CBS News: "Why California's Bold Electric-Vehicle Targets Are So Important for Drivers—And the Climate"
Senior Fellow Joshua Linn discusses how California's new plan to phase out gas-powered vehicles will affect costs for consumers.
The new rules are likely to make car-buying pricier for Californians in the short term, while over the longer term likely making zero-emissions vehicles cheaper. The typical EV today costs over $60,000, about $12,000 more than typical gasoline-fueled vehicle.
"Adding these standards in the near term is going to introduce cost. It's going to save [consumers] on gasoline and maintenance costs, but the upfront costs are going to be high," said Josh Linn, a professor in agricultural and resource economics at the University of Maryland and senior fellow at the nonprofit Resources for the Future.
However, Linn and other experts noted that, as battery prices continue to fall and automakers roll out more EVs, they will gain savings of scale and be able to pass those savings to motorists.