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by toretore 3337 days ago
There's one thing I've been thinking about that I don't see anyone else talking about, which is the role of hybrids in the decline of the ICE.

I don't think it's a stretch to imagine that most cars sold in 5 or 10 years will be at least hybrid electric. As battery prices continue to fall, it will make sense to include some electric capacity in addition to an ICE. So let's imagine a future where most new cars have a relatively modest 20 kWh battery with a range of more than 100 Km:

Most people, most of the time, drive short distances that will seldom require the use of the combustion engine and its fuel (many hybrids today come with special fuel tanks to prevent the fuel from "going bad"). Buying fuel will become an increasingly rare thing, and people will start to think of it as an expensive inconvenience. The current ICE fleet is reliant on a large, complex and expensive infrastructure to provide this fuel, and as people buy less and less of it, maintaining it will become less and less sustainable. As fueling stations start closing and the fuel prices go up (will they? I'm not sure about this point), it will become even more costly and inconvenient to fuel a hybrid, perpetuating the cycle.

At some point, the idea of a noisy, dirty ICE running on expensive, hard-to-get fuel will become so unattractive that it's no longer a viable option for most people. While this decline is happening, the cost, range and performance of all-electric will improve to the point where there really is no other reasonable choice.

3 comments

My 2017 Volt is amazing for these reasons and more: best car I've ever owned.

It's also completely gameified me reducing my carbon footprint: I do everything I possibly can to avoid letting the gas engine kick in, mostly just because it makes me happy to win that game.

Good point. Especially the cost part. If you commute less than 100KM and plugin at work ... you could go months without buying gas and paying about 25% of the price of gas for power. So you would really feel the pinch when you needed to buy gasoline.
There are a lot of similar "long tail" reasons that explain why once cost of electric cars is on par with ice's electrification will speed up. To add to your "gas station" example, most of these stations make profit not from gasoline but from other stuff they sell like cigarettes, sodas, chips etc. Once the traffic decreases, the profitability will drop substantially so their demise will be faster than if you only consider gasoline sales.

My predictions: - once electric school buses are available parents will push for their quicker adoption so their kids don't have to breath in the diesel and its waste products.

- since electric cars require less maintenance automotive parts stores and car service centers will be hit. No need to change oil every few k miles. No need change your muffler, transmission fluid etc. This will make ice parts availability to drop and price to increase.

- if Tesla is successful with its direct sales other manufacturers will eventually follow. Number of dealerships will drop

- some stores like Costco offer gas discounts for their customers. If they see that number of electric cars is increasing they will replace that with free charging spots for the best customers.

- electric cars will (presumably) not be required to do emission testing, which in turn will require states to lower number of emission testing centers. After a while it's possible that these emission centers will be few and far between, an emission testing will become even bigger annoyance that it already is.

- Once number of gas stations starts dropping all of the trucking companies that deliver gas will have harder time making profits. After few of them go bankrupt, gasoline deliver will be more expensive.

- Once sales of gasoline substantially decrease, refineries will have more trouble selling their products, so new refineries will not be build. This will again increase price of gasoline but also the price of heating oil.

- After electric cars hit 10% of the market, ICEs will be considered a "new smoking". Peer pressure will keep growing, having an ICE will be uncool.

- once oil companies stop being as profitable people on the stock market will start moving their money to other stocks. This will force these companies to stop their dividends, which in turn will make them even less attractive.

- states will have to increase taxes on gasoline to make up for the lost revenue. Eventually electric cars will be taxed in some way but before that happens gasoline will become even more expensive.

- once oil production is in decline because of decreased demand, countries like Russia and Saudi Arabia will have to deal with huge economic problems that could lead to crash of their economies. This will make access to oil even harder raising the price of gas even more.

- electric cars will lower cost of batteries, which in turn will make them a better solution for power tools, lawn mowers etc.

«To add to your "gas station" example, most of these stations make profit not from gasoline but from other stuff they sell like cigarettes, sodas, chips etc.»

I think this is why the Convenience stores may (again) out last the pumps outside them. On long road trips, bathroom breaks and snacks/food will still be useful, even in an electric future.

As you also note, the new convenience store is the supermarket and the supermarkets are also best setup to electrify large parking grids as the transition happens.