One of the hottest topics in the auto industry is the electric car market. Many nations around the world are encouraging people to ditch their gas and diesel cars in favor of electric ones. Some places even offer subsidies and grants towards the cost of electric vehicles.
But despite the benefits of electric car technology, take-up has been pretty low. In the United States, just 1% of cars on the road are all-electric!
Were you thinking of selling up and buying an electric car from Motorline Direct to be a more eco-friendly driver? You might change your mind after reading this blog post! Keep reading to learn the ugly truth about electric car ownership and the industry as a whole.
Electric cars cost a fortune
Let’s be clear about this. The costs involved with buying an electric car are way higher than those of buying similar gas and diesel cars. I know that in many parts of the world the cost gets subsidised by government.
But the amount of money that gets allocated per customer differs in each country. And even taking into account generous subsidies and grants, the buying price of the car is still expensive.
As with many countries, the United States is still licking its wounds from the effects of the global economic crisis. Many of us would love to be greener motorists. But for a large proportion of car drivers, the costs of buying an electric are just too much to bear!
Some electric cars are worthless
We all know that depreciation affects all cars on the road. It can affect some cars worse than others. But did you know that some electric cars are pretty much worthless after just one year?
Over in Europe, one classic examples is the Renault Fluence ZE. If you bought one brand new in the UK, you would have paid £17,495 or $28,500 for it. On the used car market, a 12-month old model with average mileage is worth just £7,000 or $11,400.
As you can see, that is pretty bad depreciation! Of course, it would be wrong of me to claim that all electric cars are worthless. But that is just one of a few examples from the electric car market.
In general, depreciation on electric cars is quite high in comparison to gas and diesel versions. There are a few reasons for that, some of which I will cover in the following sections.
Electric cars cost too much to make
One of the reasons for the heavy depreciation is the manufacturing costs involved. Electric cars cost a lot to build because of the electric battery and motor components used. Carmakers spend billions of dollars on research and development into electric cars.
The only way they can reclaim that money back is by passing on those costs to consumers. Usually, when there is strong demand for a model, prices tend to settle down as manufacturing costs go down.
But because few people are buying electric cars, those costs are going to stay high for quite some time. Few people realize this, but electric car technology is nothing new. It’s been around since the early 19th century.
The sad truth is that history is repeating itself with this market. Electric cars were never popular back then because they were too expensive to buy. It’s not likely electric cars will get cheaper to buy and maintain anytime soon.
Charging time is too long
One of the biggest bugbears about electric cars today is that they take so long to charge! If you “plug in” your car to a standard 120v wall socket in your home, your car will take up to 20 hours to charge.
If you use a 240v wall socket, that charging time gets reduced down to seven hours. So if you lived somewhere like the United Kingdom, you could charge your car when you get home from work. And then it’ll be 100% charged for you the next morning before you head off to work again!
A lot of carmakers are offering rapid DC charging stations to electric car buyers. You have to pay extra for them. But they can give your car an 80% charge in just 20 minutes. That’s great news, but it’s annoying that you have to pay extra for it. Especially as the car itself already cost you a small fortune!