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Home / Business / Business Reports

Dynamic Business: Toyota’s test track for future mobility

Fran O'Sullivan
By Fran O'Sullivan
Head of Business·NZ Herald·
8 Dec, 2022 03:59 PM7 mins to read

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Neeraj Lala. Photo / Supplied

Neeraj Lala. Photo / Supplied

Neeraj Lala is promoting Toyota’s Woven City concept as the most advanced test track for a mobility company in the world.

The project — a new city in Japan — could be adopted here, he suggests.

“People will have the opportunity to live, work, and play as partners, and allow residents to create and test new inventions,” says Lala. " Developing and utilising sustainable energy is part of the mission, including new hydrogen technology as a promising option towards carbon neutrality, that will combine with new mobility innovations to become the future fabric of life.”

Lala is the fifth local Toyota New Zealand chief executive since the company’s establishment here 50 years ago as a wholly owned subsidiary of Toyota.

He fleshed out the concept at the recent Infrastructure New Zealand summit Building Nations 2050 in Wellington.

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New Zealand is familiar with the concept of this country being a test bed for new technologies and pilot trials. A recent example is American company Wisk which was granted Civil Aviation Authority permission to extend its trials of autonomous air taxis in South Canterbury.

Toyota broke ground on its own Japanese project in February 2021. It is now in construction on 70ha of Toyota land. Says Lala, “ironically it is being built on the site of a former combustion engine car manufacturing plant that closed in 2020. The advantage of having a living laboratory city, that is self-contained on private land is that we can test new technologies at speed and scale.

“We will be testing automated driving, automated package delivering, clean energy systems and robotics.

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“Why do we call it Woven City? It is not intended to be a Toyota-only test track, but we are partnering with many other companies to test new ideas.

“Partnership has been a major factor in the progress so far at Woven City. It aligns with Goal 17 of the Sustainable Development Goals, which focuses on global partnerships.”

Toyota has partnered with leading energy companies such as Ineos to develop hydrogen production, refuelling stations and reticulated hydrogen to homes, and with Rinnai to collaborate on new applications for hydrogen for domestic cooking. The city’s energy system will be powered by clean energy — solar, hydrogen and geothermal.

“Sounds like a great solution for Taupō?” suggests Lala referring to that city’s huge geothermal resources.

The goal is to have around 2000 residents, many of them researchers and technologists, living permanently in Woven City where they will test and develop new technologies, such as autonomy, robotics, and software.

In his address to Infrastructure NZ, Lala underlined the concept is driven by three principles:

· “Human-Centred”, focusing on the respect and prioritisation of people’s needs and preferences.

· ”Living Laboratory” to enable seamless real-world testing of new technologies; and

· “Ever-Evolving” approach so that technologies and services continuously grow and improve.

“It is what the Japanese call kaizen,” he says. “When it comes to testing new transport technologies, we also want to ensure the safety of vehicles, the roads on which they’re being driven, and the people.

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“Unlike some of our competitors, we don’t think testing autonomous technology in car parks in the US is a very good idea.

“We think safe autonomous driving is only achievable if you make a human-centred city and test it within a controlled environment. That was a key motivation behind Woven City.”

Innovative mobility for Kiwis

Lala is passionate about the opportunity a strong focus on mobility can deliver for all Kiwis.

“We believe the infrastructure in New Zealand needs to be a more connected and seamless ecosystem, with a range of technology solutions partnered with a smart design,” Lala says. “This will activate a low emission, highly innovative mobility service for all of New Zealand.”

Toyota has been exploring multiple ways to decarbonise New Zealand’s mobility ecosystem for the past decade. “We have recently heard announcements from Government towards innovative car leasing schemes, and car share solutions and we have supported those projects,” he adds. “We are moving towards a world where access to mobility will be equally valuable as ownership.”

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Toyota is positioning itself as the Powertrain Department Store in New Zealand where every low-emission solution and innovative mobility service will be available.

But there are hurdles. Lala points out it is extremely difficult to electrify its fleet if the infrastructure is not developing at the same pace as demand or supply. There are other larger challenges: New Zealand’s geography demands a mobility system that is accessible, affordable and safe for all Kiwis to engage with, or rely on, for receiving goods or services.

The metrics are compelling: New Zealand is about 97 per cent the size of Japan, with just 4 per cent of the population, highlighting that this country has considerable unutilised real estate.

“Unlike Japan, we are spread across our beautiful country, and our primary mode of transport is the humble car or ute — not a high-speed rail solution that runs the length of the country,” he says.

“Our fleet is old at 15 years. Not because we don’t like new cars, but because that is what most Kiwis can afford, although electric vehicles and hybrid owners are now benefiting from a variety of subsidies and choices.

“We also have the most cars per household that enable us to enjoy a unique Kiwi lifestyle or mobility for all occasions.”

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Lala predicts micromobility will be the way of the future with fewer of us owning a car, instead preferring to subscribe to a car-sharing scheme or simply renting mobility by the hour. This is already available through Toyota’s CityHop — New Zealand’s largest car-share company.

Toyota is trialling three additional mobility schemes in New Zealand — two in Auckland and one in Nelson, tailored for unique customers, enabling the company to gather data, test the concept and implement more widely with pace.

It is also running a hydrogen project (a commercial car-sharing scheme in Auckland) launched with the Prime Minister in Japan this year.

Lala says it is also about making the company’s fuel cell technology available in New Zealand to help decarbonise the economy through innovation in areas other than automotive, such as the marine or even the construction sector.

Toyota’s first hydrogen generator was due to arrive in New Zealand this month and the use of hydrogen canisters is being investigated to support clean energy to remote areas.

“With the partnership of Mitsui, Toyota New Zealand has been approved as a fuel cell distributor for the Oceania Region, so our ambition is massive, and we believe this will be great for our hydrogen economy potential,” he adds.

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The second trial in South Auckland is a partnership with Akina and the Manukau Urban Māori Authority where 20 families are paying a set fee of $95 a week for a three-year lease of a Corolla hybrid wagon including costs, except fuel. This scheme, Waka Aronui, is part of a move to ensure affordable mobility is available to everyone so they can also join the transition to a net zero carbon future.

The third scheme, in Nelson, is the trial of a subscription service that harnesses their store demonstrator fleet and Toyota’s car-share technology. Toyota customers in Nelson, including the city council, can access a variety of demonstration vehicles held by the Toyota store for short periods — by the hour or day — or as they need.

Existing customers can pay a subscription fee and rent by the hour or day and have access to more functional vehicles when required.

“The beauty of this scheme is the right vehicle for the right job at the right time, and it speaks to a future of less car ownership, less congestion, more flexible mobility and fewer carbon emissions,” Lala says. “Or, more legitimate use only when needed.

“Our ambition is to expand this service quickly, so our customers who travel around the country can access the demonstration fleet from any Toyota Store, ultimately, providing access to mobility anywhere.”

  • Toyota is an advertising sponsor of the Herald’s Dynamic Business report.
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