Monthly Archives: February 2021

Electric Cars Now Cheaper Over Car’s Life

February 28, 2021Electric Cars, News, Reviews and CommentRepost

Still on the fence about making your next car an electric vehicle because of its sticker price?

An MIT cost calculator may spark you into thinking differently about your next car purchase.

New data published in late January from Massachusetts Institute of Techology’s Trancik Lab calculated both the carbon dioxide emissions of vehicles and their total lifetime costs to see which vehicles were gentlest on the planet and consumers’ wallets long term. The MIT researchers found that electric vehicles currently on the market are often cheaper over time owners use them than the gas-fueled cars most folks still purchase.

There is no doubt which class of vehicles pumps fewer climate-altering carbon dioxide molecules into the atmosphere. That competition is easily won by electric vehicles, even in regions where most electricity is not generated by renewable sources and despite the fact that battery production for the vehicles does contribute to carbon pollution. (Electric vehicles’ carbon savings offset those made in their creation between 6-18 months.

According to MIT, however, hybrids, which run on gas and electric, offered a mixed result, with some resulting in the same costs and carbon pollution as their gas counterparts while others pollute less and cost less.

When weighing their impacts on your wallet, gas vehicles trigger many costs that electric vehicles don’t have. Oil and fluid changes? Electric vehicles don’t need them. Electric vehicles also have fewer moving parks that experience less wear and break infrequently. Pricey stops at the fuel pump each week are also replaced by plugging the vehicle into an electrical outlet at home, where power costs are cheaper.

As the result, the Tesla Model 3, which costs $11,000 more than a Nissan Altima, will ultimately cost its owner less over its lifetime. The Tesla, with all of its costs averaged over its lifetime, sets owners back $426 per month; in contrast, a Toyota Camry XLE, after factoring gas and maintenance costs, runs $449 per month but contributes to climate change twice as much as the Tesla.

Among the cars with the lowest monthly costs were the compact cars the Nissan Leaf and Hyundai Ioniq at just over $300. Both are less expensive and less polluting than a Honda Civic, whose total expenses run closer to $350/monthly.

The savings cited by the MIT study are likely even better in Florida, which has very low electricity rates compared to other parts of the country. As electric vehicles’ battery prices continue to drop, the savings in coming years, as more car companies offer electric models and their market share expands, will also increase.

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MPs call for tougher air quality targets

February 27, 2021Electric Cars, Energy and Climate Change, News, Reviews and CommentRepost

The Government must address ‘alarming’ levels of poor air quality, which disproportionately affect disadvantaged communities, says the House of Commons Environment, Food and Rural Affairs (EFRA) Committee.

Drawing on evidence taken from health experts, local councils and campaign groups, the Committee’s Air Quality report urges the Government to ‘firm up’ its commitment to clean air by amending the Environment Bill – now delayed until autumn – to set a specific target to reduce levels of fine particulate matter (PM2.5) in line with World Health Organisation guidelines.

Long-term targets for other key pollutants, including NO2 and ammonia, must also be set, MPs say.

The committee also wants more support for local authorities.

It suggests there is “too much responsibility” given to local authorities “without sufficient resources” to improve local air quality and wants the Government to provide a long-term funding structure.

Campaign to get people back on public transport
To address concerns that social distancing rules may cause an increase in car use, the MPs want to see a public communications campaign encouraging a return to public transport, once levels of Covid-19 have fallen sufficiently, as well as embracing forms of active travel including cycling and walking.

While the committee welcomes the Government’s pledge to a green recovery, including the ban of the sale of new petrol and diesel cars by 2030, it urges the Government to make investments in infrastructure now, including the roll out of electric vehicle charging points in rural communities, and improved broadband to enable home working.

It also calls on the Government to ‘lead by example’ and update buying standards to ensure that only zero tailpipe emissions vehicles are procured across the public sector by 2025.

Consideration should be given to incentivising small businesses to update transport fleets with cleaner vehicles, MPs say.

Neil Parish MP, chair of the EFRA Select Committee, said: “Every year, an estimated 64,000 deaths are linked to air pollution disproportionately affecting disadvantaged communities.

“In rebuilding after the pandemic, we have a moral duty to put improving air quality at its core.

“While the Clean Air Strategy is a step in the right direction, the Government needs to be more ambitious. Before the Environment Bill comes back, commitments to reduce the levels of toxic particulates that cause the most harm must be strengthened – and targets on reducing the health impacts of air pollution included too.

“We were quick to return to our old ways following the spring (2020) lockdown, with pollution levels bouncing back by the summer.

“The Government has rightly banned the sale of new petrol and diesel cars by 2030, but we need more work to help accelerate towards a greener, cleaner future, so that commuting less and using electric vehicles more will be a real option for the majority.”

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Why Nobody Will Kill The Electric Car This Time

February 27, 2021Electric Cars, News, Reviews and CommentRepost

Despite the rapid rise of EV sales last year, it’s still far from certain that battery electric vehicles will take over in the way that those who are rooting for them expect.

After all, there is a precedent from 20 years ago, when a rosy-looking electric future was snuffed out unceremoniously and buried in the sands of time. Could this happen again? Could the vested interests of the incumbent fossil fuel vehicle industry repeat the same destructive trick once more?

In 1999, you could lease an electric car in some parts of the USA for $399 a month, with a 142-mile range and capable of hitting 60mph in just 8 seconds. Putting this in perspective, these are similar specifications to the Honda e released last year, which shows just how advanced this vehicle was for its time. It was called the EV1, and it was a sleek two-seater you could recharge in your garage. Owners loved them, but the company that made the car, General Motors, discontinued the vehicle just a few years after its launch and forcibly recalled all the cars on the road, eventually crushing most of them. GM donated a few to museums and researchers, but disabled the drivetrains, and has even taken legal action against anyone trying to re-enable them.

The reasons for the discontinuing and destruction of the EV1 remain controversial to this day. They were covered in great detail by the fascinating 2006 documentary Who Killed the Electric Car?, which is still available from some DVD and online rental companies. The documentary sets up a whole bunch of “suspects” for the murder, ranging from lack of consumer interest, to battery technology, to oil companies, car companies, and various government bodies. Even the hype around hydrogen comes in for accusations.

At the time of the documentary, GM claimed the EV1 wasn’t economically viable, but it seems like a web of vested interests felt threatened, from oil companies fearing loss of revenue to car companies fearing the low maintenance costs of EVs. There was also a huge push from the likes of US President George W Bush and California Governor Arnold Schwarzenegger towards hydrogen as the true miracle fuel for an eco-friendly transportation future.

Fast forward 20 years and none of these pressures have gone away. The oil industry still faces a massive drop in demand for fuel if there is mainstream adoption of EVs, governments worry about the loss in revenue from fuel tax, and dealers are concerned about losing lucrative maintenance contracts. There are still scores of keyboard warriors out on social media arguing that we should wait for never-arriving hydrogen and until then keep running our diesels (or gas guzzling V8s in the USA).

But something has clearly changed, looking at the slew of automaker announcements in the last few weeks. The main culprit in the EV1 controversy, General Motors, has officially become GM and pledged to focus on electric cars, with a plan to go entirely electric by 2035. Jaguar Land Rover is also going electric by 2025, with Jaguar cars becoming entirely BEVs by 2030 and Land Rover cars 60% BEVs by that date. Ford has released one of the most promising electric SUVs yet, the Mustang Mach E, and has now stated that, in Europe at least, all its cars will be EVs by the middle of 2026. British sports car company Lotus, in the process of releasing its electric hypercar the Evija, is ending the line on its current fossil fuel models and going electric from now onwards too.

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Ford says it will only sell EVs in Europe by 2030

February 27, 2021Electric Cars, Ford, News, Reviews and CommentRepost

Ford has said its entire range of passenger vehicles will be fully electric in the EU and UK by 2030.

While the US automaker only began delivering its first purpose-built electric vehicle, the Mustang Mach-E (pictured), in late December, it says by mid-2026 it plans for all its vehicles to be “zero-emissions capable” which means hybrid engines will be included at a minimum.

By the end of 2021, it plans to have launched 16 new hybrid and electric vehicles in the UK under its different brands.

To reach its lofty goals, which it now has less than a decade to achieve, Ford will invest $22bn (£16bn) in developing EV technology over the next four years, nearly twice its previous investment plans.

With Tesla recently becoming the most highly valued automaker in the world, despite not even cracking the top 10 in terms of units sold, it is clear which way the wind is blowing in the sector. Just last month, General Motors announced plans to become carbon-neutral by 2040 and eliminate exhaust emissions from new light-duty vehicles by 2035.

The new directions taken by the firms follow recent announcements such as the UK’s decision to ban new diesel and petrol cars by 2030 and expectations that the EU will make similar moves shortly.

Nevertheless, Ford stopped short of setting a date for when it will stop selling diesel-fuelled commercial vehicles, or other types of vehicle outside of the European continent. Spearheading Ford’s electric plans is a new $1bn (£720m) investment to modernise its vehicle assembly facility in Cologne, Germany. The investment will transform the existing vehicle assembly operations into the Ford Cologne Electrification Centre for the manufacture of electric vehicles.

Ford also confirmed that its first European-built, volume all-electric passenger vehicle for European customers will be produced at the facility from 2023, with the potential for a second all-electric vehicle built there under consideration.

“We successfully restructured Ford of Europe and returned to profitability in the fourth quarter of 2020. Now we are charging into an all-electric future in Europe with expressive new vehicles and a world-class connected customer experience,” said Stuart Rowley, president, Ford of Europe. “Our announcement today to transform our Cologne facility, the home of our operations in Germany for 90 years, is one of the most significant Ford has made in over a generation. It underlines our commitment to Europe and a modern future with electric vehicles at the heart of our strategy for growth.”

Ford closed its engine factory in Bridgend, South Wales, with the loss of 1,700 jobs in September last year after the UK’s car sector saw record declines driven by a combination of the Covid-19 pandemic and Brexit.

Unite national officer Des Quinn urged the manufacturer to place new investment in the UK. He said: “The dedicated UK workforce has suffered closures and job losses in recent years to help reshape the company and they now need to be rewarded for that loyalty, especially given the enormous value of the UK market to Ford’s operations.”

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Lidl notches up installation of its 100th rapid charger for electric vehicles

February 24, 2021Charging, Electric Cars, News, Reviews and CommentRepost

The roll out to Lidl stores in the UK of rapid chargers for electric vehicles has reached 100 with the installation of a 50kW charger at the Hayes Uxbridge Road store in Hillingdon, west London.

Under a deal agreed in 2019, charging infrastructure provider Pod Point extended its partnership with Lidl GB to install 350 rapid chargers by 2022.

Lidl’s EV rapid charger rollout represents a total investment in EV charging infrastructure of more than £25m and forms part of the store group’s commitment to address range anxiety and accelerate the transition to electric vehicles.

Lidl’s EV customers can now charge their EVs with up to 80% charging capacity in 50 minutes, and the retailer claims to be the cheapest national supermarket chain for PAYG rapid charging, at 23p/kWh.

Commenting on the milestone, Erik Fairbairn, Pod Point founder and CEO, said: “When most people think of Lidl, they probably think of food and drink. However, Lidl has also made an enormous contribution to rapid charging infrastructure in Great Britain. Currently 2.5 out of every 100 rapid chargers in the UK can be found at Lidl stores, and there are many more in the pipeline.”

Alan Barry, chief development officer for Lidl GB, commented: “We are committed to empowering our customers to make the right decisions for their lifestyle and are delighted to have reached this important milestone of bringing rapid charging for electric vehicles to 100 of our stores. We look forward to delivering this service to even more local areas in the near future as we continue with our investment.”

Lidl is also home to the most energetic public charger within the Pod Point network, at Lidl Northolt in West London, which delivered almost 40,000 kWh in 2020.

The 100th charger milestone represents around 13% of the total Lidl footprint with rapid charging facilities, a figure that will grow to more than a third once the rollout is complete.

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New car tax changes lead to a ‘surge’ in leasing as drivers benefit from ‘huge savings’

February 23, 2021Electric Cars, News, Reviews and Comment, SalesRepost

CAR TAX changes introduced last year have led to a massive 15 percent surge in car leases, according to experts from the British Vehicle Rental and Leasing Association (BVRLA).

New benefit in kind tax rules led to a massive upswing in take-up of plug-in and hybrid vehicles as drivers made use of the extra savings. Nearly one-fifth of the car leasing fleet now relies on electric powertrains as Diesel’s share fell below 50 percent for the first time.

The average CO2 emissions for cars leased by the BVRLA has also fallen from 107g/km to 105g/km in a new low.

The experts said the figures were around eight percent lower than the national average vehicle emissions.

BVRLA Chief Executive Gerry Keaney said the “long-awaited surge” was “expected” after the introduction of new tax rules.

He said: “Quarter three of last year delivered the long-awaited surge in BEV registrations that we expected after the introduction of the zero-rate BiK incentive.”

“A massive 21 percent of new business contract hire car registrations were BEVs, once again demonstrating that the company car sector is driving the transition to zero-emission motoring.”

New tax rules saw benefit-in-kind costs drop from 16 percent to zero percent for zero-emissions vehicles from April 2020.

This means drivers do not need to pay any Benefit in Kind charges if their company car emits no emissions.

This figure will increase to one percent in 2021 and two percent in 2022 meaning costs will rise but will still be massively reduced compared to previous values.

The two percent figure will remain in place for a further couple of years up to the 2024/25 tax year to encourage drivers to switch.

In comparison, those who lease a combustion vehicle are still liable for charges of up to 27 percent when securing a model under a salary sacrifice scheme.

Late last year experts at Octopus Electric Vehicles claimed the number of drivers leasing electric vehicles had doubled since the new tax rules were introduced.

The group said they had seen a 91 percent increase in electric car leasing as drivers realised they could save up to 60 percent in some cases.

Fiona Howarth has previously said the updates were a “financial game-changer” for the market.

She said: “Changes to Benefit in Kind tax have been a financial game-changer for EV leasing.

“Add this to brilliant electric cars hitting the market and huge savings on running costs versus petrol cars, and EV’s are a total no brainer.

“It’s no wonder then that we are seeing a huge boom, with the number of companies ordering EVs via our salary sacrifice scheme growing five-fold since April.”

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Ultra-rapid EV chargers surging in popularity – ZapMap

February 22, 2021Charging, Electric Cars, News, Reviews and CommentRepost

A rise in the usage of ultra-rapid chargers has been recorded by Zap-Map in a new survey of electric vehicle (EV) drivers.

In 2020, 16% of EV drivers used ultra-rapid chargers, with this being a significant increase from the 3% recorded the year before. There has also been an increase in the rollout of these chargers, with 788 ultra-rapid chargers across the country, up from 476 at the end of 2019.

However, despite this boost in ultra-rapid charging, the survey of 2,200 drivers found that 50kW rapid chargers are still the most popular with 64% of respondents using these chargers.

Both ultra-rapid and 50kW rapid chargers are typically seen in the public network, with the survey finding that 90% of EV drivers use the public charging network and 39% use it at least once a week. This has dropped from the 2019 figure of 95%, although this is likely to be due to the impact of COVID-19 on driving patterns and car usage, Zap-Map said.

When specific locations are looked at, 48% charge at supermarkets, with 47% charging at motorway service stations and 32% charging at public car parks. Previously, motorway service stations had been the most popular, although supermarkets have only pipped them by 1%. Zap-Map said the increase in the number of chargers at supermarkets – with 1,631 chargers in 952 locations – combined with he availability of free charging at some of the major chains is driving this shift.

Supermarkets such as Tesco, Aldi and Morrisons have all signed deals for EV charging, with Tesco’s rollout – in partnership with Pod Point and Volkswagen – hitting a new milestone in 2020 with 402 chargers installed at 200 stores.

Meanwhile, 84% of EV drivers regularly charge at home according to the survey. Dr Ben Lane, co-founder and chief technical officer at Zap-Map, said the report comes at a “crucial time for the EV market” and shows that EV drivers are “adapting to changes in the market”.

“One of the clear conclusions is the importance of having a robust and reliable charging network. As the number of EVs continues its upward march, it’s vital that drivers are offered the simplest and smoothest experience possible.”

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MG set sights on taxi and private hire market as new electric MG5 vehicles enter the industry

February 21, 2021Electric Cars, MG, MG5, News, Reviews and CommentRepost

Electric car manufacturers MG have set their sights on the taxi and private hire market as Lancashire taxi firm adds five new MG5 EVs to its fleet.

Award-winning Premier Taxis was named GreenFleet Private Hire/Taxi Company of the year thanks to its EV initiative after it began operating electric taxis in 2015.

The new all-electric MGs have replaced Toyota Auris Hybrids on the Premier fleet and will be used across the Lancashire firm’s region, as well as airport transfers where the large luggage capacity comes in handy.

Premier Taxis Business Manager, Nikita Cutler, said: “The MG5 EV is great as it has a larger luggage capacity. This will come in handy as these vehicles are viable for airport transfers to Manchester, allowing us to offer customers the opportunity to use a Zero Emission airport transfer service for the first time.

“They will also be really handy for local journeys for those customers who have just been shopping, or for when we are collecting shopping for our most vulnerable customers during the Covid-19 pandemic.”

Premier Taxis is gradually converting its entire fleet to electric-only thanks to huge reductions in running costs as well as positive feedback from its passengers.

Cutler added: “The investment in new electric vehicles is money well spent as operating costs for the company and drivers have reduced while at the same time allowing us to contribute to improving the air quality around Lytham St. Annes, Blackpool and Wyre.

“Electric vehicles also require less day-to-day maintenance, further reducing cost.

“Our customers find them very comfortable, enjoy the smooth and quiet ride and some of them choose only to travel in a 100% Electric vehicle as they understand the difference Zero Emission travel can make to local air quality.”

Premier Taxis driver, Steve Foster, said: “I have already been managing more than 200 miles on a single charge. I plug the car in at home at 5pm and that will last me until the following day at 5pm.

“Our old cars cost £22 to get to Manchester Airport. With the MG it will cost hardly anything to complete the same trip so they make great sense for a taxi driver.”

MG’s ground-breaking MG5 EV went on sale in autumn 2020 and is the UK’s first and only all-electric SW model, with a luggage capacity of up to 1,456 litres (578 litres with rear seats up) and an EV-only range of 214 miles.

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Electric Vehicles Near ‘Tipping Point’ of Rapid Mass Uptake Worldwide

February 20, 2021Electric Cars, News, Reviews and Comment, SalesRepost

Between 2023 and 2025, electric vehicles (EVs) will reach the “tipping point” of rapid mass adoption. In 2020, global sales rose 43% compared to the year before. That growth is expected to accelerate as battery prices continue to fall, bringing the cost of EVs down to the equivalent of or below petrol and diesel models – even without subsidies.

McKinsey’s Global Energy Perspective 2021 predicts:
“Electric vehicles are likely to become the most economical choice in the next five years in many parts of the world.”

Norway has already passed the tipping point thanks to tax breaks making electric cars cheaper than gas-powered vehicles. The Nordic country’s market share of battery-powered vehicles reached 54% last year. In most other European nations, that figure is still less than 5%.

Professor Tim Lenton of the University of Exeter explained:
“There’s been a tipping point in one country, Norway, and that’s thanks to some clever and progressive tax incentives. Then consumers voted with their wallets.”

According to Lenton’s latest study findings, EVs in Norway were 0.3% cheaper and had a 48% market share in 2019. However, in the UK, where EVs were 1.3% more expensive, the market share was just 1.6%.

Lenton said:
“Once the line of price parity was crossed, bang – sales go up. We were really struck by how non-linear the effect seems to be.”

While Lenton predicts lithium-ion battery costs will fall enough that EVs will match petrol and diesel cars’ prices by 2024-2025, BloombergNEF’s analysis suggests it could be as early as 2023.

Although, as of last year only 4,2% of new cars were electric. But moves like President Joe Biden vowing to swap the entire government fleet of vehicles and trucks to electric models should help us reach the tipping point faster.

James Frith, BloombergNEF’s head of energy storage, said:
“Government grants and tax breaks have cut the cost of electric cars in some countries, but the point when they become cheaper without subsidies is key. That’s definitely an inflection point. [Then] we really see the adoption of electric vehicles taking off and real market penetration.”

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The tax benefits of electric cars make for a compelling argument to buy

February 19, 2021Electric Cars, News, Reviews and Comment, SalesRepost

Many drivers, especially those with company vehicles, are discovering the tax benefits of electric cars. Charles Calkin outlines all the considerations for purchase in a rapidly changing market.

According to the Bank of England, Britons have saved over £100bn over lockdown. Expect us to spend a large chunk of that in the coming year.
One decision many people had to postpone last year was buying a new car. For some of us 2020 was the year we planned to go electric. Despite covid-19, more than 76,000 battery-powered electric vehicles (EVs) were actually sold in the UK – around one in 20 of all sales.
But this coming year is likely to see many more silently glide off the showroom forecourts. And the people leading the charge (sorry for the pun), will be drivers of company cars and company owners. That is because of the tax perks.

Appealing benefits
Someone who took delivery of a new petrol-fuelled BMW 3-series company car (146g/km of CO2) last April is paying a benefit in kind (BIK) tax of 32%, rising to 34% by 2022/23. A similarly priced, top-of-the-range Nissan Leaf E attracts zero BIK this financial year, 1% next and 2% the year after. Do the numbers and you will see that the BMW costs over £13,000 more in tax over three years.

For business owners there are additional benefits. I have a number of clients with earnings in the £100,000- to-£125,000 bracket who are contemplating buying themselves an electric company car instead of taking the income. That is because with every £2 that you earn over £100,000 you lose £1 of your personal allowance. It brings your income tax rate to effectively 60%. Paying 0-2% in BIK is a lot more appealing if you are in that position! The total cost of the car can be written off against your profits in the first year, which cuts your corporation tax, too.

Of course, you do not have to be a business owner to enjoy the lower running costs of EVs. They can be half as much as for petrol and diesel, depending on your electricity tariff and the time of day (or night) you charge the batteries.

The average UK driver will cover 7,400 miles in a year and the average new car fuel consumption is around 50 miles per gallon. So a typical new car gets through 148 gallons of petrol in a year. If the average price per gallon is £5.45 that means the “average” EV driver will save around £400 a year in fuel. And they pay no road tax – adding another £150.EV drivers also enjoy 100% discount on London’s Congestion Charge. That can be worth thousands to the daily commuter, though a lot less to a pensioner in Birmingham!

There are negatives. The government offers a grant of up to £3,000 to buy an EV, as well as £350 towards the cost of installing a home charger, but they are typically as much as £10,000 more expensive than petrol equivalents.
In theory then, you might have to drive your EV for between 10 and 20 years before the lower fuel bills make you better off financially. But bear in mind that the government is determined to drive us to electric. New cars fuelled purely by petrol or diesel will no longer be sold in the UK by 2030. I can easily imagine policy measures to make ownership of fossil-fuel and hybrid vehicles more expensive.

Hybrid solution
Many drivers will of course also be drawn to the altruistic appeal of reducing vehicle emissions – for some it is difficult to put a price on that.

In the end, therefore, it may not be the costs that put people off buying an EV but ‘range anxiety’ – the fear of puttering to a halt on the middle of the M1 because you have run out of energy.

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