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Which might make one wonder: Why is Subaru not the Subaru of EVs?

When the Rivian R3 rolled onto the stage in Orange County, car fans saw a flicker of the past. The truncated EV reminded automotive Twitter and Threads of throwback off-road hatchbacks with unusual shapes — the Lancia Delta, AMC Gremlin, Lada Niva, and even the maligned Yugo. It reminded me, in spirit more than silhouette, of the Subaru Outback from a quarter-century ago.
Remember the old Outback? Before it blew up and became just another crossover in a sea of indistinguishable cars, the Outback was a two-tone granola wagon with lesbian cred and font stylings borrowed from Raiders of the Lost Ark. It was a cobbled-together quirky legend built for specific tribes, particularly those who wanted to traverse the craggy roads and highways of America’s backcountry. Its sluggish acceleration couldn’t compare with a futuristic torque monster like the R3 will be, yet it inspired a cult following among the road atlas generation of adventurers that Rivian hopes to duplicate in the age of massive touchscreens.
Even as its cars became more generic and ordinary in the 21st century, Subie kept its marketing efforts aimed at the outdoorsy, dog-loving folks who had become loyal to the brand. However, while its fans are the kind of people with a clear, vested interest in addressing climate change, the world’s “we love the parks” car company has dragged its toes on joining the electric vehicle revolution that hopes to slash the car industry’s carbon emissions. Subaru’s electric aversion left a giant hole in the market for an adventure EV, one that Rivian seeks to fill.
We’ve been hard on Toyota for coasting on the sustainability reputation of the Prius. The world’s largest automaker has been content to tout its “electrified” lineup of mostly hybrids and plug-in hybrids, waiting for EV technology and infrastructure to mature before it jumps in. Subaru, for all its exercises in Earth mother branding, has done the same.
To its credit, Subie made most of its cars follow “partial zero emissions” standards reflected by the PZEV badge you see on the back of a modern Forester. This means the engine burns normal gasoline, but is built with characteristics that reduce smog-forming air pollutants. PZEV tech does nothing to reduce a car’s greenhouse emissions, but it’s about the best a non-hybrid, plain-old combustion car can do.
But Subaru never bothered to build even a Prius-esque MPG-maximizer. And it has been even more reluctant than its partner, Toyota, to join the battery revolution. Subaru’s only entry, the now-canceled plug-in hybrid variant of the Crosstrek, posted a paltry 17 miles of electric range before reverting to gas. According to Green Car Reports, the hybrid Crosstrek was effectively a “compliance car” — something automakers build to satisfy stringent regulations like the state of California’s, not because they believe in the vehicle.
The Crosstrek PHEV can die because Subaru finally has an EV: the Solterra, built on the tech platform Subaru developed in cahoots with Toyota. It is the same car as Toyota’s debut EV, the bZ4x, but with Subaru badges. The Solterra’s angular looks surely will appeal to somebody, and the car will satisfy superfans’ desire for any fully electric Subaru. But the Solterra is an uninspired crossover with a 228-mile range that can’t compare with the current state of the art. It certainly hasn’t generated the reaction of the R3.
For those willing to ignore the climate crisis, the naked business case for ignoring zero-emission technology in the present is clear. Even as the EV age bubbles up around them, the least-electric car brands are selling lots and lots of cars. Americans bought more than 15 million vehicles in 2023, and 632,000 of them were Subarus, a 14% increase from the year before. Subaru didn’t lose money on EVs like Ford has as it tries to establish its battery business. With EVs now stuck between early adopters and the mainstream, it’s possible to make the case that the holdouts are cynical, but smart.
It’s also not easy to build an electric car that does what a Subaru is supposed to do. I’ve driven across the empty expanses of the American West in a two-wheel-drive Tesla Model 3 that started its life with an EPA-rated 240 miles per charge. It was challenging. Subzero temperatures at Bryce Canyon punished the battery. The craggy, icy road into Canyonlands National Park pushed the iffy ground clearance to its limit. The range was barely enough for us to tempt fate by leaving the interstate and crossing the rugged interior of Utah, a decision that saw me end up borrowing — you guessed it — a friendly stranger’s old Subaru Outback while my Tesla charged.
You’d want an small electric vehicle built for adventure to ride taller and go farther. Well, they built one. It’s a Rivian. The rally car-inspired R3 promises to pair fat tires and promising ground clearance with outdoorsy-minded details such as fold-flat seats, a movie-projecting rooftop tent, and a rear-mounted cargo box. The new Rivians should come with at least 300 miles of range, which ought to be enough to reach most far-flung locales as the map of fast-charging stations continues to fill in.
This isn’t to say Subie doomed itself by dithering. For all the excitement over Rivian’s new offerings, the R2 remains at least two years away from realization, and the little R3 even longer. Besides, Rivian’s biggest obstacle isn’t Subaru, but survival. The startup burns through billions of dollars each year and needs to persist on sales of its large, expensive R1 SUVs and trucks until the mass-market models go on sale.
In the meantime, Subaru could trot out a battery-powered Crosstrek and sell a bunch of them to people who’ve been buying fossil fuel Subies for decades. That looks like the plan: The brand now says it will launch a quartet of EV crossovers (possibly the current Crosstrek-Outback-Forester-Ascent lineup, but electric) by 2026, just in time to compete with the R2 and R3, and build 400,000 EVs per year by 2028.
Yet something has been lost. Every time Subaru trots out a new gas-burning vehicle on a stage meant to mimic the high desert or advertises its corporate contributions to the National Park system, it tries to reinforce its status as the car for the Earth-conscious. Stalling on EVs may have been the easy business decision, but the brand has given away excitement that it could have owned, if only they’d trotted out an EV with the spirit of that quirky old Outback.
Or do an Impreza hot hatch EV. As the response to the R3 demonstrated, we’re ready.
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Tales from a day of “thoughtful dialogues on energy, climate change, and human lives” on Day 3 of New York Climate Week.
“I’m here because I love thoughtful dialogues on energy, climate change, and human lives,” Energy Secretary Chris Wright told my colleague Robinson Meyer this afternoon. “That’s been a passion my whole life, and nothing will change that.”
It’s our passion too — and was a defining theme of Heatmap House on Wednesday at New York Climate Week, with 27 sessions across topics including clean energy development, U.S. climate policy, the future of mobility, climate tech, and reindustrialization. From Wright backpedaling on President Trump’s embrace of a diesel export ban to former Vice President Al Gore asserting that 2026 might mark “the positive tipping point on climate,” it was a full day of news, contrarian opinions, juicy predictions, and lots and lots of coffee (consumed by yours truly).
Early in the day, Carlos Araque, the CEO and co-founder of Quaise, an advanced geothermal company, started things off by addressing the elephant in the room: potentially imminent movement on permitting reform. “It’s always easy to be picky and want for more,” he acknowledged, although he added that “my ask has always been — as far back as 2018 — if you can do for geothermal what you do for oil as in terms of regulatory permitting exclusions, then you’re moving 90% of the way to the goal. So that’s happening — that’s slowly and surely happening.”
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New Jersey Governor Mikie Sherrill also spoke about permitting reform at a local scale. “You cannot simply say to people, ‘Sorry, your bills are just going to keep skyrocketing,’” she stressed. “That is not the answer, which is why we’ve acted so aggressively. I approved 18 solar and battery storage projects in the first six months [of my term]. We knew the federal credits were going to run out if we did not get that done, so that’s why we had to take on permitting reform right away to make sure we were growing that.”
And while Jane Flegal, the principal at Flegal Energy Advisors, didn’t have any secret insight into the potential deal, she broke down her predictions into three buckets: reforms to conventional environmental statutes such as the National Environmental Policy Act, the Clean Water Act, and the National Historic Preservation Act; transmission, “which, no one knows what’s in there, but we all know what was in the Manchin deal, and I think we can and should expect something at least that ambitious;” and permitting certainty, which would constrain executive power to cancel permits after they’ve been issued.
Chris Hayes, the host of All In with Chris Hayes on MS NOW and a former climate reporter, took the stage just after Gore, who marked the 20-year anniversary of his Academy Award-winning documentary An Inconvenient Truth. Like Gore, Hayes was in a reflective mood. “I think to some degree, we’re kind of moving forward in this understanding that all of us are implicated in the system that’s going to change very slowly over time,” he said, calling it one of the lessons of the past 20 years. “But I think there was a high-water mark of consumer activism that is sort of gone.”
Then, of course, there was Wright. The energy secretary — whom climate insiders have described to us as the biggest climate villain in the Trump administration after Trump himself — talked to Rob about as many fuels as they could cover. Wind: “There have been very spirited dialogues in the administration about this. I do believe a successful permitting reform thing changes the playing field for anything you want to build in this country, including wind.” Nuclear: “Our thing is just to try to get it back on its feet and get out of the way.” Natural gas: “Gas in my lifetime is going to be the American energy superpower for sure, but you never want all your eggs in one basket.” Batteries: “I’m all in.” And EVs: “Should we have the broader America subsidizing, you know, the habits of wealthy people? I don’t think we should.”
Electric vehicles also came up in our mobility session, of course, along with other forms of mobility including ferries, subways, and rail. “It’s not something we talk about very much in the U.S.,” Laura Fox, the co-founder and managing partner of Streetlife Ventures, told me, adding that “we have a really great rail freight network that is underutilized and that typically saves shippers 30% to 40% when they’re shipping goods in the current environment.” (Representative Mike Levin of California also shared that if he could only connect two places in his proposed giant high-performance rail system, “I’d like to see the line between Los Angeles and San Diego solidified.”)
The evening wrapped with a focus on reindustrialization. Tom Steyer, the co-executive chair of Galvanize Solutions, told us he’s doing fine after his unsuccessful bid for California governor. (Nothing a trip to Tahoe with the family couldn’t cure.) He also shared that the climate movement may have lessons for the modern movement opposing AI and data centers. The world’s richest companies can’t just “come in and take people’s water, especially at a time when people are so water insecure,” he stressed. “How could that possibly be right?”
AI — and water — also came up in conversation with Emilio Tenuta, the senior vice president and chief sustainability officer of Ecolab, which provides industrial and commercial water and hygiene solutions. (Ecolab also sponsored our reindustrialization section.) He argued that “what we really need to focus on is the Water Efficiency Index” when evaluating, for example, semiconductor fabrication plants, because it contextualizes water use in more absolute terms than traditional metrics.
Page Crahan, general manager of Tapestry, an Alphabet X moonshot project that uses AI to develop a model of the grid’s electricity network, zeroed in on how best to use artificial intelligence. “We had 10 years to build what it took us 110 years to build globally” in order to meet anticipated energy demand, she told my colleague Jael Holzman. “And that was in 2023, before data centers.” For “computationally intensive challenges, data-heavy challenges, and certainly running simulations and insights for a system this size,” AI is a good use case, she said.
Tapestry is using its models in partnership with PJM Interconnection (as we’ve covered here at Heatmap) — and speaking of PJM, its executive director of strategic policy and external affairs, Asim Haque, spoke to my colleague Matthew Zeitlin next. “If you do not bring your own new capacity, we are going to curtail you before we curtail your average residential consumer for sure,” he said, adding, “this is a concept that is pending in front of the FERC right now. We can talk about carrots. We can talk about sticks. I don’t know which one this is. I think from the data center perspective, it’s likely a stick.”
Josh Parker, the head of sustainability at Nvidia, rounded the day out on a positive note. “The good news is, we are very quickly unlocking new capacity with clean energy,” he said, including developing new clean energy technologies like advanced fission and geothermal. “All of these technologies are benefiting from AI, and so that, coupled with the fact that data center operators with AI factories generally are some of the largest consumers of clean energy and are still are looking for all the clean energy they can, leads me to believe — and I think this is the most credible forecast — that very soon we’re going to see all of that convert over to clean as soon as we can get through the supply constraints that we’re currently in.”
If you were with us in person, thank you again. You’re what made our event one to remember. And if you weren’t able to join us this year — we hope to see you in 2027.
But wait! Before I send you on your way, you can find all of our coverage of the day below along with some additional quotes from some of my favorite conversations:
The Commonwealth Fusion Systems CEO made his case at Heatmap House.
Without billions in new federal investment the United States may lose its pole position in the global race to be the first nuclear fusion superpower, Commonwealth Fusion Systems CEO Bob Mumgaard told attendees at Heatmap House in New York City.
When asked onstage whether Commonwealth Fusion could still develop its fusion aspirations at scale without U.S. government financing, Mumgaard said: “I think so – it’s a question of the timing and the place.” Then he suggested that the company — and the industry — might go elsewhere if the country doesn’t put more capital into the growing sector. “There are offers on the table to build nuclear fission power plants not in the United States, so we can do that.”
You’d be forgiven if you thought Commonwealth and nuclear fusion was already doing well. The Massachusetts-based pioneer in fusion technologies raised $1 billion in new investment just a couple months ago. Generally speaking, innovation in nuclear power is incredibly popular in Congress, which has an influential bipartisan Fusion Energy Caucus. Commonwealth has received public support from the Trump administration’s Energy Department, as has one of the Heatmap House sponsors, Inertia.
But we’re talking about nuclear fusion, a still-futuristic form of energy generation seeking to harness the power of stars exploding in contained environments. It’s an insanely promising tech moonshot.
Mumgaard said the company is aiming for its tech to provide electrons onto the grid by the 2030s. He also said a Fusion Industry Association request to Congress and the Trump administration for $10 billion of investment might be what’s needed for that power to be American first.
“We debated that [amount] with the industry association, and you have to say what gets the job done. It’s a disservice to lowball what’s needed,” he told my colleague Katie Brigham. “This is a very important thing. It’s an entirely new industry. Let’s treat it as such.”
He added his view that U.S. fusion development is essentially an energy security maneuver, and that competition with China on fusion should be seen as parallel to the race for dominance in artificial intelligence.
“Think about what it means in a technological race. Power is the thing that powers the next economy, right?” Mumgaard said. “All the geostrategic strife we have right now is about power in the form of natural resources. Who has them? What are they? What boats are they on through what body of water? Fusion takes all of that off the table.”
Representative Mike Levin, It’s Electric, Rivian, and more showed up for the mobility session at Heatmap House.
On the surface, the climate case for electric vehicles is simple: Battery-powered cars can eliminate our need to burn dirty gasoline and diesel, and as more renewables come onto the grid, they’ll only run more and more cleanly. But the benefits that can be gained from electrifying the vehicle fleet run far deeper, a case that a variety of speakers made at Heatmap House on Wednesday as part of New York Climate Week.
Andrew Peterman, director of advanced energy solutions at the EV maker Rivian, explained how electric vehicles are becoming a multi-tiered grid solution. Rivian itself is cooperating with drivers and utilities to create automatic smart charging so that EVs can charge when energy is abundant and inexpensive, saving the user money — in some cases as much as $1,000 per year — and easing strain on the grid. Doing so helps to keep electricity prices down, which is good for the country and for the bottom line of an electric vehicle maker.
“Our ability to sell and give people value out of an electric vehicle can only be enabled if we transform the grid to be able to be affordable, reliable, and cleaner for everyone,” Peterman told Heatmap deputy editor Jillian Goodman. “We need to use our role in the energy system to enable customers to get more value out of the grid. So everything we do is about grid transformation to enable electric vehicles to have an even stronger and stronger value proposition. When we bring down electricity costs, that brings down the total cost of ownership for our vehicle owners.”
Of course, energy can go in the other direction, too. Now that millions of EVs are on the road, the multitude of kilowatt-hours stored in EV batteries can be a grid asset. That goes for vehicle-to-grid integration, where EVs can discharge energy to help balance the grid when they’re not driving. But it’s an especially compelling proposition when those batteries get older and are no longer optimal for powering vehicles. Rivian is working with partners such as Redwood Materials to recycle old EV batteries and to repurpose some as grid storage. The same is true at Waymo, whose fleet of autonomous, only-electric rideshare vehicles have racked up hundreds of thousands of miles in some cases.
“Our fleets are sometimes outlasting our batteries where they still work, but they’re just not optimal for the ride-hailing fleet,” Waymo head of environment and sustainability Adam Lenz told Nico Lauricella, Heatmap’s CEO and editor in chief. “So we’re taking those batteries out, refreshing them, and then there’s still a lot of life left on this battery. We’re working with a partner that’s based out of L.A. County where we provide service and they’re deploying those batteries to support front of the meter grid storage.” (Waymo is also a sponsor of Heatmap House.)
It’s clear that the rideshare economy will be dominated by electric vehicles, and Lenz argued that this fact helps extend the climate benefits of electrification and autonomy to people who don’t want to drive or have been priced out by the upfront costs of an EV. The promise that self-driving cars will ultimately be much safer compared to those driven by fallible humans makes it safer to walk or bike, the most sustainable transportation methods. Waymo recently introduced a partnership with Visa to give San Francisco Bay Area riders a $2.85 Waymo account credit (the price of a bus ride in S.F.) when they combine a rideshare trip with a train or bus linkup to create a mulit-modal journey — a roundabout way to create “free” buses.
Across the country, EV charging could help give New York City not only cleaner skies but also improved grid management. The city’s Green Ride Initiative is meant to have New York’s taxi and rideshare trips be majority-electric by 2030, yet NYC has been a charging desert compared to other dense cities like London. Tiya Gordon, co-founder and COO of charging company it’s electric, came to Heatmap House to discuss her company’s recent win of a contract to install 700 new street chargers in New York, which has only 88 today.
It’s not just how many chargers are going in, she said, but where — the majority will go into neighborhoods in Brooklyn and Queens where rideshare drivers live and park their cars overnight. Albert Gore, executive director of the Zero Emission Transportation Association, added: “It makes a lot of sense also when you think about the impact to the grid. If you are directing a lot of that charging at night, particularly for these high mileage use cases, that actually puts downward pressure on electricity rates. EVs are a very, very flexible load.”