Grabbing a propane-run taxi is nothing unusual in Tokyo, but you need to be lucky to catch a hybrid taxi. Soon, you may have a much better chance of grabbing hybrids anywhere in Tokyo, and other major cities in Japan.
Recently, I was one of the fortunate few to catch a ride in Toyota's best-selling hybrid, the Prius. My driver excitedly told me about his three-month long experience with the new vehicle. Hybrid cars are no longer part of tomorrow's world here, and they are already helping slash demand for gasoline across Japan.
During my 10-minute ride, the driver kept talking about how efficiently the car runs, with gasoline consumption of easily more than 30 km/liter -- including frequent stops by traffic lights. He told me it was more comfortable and less tiring to drive (his shifts last about 15 hours each time). The car is apparently easier on his body, thanks to the more subtle vibrations from the hybrid engine.
I was not surprised to hear praise from the driver, as the Prius has been Japan's No. 1 best selling car in of any type in monthly sales since May. But I was more surprised when he said: "Now we can drive to the Narita Airport [the main international airport in suburban Tokyo] three or four times from Tokyo without refilling gasoline." It is roughly about 100 km between the central Tokyo to the Narita Airport.
The driver claimed hybrid cars will account for most of the next generation of taxis in Japan, and said his company is considering turning all of its vehicles into the hybrids when the time comes for substitution.
I called up the driver's company for an official confirmation, but a company official said: "We have not announced anything," declining to elaborate. However, it is clear that something is going on, announced or not. The company has fielded a growing number of hybrid vehicles in the past four years.
The driver's company, which is one of the largest taxi companies in Tokyo, already has a total of 130 hybrid taxis, or roughly 8% of its total of 1,700 vehicles in Tokyo, the official said. The company introduced hybrid taxis in 2005.
According to the Ministry of Land, Infrastructure, Transport and Tourism, there were roughly 59,000 taxis in Tokyo, representing roughly 22% of 270,000 taxis in Japan as of March 31, 2008.
Taxi companies in Japan typically replace their vehicles every four to five years, but a majority of substitutions could still lean heavily towards traditional propane-run vehicles for the immediate future, some industry sources predict.
In any event, hybrid cars look likely to proliferate for general use in Japan over the next decade. With people here tired of constant oil-price hikes, the expansion will likely speed up the destruction of gasoline demand.
According to a recent study compiled by the Ministry of Economy, Trade and Industry, Japan's gasoline demand is forecast to drop to 48.86 million kiloliters (841,972 b/d) in 2013, down 15.2% from 57.65 million kl in 2008.
The forecast is based on hybrid cars sales of around 350,000 units in 2013, seven times higher that the 50,000 vehicles sold in 2008, a source said.
A local analyst forecasts Japan's gasoline demand could drop to 38.76 million kl or lower in 2020 due mainly to the anticipated use of hybrid cars in Japan.

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