A new report from J.D. Power and Associates casts a pall on the near-term future of electric vehicles (EVs) and hybrids, even as Nissan, General Motors and other automakers prepare to launch new green cars.
Titled “Drive Green 2020: More Hope Than Reality,” the report predicts that hybrids and battery-electric vehicles will account for just 7.3% of the 70.9 million vehicles forecasted to be sold worldwide by that year.
A press release issued by J.D. Power contends that it will be difficult to convince large numbers of consumers to switch from conventional vehicles to hybrids and electrics, unless at least one of the following occurs: Gas prices rise dramatically; there’s a substantial breakthrough in green technologies; or coordinated government policies encourage consumers to purchase the vehicles.
The study concludes that none of those three scenarios are likely in the next 10 years.
J.D. Power’s press release alludes to cost and range anxiety as two key reasons for the anticipated slow adoption.
“Many consumers say they are concerned about the environment, but when they find out how much a green vehicle is going to cost, their altruistic inclination declines considerably,” noted John Humphrey, senior vice president of automotive operations at J.D. Power and Associates.
So…what do you believe? Is J.D. Power’s study right? Or will new battery technologies and economies of scale save green vehicle technologies?