To understand the 2012 Volkswagen Passat TDI you have to understand where it comes from: Just outside Chattanooga, TN there is a brand new, state-of-the-art, billion-dollar automotive production facility. The Passat is the only car they make in the new factory.

VW designed the new Passat at their headquarters in Wolfsburg, Germany. Better still, they designed the new Passat specifically for the American market. It’s noticeably bigger than the old Passat; in fact, it’s noticeably roomier inside than the Camry and the Accord.

The torque-tastic TDI gets 43 miles per gallon on the highway which makes it the new industry class leader beating out the Camry, Fusion, and Sonata hybrids – yes you read that correctly, the TDI clean diesel technology outperforms hybrids when it comes to fuel efficiency. And there’s no fuzzy hybrid technology to be concerned about later. Officially, the TDI has a range of 795 miles per tank.

Because they designed the new Passat for Americans, they chose to include an impressive list of standard features: Bluetooth, dual-zone climate control, SiriusXM satellite radio, a sound system designed by Fender, and keyless remote entry and ignition in addition to the newfound legroom. The cockpit is both sleek and functionally convenient.

A Little More About Chattanooga

VW has created nearly 12,000 new jobs in Tennessee since opening the facility some months ago, on top of which they’ve taken some commendable strides toward green production.

They benefit from a number of environmental efficiencies including reflective white roofs on all buildings, a rainwater capture system that repurposes as much as 350,000 gallons of water every month for use in the plant’s cooling system and restrooms, high-efficiency lighting inside and out, and a high-efficiency paint application system.

When the cars are completed 80% of them are shipped by rail. When you consider that 85% of the 2,300 parts that make up the new Passat originate in North America, it makes for an impressive economic and environmental  strategy. It’s safe to say that Volkswagen has invested wisely in the great state of Tennessee. It was nothing short of uplifting touring the factory with twenty-plus automotive reporters who were noticeably taken by the sight of thousands of Americans working away proudly in quality manufacturing jobs.

“We are very proud of the new plant’s environmental efficiency. As well as collecting rainwater for re-use in the facility, we have reduced CO2 emissions by 20% in our paint process because we don’t use filler. There’s more: In most car plants, the waste paint (or overspray) turns into sludge that ends up getting diluted with 50,000 gallons of water a day. But the paint in our new factory drops onto dry limestone powder that is then recycled in a local cement kiln, thus saving all that water,” Mark Gillies, Manager, Product & Technology in Chattanooga.

TDI Means Clean Diesel

To be clear, we’re big fans of Volkswagen’s TDI clean diesel vehicles here at the Lazy E. To start, VW designs and produces excellent quality cars that are fun to drive. The TDI relies on a very advanced transmission that results in peppy yet smooth, high torque acceleration. Josh has owned his TDI wagon for more than a year now (yes, he paid retail, no hookups involved).

Diesel is very popular throughout the rest of the world, including much of Europe. As the price of gasoline continues to rise steadily, we’re predicting you’ll see more diesel cars here in the States, especially when you consider the superior fuel efficiency to the hybrids without the price premium typically associated with those models. Good for the planet, good for your wallet, and good for your leggy friends in the backseat.

1. Volkswagen has more than 11% market share worldwide but only 3% market share in the U.S.
2. 25% of the automobiles that VW sold in the U.S. market in 2009 were clean diesel models.

I still think of VW as a young brand, so it makes sense to me that they’re planning on making strides in the U.S. market by launching greener vehicles. Young people, and people who feel young, want greener cars as much as they want “a fun drive,” which is exactly what Stefan Jacoby, President and CEO of Volkswagen America, said he wants American drivers to think of when they see the silver VW on the hood of their vehicles. He said it in an interview and he said it again at the dinner table.

Clean Diesel Confusion?

Two points to clear up: First, the “clean” in “clean diesel” does not refer to the fuel itself. When you pull up to the station you put regular diesel in the tank. Clean diesel refers to the vehicle’s emissions. The new TDI/clean diesel version of the Touareg boasts a 40% reduction in emissions compared to the previous version that ran on gasoline. Second, this ain’t your Grandma’s old diesel that went from 0-60mph in eight minutes flat. These TDI vehicles are powerful.

The 2010 Volkswagen Touareg TDI – Best Green SUV on the market

I haven’t been this excited about an SUV since my folks got a Chevy Blazer back in the early ‘90s. I loved that Blazer because my family’s dog and my BMX bicycles fit easily in the back compared to my Mom’s previous vehicle, a sedan. It was the one and only SUV they ever owned because Mom thought the Blazer “handled like a truck.” I never got to drive the Blazer, but it looked awesome to me. I can now assure you and Mom that the new VW Touareg TDI handles sharply thanks to a series of technological advances.

Design in the automobile world has come to mean two things: performance and aesthetics. Seems obvious enough, but good design is where performance and aesthetics meet. Walking the Geneva auto show for a few days, I affirmed that it wasn’t due to my environmental optimism but rather objective observation that a third metric is sneaking into the auto-design criteria: efficiency. Porsche’s new 918 prototype hybrid sports car was a major hit amongst the American auto journalists, who also informed me that Porsche has never made a prototype that didn’t go into production (though a few cited one debatable exception). When green cars get this exciting, it’s a big win for the environment.

Under the hood there are a number of innovative technical design issues at play, making the Touareg best-in-class with regard to drive quality as well as environmental sensitivity. First in line for the “best innovation under the hood award”: The 8-speed transmission. It used to be that more speeds simply meant faster speeds, but oh how far we’ve come in a decade or two… How are more speeds now better in more ways?

This is a bit technical: More speeds are better because more speeds means that the engine is running more optimally more often. An engine that runs optimally more often is an engine that lasts longer. An engine that runs optimally also has superior fuel efficiency. Both of these factors save drivers money over the lifetime of a vehicle. So efficiency is good for vehicle owners and good for the environment. As American car buyers realize the value that VW is offering with their TDI models, it will be good for the company’s bottom line as well.

I’m not sure when that type of thing went out of style in the business world, but if it makes VW old-fashioned to offer a high quality product at a competitive price, then color them old-fashioned. To put it simply, the Touareg TDI is a V6 that performs like a high-end V8 but sips fuel like a four-cylinder.

But the American auto market can’t be captured solely based on dollars-and-cents and value, so VW threw in some very cool features that sounded gimmicky to me at first glance but over the course of the drive event in Tuscany started to actually improve the quality of the ride (and I shutter to admit, my abilities as a driver). The top two coolest features: Dynamic Light Assist and Area View.

Dynamic Light Assist means the headlights utilize a number of cameras built into the car to assist the driver in adapting to road conditions. Effectively, that means each headlight toggles independently to improve your view of the road and minimize glare. It’s a noticeable improvement with regard to visibility.

Area View means cameras, lots of cameras. When you put the car in reverse to back up at a light or to parallel park, you can rely pretty heavily on the view from the dashboard monitor. Yes, I think you should still take a look back first, but it’s a comfort knowing that you’ll never feel the need to park “by sound” again, especially if you’re driving an SUV in city traffic. This is really just the beginning of the Area View features, but you’ll have to check it out for yourself to see how intuitive this technology has become.

The redesigned Touareg TDI is the most fuel-efficient SUV in its class, and one could make a good argument that it’s also among the most feature-rich driving experiences of any SUV. There are flashy things that look cool, there are flashy features that enhance performance, and there are some that do both in such a way that increased safety. You’ll also find rear seats that fold down with a one-hand-on-one-lever maneuver, increased structural strength paired with a substantive decrease in weight, and an intuitive in-dash touchscreen monitor that pulls it all together in a way that makes all of these add-ons feel like an afterthought. I guess that’s what they mean when they talk about fun and design.

Clean Diesel or a Hybrid?

Volkswagen will also be releasing a hybrid model in time for late Fall 2010 (the 2011 model year). I got the chance to test drive this work-in-progress through the city streets of beautiful downtown Florence. With many of the same mechanical marvels under the hood as the TDI (8-speed transmission, European steering, dynamic headlights, cameras, etc) and the same streamlined body, the Hybrid model will prove an excellent option for those skeptics who are still unwilling to go for diesel – as well as for those who simply believe hybrid technology is the way to go.

My personal recommendation is still on the clean diesel option because it’s readily available now, it’s a tried-and-true technology (consumers have been driving them in Europe and elsewhere for years), and it’s an excellent value that’s substantively better for the environment than any standard petrol SUV – 40% emissions reduction is buzz-worthy. At a time when so many auto manufacturers are showing up in congressional hearings, VW has already invested in a green manufacturing plant being built to the highest possible environmental standard that will bring good jobs to Tennessee. Mix that in with a fun vehicle that looks as good in the rolling hills of Tuscany as it does in the city streets of Florence and you’re looking at the newly redesigned, leaner, and greener VW Touareg TDI.

If you’re considering the options, consider these:

Classic, stylish, and practical

For the ultimate in classic bicycle simplicity, check out Bowery Lane bicycles ($599). The company offers a local, handmade bicycle at a very reasonable price — it’s worth mentioning here that this baby arrives at your door practically pre-assembled (lazier and safer!) and includes sustainable cork grips. The Bowery Laners also boast a hand-built, Made in the USA steel frame and signature wood box for a picnic, pair of sixers, or rain-gear. You can lock this beauty most anywhere due to the bolt-on wheels and seat post (no quick release means less chance of theft). Hold the paint, M’am, with the Raw finish that shows off the big brass welds through the clearcoat. Most shops will check your handiwork free of charge, just ask them to check that your handlebars, headset, and pedals are tight. Low gearing and alloy wheels keep you comfy on most terrain and be sure to ding-a-ling at passersby with a friendly, albeit toothy, grin.

Bicycle Scooters are like Rock-n-Roll

Think one part blues and one part country — this offers the goods from two very distinct worlds. The A2B ($2,500) is remarkable. Old bicycle-scooter combos — and electric bicycles — were notoriously terrible, heavy, and prone to breakdown. Thankfully, that’s old news. The A2B has a super-lite lithium ion battery (think laptop) that plugs right into the wall and goes 20 miles per charge. You can extend that to 40 by purchasing a second battery (which are removable with a lock cylinder) or using your peds to pedal like a regular bicycle. Super-tough tires are both flat-resistant and long lasting. Full suspension rides like a D-R-E-A-M.

Folding bicycles make the Jetsons look like the Flintstones

Live in a city where you might want to hop on a bus, train, or (cough) taxi if the weather or circumstances dictate? No problemo. If you’re worried about the occasional theft (attention urbanites), this takes care of that too since you can probably fit ‘er folded up under your desk if you had to. The Dahon Eco 3 ($379) has just the right balance of gears, weight, simplicity, performance, comfort and gadgetry to fold up in 15 seconds or less.

With all these options, we recommend picking up a helmet, lock, rain gear, and a supplemental rear flasher (blinking red light that saves your life from cars, buses, and trucks that can’t see you).

PR: wait… I: wait… L: wait… LD: wait… I: wait… wait… Rank: wait… Traffic: wait… Price: wait… C: wait…

Driving down the Autobahn at 120mph is fun no matter what, but doing it in a 2010 VW Golf TDI clean diesel technology prototype makes me a truly inspired driver. The dialed European suspension handles as fluidly at 120mph as it does at 30mph (not that we recommend breaking any speed limits but there are none on the Autobahn).

Passing through countless villages while carving up the German countryside in a clean diesel engine makes passing all those wind-farms (clusters of giant wind energy turbines that look like robotic windmills) feel more like a pleasure cruise through a clean technology futureland than a press event — so much so that me and my fellow journalist/go-to driving partner/guy who took the picture, Big Dan Barna, accidentally got lost in four-wheel euphoria and completely missed the afternoon session at the track. That’s cool, I’ll let the real car guys take my turn there, because I’m much more inspired by the forthcoming 2010 Golf TDI than anything that whips around a track — besides, I’m doing 120mph on zee Autobahn, what more could I want?

With all do respect to the techies (particularly the green techies) of the world, here’s the skinny from VW representative Thomas E. Wegehaupt:

What makes these diesel engines clean diesel? How are they different from traditional diesel engines with regard to sustainability?

Our current 2.0 liter clean diesel TDI engine is very different from its predecessors.  Perhaps the largest and most important change is the addition of a Common Rail injection system with Piezo fuel injectors.  This system allows for an extremely efficient combustion process that results in a quieter engine, improved mileage, and cleaner exhaust leaving the combustion process which equates to cleaner emissions down the line.

The exhaust system of the 2.0L TDI engine is also very different from previous engines and contains, among other things, a Diesel Particulate Filter, NOx Reduction Catalytic Converter and Sulfur Catalytic converter.

Between the new common rail injection system and the advanced exhaust system, our clean diesel TDI’s meet the most stringent emissions standards of California and all 50 states…all without compromising driving dynamics.

How did VW arrive at the decision to back diesel as opposed to other clean fuel technologies?

Volkswagen believes very strongly that today’s clean diesel technology is the best fuel alternative technology that is currently available in the marketplace today because of the many benefits that today’s clean diesel technology provides, such as:

· Provides more than 30 percent better fuel efficiency.

· Approximately 25 percent less greenhouse gas emissions than a comparable gasoline engine.

· Our current clean diesel technology eliminates 98% of particulate emissions.

· Less foreign oil imports:  EPA research has concluded that if diesels were to power one third of all light duty vehicles in the U.S., the shift would save approximately 1.4 million barrels of oil a day—equal to the daily shipments from Saudi Arabia to the U.S.

· Convenience factor: Higher mileage equals fewer stops to fill up.

· Longevity: Diesel engines are known for longevity and their fantastic resale value.

However, Volkswagen is not placing all of its eggs in one basket. We believe that there will be a more diverse range of propulsion technology and fuel combinations in the future, and Volkswagen is leading the way with important developments across the range.   We are currently working on and developing battery electric vehicle technology, plug-in hybrid technology, hydrogen fuel cell technology, bio-fuels, and other exciting new technologies that will power tomorrow’s vehicles.   We are not betting solely on any one technology for future vehicle propulsion, rather we are working on numerous technologies that will benefit future generations of consumers.

Does VW have any statistics that show the benefits to the driver (i.e. how much a driver can expect to save on fuel in the next 1-5 years driving this car) and the environment (i.e. any additional environmental benefits besides the fuel efficiency)?

This varies too much on the driving style of the individual, but we do know that diesel engines attain more than a 30 percent better fuel economy compared to a similar gasoline engine, and they emit about 25 percent less harmful greenhouse gas than gasoline engines.  Here is something I found online though:

“According to EPA (www.fueleconomy.gov) a single comparison between the diesel and gasoline versions of the Volkswagen Jetta demonstrate that the diesel model would travel 36 percent more miles on a tank of fuel and save $321 annually on fuel costs, while using nearly two fewer barrels of oil and admitting one less ton of Green House Gas emissions each year.” source: Diesel technology Forum

Our clean diesel TDI models also qualify for an Advanced Lean Burn Motor Vehicle Federal Income Tax Credit.  $1,300 on the Jetta TDI, $1,700 for the Golf TDI, and $1,150 for the Touareg TDI.

It sounds like the 2010 Golf is compliant with Europe’s proposed environmental standard? Does that mean that VW is launching a more sustainable car in the US than is currently available in Europe?

Vehicle currently meets all Tier II emission standards and we fully expect that we will meet the new emission standards of Government of 39.5 mpg by 2016 and all of the emissions standards that are part of it.

What is the single most important idea that you’d like to share with Lazy Environmentalists?

As I said above, the Volkswagen Group firmly believes that clean diesel technology represents the best alternative fuel vehicle choice today based on the existing infrastructure.  However, this does not mean that we are only concentrating on this one technology.  We believe there will be a more diverse range of propulsion technology and fuel combinations in the future, and consumers can be sure that the Volkswagen Group is leading the charge with important developments across the range.  Everything from battery electric, and plug in hybrids to advanced zero emission high temperature fuel cell vehicles.  Our goal is simple…to make a cleaner, greener world to live in while using our natural resources more efficiently and wisely.

Sounds good, Thomas. The clean diesel technology is a giant leap in the right direction that crushes anything that Flex Fuel was ever going to (ahem) accomplish. Meanwhile, check out the interior on the forthcoming 2010 Golf TDI. I haven’t seen too many sub $25,000 cars with a cockpit like that. And it’s a good thing because it’s that sunny-sweet, low-to-the-ground, high-torque-at-low-RPMs driving that keeps you pressed back in the seat cheesing “Guttentag” through a toothy grin and singing along with German radio stations.

PR: wait… I: wait… L: wait… LD: wait… I: wait… wait… Rank: wait… Traffic: wait… Price: wait… C: wait…

Why Buy A Moped?
Sure, a motorcycle is bigger, faster, and more impressive.  And scooters are certainly more polished, more of a “buy it and ride it” proposition.  But mopeds have a lot more character, they’re dirt cheap, you probably won’t need a new license or registration to make it street legal, and they average100 miles per gallon.

If you’re still searching for the fun-factor, here it is: You can slam it around town in full throttle and never get a speeding ticket.  You can toss it around corners, and push it to the limit without seeming too reckless.  In short, it’s the difference between dancing with a 100 pound partner versus a 400 pound partner – What’s that joke again?

Bigger wheels improve the ride, when compared to most scooters. With step through mopeds, they often have the same shopping bag hangers and practical touches that make scooters popular-ish.  They benefit from a lean profile, so they land on handlebars and pedals instead of expensive plastic or metal when they fall over (or get kicked over by a loving but inebriated young neighbor).  Note: you can park almost anywhere.

The aftermarket is strong for enthusiasts
Enthusiasts love them because they’re easy to work on.  Go ahead, “throw a kit.”  They’re fun to ride in packs.  Unlike the motorcycle world, nobody is likely to have an overwhelming mechanical advantage. That means setting up a course and racing the rest of the crew is more about skill than standing atop a big wallet.

If you want a tuned pipe, there’s probably one that’s available for your model. If you want a new intake manifold, a fancier drive pully, improved cylinder that’s water-cooled, a frame brace, pegs to replace the standard pedals, an adjustable clutch, or over-the-top racing crankcases, you can do that too.  Of course, that’s all completely unnecessary and way beyond the Lazy Environmentalist definition of moped ownership but we too can imagine the comedic value of drowning out the Harley next to you with the loud straight pipe you just installed on that little 39 cubic centimeter engine.

Engine Size
The main reason that people want the smaller engines, 39cc and below, is to meet regulations – mopeds regulations vary by state.  The little guys typically max out at 35mph.  The primary concerns: Do I have to register my moped or get a motorcycle license?  The answers are often no and no.

New vs. Used vs. Vintage
The major player in the US for new mopeds is Tomos. Tomos makes six different models, ranging from $1,100 to $1,700. Each gets 100 mpg and is built on the same basic platform: a 49cc two-stroke engine that’s air-cooled and starts with a swift kick, lawnmower-style!

With regard to the Used market, keep in mind that the last moped boom in this country was during the oil crisis in the 70’s, so there’s a bit of vintage in every used moped you’ll likely shop.  The Puchs and Motorinis have more readily available spare parts than the Jawas.  Honda made a lot of small bikes, many of which legally qualify as mopeds depending on state law.  Make sure you get the title, no matter what.

If you’re a vintage aficionado, the original American moped was the Whizzer.  If you’re more of a vintage-inspired type (with performance that’s inline with the look), you might check out a cafe-style moped, which look way cooler and ride way better than the lame-o name suggests.

Years ago, when the peaking SUV trend prompted a backlash from an increasingly eco-conscious public and automakers responded by making lots of cuddly promises about the greener, cleaner cars to come, many skeptical environmentalists assumed that they were just kidding. And, of course, many of them were. But the last couple of years have indeed seen a remarkable upswing in both the affordability and desirability of green vehicles as all of that R&D starts to pay off for those firms that were serious about developing the best hybrid car.

Among those firms is Honda, which seems to have scored a hit with the 2010 Insight, itself a reincarnation of the original Insight that the company offered from 2000 to 2006. With a suggested retail price of about $20,000 for its LX model, Honda’s latest take on the hybrid is the most affordable of its kind to date, comparing favorably in terms of price even with many lesser, gas-exclusive cars. It’s also the cleanest mass market vehicle available in the U.S., with mileage recorded at 40 city and 43 highway. And it doesn’t skimp on the little extras, either; the unique LED brake lights are widely touted on Honda’s website for providing “maximum illumination,” which one must admit is the best kind of illumination for a light to provide.

The biggest single boost to the new Insight’s green viability comes by way of the company’s integrated motor assist system, which works with the gasoline engine to provide electric power at optimal moments for, um, optimal efficiency. The Insight also makes use of an unusual feature called Eco Assist which tracks driver perfomance throughout a given ride in order to provide instant feedback regarding whether or not the driver in question is doing all of that driving in an energy-efficient manner; when the trip is over, the display provides an “Eco Score” rating the driver’s performance. If there’s a better way to get car owners with competitive personalities to slow down, we haven’t heard of it.

See a comprehensive list of The Lazy E’s recommended green vehicles

Lazy E team member Margaret recently tested out the new Volkswagen Jetta TDI. Here are her thoughts.

The Volkswagen Jetta TDI reminds me of a good salsa dance partner; it grips but doesn’t cling to the road, it accelerates on demand and without hesitation, and is a thrill of a ride. To be fair, I was driving the clean diesel TDI across the Golden Gate Bridge and into Napa Valley on an exquisite afternoon so, really, how bad could it have been?

This nimble car is being marketed by Volkswagen as another solution in a broader transportation alternative portfolio. On average, a diesel engine goes 30% further on a gallon of fuel than a gasoline-powered car and the math checks out for the Jetta TDI; it gets 34 mpg in the city and 44 mpg on the highway, according to independent testing by the AMCI. One feature that helps encourage efficient driving is an energy monitor located directly in front of the driver on the dashboard (as opposed to the Prius in which the monitor is placed less conveniently to the driver’s right by the radio). At one point, with my foot off the accelerator I was getting 102 mpg. Then I abruptly jabbed the pedal which immediately reduced the fuel efficiency to 22 mpg. This alone made me reconsider my driving techniques and challenged me to get better gas mileage as I drove. Apparently, some people do this for a living. Just last month, Australian husband and wife team John and Helen Taylor family broke the Guinness Book of World Records driving 2,753 miles through 24 states averaging 58 miles per gallon, in the Jetta TDI.

Two main concerns with diesel have been that it’s dirty and that it lacks pick-up. But neither argument holds up with the Jetta TDI, which uses low-sulfur, “clean diesel,” and delivers pick-up good enough for the 30 drag racers competing in the TDI Racing Cup. Moreover, price-wise this car can’t be beat. The Jetta TDI starts at just $21,990, plus a recent law gives a federal tax rebate of $1,300 to diesel car owners.

In the past, a major eco-advantage of Volkswagen diesel cars was the easy ability to convert the engine to biodiesel. Unfortunately, in 2006 VW eliminated that capability to enhance performance. Though I was bummed about that, I was assured that the company is working on several biodiesel-compatible prototypes. Now those are the cars I really want to test. Oh, and in Napa.

Earlier this week I had a chance to meet with the co-founders of E-Fuel, a company with a paradigm shifting product that could change the way we think about fueling our cars. It