Obama Pushes for Increased Electric Car Production & Sales in U.S.

Barack Obama, courtesy of Starpulse.com

As part of his campaign goal of having one million plug-in vehicles on U.S. roads by 2015—a number many industry analysts consider unreachable—President Obama and his administration are hard at work introducing legislation that encourages the U.S. production and sale of plug-in cars.

Last night in his State of the Union address, the president returned to themes of clean energy and oil independence, setting an even more audacious goal of having 80 percent of the nation’s power produced from “clean energy” sources by 2035.

He said he will ask Congress to end billions of dollars of tax breaks for the oil industry, which he called “yesterday’s energy,” and use those funds for higher investments in a variety of clean-energy programs, one of which includes the electric vehicle program.

Two initiatives the president plans to move forward with in this area are:

  1. A conversion of the present $7,500 income-tax credit for electric-car buyers to a direct purchase rebate, and
  2. An additional $2 billion in funds for infrastructure support that would enable communities to install recharging stations, both public and private

Purchase rebates are more effective than income-tax credits because everyone can qualify, regardless of income. Additionally, the savings are realized immediately upon purchase, rather than taking months to arrive following the filing of taxes the next year. This type of financial push might be just the encouragement many Americans need to make the switch from gas to electric vehicles.

Having recharging stations available en mass is one of the biggest challenges for electric car owners. Since most of these vehicles won’t hold a charge that takes them more than about 200 miles, this second initiative should help provide the support drivers need to stay on the road for longer periods of time.

According to the Detroit News, Vice President Joe Biden is expected to announce more details about the president’s plan to further plug-in initiatives today.


About Cecil Helton

Cecil Helton Cecil Helton is a U.S.-based writer and editor with passions for cars, motorcycles, boats, technology and social media. Much of his professional life since 1996 has been web-centric, and he’s written and developed content on a variety of subjects. His work in the houseboat industry received wide acclaim, such as winning the 1999 Cisco Systems Growing with Technology award and being named one of five finalists in the manufacturing sector of the 2000 Computerworld-Smithsonian Awards. As an Air Force brat, he spent much of his childhood in a two-year cycle of moving to a new place, making new friends, establishing a life, and then moving again. Destinations included: Kentucky, Illinois, Texas, the Greek isle of Crete, California and Ohio. Today you’ll find Cecil coping with his 15 year old son’s decision to pursue a motorcycle license at the same time he gets his driver’s license, being active across the web on multiple social media sites, and of course, writing articles and creating content on automotive and car insurance related topics right here at CarInsurance.org.


Facebook Comments