Electric highway: Is it the right bang for the buck?
Trying too hard to turn electric cars into something they are not?
Aside from costs, an undoubtedly huge issue, electric cars make much more sense than most consumers believe. Still, EVs require managed expectations. Today and well into the future, most electric cars are pure commuter cars.
Consequently, does the electric highway, set to stretch from Canada to Mexico along the West Coast’s Interstate 5 change that, at least in that neck of the woods?
I started thinking about this after reading about a study regarding the rail system in Great Britain. “The study showed that smaller and more incremental changes applied to a large proportion of the fleet would deliver significantly greater fuel saving benefits than more radical innovations applied to a smaller number of vehicles.”
Through 2020, electric cars are destined to be a very small percent of new car sales, and an extremely smaller percent of the overall fleet. Hence, it seems fair to ask if this niche segment is receiving too much attention today?
There is no question that battery research is essential, now. Might not electric highway money be better spent on this purpose? Or, like the train study, would it be better to focus on more mainstream hybridization?
Hybrids like the Toyota Camry hybrid and the Ford Fusion hybrid, for instance, prove that much better fuel economy is possible in cars that Americans already buy in huge numbers. Coupled with hybrid cars like the the Toyota Prius C, the technology to cost-effectively convert a huge chunk of US auto sales is almost within reach for mainstream buyers. Plus, if a battery breakthrough is achieved, these hybrids can be converted into plug-in hybrids — the type of plug-in that most studies suggest will be preferred by Americans for some time anyway.
I’d bet a $1,000 tax credit would go a long towards pushing consumers towards such hybrid vehicles. With the same plug-in tax credit money, you could put at least 7 times as many vehicles on the road compared to EVs, while also helping to develop more scale and better supply chains for such vehicles.
Of course, maybe today’s focus shouldn’t even be batteries, or at least not full hybrids. Instead, perhaps the mild hybridization of every pickup truck sold in America is the best focus right now. Instead of putting off light duty truck CAFE improvements for another decade, start right now.
Besides, isn’t range anxiety mostly a psychological issue, not a real one?
Certainly, the electric highway can help extend the viability of electric cars to some extent, but mainstream consumers are not going to be swayed into buying an electric because they can now stop every 80 miles, charge for half an hour — as long as their are no lines — and drive from San Diego to San Francisco. Mainstream consumers will want more, a lot more.
Thus, it seems to me the electric highway will only entice a very small number of new buyers to choose an electric car over another option.
Regardless, if we’re going to focus on charging infrastructure, wouldn’t it be more prudent to focus on the huge percent of American auto consumers that don’t have access to off-street parking? That’s a very serious problem. Since EVs make more sense in urban commuting than long range highway driving, wouldn’t solutions for this problem provide much more bang for the buck?
And considering today’s energy problems coupled with massive debt and a still struggling economy, shouldn’t the most bang for the buck and timeliness be key metrics for any government expenditures?


[...] Trying too hard to turn electric cars into something they are not? Aside from costs, an undoubtedly huge issue, electric cars make much more sense than most consumers believe. Still, EVs require managed expectations. Today and well into the future, most electric cars are pure commuter cars. Consequently, does the electric highway, set to stretch from Canada … Read more: http://www.hybridcarblog.com/ [...]
[...] Electric highway: Is it the right bang for the buck? var addthis_product = 'wpp-262'; var addthis_config = {"data_track_clickback":false,"data_track_addressbar":false};if (typeof(addthis_share) == "undefined"){ addthis_share = [];}Trying too hard to turn electric cars into something they are not? Aside from costs, an undoubtedly huge issue, electric cars make much more sense than most consumers believe. Still, EVs require managed expectations. Today and well into the future, most electric cars are pure commuter cars. Consequently, does the electric highway, set to stretch from Canada … Read more: http://www.hybridcarblog.com/ [...]
OMG – Larry I must be turning into a liberal and didn’t even realize the transition. What is to become my small little world, LOL
While it is true that I am mostly a conservative individual, I sincerely believe in promoting new energy sources and a cleaner environment for our future. I want something better for our grand kids.
Your comment really made me laugh.
If there is still a gas guzzler tax that brings money in…even though there is no real nexus to credits – one might make the case but the GOP sees stuff like this as left wing social engineering.
I’m SHOCKED! I thought Tom was more conservative than that!
I like Tom’s idea too, but agree with Larry.
Neither the GOP nor the American public would tolerate such a plan…
Ironically, such a plan is consistent with what Japan and Europe are doing, which is why those countries use so much less oil per person than the US, while having very little sacrifice in lifestyle….
I really LIKE Tom’s idea. I think the GOP would have hemmroids over it!
[...] Electric highway: Is it the right bang for the buck? var addthis_product = 'wpp-262'; var addthis_config = {"data_track_clickback":false,"data_track_addressbar":false};if (typeof(addthis_share) == "undefined"){ addthis_share = [];}Trying too hard to turn electric cars into something they are not? Aside from costs, an undoubtedly huge issue, electric cars make much more sense than most consumers believe. Still, EVs require managed expectations. Today and well into the future, most electric cars are pure commuter cars. Consequently, does the electric highway, set to stretch from Canada … Read more: http://www.hybridcarblog.com/ [...]
I believe the approach of Amory B. Lovins of the Rocky Mountain Institute has merit. He believes that a surcharge tax on gas guzzler vehicles should be collected. That tax [dollar for dollar] should be used to fund rebates for people who purchase lightweight fuel efficient vehicles. This would result in a net zero cost to our government. The beauty I see in such a tax is that it fixes many things all at once.
1. It discourages the purchase of large gas guzzler type vehicles but does not PREVENT the sale of such vehicles.
2. It provides a negative incentive for gas guzzlers while providing a positive incentive for those who purchaser more fuel efficient vehicles, and;
3. It could result in a more fuel efficient fleet more quickly than the approach we seem to have taken which is to increase gas prices.
Just a thought.
[...] Electric highway: Is it the right bang for the buck? var addthis_product = 'wpp-262'; var addthis_config = {"data_track_clickback":false,"data_track_addressbar":false};if (typeof(addthis_share) == "undefined"){ addthis_share = [];}Trying too hard to turn electric cars into something they are not? Aside from costs, an undoubtedly huge issue, electric cars make much more sense than most consumers believe. Still, EVs require managed expectations. Today and well into the future, most electric cars are pure commuter cars. Consequently, does the electric highway, set to stretch from Canada … Read more: http://www.hybridcarblog.com/ [...]
[...] Electric highway: Is it the right bang for the buck? var addthis_product = 'wpp-262'; var addthis_config = {"data_track_clickback":false,"data_track_addressbar":false};if (typeof(addthis_share) == "undefined"){ addthis_share = [];}Trying too hard to turn electric cars into something they are not? Aside from costs, an undoubtedly huge issue, electric cars make much more sense than most consumers believe. Still, EVs require managed expectations. Today and well into the future, most electric cars are pure commuter cars. Consequently, does the electric highway, set to stretch from Canada … Read more: http://www.hybridcarblog.com/ [...]
the interesting thing is that there are a number of different ways to structure a tax credit.
For instance, it could apply ONLY to your tax liability such that you would not get it if you had no tax liability.
Another way would be to treat it like a first time home buy credit – that has to be gradually paid back over 5 or 10 years.
So you get help buying it but then you have to pay it back .much like a temporary loan just for hybrids.
then the credit could also be graduated and means tested such that the higher your income, the less credit you get.
there are a LOT of ways to do this – in such a way as to incentivize the purchase but limit the actual cost to the government.
in other words, instead of a big free lunch.. you get a “little” help.
Dahc,
You have asked for this before, but the numbers just don’t add up.
A $1000 tax credit for every hybrid vehicle purchased is simply more money than our gov’t, and it’s trillions of dollars of debt can handle.
Just as the gov’t can’t buy up all the lost equity for all the bad mortgages, the gov’t cannot foot the bill to put a hybrid in everyone’s driveway.
What you are talking about is a variation of the “cash for clunkers” program, which spent a whole lot of money in a short amount of time and had little impact on average fuel economy.
Hybrids have already had their tax break, and you know what? It worked!!! The hybrid industry is now able to stand on its two feet.
The original hybrid tax break is an example of how it should be done. It was successful because it had a cap of 60,000 vehicles per manufacturer. It did not cost the gov’t a small fortune, but still stimulated interest in hybrids….
The answer is not to eliminate “other programs”, so that the money can be redirected into one overly big and overly expensive hybrid tax break for everyone. We need all these other programs.
We don’t need to put all of our eggs in one basket…