Electric Cars Are Drawing Investors Only







13 November 2010 | posted by: Margery Zimmerman | No Comment

Electric cars have been hitting the headlines of late, Tesla Motors have been raising huge amounts of money from investors and General Motors has banked on the Chevy Volt to renew its abilities of becoming a profitable company again. GM has planned to roll out the Chevy Volt next year, the Volt being not an all-electric vehicle but is fairly said to be an electric, but it remains unclear how it will be embraced by potential customers.

An Electrical Car: Ideal but rather Expensive

JD Powers and Associates, say the huge automobile polling organization customers will not be ready to purchase the new electric cars for one simple reason. They are very expensive.

The report says that it is going to be very hard to convince a lot of buyers to buy the new modes of cars, not even the hybrid type, due to their high costs and the high cost of maintenance. When said that the hybrid car costs a minimum of $5,000 on purchase, the buying of the car went down by about 50%.

The question that is being raised is, what is it that consumers for customers of hybrid and all-electric vehicles gain? The study by JD came up with a few factors.
Rise in cost of fuel
Reduced costs
Improvement in green technologies aimed at establishing better confidence and reliability in customer minds
Improvement in driving the cars range
Better and improved designs

Another issue that influences the image in the minds of many consumers of the new electrical cars is that of carbon footprint on the chain of power supply. It remains unhelpful to buy an electric vehicle where the power of recharging its battery is gained from a coal-burning power plant. That in effect takes the place of the regular tail pie emissions from the diesel driven vehicles by the emissions from the burning coal producing the electricity that recharges the battery.

At the end, the costs of the electrical cars are going to influence many potential consumers. Customers have concerns of the environment, but their desire is overridden by the by the financial milestone of paying out more money to purchase a lower carbon footprint.

As it contacted the research on the potential customers, JD Power went ahead and projected the sales of the new vehicles, hybrid and electric ones. The forecast worldwide is a sum of 5.2 million hybrid electric vehicles and hybrid ones combined. Of the sum total, an approximated 3.9 million units are projected to be hybrid and about 1.3 million are to be battery powered electric vehicles.

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