TRAVERSE CITY, Mich. (AFP)--Nissan Motor Co.'s (NSANY) upcoming
all-electric car could outsell hybrids like Toyota Motor Co.'s (TM)
Prius even though it can't drive more than about 100 miles (160
kilometers) without stopping to recharge, a senior executive said
Thursday.
That's because, unlike more expensive hybrids, owners of the
zero-emission Leaf will be able to save money while saving the
environment, said Larry Dominique, Nissan North America's vice
president for product planning.
"Hybrids won't get you there, range extended (plug-in hybrids)
won't get you there," Dominique told reporters on the sidelines of
an automotive conference in Traverse City, Michigan.
"They're good technologies, but for the mass market appeal, they
have much bigger obstacles, especially on upfront cost."
Hybrids currently account for about 2% of global auto sales.
Nissan expects electric vehicles to swallow 10% of the global
market by 2016 to 2020.
"We are very confident that Leaf will give you a lower cost to
ownership," Dominique said on the margins of the CAR Management
Briefing Seminar.
Nissan plans to sell the midsized Leaf hatchback for somewhere
in the $25,000 to $33,000 range.
That's slightly more than the current price of the Prius but up
to $20,000 less than the expected cost of the Volt, General Motors
Corp.'s (GM) plug-in hybrid.
The savings also come in the cost of refueling: even in the most
expensive electricity markets, most drivers should be able to
charge their Leaf at home for less than $1.
And even if gasoline prices were to fall below $1.10 a gallon,
most vehicles would still cost more to fuel than the Leaf,
Dominique said.
Nissan will introduce the Leaf to business and government fleet
customers in the U.S., Japan and Europe next year.
It is also working with a number of utility companies and local
governments to set up public recharging stations so the Leaf can be
sold to consumers as soon as late 2010. The Leaf is targeted for a
mass market release in 2012.
Dominique acknowledged that it will be a challenge to mass
market a limited-range vehicle in the geographically spread out
U.S.
But the current range will be sufficient to meet the daily
commuting needs of the vast majority of drivers and it comes at a
time when a growing number of U.S. consumers are concerned about
cutting their carbon footprint, he said.
"It's going to be hard to convince the guy who lives in Butte,
Montana who has to drive 40 miles to the grocery store to buy an
electric vehicle," Dominique said.
"We do believe that we're at this tipping point where if we
bring in the right technology at the right price with the right
execution...that we'll be able to convince people this is a great
alternative."
Owners will be able to recharge the battery at home through the
domestic power supply in about eight hours, or top it up to 80%
capacity in around 30 minutes at planned electric recharging
stations.
Among other features, drivers will be able to use their mobile
telephones to turn on the air conditioning and set the battery
charging functions.
If they need help finding the nearest charging station, the
navigation system will point the way.
Nissan, Japan's third largest automaker, was slower than Toyota
and Honda Motor Co. (HMC) to embrace fuel-sipping petrol-electric
hybrids, but it is determined to steal a march on its larger
competitors in zero-emission cars.
The dream of an electric car, which has been around since the
time of Thomas Edison, has so far failed to break into the
mainstream because of limited battery life and high costs.
Technological breakthroughs in the development of long-lasting
lithium-ion batteries have significantly and lowered the cost of
electric vehicles and increased their range and top speed
potential.
The Leaf won't be the first mainstream electric car on the
market. Mitsubishi Motors Corp. (MMTOY) recently rolled out its
"i-MiEV" minicar while Fuji Heavy Industries Ltd. (FUJHY) launched
the Subaru plug-in STELLA.