There are a lot of reasons to consider purchasing an electronic vehicle (EV) to make as your main ride. You can save money on buying gas, help reduce carbon emissions and be on the forefront of pioneering technology as it hits the road.

Yet, when it comes to other countries that manufacture cars, such as China and Europe, the U.S. is far behind the curve when it comes to making and selling EVs. Buyers around the world are opting to go fully electric. So if consumer demand is rising, as Ars Technica reported, why did almost 4,000 car dealerships send letters to President Biden in the last year to slow down EV rollouts through 2032? And more importantly, how could the slow rollout of EVs impact your wallet?

Keeping Gas Cars Longer

If potential buyers are looking to get into an EV, but for some reason are unable to purchase one, that means they’ll likely have to keep their gas powered vehicles for much longer and end up paying for the high price of fuel for the time being.

“If the rollout is genuinely slowing down, it will be a higher cost for consumers in the long run if they need to keep their gas cars for longer,” said John Ellmore from Electric Car Guide. “Petrol or diesel cars cost more to run and cost more to maintain, so consumers will be out of pocket in the long term if they are unable to make the switch to electric sooner.”

Tax Credits and Incentives

When EVs were first introduced, there was a push from governments around the world for consumers to buy, with incentives and tax credits used as the dangling carrot. With the brakes pumped on the rollout, those additional benefits could be in jeopardy of drying up.

“Government incentives on EV purchases like tax credits, rebates or reduced registration fees are often time-sensitive or capped by production limits,” said David Boice, CEO and cofounder of Team Velocity. “A slower rollout at the dealership level could lead to customers missing out on these financial benefits, reducing the overall affordability of EVs.”

“Any delays in EV availability will mean that consumers miss out on tax breaks-so when they do finally switch it will be less financially beneficial if government incentives have changed,” Ellmore added.

Shifting Federal Administrations and Policies

Back in April of 2023, the U.S. Department of Energy proposed a rule that would change the way the federal government does the math for each auto manufacturer’s average fuel efficiency, one which would require original equipment manufacturers (OEMs) to sell more EVs, otherwise they could risk being fined. Ars Technica reported this is on top of an early Biden administration target aiming for one in two new cars sold in 2030 to be EVs.

Now that the election is over and a new administration is set to take over, all bets are off. Or maybe not with the head of Tesla on the team.

Ellmore said, “With the Trump presidency, there will likely be fewer government-backed incentives for EVs as he clearly [prioritizes] the fossil fuel industries. We have to hope that Elon Musk might be able to influence policy decisions in favour of EVs.”

Source: GoBankingRates