High battery cost restraints use of electric cars
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Posted On :
Oct-21-2010
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Article Word Count :
512
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Electric cars have got the support of governments as well as of the auto makers all over the world.
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Electric cars have got the support of governments as well as of the auto makers all over the world. But apart from this support, the major problem that these electric cars are facing these days, is the high cost of the huge battery packs. A speedy take-off in the sales of electric cars may lower the battery prices, opine the government and also the auto industry. But on the other hand, may scientists and experts think that this cost reduction will take a long time to appear. The reason behind is that the battery packs do not come with the traditional economies of scale, say scientists. Even after the high price of battery packs, A123 Systems of Michigan is considering the demand for the electric vehicles. According to the experts, the ramped up battery production indicates towards the cost of the key metals used in the making of these batteries which will remain constant. They further added that it may even increase further. There is the possibility that even the cost of the electronic parts, which are used in these packs of batteries, might increase.
The Department of Energy of United States aims for reducing the costs of car-battery by around seventy percent from the previous year’s cost, by 2014. An official said that the battery pack in rel="nofollow" target="_blank" href="cardekho.com/cars/Nissan" title="Nissan Cars">Nissan Cars Leaf compact car, the all-electric vehicle which will be launched in December costs $15,600 to the Nissan Motor Co. This price may create problem for the upcoming Leaf. Nissan company denied to comment on the cost the battery packs. The company stated that it might reduce the battery price through its manufacturing scale. The company is making a plant in Smyrna, Tenn with the capacity of assembling around 200,000 packs a year.
The other players of electric vehicles believe that the costs of the battery will decline when the production ramps up. David Vieau, chief executive officer of A123 Systems of Watertown stated that these prices are likely to reduce down by a factor of 2 in the coming 5 years. Some other experts believe that the cost reduction is possible through capable factory management, reducing the waste and some other expenses related to management. But on the other side, there are certain researchers, for example, Mr. Whitacre, the National Academies of Science who say that over 30% of the price of the batteries is due to the metals like manganese, nickel etc. And the cost of such metals have got no chances of fall.The Academies and Toyota Motor Corp. have stated that the goals of Department of Energy are not possible to be achieved. The company said it will take more than twenty years before the price falls by around fifty percent.
One of the auto reports say that economies of scale are generally seen as a point which may lower the prices but 100s of millions to billions of battery cells are being built in the factories. Now starting more factories has got no chance of having a big effect on the growing costs.
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Article Source :
http://www.articleseen.com/Article_High battery cost restraints use of electric cars_38733.aspx
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Author Resource :
Keep yourself updated for more information on Toyota Cars and all other Car at cardekho.com.
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Keywords :
Nissan Cars , Toyota Cars, Car,
Category :
Travel and Leisure
:
Travel and Leisure
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