Energy Secretary Jennifer Granholm is Confident More Americans Will Love Electric Vehicles
Energy Secretary Jennifer Granholm discusses Americans' concerns and the future of electric vehicles.
Energy Secretary Jennifer Granholm's Confidence in Electric Vehicles
Energy Secretary Jennifer Granholm understands the concerns that many Americans have when it comes to electric vehicles (EVs). As a longtime EV owner herself, she has faced her own challenges with public charging infrastructure on road trips. She acknowledges that some drivers are hesitant to give up their traditional internal combustion engine vehicles for electric models, particularly due to concerns about range anxiety and the convenience of charging. However, Granholm is confident that more Americans will come to realize the benefits of owning an electric vehicle.
In an interview with ABC News, Granholm explained that as the price of electric vehicles continues to drop (with a 23% decrease year-over-year), and the cost of operating these vehicles becomes more affordable compared to traditional gasoline-powered cars, the appeal of EVs will become hard to ignore. Additionally, the convenience of not needing to visit gas stations and being able to charge at home or at public charging stations will also be a compelling factor for potential buyers.
Granholm believes that the growing market for electric vehicles will speak for itself. She emphasized that people love their cars, and she believes that they will eventually come to love their EVs as well.
Tesla's Role in Boosting Electric Vehicle Sales
Tesla has had a significant impact on the increasing popularity of electric vehicles in the United States. With a commanding 56% market share, Tesla has driven the growth of EV sales, which reached a record of nearly 1.2 million units in 2023. According to data from Edmunds, the average transaction price of a new EV in December 2023 was $62,526, higher than the industry average of $48,408.
To maintain its market share, Tesla has reduced prices on its popular models, such as the Model 3 and Model 7. However, the company has warned that its sales growth will be notably slower this year. Despite this, Tesla continues to innovate, with plans to release a next-generation low-cost vehicle by late 2025.
Tesla's success in the EV market underscores the growing demand for electric vehicles and the need for other automakers to compete in this space.
Electrifying the U.S. Auto Industry
Electrifying the U.S. auto industry is a top priority for President Joe Biden, who aims to reach at least 50% of new electric vehicle sales by 2030. The federal government has provided substantial funding for the expansion of the nation's public charging infrastructure, including the repair of broken or nonfunctioning chargers.
Energy Secretary Jennifer Granholm highlighted the importance of supporting the EV industry regardless of political affiliations. She pointed out that many EV assembly lines and battery factories are located in red states, employing thousands of workers. Major automakers like Mercedes-Benz, BMW, Ford, Volkswagen, Volvo, and Genesis have invested billions of dollars in electric vehicle production facilities across the country.
Granholm expressed optimism that as more people gain firsthand experience with electric vehicles and witness the positive impact they have on addressing climate change and reducing costs, the resistance and skepticism towards EVs will diminish.
