I first saw the Air Car on the Discovery Channel documentary. (YouTube.com video below). A small strange acting European was touting vehicles run on high pressure air as a solution to all of our problems. I immediately dismissed this idea as quackery with little chance of commercial viability. Now, I am happy to say that I was wrong. Luxembourg based MDI seems to have made great progress on the concept car. The CityCAT model it is scheduled to roll out in India in August of 2008. The manufacturer, Tata Motors, is a division of one of India’s largest corporations. Manufacturing has already begun.

The CityCAT will provide welcome relief for the overly polluted city centers of India. The car runs off of air stored in carbon fiber tanks under the car. The air is stored above 4,000 p.s.i, which could be dangerous in regular steel tanks. However, due to the nature and strength of carbon fiber, there is almost no chance of harmful explosion or of a tank turning into an unguided missile.

It is estimated that a fill up will run the car for over 125 miles at a speed of almost 70 MPH. A fill up will take less than 10 minutes and cost less than $2.00. So, one dollar will run this vehicle 62.5 miles. At $3 a gallon, even a Prius will only get you about 15 miles per dollar. A fill up does require special equipment, so it cannot be filled off of any gas station compressor. However, it does have an onboard compressor which can be run off of grid electricity. Filling it up from an electric outlet will take around four hours.

Unlike steam engines on old locomotives, the engines on Air Cars will be piston based in two, four, or six cylinder models. In traditional engines, fuel is exploded to drive pistons to turn the crank shaft. These engines need to be capable of tolerating heat and pressure. Heavy steel is required, adding weight to the vehicle. Air Cars will still need an engine that handles heat and pressure, but it will not be to the degree required for traditional engines. Thus, weight can be reduced and there has been talk about aluminum engine blocks.

The current engine design was completed in early 2002. It is a unique design of a very versatile engine which also acts as the compressor, starting motor, alternator, and brake. Combining all these functions into one mechanism further reduces weight.

The car is not an eye soar. It looks reminiscent of the European Smart car with about the same storage capacity and slightly less horsepower. The two seat vehicle will be a welcomed change and perhaps the harbinger of a transportation revolution. I look forward to buying a few shares if they ever IPO.