Dear Mr. Cramer,
There are a couple of other costs of electric vehicles that are not frequently discussed.
1. The lithium-ion battery is the only type that makes sense and there are no better batteries in prospect. Li-ion batteries inherently have a half-life of about 3 years, even if you leave them on the shelf. They lose power continuously. Thus, after 3 years you have half a battery. Ya gotta get a new one every 3 years. At a current estimated cost of $6,000 for the Volt battery the Volt will sell on the used market for its scrap value.
2. Infrastructure costs. Residential electricity is distributed at a high voltage and stepped down to household voltage by “pole pigs”. You’ve seen them. They’re the things on the poles that look something like 55 gallon barrels. Each one services a number of residences, the average being about 10. If electrics become ubiquitous and households increase demand much of the electric distribution system in the country will have to be revamped. The costs are mind boggling.
Roy
