Electric cars ‘will be cheaper to produce than fossil fuel vehicles by 2027’
BloombergNEF forecasts result of falling cost of making batteries as well as dedicated production lines
The falling cost of producing batteries for electric vehicles, combined with dedicated production lines in carmarkers’ plants, will make them cheaper to buy, on average, within the next six years than conventional cars, even before any government subsidies, BloombergNEF found.
The current average pre-tax retail price of a medium-sized electric car is €33,300 (£28,914), compared with €18,600 for a petrol car, according to the research. In 2026, both are forecast to cost about €19,000.By 2030, the same electric car is forecast to cost €16,300 before tax, while the petrol car would cost €19,900.
The report’s timeline for cost parity is more conservative than other forecasts, including one from the investment bank UBS, which has predicted that electric cars willcost the same to make by 2024.However, forecasters are in agreement that the cost of new batteries will continue to fall in the coming years. headtopics.com
The new study, commissioned by Transport & Environment, a Brussels-based non-profit organisation that campaigns for cleaner transport in, predicts new battery prices will fall by 58% between 2020 and 2030 to $58 per kilowatt hour.A reduction in battery costs to below
$100 per kWh,is viewed as an important step towards greater take-up of fully electric vehicles, and would largely remove the financial appeal of hybrid electric vehicles, which combine a battery with a conventional engine.Electric vehicle sales, especially in the EU and China, but environmental campaigners are calling on governments to introduce tougher emissions regulations to encourage more consumers to make the switch.
The UK government plans toban the sale of new fossil fuel vehiclesfrom 2030, while European companies have called on the EU to set 2035 as the end date for selling new combustion engine vehicles in the bloc.Julia Poliscanova, T&E’s senior director for vehicles and emobility, said stricter CO2 targets were needed to accelerate the switch to electric.
“With the right policies, battery electric cars and vans can reach 100% of sales by 2035 in western, southern and even eastern Europe. The EU can set an end date in 2035 in the certainty that the market is ready. New polluting vehicles shouldn’t be sold for any longer than necessary,” she said. headtopics.com
The high cost of batteries, accounting for between a quarter and two-fifths of the cost of an electric vehicle, has previously led toto switch production away from their profitable fossil fuel models.Guardian business email sign-upReduced cost is seen as critical to make electric vehicles more attractive to consumers, especially when combined with increased range – the distance a vehicle can travel before it requires charging, and an improved charging network.
“Once you are well over 200 miles per range, and you’ve got a really good charging infrastructure, it becomes a no-brainer. We’ve seen that in Norway,” said David Bailey, a professor of business economics at the University of Birmingham.However, he believes the UK government needs to improve the charging network: “We are lagging behind some other north European nations, and we certainly need a much more rapid rollout of the charging infrastructure, at home, on-street and fast.”Read more: The Guardian »
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Hope the electricity distribution network is up to the challenge. Should we not already be digging up the roads to increase capacity ? For all those who are new to this working from home Bitcoin trading options Here's a little tip: Get a trusted Bitcoin expert and stick to her MALYAROVALARA_ Invest and play at similar times each day. Because : In times of chaos, your investment is your anchor to success⚖️
Interested to know the total global climate impact of average car production: from source to seat-metal extraction,material transportation and process,manufacture,product transportation, and probably using fossil fuel for electricity.That is before the owner sits in the seat. Notably it is ElonMusk who single-handedly via Tesla forced traditional automakers to also start making ElectricCars, paving the way to a sustainable transportation, thereby hopefully mitigating our ClimateCrisis.
Damn it, I have to replace my Tesla roof and windows again!! elonmusk time to drop the prices! W or w/out subsidies and taxes not unless you in China and it is cheaper already - just go and look at Model Y - but in the western world you looking at 2023 buy my reading - it would have happened last year but a pandemic started