Do you know EV?

Understanding EV Ownership

EV Overview:

If you spend time reading about the EV market, you will find plenty of misleading information that can detract shoppers from considering electric. Some common misses are EV affordability, EV repair costs compared to ICE vehicles and the assumption that EV batteries will end up in a landfill at the end of their useful life. Let's take them one by one.

First, looking at affordability, a simple search on  autotrader.com will show GM or Nissan entry-level EVs for $26,900 - $29,000. Of course, there are many expensive EV options, but EV affordability is coming down in battery cost alone. 

Second, considering ownership cost, as reported by buinessinsider.com many police departments have discovered in less than a few years that their fuel and maintenance costs savings alone has paid for their EV purchase. According to AAA, if maintained to the automaker's recommendations, electric passenger vehicles cost less than their ICE counterparts. Up to $949 annually.

Third, Cox Automotive Mobility provides pretreatment recycling of EV batteries proving that a landfill is not their final destination. There is also a second life after its use in vehicles, such as in charging stations. However, at the end of a battery's life, it is possible to retrieve over 90% of its minerals for reuse. Once recycled the materials are used to make new batteries. 

There is one area where much work still needs to be done, and we hear a lot about it: infrastructure. The public utilities were not designed for the current needs of EV mass production. With the infrastructure bills out today, the US is investing heavily in getting there. The US is well on its way as well with adoption. As reported by kbb.com, more than 5% of the new cars sold in America have been EVs, and once you get to 5%, change is inevitable. As adoption grows, countries like the UK have decided to trade in their consumer retail incentive for producer incentives to grow infrastructure. It is that important.

Did you know?

According to Bloomberg New Energy, the average price of batteries is expected to drop to $100/kWh by 2023. Recurrent.com says if this trend in battery prices stays consistent, by 2025 the price in 2019 dollars should be ~$56/kWh or 5,600 to replace a 100kW battery. Car and Driver research shows that remanufactured batteries can be up to 50% less than most dealer-quoted new battery replacement costs. These industry trend experts suggest that EV battery replacement will become less and less of an issue.

Happy Driving........

The EV Guy!