PBP business model validated by three Deutsche Bank experts.
We finally found out the bottom line of the PBP business model.
According to three DB experts, a $550 a month fee for 18000 miles traveled makes the PBP's business model a viable one. This means $0.35/mile.
Converting to metric, it makes a $550 a month for 30000Km traveled. In one year the customer pays $6600 which is $0.22/Km
For an average fuel consumption of 20miles/gallon, the customer should pay the equivalent of roughly $7/gallon, or in metric, $1.83/l.
Included in this fee is the cost of the car (a free car will be delivered by PBP), battery leasing and the cost of electricity.
By 2010, when the mass production is scheduled to begin, the price of gas might well reach $5/gallon in the US and $10/gallon in Europe
That's a good deal for PBP. As for the customer... to put it mildly, not the best deal in the world.
For Israel, it just might be a viable model since the price of gas would be 6.59 NIS/l which is roughly the price of gas today (6.45 NIS/l). The same is true for Denmark.
There is a question mark however even in these geographical areas about the minimum number of Km/year the PBP is ready to agree upon, because the average number of Km/ year in these areas is half the number of Km calculated by DB experts.
For short, be prepared to pay more for your mobility, not less.
Here is the link:
http://solveclimate.com/blog/20080409/deutsche-bank-electric-cars-could-wipe-gas-cars-map
Your saying $0.35/mile going
Your saying $0.35/mile going off $550 a month. If you going to compare like for like then why not include the costs of repayments on a gas car and all the associated maintenance.
I can't imagine that driving 18000 miles a year, plus gasoline, repayments on a new car and maintenance would be cheaper.
$.35/mile?
I agree with the above entry - counting auto lease, maintenance (although many leases include this) and fueling costs, it is indeed cheaper than a brand new car and $6.00/ gallon) - The strong euro may make this picture even better for Europeans with even higher fuel prices. BUT to really free up the consumer to go completely green on the cheap, nothing beats my vision of a commuter car which has swappable batteries and pay as you go (no contract) convenience mart battery purchase, home recharging, with the wind generator at the homestead (on or off the grid). I want to be able to limit my driving and not be locked into an expensive contract, as well as picking out my car from a range of competing manufacturers. "...just the direction the cell phone industry is now heading!" Unfortunately, this leaves PBP with a much smaller slice of the EV industry revenues. But on the plus side it would put many more people in electric cars.
Pete Aguilu - Green Fanatic!