It has become clear that since the beginning of the new millennium there has been a shift in the automotive industry. The first big change came when the assembly line was created leading to more vehicles on the road for much cheaper. Then there was the electronic fuel injection which improved vehicle’s engine efficiency. Now, since the start of the 2000’s, the newest big wave in the auto industry is electric vehicles. We have seen this shift coming for a while, from the introduction of hybrids to touch screens being standard equipment, you would be naive to think it’s a passing fad. Both the businesses and consumers are pouring money into these new vehicles because they understand that now is the time to go electric!
On top of businesses spending billions of dollars on electric vehicles many consumers are looking to invest in electric vehicles as well. According to Consumer Report 31% of Americans are going to be looking to purchase an electric vehicle next time they are in the market for a new car. It is no mystery that it is much cheaper to own a hybrid vehicle as you eliminate the need to fill up your car regularly with gas. For example take a 2019 Nissan Leaf, its average rated efficiency at 99 mpg would cost you $4.08 in kilowatt/hours to go 100 miles vs. a car that is 25 mpg that would run you $10, since the average price of gas in the United States is $2.50. This is why ⅔ of the people that said they would be purchasing an electric vehicle said they would be getting one for the long term return on investment. While this increased demand has resulted in the amount of tax incentives going down a bit, you have to think of the bigger picture. You have to think about the amount of money you will save when more and more of these vehicles go on the market for resale. On top of the money that you will be saving on purchasing one of these vehicles as used, you can still get tax credits on top of the incentives the government offers. These government incentives are due to them trying to reduce the amount of carbon emissions being produced (we get into this in the “Government” addition of this series).
Once you own one of these vehicles, the last thing you need is to install a charging station in your home and you will have an unlimited power source for your vehicle. A Level 2 Electric Vehicle Charger will cost you around $350-$700, and then a couple hundred extra to have the device installed into your home by an electrician. This part is up to you, the more money you spend on the charging station and installation, the less time you will spend charging your car at charge stations and save yourself time and money.
If you personally are still not a believer in the electric vehicle movement let the money give you all the proof you need. Hundreds of billions of dollars are being poured into producing and improving electric vehicles, if these big companies like Ford and Volkswagen did not believe in this movement than trust me, they would not be putting tens of billions of dollars on the line trying to beat out their competitors. Not only are the big companies spending money on electric vehicles but you can see for yourself the staggering increase of electric vehicles hitting the road everyday on your commute to work. A few snowflakes are beginning to turn into an avalanche; a small trend turning into an entire industry of its own and is beginning to make headway as the future of transportation.
Check out the rest of this series to find out how your shop will be affected by this new wave of vehicles.