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Horse Powertrain, a joint venture between Renault and Geely, unveiled the H12 Concept engine, which consumes less than 3.3 liters per 100 km, a 40% reduction in consumption, and runs on 100% renewable Repsol gasoline available for 10 euro cents more than conventional fuel.
The engine every driver would like to have under the hood already exists and it’s not electric. Horse Powertrain, a company created by the partnership between Renault and Geely, developed the H12 Concept, a 1.2-liter, three-cylinder internal combustion engine that consumes less than 3.3 liters per 100 kilometers in the WLTP cycle, a performance that represents a 40% reduction in consumption compared to the average of new gasoline vehicles registered in the last two years. The engine was designed in Spain, where Horse maintains its operational headquarters in Madrid, engine factories in Valladolid, and gearbox units in Seville, and runs on fully renewable gasoline produced by Repsol at its industrial plant in Tarragona.
The fuel that powers this engine is as relevant as the mechanical engineering itself. Repsol already manufactures 100% renewable gasoline on an industrial scale under the Nexa brand, a product available at 30 filling stations in Spain that is compatible with any gasoline vehicle without the need for modifications, and whose cost is only 10 euro cents more per liter compared to conventional fuels. The company also produces renewable diesel that promises to reduce net CO₂ emissions by up to 90%, a combination that keeps the combustion engine relevant at a time when Europe is debating the end of non-electric cars by 2035.
What makes the H12 Concept engine so efficient with so little fuel
The H12 Concept was not born from scratch. The engine’s base is the HR12, a 1.2-liter, three-cylinder engine already in production in Romania and used in models such as the Dacia Duster, which means that the technology starts from a proven platform refined over thousands of units in circulation. The Concept version adds three innovations to the original assembly: an advanced exhaust gas recirculation system, which reintroduces part of the combusted gases into the chamber to reduce thermal losses; a specially calibrated ignition system to maximize the efficiency of each combustion cycle; and a hybrid gearbox that optimizes the relationship between engine speed and energy consumption.
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The combination of these technologies in a compact three-cylinder engine is what allows it to achieve 3.3 liters per 100 km. To contextualize, the average fuel consumption of new gasoline cars in Europe is around 5.5 liters per 100 km, which means that the H12 Concept engine travels the same distance using almost half the fuel an equivalent vehicle would consume. In a scenario of high prices at gas stations, this efficiency translates into real savings for drivers who travel long distances daily, an argument that Horse Powertrain uses to justify that the combustion engine still has a place in the market.
How Repsol’s renewable fuel that powers the engine works
Nexa gasoline produced by Repsol in Tarragona is manufactured from renewable raw materials in an industrial process that the Spanish oil company claims is scalable. The differential of this fuel is that it does not require any adaptation in existing vehicles: any gasoline car can refuel with Nexa without changes to the engine, injectors, or fuel system, a characteristic that eliminates the main barrier to mass adoption of alternative fuels. Universal compatibility is what separates renewable gasoline from other solutions such as hydrogen or CNG, which require specific vehicles or expensive conversions.
The additional cost of 10 euro cents per liter positions renewable fuel as an accessible alternative. For a 50-liter tank, the difference represents about 5 euros more than conventional gasoline, a value that many drivers would consider acceptable in exchange for a significant reduction in their carbon footprint. Repsol’s renewable diesel follows a similar logic and promises to cut up to 90% of net CO₂ emissions, a number which, if confirmed at scale, would make the combustion engine powered by renewable fuel an environmentally viable alternative while the electric charging infrastructure does not achieve universal coverage.
Why Renault and Geely are betting on this engine while Europe discusses the end of combustion
The decision to create Horse Powertrain as a company dedicated to the development of internal combustion and hybrid engines reflects the assessment that electric vehicles will not completely replace conventional engines in the short term. Renault and Geely continue to invest in electrification through their main divisions, but the joint venture allows them to explore the internal combustion engine of the future without compromising their energy transition plans, a strategy that acts as an insurance policy in case the adoption of electric vehicles is slower than European regulators project.
The debate about banning new combustion cars in Europe by 2035 is far from consensual. Manufacturers like Geely, which controls Volvo, and Renault argue that ultra-efficient engines powered by renewable fuels can meet emission targets without completely eliminating internal combustion, and the H12 Concept engine is exactly the kind of technical evidence that supports this position. If an engine can consume 40% less fuel and run on gasoline that drastically reduces CO₂ emissions, the argument that combustion is dead loses strength in the face of the numbers.
What the H12 Concept engine means for the future of gasoline cars
The Horse Powertrain engine demonstrates that extreme efficiency and internal combustion are not incompatible concepts. Less than 3.3 liters per 100 km in a gasoline engine positions the H12 Concept at the same level of economy as many plug-in hybrids, without the complexity of heavy batteries, charging points, or range anxiety that accompany electrified vehicles. For markets where electrical infrastructure is still insufficient, including much of Latin America, Africa, and Asia, engines like this can represent the most pragmatic solution to reduce emissions without requiring massive investments in charging networks.
The partnership between Horse and Repsol shows that the answer to the fossil fuel crisis may not be binary. Instead of “electric motor or nothing,” the combination of advanced combustion engineering and accessible renewable fuels offers a third way that leverages existing fueling station infrastructure and keeps an automotive industry running that employs millions of people in factories for engines, transmissions, and mechanical components. The H12 Concept is the proof of concept. If it reaches the mass market with the numbers it presents, the internal combustion engine gains a lifespan that many already considered impossible.
And you, would you trade an electric car for a gasoline engine that consumes 40% less and uses renewable fuel? Do you think combustion still has a future? Leave your opinion in the comments.
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