Costs, Policies Threaten EV Uptake in US

Copyright © 2023 Energy Intelligence Group All rights reserved. Unauthorized access or electronic forwarding, even for internal use, is prohibited.
Tomas K/Shutterstock

US President Joe Biden has put forward one ambitious pledge on accelerating electric vehicle (EV) deployment after another. Last week, Biden followed an earlier vow for 50% of US auto sales to be from EVs by 2030 with an even loftier goal: proposed tailpipe emission standards that would see EV market share take up 67% of new passenger car sales by 2032. In addition, California, which accounts for a whopping share of the US auto market, plans to phase out sales of new internal combustion engine vehicles by 2035. Still, headlines in recent weeks have focused on the notion that, despite policy drivers and Tesla-led price drops, upfront costs still pose a significant barrier to speeding up EV uptake in the US. The US still has much ground to cover. EVs made up just under 6% of new US vehicle sales in 2022, although in California the number was roughly 16%. A recent Morning Consult survey suggested that in a poll of US consumers who said they would not consider an EV, 64% said they were “too expensive.” Another widely cited survey from the University of Chicago’s Energy Policy Institute and the Associated Press-NORC Center for Public Affairs Research found nearly half of those surveyed indicated they were "unlikely" to consider an EV, and 60% of those cited cost as the top reason, with inadequate access to charging stations close behind.

Electric Vehicles, Policy and Regulation, Low-Carbon Policy, Oil Demand
Wanda Ad #2 (article footer)
Mounting risks threaten a predicted loosening of LNG markets by 2026, as the industry copes with cost inflation, labor shortages, construction delays and other challenges.
Thu, Sep 28, 2023
The heads of the IEA, ECB and EIB discussed how Europe can avoid falling behind its competitors in the transition to low-carbon energy.
Fri, Sep 29, 2023
US and EU blocks on Chinese solar and EV imports pose the biggest danger to the 1.5℃ target the IEA says is still attainable.
Fri, Sep 29, 2023