GM pulls the plug on its EV1 electric coupe

General Motors has decided to stop making its pioneering EV1 battery-powered sportscar, launched in 1996. The company says interest from potential customers is declining - last year it leased just 137 of the vehicles, bringing to the total number sold to around 600.

The EV1, which cost $350m to develop, originally had a range of 80 miles, severely restricting its appeal. Although the range was extended by using more advanced batteries, sales did not improve.

GM plans to shift its efforts from all-electric cars to vehicles powered by hybrid fuel-electric systems and fuel cells. It is working with Toyota on hybrid systems and last month unveiled a fuel cell concept car with a range of 500 miles, a top speed of more than 120 mph, acceleration to 60mph in 9s, and an efficiency equivalent to 108mpg.

GM says that this car could go on sale by 2004. GM`s arch-rival, Ford, plans to start selling a family-size hybrid electric vehicle in the US by 2003. The three-phase AC motor will assist the vehicle`s internal combustion engine when extra power is needed.

Ford expects the hybrid drive to add around $3,000 to the cost of the car but this could be offset by proposed tax incentive in the US. Honda, meanwhile, has announced plans to start selling fuel-cell-powered vehicles by 2003.