Leased batteries offer better electric vehicle value, says research

Electric vehicles powered by leased batteries are likely to offer better values to car owners in the long run, according to new research from Britain.

British used-car vehicle valuation firm Glass's said May 9 that battery leasing, in which customers own the vehicle but not the battery included with it, resulted in significantly lower depreciation costs when compared with an electric vehicle with built-in batteries.

Battery leasing is the avenue being pursued by automakers such as Renault and normally means a monthly charge being levied on consumers for the use of the battery.

The Renault Twizy Z.E. is set to go on sale at the end of this year and will come with a battery leased for a monthly fee of €45, for example, which covers the driver for up to 4,500km annually.

The system is also used in conjunction with battery swapping stations, such as those operated by Better Place, where drivers can simply switch their depleted battery for a fresh one at a swap station.

Glass's calculated that the Nissan Leaf - which comes with a fixed battery included in the cost - would retain approximately 35 percent of its value after three years and 36,000 miles (around 58,000 km).

However, an electric vehicle of a similar size to the Nissan Leaf but with a leased battery should retain 54 percent of its original value over the same period, according to the predictions.

A range-extended vehicle such as the Chevrolet Volt will retain 43 percent of its value, said Glass's, while an equivalent traditional diesel vehicle would retain 44 percent.

The findings could mean further worry for consumers already concerned about the longevity of electric vehicle batteries, despite generous guarantees from manufacturers eager to win over their skeptical audiences.

In the US, both the Nissan Leaf and Chevrolet Volt comes with an eight-year, 100,000-mile (around 161,000 km) guarantee.

http://www.glassguide.co.uk