Conflicting reports on the status of the electric automobile industry are everywhere. Market reports provide little clarity with industry leaders Nissan and Chevrolet failing to meet 2011 sales goals. Optimistic reports have both manufacturers looking to expand their production quantities to 50,000 cars each for 2012 Leaf and Volt models. The industry continues down the path towards the “ten millionth car”, a metaphor for widespread electric automotive industry acceptance. Automotive executives and consumers alike face an interesting year ahead.

Potential car buyers are not shunning the concept of green autos, it appears the hassle and expense of installing a home charger on top of paying premiums over equivalent non-electric models is dampening industry reception. Electric cars currently headed for showroom floors are given the advantage of government subsidies and tax incentives. They still remain uncompetitive and hybrid automotives are not only cheaper, but carry increased fuel efficiency as a result of federally mandated fuel economy targets. Craig Giffi, vice chairman and automotive sector leader for consultants Deloitte believes, “Gasoline would have to hit $5 a gallon before consumers would take a serious look at electrics.”

An oft promoted cost reduction in batteries will not affect vehicles ordered before 2012 so car costs will remain high throughout the year. Pike research Director John Gartner says the, “optimal price for an electric car – basically, the most that the ordinary consumer is willing to spend – is $23,750.”

Meanwhile, Pike says, “the price of a 2012 Toyota Prius PHEV will be $32,000, the Honda Fit BEV $36,625 and the Ford Focus EV $39,995.”

The market for Electric Automobiles is crowding with the following large and small carmakers lined up to offer 2012 model electric vehicles:

• General Motors
• Ford
• Toyota
• Honda
• Mitsubishi
• Wheego
• Fisker
• Tesla
• Coda
• Aptera

Small companies may need additional revenue streams as they ramp up production in order to compete with the larger carmakers. Many small carmakers make money from licensing technology. Coda Motors for instance hopes other companies are interested in their unique battery design. With an increased array of choices, electric cars still face stiff barriers to acceptance, including high prices.

Increased deployment and availability of charging stations along with new wireless charging technologies will help and the growing number of fleet autos will put people in electric autos without having to purchase one. Even with range anxiety diminishing and advances in vehicle to grid technology, the market will progress slowly. Much as the horse and buggy lost favor to combustion autos, combustion autos will slowly lose out in favor of plug-in electrics.