When GM product chief Bob Lutz was asked how long it would take before the Volt would be profitable, he said, “About as long as it took Toyota to make money with the Prius."
It took Toyota about a decade to make money on the Prius. Now, 15 years since the Prius’s debut in Japan in 1997, the hybrid has become its own successful line of profitable models. For at least four or five years after its introduction, the Prius was ridiculed as a costly science experiment that would never make money.
You're ready to declare the Volt a financial loser—not quite seven years after its introduction.
Have you ever driven or even ridden in a Volt? Do you know anybody who owns one?
I sincerely doubt it.
You just don't think electric or hybrid cars of any kind can be successful.
That's fine, a lot of buggy whip makers yelled "Get a HORSE!" for about a decade after the first Model T cars started clattering down American roads in the turn of the century, too.
And I'm telling you that while American sedan sales are generally too poor to be profitable enough, the technology in the Chevy Volt is an unparalleled success because dollar for dollar and pound for pound, Voltec technology delivers a lower overall cost of ownership than almost ANY car on the planet.
Example 1 – Gasoline: You drive 1,000 miles per month, your car gets 25 Miles Per Gallon, and you pay $3.00 for a gallon of gasoline. That means:
1000 miles / 25 Miles Per Gallon = 40 gallons of gasoline
And
40 gallons of gasoline @ $3.00 a gallon = $120 per month in Gas Costs.
Example 2 – Electricity: You drive 1,000 miles per month, your car (The Chevy Volt) gets 2.7 miles per kilowatt hour used (EPA estimated average), and you pay $0.12 per kilowatt-hour (national average) That means:
1000 miles / 2.7 miles per kilowatt-hour = 370 Kilowatt-Hours
And
370 Kilowatt-Hours @ * $0.12 Per Kilowatt Hour = $44.44 in Electricity per month.
*12 cents per kWh doesn't take "off peak discounts" into account, where you might be paying as little as 6 cents per kWh.