Many groups and individuals have recommended the use of EVs as a way to help the environment and reduce our oil dependence. But even with sky-rocketing gas costs, the purchasing public just isn't really going for EVs in a big way. In the aftermath of a frightening federal report, there has been a spate of unfavorable press lately for the EV.
Electric not what you think
Much of the incentive to buy EVs has come from the government. Since 2009, the government has been offering tax credits of as much as $7,500 to consumers who purchase EVs. The Advanced Vehicle Technologies Manufacturing program was initiated by the Obama Administration, but was really developed by the Bush Administration, beginning in 2007.
The Congressional Budget Office released a report showing that the EV tax incentives are not effective on Thursday, September 20. That means the goal of the program to increase the sales of EVs and lower the amount of fuel being used is not being met. The incentives have "little or no impact on the total gas use and greenhouse gas emissions of the nation's vehicle fleet over the next many years," according to the report.
Even more
The CBO comments are not the first negative ones to be seen either. There have been a variety of reports showing that people are not excited about electric vehicles.
The Fisker Karma is "plagued with flaws," according to Consumer Reports in a report where it trashed the vehicle.
A secondary stock offering must have been really disappointing for people for Tesla Motors since the near-term revenue projections were decreased right after the offering happened.
Then there is the issue with Toyota magic. The car maker wanted to add a small EV to the lineup, but buyers were not interested, according to Reuters.
Politicians involved
The CBO report will make it much easier for arguments to be won by conservatives considering Republicans are always getting mad at the Obama administration for spending so much money on the Advanced Vehicle Technologies Manufacturing program.
Brian Wynne, the Electric Drive Transportation Association president, does not trust the CBO report and claims that it is inconclusive:
"The report provides the caveat that 'as yet, no reliable estimates exist of the share of electric vehicle sales that can be attributed to the tax credits.'"
A patient race?
And perhaps there is justification for that patience. Tesla's lowering of its revenue projections, cited above, was as the automaker is unable to produce vehicles fast enough to meet demand.
The Chevy Volt saw its best sales month ever in August. Many believe that sales spike was largely due to generous incentives, much of which came from the government.
GM is losing thousands on every Volt it sells, and yet it recently announced even more rebates, some as high as $1,000, for Volt buyers. The automaker is banking on the future and patiently suffering losses, believing that increased demand for EVs is inevitable. And when car buyers do rally, GM hopes to be at the forefront of the game.
It seems expected to transition to the new kind of car, so maybe General Motors is right over it.
One thing is for certain in this election time: there will be much political discourse in the near future concerning the government's subsidizing of the electric car industry.
Electric not what you think
Much of the incentive to buy EVs has come from the government. Since 2009, the government has been offering tax credits of as much as $7,500 to consumers who purchase EVs. The Advanced Vehicle Technologies Manufacturing program was initiated by the Obama Administration, but was really developed by the Bush Administration, beginning in 2007.
The Congressional Budget Office released a report showing that the EV tax incentives are not effective on Thursday, September 20. That means the goal of the program to increase the sales of EVs and lower the amount of fuel being used is not being met. The incentives have "little or no impact on the total gas use and greenhouse gas emissions of the nation's vehicle fleet over the next many years," according to the report.
Even more
The CBO comments are not the first negative ones to be seen either. There have been a variety of reports showing that people are not excited about electric vehicles.
The Fisker Karma is "plagued with flaws," according to Consumer Reports in a report where it trashed the vehicle.
A secondary stock offering must have been really disappointing for people for Tesla Motors since the near-term revenue projections were decreased right after the offering happened.
Then there is the issue with Toyota magic. The car maker wanted to add a small EV to the lineup, but buyers were not interested, according to Reuters.
Politicians involved
The CBO report will make it much easier for arguments to be won by conservatives considering Republicans are always getting mad at the Obama administration for spending so much money on the Advanced Vehicle Technologies Manufacturing program.
Brian Wynne, the Electric Drive Transportation Association president, does not trust the CBO report and claims that it is inconclusive:
"The report provides the caveat that 'as yet, no reliable estimates exist of the share of electric vehicle sales that can be attributed to the tax credits.'"
A patient race?
And perhaps there is justification for that patience. Tesla's lowering of its revenue projections, cited above, was as the automaker is unable to produce vehicles fast enough to meet demand.
The Chevy Volt saw its best sales month ever in August. Many believe that sales spike was largely due to generous incentives, much of which came from the government.
GM is losing thousands on every Volt it sells, and yet it recently announced even more rebates, some as high as $1,000, for Volt buyers. The automaker is banking on the future and patiently suffering losses, believing that increased demand for EVs is inevitable. And when car buyers do rally, GM hopes to be at the forefront of the game.
It seems expected to transition to the new kind of car, so maybe General Motors is right over it.
One thing is for certain in this election time: there will be much political discourse in the near future concerning the government's subsidizing of the electric car industry.
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