Electric vehicles cheaper than combustion by 2027, study predicts

Posted: May 10, 2021 by oldbrew in Batteries, predictions, Travel

EV charging station [image credit: Nissan UK]

A prediction from Bloomberg. Only 5-6 years to wait to see if it comes true. If EVs and plug-in hybrids are going to be much cheaper by then, there’s even less incentive to buy one now. A looming shortage of battery materials could put a spanner in the works.
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Electric cars will be cheaper to build than fossil fuel vehicles across Europe within six years and could represent 100 percent of new sales by 2035, according to a study published Monday, says TechXplore.

Carmakers are shifting en masse to electric and hybrid models in order to bring average fleet emissions under a European Union limit of 95 grams of carbon dioxide per kilometre, or face heavy penalties.

The study by Bloomberg New Energy Finance found that electric sedans and sport-utility vehicles will be as cheap to make as combustion vehicles from 2026.

Small cars will have to wait until 2027 to match the cost of fossil fuel models, according to the study, which was commissioned by Transport and Environment, a European clean transport campaign group.

Light electric vans will be less expensive than diesel models from 2025, and heavy electric vans from 2026.

“EVs will be a reality for all new buyers within six years,” Julia Poliscanova, senior director for vehicles and e-mobility at Transport and Environment, said in a statement.

“They will be cheaper than combustion engines for everyone, from the man with a van in Berlin to the family living in the Romanian countryside,” Poliscanova said.

A drop in the cost of batteries and the use of production lines dedicated to making electric vehicles will make them cheaper to buy, on average, even before subsidies, according to the study.

Full article here.

  1. Neil Catto says:

    I’ll stick to my diesel car with ad-blue technology thank you. By 2026 this scam will be over.

  2. Gamecock says:

    ‘Carmakers are shifting en masse to electric and hybrid models’

    [citation needed]

    ‘The study by Bloomberg New Energy Finance’

    What kinda business model is ‘new energy finance?’ Heavy into government largesse, no doubt. And with a name like that, how unbiased can we expect them to be?

    ‘found that electric sedans and sport-utility vehicles will be as cheap to make as combustion vehicles from 2026.’

    And fusion electricity is still 20 years out. I bet in 2026, electrics will be cheaper will still be 5 five years out. Interesting how they ‘found’ what future pricing will be. As if it’s fact. Predicting the future used to be difficult.

    Or they’ll do like wind energy, and just declare them cheaper.

    In casual observation of hybrid/electric prices over the last decade, I’d say the gap is widening.

  3. pochas94 says:

    Unless the lithium and cobalt producers figure out that they can charge whatever they want.

  4. JB says:

    Its the age of prognostication, which is directly connected to True Believing ideologues. They all want to make one and be vindicated, but never a peep when not.

    If electric transportation could be made cheaper than ICE transports, it would have happened in the previous century. Nothing new in the physics here.

  5. stpaulchuck says:

    seems they are preparing to ramp up subsidies for these toy cars to the point they are “competitive” price-wise with combustion vehicles, much like they did with crappy wind and solar prices.

  6. Curious George says:

    Mr. Bloomberg spent about $1Bn in 2020 to win a Democratic primary in American Samoa.

  7. Mack says:

    T & E are a green propaganda outfit funded by the usual suspects so I wouldn’t get over excited about their latest bout of ‘wishful thinking’. The only way EVs will be cheaper than ICE vehicles by 2027 is via massive state intervention in the market viz a vis taxes,subsidies and legislation.

  8. Bloomberg are heavy supporters of the Climate scam hoping to make money from the stupid followers. More people (including pretend scientists-like Trendberth) are moving to sit on the fence.There is little chance of EV taking over at least in Asia (including China and India) in the next 20 years.

  9. Chaswarnertoo says:

    And there are fairies at the bottom of my garden….
    BMW 335d 35,000 miles £11 K

  10. Phoenix44 says:

    It’s a joke. Why would they be cheaper? The cost of the basics – wheels, brakes, chassis, body can only ever be the same so the only difference would be the ICE engine versus an electric motor plus battery. The prices I’ve seen for batteries alone make that impossible.

  11. tom0mason says:

    As the old Danish proverb says —
    “Det er vanskeligt at spaa, især naar det gælder Fremtiden.”
    (English translation)
    “It is difficult to make predictions, especially about the future.”

  12. saighdear says:

    Sales talk. in other words, then, they reckon tha ICE vehicles will be as expensive as electric vehicles. and what sort of metric is that anyway? about as useful a quote as the MSM regularly gives us on size or weight of things. What is actually the cost of a car?

  13. Chris Morris says:

    There is more than a little deception about carmakers switching to EVs. They are switching because governments are legislating EVs out of existence. Even for the existing vehicles, they are penalising them with taxes and also subsidising EVs. An unsustainable model. A recent report said they worked out that if Norway switched completely to EVs, the subsidies would be the second largest government expenditure.