President Joe Biden signed an executive order this month to encourage more electric sales, with half of the new sales expected to be zero by 2030. Alongside that, he promised to increase the production of batteries, fuel cells and plugs. In mixed vehicles.
But some experts and senators say that buying those cars may not be easy for some car owners for a while.
Ford, GM and Stellantis (owners of Chrysler and Fiat) have pledged to increase production to meet Bedin’s 2030 goals.
BMW, Honda, Volkswagen and Volvo set similar goals in 2019 as they negotiated a plan to meet California’s clean driving standards. The goal of the Gov Gavin News is to have all new vehicles sold in California by 2035 with zero-emissions.
But those cars that already make electric cars can’t force consumers to buy them.
“For consumers, the most direct, future-oriented change is the difference in electric cars,” said Ashley Nuns, an expert on R Street, a public policy research firm. Phone interview. And that really motivates people who have previously been reluctant to use technology to some extent.
Annual sales of electric vehicles in the United States have increased dramatically over the past decade, according to the U.S. Department of Energy, which monitors alternative fuels. And California, as of December 31, 2020, there were 42% of U.S. electric vehicles – of all states.
According to Pew Research Center, electric vehicles, often considered luxury cars, accounted for only about 2% of new car sales last year.
Electric vehicles are expensive to buy
To this day, electric cars are more expensive than gas-powered vehicles.
A.D. The US Department of Energy says Tesla Model 3 electric vehicles account for 50% of sales in 2019. The starting price of that car, Tesla’s cheapest, Kelly Blue book, which tracks the price of the car, is over $ 39,000. This will double the average car size by 2021.
The cheapest electric car on the market is the 2021 Mini Cooper SE for only $ 31,000, according to Edmonds, which tracks car prices.
That is about $ 10,000 more than other petrol-powered cars.
44% of electric vehicle purchases in California account for new and used cars. Earning less than $ 100,000 a year between 2011 and 2015, according to a 2019 UC Davis study.
There are up to $ 7,500 in federal tax credits, depending on the brand and buyer available to buy electric cars. California offers a discount of up to $ 4,500 per vehicle for all types of electric vehicles.
Some of these incentives may end up in high-income families. The Senate approved a non-binding amendment as part of a $ 3.5 trillion budget proposal Wednesday morning to reduce tax credits for families with more than $ 100,000 a year, and cars that cost more than $ 40,000.
“I don’t think we should subsidize the rich,” said Senator Rick Scott, R-Fla. He told McClatchy. “What we are doing. Half of those who buy electric vehicles earn more than $ 70,000 a year, so we take tax breaks. ”
If a car buyer buys electricity, there are savings in addition to government subsidies. According to a 2020 Consumer Reports study, battery-powered car owners can save up to $ 10,000 a lifetime for their vehicles compared to similar gas-powered cars.
The most expensive are batteries, which have gradually reduced production costs for American cars over the past decade. Biden wants them to look for American cars Keep up the good work. After signing the executive order on Thursday, he told McClatchy that the United States was focused on gas-powered vehicles and was lagging behind in producing batteries.
“China now owns the market,” Biden said. So we have to go back to the game.
Electric vehicle infrastructure is not ready
The $ 1.2 trillion bilateral infrastructure bill, which was approved by the House on Tuesday, will set aside $ 7.5 billion for the construction of charging stations on highway corridors – particularly “in rural, poor and inaccessible communities,” according to the White House.
By May 25, 2021, there were more than 42,000 public charging stations in the United States, according to the Pew Research Center. One third of them are in California.
The infrastructure bill to support the electric charging network in California could provide over $ 384 million over the next five years. According to Brian Dessie, Director of the National Economic Council White House.
That helps people who live in apartments, condominiums or affordable housing, and people who can’t afford to install a charger in their home.
Still, Senator Ed Marke, De-Mass, chairman of the Senate Committee on Environment and Climate Change on Air, Climate and Nuclear Security, told McClatchy that he was concerned that the infrastructure bill would not go well. He promised to work in other areas for adequate and “stronger electric vehicle infrastructure.”
Are car dealers ready to sell more ZVs?
Hang Renne, a professor of consumer behavior and sustainability at George Mason University School of Business, tells AB how to work with “middle” traders between cars and customers on how to sell electric vehicles. Obstacles to overcoming.
In a telephone interview, Renn said: “For many traders, not everyone has the knowledge, really the infrastructure to sell EVs.” They have to calculate to see if it has value in their distributors.
The National Automobile Distributors Association (NTAA) has set a target for Newcomer 2035 that there are many obstacles to the purchase of zero-emission cars beyond the “random deadline”.
David Lynman and Francesca Chambers contributed to this story.