Toyota, Maruti Launch Marketing Drive for Hybrids in Key Indian State

Toyota's logo is seen in their exhibition stall at Bharat Mobility Global Expo organised by India's commerce ministry at Pragati Maidan in New Delhi, India, February 1, 2024. REUTERS/Anushree Fadnavis/File Photo Purchase Licensing Rights
Toyota's logo is seen in their exhibition stall at Bharat Mobility Global Expo organised by India's commerce ministry at Pragati Maidan in New Delhi, India, February 1, 2024. REUTERS/Anushree Fadnavis/File Photo Purchase Licensing Rights
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Toyota, Maruti Launch Marketing Drive for Hybrids in Key Indian State

Toyota's logo is seen in their exhibition stall at Bharat Mobility Global Expo organised by India's commerce ministry at Pragati Maidan in New Delhi, India, February 1, 2024. REUTERS/Anushree Fadnavis/File Photo Purchase Licensing Rights
Toyota's logo is seen in their exhibition stall at Bharat Mobility Global Expo organised by India's commerce ministry at Pragati Maidan in New Delhi, India, February 1, 2024. REUTERS/Anushree Fadnavis/File Photo Purchase Licensing Rights

From Instagram ads to telesales, Japanese automakers Toyota and Maruti Suzuki are going all out to market their hybrid cars in the most populous Indian state of Uttar Pradesh, aiming to cash in on tax waivers that upset many of their rivals.

The waivers have split India's auto industry, with Tata Motors, Mahindra and Mahindra and Hyundai arguing their sales of pure electric cars will suffer. Their lobbying to reverse the July decision failed last month and they now fear other states might follow suit, Reuters reported

At the Sunny Toyota showroom in Uttar Pradesh's capital of Lucknow, salespeople have been tasked to call customers who visited in the last six months to tell them about the benefits of hybrid tax waivers that will help them save $15,800 on the luxury Toyota Vellfire model and $5,200 on its Camry sedan.

"Save big .... Order now and get your hybrid vehicle delivered right at your doorstep," said an Instagram ad by the dealer.

The campaign comes after a rare lobbying win by Toyota to get the state - which accounts for a tenth of India's car sales - to allow tax waivers on sale of hybrid cars, leading to roughly 10% in savings.

India imposes a federal tax of 5% on EVs while hybrids are taxed at 43%, just below the 48% for gasoline cars, but state taxes are extra and determined by local governments.

Toyota has globally focused more on hybrids - which combine gasoline engines and batteries - than EVs. That strategy could pay off as worries about charging infrastructure and high prices curb demand for EVs globally, while sales of hybrids pick up.

In Uttar Pradesh, six salespeople for Toyota and Maruti Suzuki - which also supports the waivers - said hybrid enquires were rising and they had been asked by the companies to increase sales.

"We have been asked to sell a minimum of 250 cars in a month. There is a lot of pressure. We are trying to shift all sales to hybrids," a Maruti salesperson said.

Toyota did not respond to a request for comment.

Rahul Bharti, executive director for corporate affairs at Maruti, said its showroom enquiries had "nearly doubled since the benefits have been effected" for hybrids.

Online and WhatsApp ads reviewed by Reuters show dealerships are using taglines including: "Enjoy the nil road tax offer" and "Say Good Bye to Diesel".

At the Sunny Toyota dealership which Reuters visited, salespeople were discussing approaching all customers who were keen to buy gasoline or diesel variants and might now be tempted to buy more expensive hybrid cars given the tax waiver.

Some dealers are advising customers to move quickly.

"No one knows how long the scheme would run," said Praveen Saxena, a sales manager at a Toyota showroom in Kanpur city in the state, adding his hybrid car sales rose 50% after the tax waivers.

K.S. Dhatwalia, a former Indian government official, chose to buy a new Toyota hybrid Hyryder, partly because of tax benefits.

"Hybrids are less polluting and there was an additional tax saving too," he said.



AI Enhances Flood Warnings but Cannot Erase Risk of Disaster

A view shows a flooded schoolyard in Bamako, Mali, September 23, 2024. (Reuters)
A view shows a flooded schoolyard in Bamako, Mali, September 23, 2024. (Reuters)
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AI Enhances Flood Warnings but Cannot Erase Risk of Disaster

A view shows a flooded schoolyard in Bamako, Mali, September 23, 2024. (Reuters)
A view shows a flooded schoolyard in Bamako, Mali, September 23, 2024. (Reuters)

When floods ripped through parts of Europe in September, the scale of the destruction took people by surprise. The intense rains should not have, because those had been predicted by sophisticated forecasting systems enhanced with artificial intelligence.

But forewarned did not mean forearmed. Though the rains were accurately predicted, the effects in the deluged areas were not - a fact that highlights the difficulties of dealing with ever more common extreme weather.

AI has supercharged weather forecasting, using a range of statistical tools to analyze years of historical data and predict patterns, and at a lower cost than traditional numerical weather predictions.

AI technology can create more specific predictions ahead of events such as urban flooding or in complex terrain such as mountainous areas.

For example, Google-funded GraphCast, a machine learning–based method trained directly from reanalysis data, was found to outperform traditional models. Reanalysis data relies on past forecasts rerun with modern forecasting models to provide the most complete picture of past weather and climate.

But there are still gaps in knowledge, in how the information is used and in investment to strengthen data gathering models, experts say.

"In some cases and for some variables, AI models can beat physics-based models, but in other cases vice versa," said Andrew Charlton-Perez, professor of meteorology at the University of Reading in the UK.

One issue is that the effectiveness of an AI model is only as good as the information it is fed. If there is little input data, or extreme events happen more frequently at different times of the year or in different regions, weather disasters become more challenging to predict.

"A good use of the AI-based weather forecasts would be to complement and enhance our forecasting toolbox, perhaps by allowing us to produce larger ensembles of forecasts that enable accurate assessment and interpretation of the likelihood of extreme events," Charlton-Perez added.

COMMUNICATION IS KEY

Since January, the European Center for Medium-Range Weather Forecasts (ECMWF), an independent organization that provides predictions four times per day to European countries, has been using the Artificial Intelligence/Integrated Forecasting System (AIFS).

This data-driven forecasting model makes multiple predictions rapidly and delivers long-term forecasts of weather events like cyclones and heatwaves.

The ECMWF readings ahead of the September floods were accurate, experts say.

Thomas Wostal, press officer for meteorological observatory GeoSphere Austria, told Context/the Thomson Reuters Foundation that their numerical models - including the ECMWF's predictions - foresaw 300-400 millimeters (11.8-15.7 inches) of rain locally, which came to pass.

But even with accurate forecasts, scientists say communication is key, especially in an era when climate change means extreme weather is becoming more frequent.

"I think what happened with (the recent floods) ... is that it's so rare - a one in 150- to 200-year event - that even if the weather models capture it, there's a reasonable degree of uncertainty," said Shruti Nath, a postdoctoral research assistant in predicting weather and climate at Oxford University.

"You have to produce the warning in a way that is communicative, in the degree of severity it could possibly have on people, then people could see the cost of inaction versus the cost of action is actually much greater. So then they would actually put (in) more resources," she said.

EUROPE BEHIND THE CURVE?

Europe faces urgent climate risks that are outpacing policies and adaptation actions, a report from the European Environment Agency has warned.

Extreme heat, drought, wildfires and flooding will worsen in Europe even under optimistic global warming scenarios and affect living conditions throughout the continent, the EEA says.

After the floods, the European commissioner for crisis management, Janez Lenarčič, said the disaster was not an anomaly.

"These extreme weather events that used to be once in a lifetime are now an almost annual occurrence. The global reality of climate breakdown has moved into the everyday lives of Europeans," he said.

Some tech entrepreneurs say Europe is not ready.

Jonas Torland, co-founder of Norway-based 7Analytics, which develops models for predicting floods and landslides, said governments and businesses in the United States had risk managers who were more accustomed to assessing environmental hazards, while in Europe, authorities lacked readiness.

"We often see substantial expenditures with minimal data support for informed decision-making", Torland, whose models are used in the cities of Oslo, Bergen and Kristiansand, told the Thomson Reuters Foundation.

"While AI is a crucial component of these models, unfortunately, governments are not investing in or purchasing these advanced AI solutions," he said adding that he believed governments "stick to their old data providers and consultants.”

Data processing is also a challenge because these complex AI models need to run updates every hour as forecasts change.

That requires both a lot of computing power, and a lot of time - especially at more minute scales.

A 1-by-1 meter grid, which 7Analytics uses for its predictions, is 100 times more detailed than a 10-by-10 meter grid, but requires more than 100 times as long to process.

High computing power also means huge amounts of energy and water are needed, which makes AI models part of the problem because they are adding to the planet-heating emissions driving the climate emergency.

Some big technology companies, like Microsoft and Google, are exploring the use of nuclear power to run their huge data storage centers.

Other scientists stress that beyond refining their forecasting abilities, authorities need to invest in physical solutions, like developing areas where floodwater can safely be stored, and early warning systems.

They also need to minimize development in flood-prone areas, given the likelihood of more intense climate change-driven floods, and meet their commitments to limit emissions.

"It's not a question of data or technology or knowledge. It's a question of implementation, political will," Friederike Otto, a senior lecturer at Imperial College in London, said in an email response to questions.

"As long as the world burns fossil fuels, the root cause of climate change, extreme weather events will continue to intensify, killing people and destroying homes. To curb this trend, we need to replace oil, gas and coal with renewable energy."