California Governor Arnold Schwarzenegger and MichiganGovernor Jennifer Granholm kicked off the 2009 Society of Automotive Engineers (SAE)Congress this morning by driving home the need for alternative fuel vehicletechnologies and promising that government would work harder to support theirdevelopment.

Schwarzeneggerrepeatedly told the overflow crowd at Detroit'sCobo Hall that the move toward alternative fuels has lagged, largely becauseindustry engineers and lawmakers haven't been committed enough to transitioningaway from gasoline.

"The wholething is going way too slow," Schwarzenegger told the audience, which wascomposed mostly of auto industry engineers. "It's largely due to the (government)policies ... but I think the car manufacturers themselves have been verystubborn in not moving fast enough because it's easy to stay with the statusquo."

Schwarzenegger added that theindustry needs to work on "zero-emission vehicles" (pure electric cars), inaddition to hybrids and so-called plug-in hybrids, such as the proposed ChevyVolt. "It will be good for the environment, good for the economy," he said.

Asked a question about the cost ofsuch technologies, Schwarzenegger compared battery and hydrogen technology carsto cell phones, which have dramatically dropped in price over the past twodecades because of customer demand. "Now, in Third Worldcountries, there are people running around with cell phones," he said. TheCalifornia governor also told the audience that in 1920, 28 percent of U.S.vehicles were electric, and he said that industry took the wrong fork in theroad back then by going to gasoline "largely because the policy wasn't there"to push it in the right direction.

Schwarzenegger's comments wereechoed by Granholm. "We are not going to be Luddites," Granhold declared. "Weare not going to be resistant to change." Granholm added that the state of Michigan is investing insix "centers of excellence" dedicated to developing alternative fueltechnologies. Four of the centers are working on biofuels, including cellulosicethanol, and two are creating battery solutions for electric cars. Michigan, she said, is also helping foster partnershipsbetween Detroitautomakers and battery manufacturers, including LGChem, A123 Systems and Dow Chemical, among others.

Granholm acknowledged that theresearch and development required to make such technological jumps would be financiallydifficult, especially in today's economic climate. She said; however, thatgovernment's push toward a renewable energy economy is necessary and she referredto the Obama administration's handling of Detroitautomakers as "tough love."

Schwarzenegger's appearance at theSAE World Congress was seemingly welcomed by the crowd, despite his well-publicizedprevious comments that Detroit"needs to get off its butt." Show attendees arrived early for Schwarzenegger'sspeech, filling the Cobo Hall Theater and standing in the aisles of the tradeshow, where many snapped pictures with their camera phones while the California governoranswered questions. The Schwarzenegger was invited by SAE to support theconference theme, "Racing to Green Mobility."

Schwarzenegger told the engineeringaudience he is a big fan of Detroit,explaining that he owns 12 cars, including a hydrogen-powered Hummer. He addedthat he hopes Detroitautomakers will work more closely with government as a means of fosteringinnovation and putting the industry back on its feet. "Yes, they are down," hesaid of domestic automakers. "But there is one thing that is certain:  They're going to be back. The car industry issaying, ‘I'll be back.'"

Schwarzenegger: Move to Alternative Fuels Too Slow A