Automakers—notably Chevrolet—have done their best to bring affordable electric vehicles to market. The 2017 Bolt EV truly kicked off the electric propulsion revolution with a 238-mile range at a sub-$30,000 price.
However, things are expected to get even more affordable—in fewer than 10 years, at that. A new report from Bloomberg New Energy Finance predicts electric vehicles will be more affordable than gasoline-powered cars by 2025 at the earliest. It extends its prediction to 2030.
The blessing will be battery prices, which contribute to EVs’ high price tags and near zero profitability. Between now and 2030, the report estimates battery prices will plunge 77 percent. Factor in automakers’ ambitions to electrify more and more vehicles—economies of scale—and the prediction could be right on the money. General Motors itself certainly won’t rest after the Bolt EV.
Bloomberg previously reported the influx of EVs, their low costs and demand for alternative propulsion could be brewing an oil crash as early as 2023. Research pegs EVs to save 2 million barrels of oil per day.