Obama plans to buy some $4plus million dollars on Electric Vehicles to save $116 thousand annual fuel cost. USA Today reports that the Obama Administration is planning on buying 116 electric vehicles and installing charging stations in five cities.
The usual ideology that the country needs to boost alternatively powered vehicles to reduce CO2 emissions and reduce foreign crude oil use is in play here. This administration’s devotion to the man-made global warming theory is going to drive us to third world status if we don’t vote them out of power at the next election.
Based on Consumer Report’s analysis, the government would be better off to buy a Prius at half the cost and the Prius gets better mileage. On March 3, 2011 USA Today posted the following:
Consumer Reports magazine offers its initial assessment of the two reigning wondercars of our times, the Chevrolet Volt and Nissan Leaf, in its April issue and finds both may not be such good deals after all.
Not only has Consumer Reports’ test car been coming in at the low end of the electric-only mileage range — 23 to 28 miles, not 25 to 50 miles as billed — before the gasoline power kicks in, but CR had to pay over list to the get the car. It says it had to pay $48,700 — full price plus options and a $5,000 windfall to the dealer.
It gets worse. CR figures the cost of recharging the Volt would work out to about 5.7 cents a mile for electric mode and 10 cents a mile for gas. Yet a Toyota Prius, which gets about 50 miles a gallon, would cost 6.8 cents a mile to operate. A Prius costs half as much as a Volt.
Using the Consumer Report price of $48,700 and a Prius price of nominally $28,000, the extra cost for getting the Volt would be about $20,000 per car. Is the actual price of the Volt $48thou versus the MSRP of $41thou? The Los Angles Times reports that some Volt dealers are inflating the selling prices “more than $20,000 above GMs suggested retail price of $41,000”.
Using the difference in the purchase price, $20,000×116= $2.3 million premium for the same (or possibly worse) gas mileage. There is also a cost for the charging stations. Chuck Rogers in an American Thinker posting estimated the five charging stations at…. “$75,000, including any and all land purchase or site lease costs.”
Roughly we have about $2.4million dollars premium to save the same amount of annual fuel costs that could be achieved by buying the same number of Prius. (Are more than one Prius, Prii?)
Ok, so “buy US” is a good thing for our government to do. But my guess is that the Chevy Cruise would be a better buy. Ideology gets in the way of common sense.