 

High price for hybrids 

"Diesel hybrids will always be expensive because you have two costs -- the cost of diesel and the cost of hybrid technology," said Jean-Philippe Le Denmat, a powertrain and research specialist with analysts Global Insight.  

"PSA is betting that high CO2 taxes and high gasoline prices will justify the cost," he said. 

PSA’s Prologue-based diesel-hybrid crossover will have CO2 emissions of 109g/km and will use about 30 percent less fuel than a diesel car. The crossover will have a 200hp  

2.0-liter diesel engine driving the front wheels and a battery-powered electric motor driving the rear wheels. 

Analysts remain skeptical of PSA’s long-term volume plans.  

Said Global Insight’s Le Denmat: "We don’t think a brand like Peugeot, which is not a premium brand, will get very high sales volumes in the near future from this diesel hybrid, which will remain quite expensive for some time." 

Bosch will supply the electronic controllers and electric motors for the French automaker’s HYbrid4 diesel-electric powertrain