Lilguy

Why the Electric Car Mileage Debate Is Meaningless

A good article whose bottom line seems to be that it will be the sizzle, not the meat, that sells the EV steak. Like Butch, I've crunched a few numbers on five-year costs. They look like this:

I can buy a compact Volt that costs me $40,000 upfront and operates at 3 cents per mile (not counting the occasional few gallons of gas) if you believe GM.

I can buy a compact Prius that costs me $22,000 upfront and operates at 50 MPG or somewhere between 5 and 10 cents per mile (gasoline at either $2.50/gal or $5/gal) not counting the occasional plug-in electrical costs.

I can buy a conventional compact car comparable to the Prius for $18,000 upfront that garners 25 MPG or 10-20 cents per mile in gas costs.

I can buy a nice $35,000 mid-sized conventional US auto averaging 20 MPG and pay 13-25 cents per mile for gas & no electrical costs.

Over five years of operation, my initial and gas costs are as follows, assuming 10,000 miles of driving per year (mostly urban--50 mi per workday @ 200 WD/yr):

--Volt: $41,500
--Prius: $24,500-$27,000
--Conventional compact: $20,500-$23,000 (Note: Gas would have to cost about +/-$20/gal for 5yr/50K mi costs to equal a Volt.)
--Conventional mid-sized: $41,500-$47,500

The Volt doesn't seem to add up: It is either too expensive or--if you want to spend the money--much less of a car than one can buy for the price.

....but your mileage may vary.

It will have a tough road to hoe in this down economy except among the greenest of auto buyers.

GM's Bondholder Pillaging Plan

The bankruptcy of GM & Chrysler (this week!) will be two more stakes in the economy's heart and drive a huge hole in the now-stumbling bear market rally.

I think May is going to be an ugly month in the market and the economy, although USG stats won't pick up the latter until at least June. And I really don't think the market has fully priced in the now-likely bankruptcies, at least not as of today.