President Bush said it best: America is addicted to oil. And more than half of our oil comes from foreign sources, so the sooner we can kick the habit, the better.
Automakers, including some pretty small, low-profile ones, are revving up alternatives that don't need gasoline -- or at least not much. And they're moving beyond hybrids, building cars that run on diesel, ethanol blends (E85), natural gas and electricity. You can learn more about these technologies and their costs by reading Who Needs Gas Engines? in the October issue of Kiplinger's Personal Finance. Meanwhile, take a look at these seven alternative-energy vehicles that are currently available or soon will be.

By Mark Solhiem

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NO-GAS AND LOW-GAS CARS

Powered by: Diesel fuel
MSRP: $52,325
Fuel economy: 27 mpg city/37 mpg highway
The restyled 2007 Mercedes-Benz E Class gets a more environmentally friendly clean-diesel engine to go along with exterior and interior tweaks. The E320 Bluetec has a 3.0-liter V6 turbodiesel engine that gets 40% better fuel economy than the gas-engine E350. With the changeover to ultra-low-sulfur diesel fuel, available throughout the U.S. by October, the Bluetec system can use filters to reduce particulates (soot) and treatments to reduce smog-forming nitrogen oxides from emissions. Initially available in only 45 states, the new technology should eventually allow the E320 Bluetec to meet emission standards in California and the four northeastern states where diesels cannot currently be sold.

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Mercedes-Benz E320 Bluetec

Powered by: Diesel fuel
MSRP: $35,000 (est.)
Fuel economy: 19 mpg city/23 mpg highway
Jeep is taking advantage of technology from sister carmaker Mercedes-Benz to add a diesel powertrain to the Grand Cherokee. The 3-liter engine produces 215 horsepower, only as much as Jeep's 3.7-liter gasoline six-cylinder engine. But its 376 foot-pounds of torque, which is a measure of power for low-speed acceleration and towing, is about the same as for the 5.7-liter gasoline V8. Fuel economy in the diesel is only incrementally better than that of the base, 3.7-liter gasoline model. The new Grand Cherokee diesel arrives at dealerships early in 2007.

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Jeep Grand Cherokee

Powered by: Ethanol/gasoline blend (E85)
MSRP: $34,190
Fuel economy: 12 mpg city/16 mpg highway
Detroit builds a number of flex-fuel SUV and truck models, plus a few sedans, that can fill up with the 85% ethanol/15% gasoline blend known as E85. Unfortunately, E85 doesn't provide as much energy as gasoline, so you need more of it to go the same distance. For example, with the flex-fuel Tahoe, the cost to drive 100 miles using E85 is about $2 more than when you use gasoline -- even when E85 is 40 cents a gallon cheaper than gasoline. On the plus side, E85 has a higher octane than gasoline and produces less carbon dioxide, one of the greenhouse gases linked to global warming.

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Chevy Tahoe

Powered by: E85
MSRP: $30,425
Fuel economy: 14 mpg city/18 mpg highway
When the choice is between premium gasoline and E85, the cost spread increases to about 60 cents a gallon. Even so, filling up the premium-gas 2007 C230 with E85 costs about $1.28 more for every 100 miles you drive. But if you drive a typical 15,000 miles a year, that's less than $200 annually.

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Mercedes-Benz C230

Powered by: Natural gas
MSRP: $25,035
Fuel economy: 28 mpg city/39 mpg highway (equivalent)
Based on recent fuel prices, the cost to drive the natural gas Civic is less than half that of the gasoline Civic. And the Civic GX is the cleanest internal-combustion vehicle on the road. A few caveats: It's available only in California and New York (check www.honda.com to locate dealers) and costs $6,900 more than the Civic LX. Plus you'll have to buy or lease a natural-gas dispenser for your garage, which costs $3,200 (you may be able to lease it for between $40 and $70 a month). On the plus side, most buyers are eligible for tax credits of up to $5,000.

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Honda Civic GX

Powered by: Electricity
MSRP: $8,995
Fuel economy: $1 per 100 miles
The diminutive, four-seater GEM e4, from Global Electric Motorcars, belongs to a category of vehicles known as NEVs, or neighborhood electric vehicles. Speed tops out at about 25 mph, so it can travel only on roads with posted speeds of 35 mph or less. You recharge it every 30 miles or so by plugging it into a 120-volt wall socket.

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GEM e4

Powered by: Electricity
MSRP: $100,000
Fuel economy: 135 mpg (equivalent)
Tesla Motors is taking orders at its Web site for its highway-worthy, wicked-quick roadster. Built by Lotus in Great Britain, the company says the car can hit more than 130 mph and go 250 miles before it needs recharging.

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Tesla Roadster