Study: Battery costs will keep electrics-vehicles from becoming mainstream

Posted: Jan 07, 2010
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According to a study by Boston Consulting Group, Electric vehicles are unlikely to become a mainstream phenomenon by 2020. Price is the main culprit as automakers maintain a long-term cost target of $250 per kilowatt-hour for lithium-ion batteries; the current price is between $1,000 and $2,000.

By the current price, a 20 kilowatt hour EV battery costs about $20,000 and are expected to fall to about $8,000 by 2020, but that is still not enough, according to the study which claims that consumers seek a three-year payback on EVs.

“Nobody so far has found the silver bullet,” Xavier Mosquet, leader of the firm’s global automotive practice, said. “A number of OEMs are going to invest money and not get the return unless there is a new technology or a new oil shock.”

The report also projects however that 265 of cars sold in major markets will derive some power from a form of battery, but these are mostly hybrid vehicles.

- By: Stephen Calogera

Source: Automotive News (Subscription Required)


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  • HSR0601

    1. As with most innovations, for instance like digital cameras, the development of EVs, too, might take some time, even if the technologies are advancing rapidly.
    Here what matters most would be to fast track the process by the ambitious financing, especially for the network, to offset the lost period brought on by neglecting to replace oil-based mobility.

    2. Rather than including the battery, leasing and recycling it could offer a buffer to the potential breakthrough.

    3. Once we think of energy fix differently, the coming of EV epoch might never be far-fetched.

    Under the current capacity of electricity generation in America, it is said to be able to accommodate comfortably 2 millions of EVs during nighttime. While the typical power sources are predictable, certain sources are inefficiently forced to produce juice even over the off-peak hours.

    It reflects EVs are not simply able to take full advantage of the excess juice, but can play a major role in the forthcoming sustainable yet intermittent energy sources as a precious storage.

    Making sense of the energy industry, we could expedite the roll-out of EVs without reservation.

    Our energy future might hang on our different approach.

    Thanks A Lot !

  • HSR0601

    1. As with most innovations, for instance like digital cameras, the development of EVs, too, might take some time, even if the technologies are advancing rapidly.
    Here what matters most would be to fast track the process by the ambitious financing, especially for the network, to offset the lost period brought on by neglecting to replace oil-based mobility.

    2. Rather than including the battery, leasing and recycling it could offer a buffer to the potential breakthrough.

    3. Once we think of energy fix differently, the coming of EV epoch might never be far-fetched.

    Under the current capacity of electricity generation in America, it is said to be able to accommodate comfortably 2 millions of EVs during nighttime. While the typical power sources are predictable, certain sources are inefficiently forced to produce juice even over the off-peak hours.

    It reflects EVs are not simply able to take full advantage of the excess juice, but can play a major role in the forthcoming sustainable yet intermittent energy sources as a precious storage.

    Making sense of the energy industry, we could expedite the roll-out of EVs without reservation.

    Our energy future might hang on our different approach.

    Thanks A Lot !