Chevy Volt

Save Billions by Ending Electric Vehicle Subsidies for Wealthy

Akerson and VoltIf the White House and Congress are looking for a place to cut, how about ending the $7,500 electric vehicle (EV) tax credit for those making over $200,000 a year?

The Congressional Budget Office recently reported that federal EV subsidies will cost taxpayers about $7.5 billion over the next few years. The majority of those buying costly "green" vehicles, like General Motors' Chevy Volt, are making far more money than the average American. Why should those that can afford to buy these green toys get reimbursed $7,500 each as the nation is going broke?

GM Recovery in Reverse as Earnings Disappoint

Akerson photoGeneral Motors released its disappointing earnings report last week to the sound of crickets. While financial TV news networks (along with most analysts and journalists) ignored the negative aspects of the release, share price has fallen over 5% in less than a week since the news hit. The earnings release and subsequent SEC 10K (annual report) expose the fact that GM's recovery is not the success that the Obama Administration and media portray. The lack of the fanfare that typically comes with GM earnings releases is as good an indication of the meaning behind the numbers as is the decline in share price.

Inspector General Confirms Fun & Games at LG Chem

LGChem logoThe employees of battery maker LG Chem still haven’t found anything to do worthy of their pay since they were caught playing games and watching videos four months ago, and now the Inspector General for the U.S. Department of Energy has embarrassed the company into returning some – but not much – of the $142 million (out of a $151 million grant) in taxpayer money they took.

Gregory Friedman released his report – which was based on an inquiry spurred by the original media stories in the fall about the mostly idle workers in Holland, Mich. – last week. Turns out the reports about workers on-the-clock playing Texas Hold ‘Em and video games, doing Sudoku and crossword puzzles, and volunteering at nonprofits like Habitat for Humanity, were not exaggerations.

Malibu Lags Competition as GM Maintains Green Focus

Perhaps General Motors should have put more focus on competing in the largest segment of the auto market instead of focusing on being the market leader in the least popular, plug-in, electric vehicle (EV) field. A Detroit Free Press article reported that GM had to slash Chevy Malibu prices by hundreds of dollars to try and catch up with vehicles like the Toyota Camry, which is currently eating the Malibu's lunch.

Toyota and Nissan Shift From Electric Vehicles; Death Knell for Chevy Volt?

According to Toyota Vice Chairman Takeshi Uchiyamada, "Because of its shortcomings - driving range, cost and recharging time - the electric vehicle is not a viable replacement for most conventional cars; we need something entirely new." Uchiyamada is considered the "father of the Prius."

An article by Reuter's exposes the limitations of EVs and focuses on Toyota's, along with Nissan's, change in strategy, which is now moving away from EVs. Even the most ideological and extreme green energy proponents and backers of the Chevy Volt will have to open their eyes to the sad truth uncovered by the latest report.

Dismal Sales for Chevy Volt in January

Chevy Volt Akerson photoJanuary's dismal numbers for Chevy Volt sales may give a clue as to how successful (or not) President Obama will be in reaching his goal of having a million electric vehicles (EVs) on American roads within the next few years, a goal that is increasingly becoming unlikely. It also gives us a glimpse into a bizarre strategy General Motors has had by focusing so strongly on plug-in cars while they lose market share elsewhere. The numbers are in, and GM can proudly say that they are the market leader in an insignificant field with a paltry 1,140 Volts sold in January. The best selling passenger car on the road, the Toyota Camry, sold 31,897 during the month, giving an indication of how illogical GM's misguided focus has been.

TARP Watchdog Blasts Treasury on Bailouts

GM logo/ObamaA watchdog for the government's bailout program, the Special Inspector General for the Troubled Asset Relief Program (SIGTARP), has hit the US Treasury Department with a hard combo of critique regarding some of the Administration's actions since pumping billions of taxpayer dollars into bailed-out companies like General Motors and Ally Financial (formerly known as GMAC). SIGTARP issued a report lambasting Treasury for allowing excessive pay for executives at GM, Ally Financial and AIG and followed that with statements that scrutinized Treasury's continued refusal to exit its stake in Ally Financial, which is currently 74% owned by the government.

CBO Says Electric Vehicle Subsidies to Cost $7.5 Billion With Little Benefit

Akerson and VoltI recently came across a report written by the Congressional Budget Office (CBO) which estimated the cost to taxpayers for "federal policies to promote (aka subsidize) the manufacture and purchase of electric vehicles (EVs)." The piece also predicts the short-term benefits of the subsidies and includes the effects of rising federal requirements for fuel economy (known as CAFE) standards. The outlook is that federal subsidies will cost taxpayers $7.5 billion over the next few years for little or no benefit (even when including the impact of CAFE) to total gas consumption or emissions.

Bailed-Out GM US Market Share at 88 Year Low

GM logoGeneral Motors finished 2012 with a 17.9% market share in the US and is expected to repeat the performance in 2013 according to a Bloomberg report. The number is at the lowest point it has been since 1924. So what is behind the dismal numbers at GM that sees the company performing at 88 year lows?

Some Chevy Dealers Pull Plug on Volt – 2012 Sales Well Below Goals

Volt and AkersonThe final tally is in for 2012 Chevy Volt sales. The good news (which is what most headlines will trumpet) is that sales for General Motors' flagship green vehicle tripled from 2011's paltry 7,671 to a slightly less paltry 23,461 in 2012. The bad news is that the number is almost half of GM's sales goal of 45,000 in 2012 for the Volt. The further bad news is that the Volt has so little demand in most regions that some dealerships are refusing to pay for required tools to repair the vehicles and are choosing to cease selling the vehicles instead.

Syndicate content