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Electric Vehicles: Thoughts on How to Increase Adoption in the US

Last year, I went to the Verge conference in Washington, DC. It was arranged with a noble idea to get people from various industries, those who are on the different sides of the same problem, to sit in the same forum and discuss their issues. EV adoption, or rather the lack of it, was an area of interest for me and I was enthused by one of the panel discussions on that very topic. There were representations from utilities, regulators and EV companies. My question to the panel was why aren’t utility companies jumping all over this? The answers were a laundry list of all the problems utilities face. Having worked with utility companies for almost all my career, I was not surprised with the answer.

The total cost of ownership for electric vehicles in the long run is less than that of gas-powered vehicles. A quick check on Edmunds True Cost to Own® website proved that. According to the website, the 5 year cost to own a 2012 Nissan Versa is $33,863. One component of this is the cost of fuel for the 5 years, which was estimated at $10,184. In comparison, a 2013 Nissan Leaf has a 5 year cost to own of $25,830 with a cost of fuel, a whopping $2,187! Of course you will have to compromise on the driving range on a full tank /charge – 290 miles for the Versa compared to 75 miles for the Leaf. But then again, you can charge every night without going to a gas station. A study on the driving patterns in the US showed that 95% of the people drive less than 30 miles on way. And it is obviously environmentally friendly. According to the US Depart of Energy website, average emission for a gasoline compact sedan is 0.87 lb of CO2 equivalent, whereas that for an all-electric car is 0.54 lb of CO2 equivalent. And that accounts for the fact that nearly half of the electricity generated in the US is from coal.
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