Friday, January 11, 2013

GEE, YOU MEAN IT DOESN'T MAKE ANY FINANCIAL SENSE? GE Abandons Plans to Buy 25,000 Electric and Hybrid Vehicles

Forrest Gump could have predicted this frickin' mess.

While General Electric has a vested interest in see electric and plug-in hybrid cars storm the car market, GE has apparently had a change of heart. The electronics and aviation giant announced that it was no longer seeking to replace much of its fleet with 25,000 hybrid and electric vehicles. Instead, GE will pursue other alt-fuel options, including CNG and propane.

That isn’t to say GE is completely abandoning its plans to buy electrified vehicles; just a few months ago GE announced that it would be buying 2,000 Ford C-Max Energi plug-in hybrids to bolster its fleet. Add to that the thousands of Chevy Volts GE has already purchased, and it is fair to say that GE put its money where its mouth is.

Unfortunately, as GE soon found out, hybrids and electric vehicles don’t make financial sense for every job or situation. With many GE employees logging an average of 100 miles or more a day, the hybrids face diminishing returns when it comes to fuel savings, and a Chevy Volt is a poor replacement for a work truck or van.

Electric and hybrid vehicles don't make any financial sense? I'll alert the media.

Hat tip: BadBlue Car News.


William Teach said...

Let me get this straight: Government Motors had plans to purchase vehicles from Ford, a direct competitor? No wonder they got into so much financial straights.

William Teach said...

Oops, bad read on my part. I automatically saw "GM".

Matthew W said...

This story is the exact opposite of what I predicted a few years ago.
I thought that GE, in the ultimate corporate cronyistic, political payback scheme would buy all the Volts to make it look like NObama's scams were all successful.

But wait, I also speculated that the federal government (in a maximum effort to pander to greenie idiots and boost GM sales) would buy most of the cars.