EVs

Major automakers’ production plans for electric and plug-in hybrid electric vehicles (EVs and PHEVs) “are far below sales targets set by countries,” announced the International Energy Agency (IEA) in a press release accompanying the agency’s newly updated Electric Vehicle Roadmap report.

Major manufacturer production plans add up to 0.9 million units by 2015 and 1.4 million annually by 2020. In contrast, governments have set sales targets of 1.5 million units by 2015 and 7 million annually by 2020.

Evidently, policymakers have mis-underestimated (as a former President might say) market demand for EVs and PHEVs. The gap between production plans and political targets would be larger still without political props for those vehicles such as a federal tax credit up to $7,500 and billions in federal R&D support.

IEA believes more incentives and R&D — including coordinated federal, state, and local support for re-charging infrastructure — will do the trick. Now there’s a big surprise!