Pretty Soon Electric Cars Will Cost Less Than Gasoline

New reports suggest that electric cars will actually cost less than gas-powered cars by as early as 2025. The major reason for this is falling battery prices: batteries account for about half the cost of an EV, yet they are forecasted to fall by 77 percent between 2016 and 2030. Some manufacturers believe that ownership costs of EVs will already equal conventional internal combustion engine vehicles by the early 2020s. ...research from Bloomberg New Energy Finance indicates that falling battery costs will mean electric vehicles will also be cheaper to buy in the U.S. and Europe as soon as 2025. Batteries currently account for about half the cost of EVs, and their prices will fall by about 77 percent between 2016 and 2030, the London-based researcher said. "On an upfront basis, these things will start to get cheaper and people will start to adopt them more as price parity gets closer," said Colin McKerracher, analyst at the London-based researcher. "After that it gets even more compelling."