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Electric Cars Closing In on Gas Guzzlers as Battery Costs Plunge

  • Annual BNEF battery survey finds prices near tipping point
  • Electric buses in China may already be there, below $100/kWh
 

Electric cars have long been saddled with bigger up-front costs than those burning gasoline or diesel, due to the cost of batteries.

 

Electric cars have long been saddled with bigger up-front costs than those burning gasoline or diesel, due to the cost of batteries.

Photographer: Rolf Schulten/Bloomberg
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Electric vehicles may cost about the same as their gas-guzzling brethren in just three or four years -- and only get cheaper from there, according to a new report from BloombergNEF.

Electric cars and buses, which are key to fighting global warming, have long been saddled with bigger up-front costs than those burning gasoline or diesel, due to the cost of batteries. But researchers say that price premium will disappear once battery packs reach $100 per kilowatt-hour -- a tipping point BNEF expects to occur in 2023, according to its 2020 Battery Price Survey.