Residual Value: Electric Batteries vs. Internal Combustion Engine Vehicles
1–10 of 54 posts
Re: Residual Value: Electric Batteries vs. Internal Combustion Engine Vehicles
#2I was surprised there was only about 10% battery loss after 100k miles.
Re: Residual Value: Electric Batteries vs. Internal Combustion Engine Vehicles
#3This argument avoids the issue of battery depreciation as well as the fact that if you took the battery out of the car it's value goes to the scrap value.
Re: Residual Value: Electric Batteries vs. Internal Combustion Engine Vehicles
#4Do the batteries retain so much of their value because energy density (J/kg) of batteries hasn't improved for a long time? If a battery new tech comes out that is sufficiently energy dense (and is mass produced), these old batteries won't have much value except as scrap.
https://www.technologyreview.com/s/602245/why-we-still-dont-...
Re: Residual Value: Electric Batteries vs. Internal Combustion Engine Vehicles
#5This argument avoids the issue of battery depreciation as well as the fact that if you took the battery out of the car it's value goes to the scrap value.
For the cost of a new battery, you essentially get a car that performs just as good as the day it rolled off the assembly line. And since most tend to come with collision avoidance ability, more EV's might outlive their first battery without any accidents.
Re: Residual Value: Electric Batteries vs. Internal Combustion Engine Vehicles
#6This argument avoids the issue of battery depreciation as well as the fact that if you took the battery out of the car it's value goes to the scrap value.
[deleted]
Re: Residual Value: Electric Batteries vs. Internal Combustion Engine Vehicles
#7This is a terrible analysis. First of all, it assumes that the cost of a kWh of battery remains at today's high value. If battery costs are falling rapidly (and they are), then the value of a used battery pack will be driven down as inexpensive new packs come on the market. Second, it ignores the fact that 10-year-old packs will have a substantially higher rate of catastrophic failure than new packs, and if reliability is paramount then a used pack that is closer to failure won't have that much value. Third, the fact that every car brand uses very different pack designs means that it would be a nightmare to design some kind of heterogeneous power storage system made up of batteries from Leafs, Bolts, Fiats, Teslas, i3's, etc.
The current situation is that EV resale prices for everything but Teslas are plunging like a rock. Three year old Fiat 500e's are selling at auction for $4k, which is already less than the author's purported resale value of their batteries at 10 years.
Re: Residual Value: Electric Batteries vs. Internal Combustion Engine Vehicles
#8If there is sufficient demand from utilities for these batteries, wouldn't the supply get ramped up?
I assume at a certain scale, the costs go down for everyone. Part of why used combustion engines don't retain much value.
Re: Residual Value: Electric Batteries vs. Internal Combustion Engine Vehicles
#9This argument avoids the issue of battery depreciation as well as the fact that if you took the battery out of the car it's value goes to the scrap value.
For the cost of a new battery, you essentially get a car that performs just as good as the day it rolled off the assembly line. And since most tend to come with collision avoidance ability, more EV's might outlive their first battery without any accidents.
That's a specious argument. Most gasoline powered cars today will be performing as good as new at 100k miles with minimal attention beyond regular oil changes and a new set of spark plugs -- certainly, you don't need a complete motor replacement that early in. Likewise, any car with 100k miles, EV or not, will have a pretty worn interior, need a new suspension, be showing wear on its paint, have very out of date electronics and safety features, and be out of fashion style-wise (and yes, that matters when it comes to price. Just ask the designers of the Pontiac Aztek).
Re: Residual Value: Electric Batteries vs. Internal Combustion Engine Vehicles
#10This is a terrible analysis. First of all, it assumes that the cost of a kWh of battery remains at today's high value. If battery costs are falling rapidly (and they are), then the value of a used battery pack will be driven down as inexpensive new packs come on the market. Second, it ignores the fact that 10-year-old packs will have a substantially higher rate of catastrophic failure than new packs, and if reliabili…
Where does the author give a battery resale value for the Fiat 500e? Since it has a small battery, it degrades much faster per mile than a large battery.