High Prices and Inconvenience: Are Electric Cars a Feasible Solution?

As the Earth’s temperature continues to rise, the threat of Global Warming is more solemn than ever. CO2 is the prime source of greenhouse gas, and our conventional vehicles impact the environment the most. In order to reduce our greenhouse gases, car manufacturers and drivers need to decrease the number of gas-powered vehicles on the roads and use electronic vehicles in their place. Environmentalist advocates and government officials agree that the solution to Global Warming lies in environmentally-friendly vehicles. In addition, our government proposes we will be less dependent on fossil fuels and foreign oil if we purchase electric vehicles; however, while electric vehicles are a viable alternative to fossil fuels, their popularity is relatively small. Electric vehicles have limited driving ranges and few public charging stations, and they are expensive. Their high prices ensure that only a small portion of our population can afford them. Governments around the world offer incentives for electric vehicle buyers, such as rebates and tax credits, but naysayers suggest the subsidies are not enough to convince the majority of consumers. On the other hand, the subsidies are enough to persuade electric vehicle developers. Governments provide monetary enticements to vehicle makers in order to fund research and development. Nevertheless, if electric vehicle manufacturers want to increase their sales, they need to use their federal funding to develop affordable electric vehicles that use renewable energy sources and are self-automated. 

While there are several varieties of electric vehicles (EVs), all-electric plug-in vehicles (BEVs) and plug-in hybrid vehicles (PHEVs) are the most common; however, PHEVs utilize both gas and electricity. In order to decrease greenhouse gases, drivers need to consider BEVs because it is likely PHEVs users drive their vehicles in the same way we drive conventional cars and rely, for the most part, on gasoline. With that in mind, a BEV operates with an electric motor and battery. In order to charge its battery, drivers would simply use their household electrical outlets or a charging station. Advocates stress the BEV is the best alternative because it is zero-emission.  At the same time, consumers may want the comfort of long-range driving abilities. Rechargeable electric packs have a range of approximately 100 miles. Therefore, the driver would only be able to drive so far. Essentially, much like traditional vehicles need refueling, a BEV would need recharging. 

While BEVs are good choices for environmentally conscious drivers, they are substantially more expensive than conventional vehicles. Henry Lee and Grant Lovellette analyze the future of the United States’ BEVs market in their study “Will Electric Cars Transform the U.S. Vehicle Market.” According to their research, Lee and Lovellette agree that electronic cars would help lower “oil consumption or pollution emissions, [but] electric cars must be competitive with conventional cars across a wide range of attributes, including total costs (purchase, operations, and maintenance) and range” ("Will Electric Cars Transform the U.S. Vehicle Market?" iii). In other words, BEVs bear hefty price tags. For the most part, conventional vehicles have perfected their technologies, so consumers can purchase certain models for relatively low prices. Until a BEVs’ cost can compete with a gas-powered car’s cost, their sales will always be much smaller. In order to popularize BEVs, manufacturers have to consider multiple incomes. 

Granted, various governments around the world offer BEVs subsidies in hopes consumers will go electric, but even with the discount; BEVs continue to be more expensive for the majority of the population. According to Steven Kopits, author of "Viability of Electric Vehicles," our government subsidizes second cars such as the Tesla and the Fisker Karma car, but only the upper class, in the top 0.1 percent of the country, is able to afford their $100,000 price tags (1). This suggests the market has ignored the vast majority of drivers.  

For example, figure 2 suggests lower-cost electric vehicles have a market. According to EV World, Navigant Research suggests BEVs’ sales will increase over time. On the other hand, it seems that Ford Motors, Toyota, and General Motors have the highest future projections. Is it a coincidence that the high-priced Tesla BEV has the lowest projections? More than likely, it is not. Therefore, we can assume if manufacturers developed reasonably priced vehicles, perhaps drivers would be willing to buy. 

Subsequently, because the majority of the population lives well under the upper-class spectrum, some manufacturers are competing to serve this niche. For example, Nino Marchetti, author of “Nissan’s Plans for China’s Growing Electric Vehicle,” explains Nissan hopes to take advantage of the “untapped [market] by electric car peddlers” (n. pag). One can argue that it seems most manufacturers have catered to the wealthy as they produced expensive vehicles. However, BEVs’ technology has advanced, so Nissan’s plans seem to suggest that some car manufacturers are finally listening to the consumers, and they are trying to produce affordable BEVs. 

On the other hand, prices are subjective considerations for manufacturers and most consumers. For instance, according to Romeo Braceros, author of "Electric Car Market on the Rise: New Version Nissan Leaf hits UK Market," Nissan is pleased with their latest electronic vehicle the Nissan Leaf. Nissan claims that the Leaf offers drivers a lower price tag and “a longer driving range with a shorter charging time” (Braceros, n. pag). In addition to the federal tax credit, one would assume the Leaf is a promising candidate for middle-class buyers. Conversely, Kopits maintains that “According to Nissan, Leaf buyers are college-educated and have household incomes of $140,000 per year” (n. pag).  Hence, it seems BEVs producers continue to isolate most lower-income buyers because of the high prices. Should the prices drop even more, perhaps consumers would be willing to buy? In hindsight, the federal tax credit was meant to lure electric vehicle buyers, but the subsidy is not enough for most. Subsequently, only the upper class can take advantage of the government’s policy. Moreover, budget-minded drivers still believe the overall costs are too risky. 

Along with the overall price of the base model BEVs, drivers must consider the battery’s lifetime and cost. Kopits explains electric batteries can cost up to $15,000, and vehicles such as Nissan’s Leaf cost approximately $27,000 after the $7500 federal tax credit (1). Actually, it seems that the high-cost batteries are a BEVs’ most deterring factors. Nevertheless, regardless of the government subsidiaries, a smaller price tag may still be out of reach in today’s economy. 

Fundamentally, BEVs manufacturers depend on government subsidies and loans in order to develop models, so it would serve them well to consider what drivers need. As of right now, their sales continue to dwindle in spite of future sales projections. For example, Dina Maron evaluates the current rough patch that the BEVs market is facing in her article "Electric Vehicle Market Looks for a Recharge." According to Maron, Navigant Research predicted: “a total of 21.9 million EVs will be sold worldwide during the period from 2012 to 2020” (n. pag). Subsequently, other countries, such as China, have high hopes for the BEVs market as well. As an example, the Chinese government hopes to have at least “500,000 electric cars by 2015 and 5 million by 2020” out on the roads. Nissan claims “its distance per charge should ‘not be a concern for consumers’” but, again, the BEVs needs to be affordable (Marchetti, n. pag). The Obama Administration has its own projections too, but until BEVs offer the same price range as conventional vehicles and higher utilization, it seems that most drivers will continue to depend on gas-powered vehicles.  

Consequently, the United States is not the only country struggling to sell electric vehicles, so government officials should explore additional incentives. In order to sway drivers, the Centre-Left Thinktank Institute for Public Policy Research suggested the English government offer incentives to electric car buyers such as “free access to carparks, toll roads and congestion charge zones, suggesting a green badge giving such access such as the blue badge for disabled drivers” (Baceros, n. pag). The United States offers its own buyer incentives, but it seems as though the manufacturers are the only ones who capitalize on BEVs. On the other hand, if government policies offer buyers additional incentives, such as free toll roads, it may encourage some drivers to buy electric vehicles. After all, time has a factor in most of our days, and many of us like to save time. Thus, the ideas of bypassing busy toll roads and removing time spent sitting in traffic are compelling. 

Nevertheless, because BEVs have limited driving ranges, drivers fear that they will not have access to enough charging stations. On the other hand, Lee and Lovellette stress “urban drivers, on average, drive less than 20 miles per day, but no one has ever asserted that consumers base their car purchases solely on rational calculations” ("Will Electric Cars Transform the U.S. Vehicle Market?" 19). In regard to battery life, perhaps manufacturers can consider developing an alternator for BEVs. Similar to what we have now in our conventional vehicles and alternator will charge the batteries as the BEVs drive.

Regardless of their driving range, battery life, and access to charging stations, BEVs will have a positive impact on eliminating our greenhouse gases. Ken Silverstein, the author of "Swerving Around Barriers and Moving Electric Cars," reminds us that “increasing the sales of all-electric cars and trucks would reduce petroleum imports and would arguably have an effect (sic) on total emissions” (n. pag). On the other hand, some proponents suggest we are merely replacing a vehicle’s tailpipe with a factory. In essence, a factory will produce harmful greenhouse gases, but it is still significantly less than the conventional vehicle exhaust. Perhaps the answer lies in natural resources. 

As an illustration, BEVs’ sales would likely increase if they allowed drivers to use renewable energy. According to the article "Charging Up Electric Car Batteries in Environmentally-Friendly Way" in Science Daily, “Electromobility makes sense only if car batteries are charged using electricity from renewable energy sources…[but we need] An intelligent charging station” (n. pag). This will allow us to use means such as solar and wind power. The sun remains a viable source of energy, so it is the probability of renewable energy that is the most provocative. Essentially, we would be able to harness natural energy and not have to rely on charging stations or electrical outlets. In addition, BEVs developers may consider devoting time to researching smart grids. 

Because the federal government subsidies contribute to our budget deficit, one would imagine developers use a portion of their funds to cultivate smart grids.  Similarly, Dominik Noeren suggests we develop “a smart grid that carries information in addition to power" ("Charging Up Electric Car Batteries in Environmentally-Friendly Way" n. pag). In other words, a smart grid allows us to actively monitor electricity, and determine when it is the most cost-effective to use solar and wind power. One of the major concerns for BEVs relates to power surges during heavy traffic periods. A smart grid would essentially allow drivers to choose the times they wish to recharge, but the electricity rates would vary. For instance, Noeren proposes electricity be more expensive during peak drive hours (n. pag). If drivers wanted to save money, they could charge their vehicles during downtimes. Ultimately, until manufacturers make severe changes to the overall development of BEVs and charging stations, drivers will continue to wonder if BEVs are worth the cost. It seems most drivers use their vehicles to get from home to work and vice versa. As a result, Steven Kopits asserts electric cars can be resourceful to consumers, but only if we use them the right way. 

For example, Kopits suggests manufacturers develop self-automated cars. According to Kopits, Google has been testing self-driving cars…[and] use lasers, radars, and other sensors to establish their position and identify objects around them” (1). In other words, cars do not need a human driver. Because the majority of people do not use their cars all day, Kopits believes BEVs will become more popular if they allow multi-users. As an illustration, a self-automated car can drive family members to their prospective workplaces, and then return, on its own, drive children to and from school. This would allow multi-users. Along the same lines, Kopits stresses BEVs can be used as service cars, such as taxis, in order to decrease the amount of gas-fueled vehicles on the road. While some argue this may take jobs away from drivers, it offers another plausible solution to the recharging issue of BEVs. Some BEVs will charge while others are out on the road. Therefore, they rotate in their uses. Self-automated vehicles seemingly have a bright future because they may be a popular form of transportation for the elderly or stay at home moms and dads who typically use the car throughout the day to run errands and drive children to school and activities. 

BEVs are an important part of our planet’s future, so governments and manufacturers need to weigh the pros and cons and reach a decision that benefits us all. If we only had to purchase one BEV self-automated car, it would make more sense cost-wise. Naturally, the majority of people would not have a problem with cost as long as the BEV allowed multiple users on the same day. The threat of Global Warming continues to loom, but until manufacturers consider the overall convenience and cost of BEVs, electric vehicles will only be a potential, and an expensive, solution.

Works Cited

Braceros, Romeo. "Electric Car Market on the Rise: New Version Nissan Leaf hits UK Market." Tell MeNews 19 Apr. 2013.

"Charging Up Electric Car Batteries in Environmentally-Friendly Way." Science Daily 24 July 2010.

"Forecast: Nearly 22 Million Electric Vehicles to be Sold By 2020." EV World 23 Apr. 2013.

Groulx, Kevin. Cartoon. Autonet.ca. Bowes Publishing, Osprey Media and Sun Media., 21 Dec. 2010. http://blogs.autonet.ca/autonet/electric-cars/mandated-technology/.

Koptis, Steven. "Viability of Electric Vehicles." Douglas-Westwood (2012). 

Lee, Henry, and Lovellette, Grant. "Will Electric Cars Transform the U.S. Vehicle Market?" Harvard Kennedy School (2011).

Marchetti, Nino. "Nissan’s Plans for China’s Growing Electric Vehicle Market." Earth Techling 28 Apr. 2013.

Maron, Dina F. "Electric Vehicle Market Looks for a Recharge." Scientific American 26 Apr. 2013. Web. 

Plug-in Electric Vehicle Sales by Manufacturer, United States: 2012-2017. Digital image. Navigant Research. Pike Research, n.d. http://www.navigantresearch.com/

Silverstein, Ken. "Swerving Around Barriers and Moving Electric CARS." Forbes.