Lucid Air Deliveries Almost Quadrupled in Q1 2023

Written by Mark Kane, InsideEVs
PublishedApril 18, 2023

Lucid Group revealed its vehicle production and deliveries significantly increased year-over-year in the first quarter of 2023.

Production in Q1 2023 amounted to 2,314 Lucid Air cars---235% more than a year ago. Customer deliveries amounted to 1,406, up 290% year-over-year.

While quadrupling deliveries is a very positive outcome, it's from a relatively low base. More importantly, both results are lower than during the fourth quarter of 2022 and marginally higher than in Q3 2022.

Let's also note the difference between production and deliveries---in Q1 2023, the difference was more than 900 cars, while over the last five quarters, from Q1 2022, it accumulated to 3,719 units. As we understand, those are vehicles in transit, between the factory and customers.

For reference, in 2022, Lucid produced 7,180 cars and delivered 4,369. Cumulatively, Lucid has delivered 5,900 electric cars.

In its Q4 2022 financial report, Lucid announced a production volume guidance for 2023 of 10,000-14,000 vehicles, an average of 2,500-3,500 per quarter.

We might get a update on that May 8, when the company will release its financial results from the first quarter of 2023. Considering the recent news of layoffs of 1,300 people, or 18% of the company's total workforce, it is not clear the initial forecast will be maintained.

Lucid had hoped to reach a level of 20,000 units in 2022, which was later reduced to 12,000-14,000 and then to 6,000-7,000.

The recent results are also quite worrying compared to the competition. Aside from Tesla, which reduced prices on the Model S/Model X, Mercedes-Benz recently increased its BEV sales to 7,341 units in Q1 in the U.S. alone, including 3,391 EQS sedans and SUVs.

The Mercedes-Benz EQS SUV is locally produced, while the upcoming Lucid Gravity SUV is not yet introduced.

It seems those few years of delay, needed to secure financing for the plant, cost the company precious time and now it will have to compete with luxury BEVs from other brands, instead of entering a mostly empty space.

The number of Lucid EV reservations as of Feb. 21 was more than 28,000, compared to 37,000 reported in Q2 and 34,000 in Q3 2022.

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Following the delivery of Lucid Motors’ first customer vehicle model in late 2021---the Lucid Air---the luxury electric vehicle (EV) manufacturer has ramped up production. By year-end 2022, Jake Rodenroth, Lucid’s North American body repair program operations manager, said it was “all hands on deck.” This allowed Rodenroth to work with the service and sales teams, onboard customers and deliver vehicles.

Rodenroth shared information about Lucid Motors’ vehicles during an AkzoNobel North American Performance Group event in February. 

Founded in 2007, Lucid is headquartered in Newark, CA. The company’s debut product, the Lucid Air, was named 2022 MotorTrendCar of the Year, the first time any vehicle manufacturer received the award with its inaugural vehicle. 

“It was a really big achievement for our first product the first year of launch,” said Rodenroth. 

The Air can be reserved and ordered in retail shopping centers and online. The model currently has four trim lines. They include the Air Pure with 480 hp and a 410-mile range starting at $87,400; the Air Touring with 620 hp and a 425-mile range from $107,400; and the Grand Touring with up to 1,050 hp and a 516-mile range from $138,000. The Sapphire and Stealth packages will follow.

The EVs have an eight-year warranty, which includes 100,000 miles on the powertrain and battery. 

Lucid’s Gravity SUV is expected to be released in 2024. 

Design Features

Fast like a sports car but with a large storage capacity, Rodenroth said the EVs were designed to offer several features using one platform, the Lucid Electric Advanced Platform (Leap). The integrated drive unit comprises an electric motor, inverter and transmission weighing only 163 pounds and capable of 670 hp each.

To achieve Lucid’s range and performance, Lucid’s aerodynamics team worked with its design and engineering counterparts to prioritize aero efficiency.

Rodenroth discussed Lucid’s aerodynamic air-curtain technology, which includes a small air intake (grill), a vortex system, a side air curtain and a small headlight aperture that helps with headlight cooling. 

The bottom of the car is flat and designed to have a smooth surface to improve aerodynamics.

“That matters when you’re trying to jack up the car,” said Rodenroth. “When accessing the drive unit, numerous trim pieces will need to be removed.”

Lucid vehicles have a 12v power-up harness behind the passenger rear wheel liner, in the event power to the vehicle is lost. This enables the trunk, “frunk” and doors to be opened with key fobs present. 

The vehicle’s advanced technology was engineered and designed in-house. This includes a speed form taillight and intelligent Micro Lens Array headlamps. The bright and precise lighting system has 9,740 lenses per pair of headlights. 

Lucid provides over-the-air (OTA) software updates offering vehicle owners new features. 

Repair Considerations

For repairers who have never driven an EV, Rodenroth highly suggests renting one.

“It's a big learning curve that even some of the legacy OEMs are struggling with because they're so different than gas cars, in regard to servicing and selling them,” he noted.

Rodenroth said technicians must learn how these vehicles and their charging systems operate to do a proper repair. 

“It's not enough to go through the training to learn how to take the cars apart and put them back together,” he said. “You also need to understand how they work with the owner.”

This includes using the mobile app and the connectivity vehicle owners have with the ability to check their vehicles, even if they aren’t in their possession. 

For repairers, Rodenroth said EVs bring additional opportunities for added services to customers. Many have a large, painted frontal area, which means there will likely be more stone chips.

“If you're not in the paint protection film business, I highly recommend it,” he said. “It's a value-add to your facility.”

During a repair, the Lucid Air body structure doesn’t permit welding; instead, a rivet bonding process is used, requiring the correct tooling, training and adhesive.

Regarding special tooling, Lucid uses 3D printers to print service tooling for its Lucid Certified Body Repair Network shops.

“We try to think about the technician working on this car,” shared Rodenroth. 

DreamDrive is Lucid’s advanced driver-assistance system (ADAS) with 32 multi-model sensors and 14 cameras. The combination of sensors and mounting locations means shops will have to pay attention to Lucid service resources and capture and perform all necessary calibrations.

“The car triggers a lot of calibrations but is fairly forgiving as far as calibration goes,” noted Rodenroth. 

The Snap-on TruPoint System with Lucid diagnostic and specific targets are used for static calibrations and the maximum space requirement is approximately 15 feet wide by 30 feet long. 

Vehicle Charging 

As repair shops set up charging stations, Rodenroth recommends at least a level 2 charger. 

“Level 1 is a very slow charging process with only 7.2 miles of range per hour of charge,” he explained. “Level 2 is faster and has 43.2 driving miles per hour of charging.” 

If a station is installed in a shop’s parking lot, Rodenroth suggests adding it to the PlugShareEV charging station mobile app to attract EV owners to their business. 

“In that app, people take pictures of themselves charging their cars so you can see the environment,” he said.

Lucid offers an 80-amp charger---the Lucid Connected Home Charging Station---with 86.4 miles per hour of charging. Level 3 charging (DC) has 900 V+ architecture, enabling the Lucid Air to charge 300 miles in 20 minutes. 

Rodenroth said Lucid’s Wunderbox provides the fastest charging in the industry. Fully integrated and compatible with nearly all public charging stations, the battery management system is capable of bidirectional charging. 

“In the event of a power outage, a fully-charged Lucid Air can keep your home powered for days due to the bidirectional charging capabilities of the Wunderbox,” he said.

Lucid Body Repair Network 

Currently, about 74 body shops are in Lucid’s Body Repair Network program. 

“We're scaling that with production,” said Rodenroth. “As we fill orders, we look where those cars are going and what our coverage looks like.”

With aggressive production goals, Rodenroth said the OEM wants to add additional shops to the network that can be trusted to repair these vehicles properly. 

“We are fiercely protective of our certified network,” said Rodenroth. “I hold our shops to a standard; I also protect them.”

His call to action to shops is to look at what they are doing to change their business and inspire employees to take training and be great at what they do.

Training

Earlier this year, the company launched the Lucid Air Structural Certification hands-on course to help shops prepare for the launch of the Air. About 76% of shops are expected to be certified by year-end.   

“There's no better way to learn the car than going through this,” said Rodenroth.

Lucid also offers Mechanical, Electrical and Trim Level 2 Certification (MET) courses facilitated by the Lucid service training team. The course provides technicians a look at Lucid Air systems, including ADAS and calibration, closures, subframe and drive units, high-voltage and 12V systems, interior trim, supplemental restraint system and wheels/tires and TPMS system. 

Plans are in place for an advanced diagnostic class and an aluminum cosmetic repair course. 

For information about Lucid Motors, visit www.lucidmotors.com.

To join Lucid’s Certified Body Repair Program, visit techinfo.lucidmotors.com.

Lucid Air Recalled for Glitch Causing Electric Motor to Shut Down

Written by Maria Merano, Teslarati
Published March 28, 2023

The National Highway Traffic Safety Administration (NHTSA) recalled 637 2022-2023 LucidAir sedans with issues in their contactor switches.

“Lucid USA, Inc. is recalling certain 2022-2023 Air vehicles. The electrically activated contact switches that transfer energy to the drive motors may unexpectedly open, cutting off power to the electric motors,” the NHTSA said.

The NHTSA recommended Lucid update the software of all the affected sedans and replace the contractor switches for free.

Lucid is expected to contact Air owners affected by the recall via mail by April 21. Lucid Air owners who wish to be more proactive can contact Lucid customer service at 1-888-995-8243 to see if they are affected by the recall. The number assigned to this recall is SR-23-01-0.

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Lucid Announces Major Earnings Miss, Stock Crumbles

Written by William Johnson, Teslarati
Published May 9, 2023

Lucidreported its first quarter 2023 earnings, which come at a pivotal time for the EV startup business and segment in general.

When Lucid and many other EV startups entered the industry, the dollars flowing into their ventures seemed endless, but as investors have become more cautious regarding EV ventures and the market has become significantly more competitive, that money has slowed to a trickle. Now, Lucid has reported a massive earnings miss, a crucial indicator for investors regarding the business’s overall health.

According to Lucid’s earnings report, the company pulled in $149.4 million in revenue, resulting in a net loss of $779.5 million. Investor expectations were set at $209 million in revenue. Earnings per share came in at a loss of $0.43 per share.

It should be noted, despite the earnings miss, Lucid’s earnings did grow substantially year over year, up 159%.

Lucid sold 1,406 vehicles in the year’s first quarter and built 2,314. This is more bad news for the automaker, which has been battling a demand crisis since the end of last year. The company said it is still on track to produce 10,000 vehicles this year.

As for the all-important cash reserves, Lucid reported a stockpile of $3.4 billion, which equates to total liquidity of $4.1 billion. Lucid CFO Sherry House said this will be enough cash to last into the first half of next year.

“Our mission and optimism are unchanged," House added. "We are committed to an environmentally sustainable future---designing, building and delivering the best EVs on the market.”

Since posting earnings, Lucid shares plunged in after-market trading.

Looking to the future, Lucid investors will likely hope the business can dramatically improve its financial health and, perhaps more importantly, tackle its demand issues as quickly as possible. Helping achieve this will be one of its most anticipated products yet, the Lucid Gravity SUV. By entering a far more popular vehicle segment, Lucid will be poised to sell more units and be capable of pulling in significantly more revenue per quarter.

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The EV maker added a new 3 million-square-foot manufacturing facility and warehouse.

Lucid Gravity Electric SUV Hits the Road as Testing Phase Begins

Written by Dan Mihalascu, InsideEVs
Published April 25, 2023

After a troubled first full year of production, Lucid Group has managed to stabilize and increase manufacturing of its Air luxury sedan, to the point it produced more than 2,300 cars in Q1 2023.

That may not be an impressive number when measured against Rivian, another EV startup Lucid is often compared with, but let's not forget Lucid sells only one model that starts at around $89,000 in entry-level Pure trim.

Things are about to change, though, as Lucid is entering a more lucrative and popular segment in the near future---luxury SUVs.

The California-based company announced its Gravity SUV has entered a new phase of development and is now testing on public roads throughout the U.S., a major milestone for an EV startup that only began production of its first-ever model in September 2021.

"I am excited to see the Gravity SUV moving forward so quickly in its development, as it builds upon everything this company has achieved thus far and drives further advancements of our in-house technology to create a luxury electric SUV like none other," said Peter Rawlinson, CEO and CTO, Lucid Group. "The Lucid Air redefined the sedan category, and as our technology continues to evolve and lead the market, we are in a place where the Gravity is positioned to change the world of SUVs."

Lucid promised the Gravity electric SUV will offer "a previously unheard-of combination of spaciousness, performance and driving range."

The carmaker also said its second production EV is designed and engineered "to serve nearly any lifestyle or need," offering comfortable seating for up to seven adults and their gear, the driving dynamics of a sports car, and greater electric range than any SUV on the market today.

Those are obviously big claims, but Lucid has proven with the Air it can build a world-class luxury sedan that can compete with similar products from established automakers. Essentially, the Gravity should offer everything the Air does but with added passenger comfort, practicality and off-road capability.

Speaking of comfort, the company previously said the Gravity will make full use of the Lucid Space Concept, offering flexible seating configurations for five, six or seven adults in two- and three-row seating configurations. In addition, the Gravity will introduce new Glass Cockpit high-resolution displays, powered by the next generation of the Lucid UX software interface.

In November 2022, Lucid said it planned to open reservations for the Gravity SUV in early 2023, but that hasn't happened yet. The company also said deliveries would start sometime in 2024.

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Lucid to Lay Off 1,300 Employees as Part of Restructuring Plan

Written by Maria Merano, Teslarati
Published March 29, 2023

On March 27, Lucid Group, Inc.announced plans to lay off 18% of its workforce---about 1,300 employees, including executive positions. The news comes after Lucid released its fourth quarter and full year (FY) 2022 financial results in February.

Lucid plans to lay off workers to cut costs while initiating its restructuring plans. According to a regulatory filing, the layoffs will be completed by Q2 2023. The EV company expects to incur between $24 million and $30 million in expenses, mostly for severance payments, employee benefits and stock-based compensation.

Lucid CEO and CTO Peter Rawlinson explained in an email to workers the company has reduced costs. Unfortunately, it did not reduce costs enough to avoid layoffs. Rawlinson added Lucid’s restructuring plan results from its “evolving business needs and productivity improvements.”

“Consequently, we’ve made the painful but necessary decision to let some of our talented members go,” Rawlinson wrote in his email. “We are also taking continued steps to manage our costs by reviewing all non-critical spending at this time.”

In its fourth quarter and FY 2022 financial results, Lucid set its 2023 annual production guidance between 10,000 and 14,000 vehicles.

In 2022, Lucid Motors produced approximately 7,180 vehicles, topping its forecast of 6,000 to 7,000. However, analysts pointed out Lucid’s production forecasts for 2022 were slashed multiple times. Lucid was initially expected to produce 20,000 vehicles last year.

Lucid stock slid after the release of its Q4 and FY 2022 report when it revealed a significant revenue miss in the fourth quarter. The company delivered 1,932 vehicles in Q4 2022, missing analysts’ estimates of 2,813 cars.

Many analysts believe Lucid’s performance is due to waning demand for luxury EVs. EV manufacturers are leaning towards producing more affordable all-electric cars. Volkswagenannounced the launch of the ID.2, and Teslais expected to unveil its $25,000 EV soon.

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MA Agency’s Budget Request to Focus on Clean Energy Plan

Written by Dave Fidlin, The Center Square
Published March 28, 2023

The multi-pronged series of short- and long-range goals in place in Massachusetts’ clean energy and climate plan will serve as a bedrock for one agency’s fiscal year 2024 budget, according to officials.

The Legislature’s Joint Committee on Ways and Means on March 27 held a lengthy series of hearings on the state’s upcoming fiscal year 2024 budget---the first under Gov. Maura Healey and Lt. Gov. Kim Driscoll. The session was held at an offsite location, the University of Massachusetts Dartmouth.

Much of the hearing focused on anticipated spending within the Executive Office of Energy and Environmental Affairs, the state agency doing much of the heavy lifting on carrying out the 2025, 2030 and 2050 benchmarks outlined in the plan.

“We must begin the hard work of making all of the goals and plans a reality,” EOEEA Secretary Rebecca Tepper said as she outlined a series of $40 million spending initiatives.

The clean energy and climate plan outlines a series of benchmarks and initiatives aimed at limiting emissions and decarbonizing energy across the state to achieve net zero greenhouse gas production by 2050.

The office’s upcoming fiscal year 2024 budget includes several big-picture initiatives to chip away at the goal, Tepper said, including a $5 million package of incentives to help individual households and businesses transition from natural gas to electricity.

That specific budget proposal includes financial incentives to nudge statewide energy consumers toward electric vehicle charging stations, heat pumps and other equipment to get the transition underway.

Massachusetts reportedly has identified 18 different types of buildings throughout the state. Tepper said blueprints on how to most effectively electrify and decarbonize each category are being formulated.

A portion of the budget also will go toward job training and skills development in clean energy fields---most notably, offshore wind.

“We are in a race against time to meet these goals,” Tepper said. “Job training takes time. We must make these investments now.”

The eradication of PFAS chemicals within Massachusetts’ waterways and other natural areas also bubbled to the surface during the testimony. Funds have been appropriated within the proposed fiscal year 2024 EOEEA budget for testing, research and treatment mitigation.

PFAS---or as it more technically is known, per- and polyfluoroalkyl substances---is man-made and noted for its inability to break down upon disposal. PFAS chemicals are used in such disparate products as non-stick cookware, children’s toys and firefighting foams.

Throughout a question-and-answer session between Tepper, other members within her cabinet, and the legislators on the Committee on Ways and Means, there were a number of questions about the execution of some of the assorted initiatives.

State Sen. Michael O. Moore, D-Millbury, inquired how the office would address the installation of electric vehicle charging stations across the state as the number of motorists transitioning to the new mode of transportation increases.

“It’s got to be done in a way that our constituents aren’t unduly hurt by this,” Moore said.

In response, Tepper said, “That goes back to electric and gas planning. That starts with having a plan for what we’ll need.”

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Maine Weighs Plans to Restrict Gas-Powered Vehicles

Written by Christian Wade, The Center Square
Published Aug. 31, 2023

Maine is being urged to join a handful of states in banning the sale of new fossil fuel-powered vehicles, but critics say the move would be costly for consumers.

A coalition of environmental groups has petitioned the state Board of Environmental Protection to adopt stringent emissions standards that would require an increasing percentage of new cars sold in Maine to be zero-emission vehicles, with the goal of 82% by model year 2032. Another petition proposes similar standards for trucks.

The restrictions would apply only to new passenger cars, light-duty trucks and medium-duty vehicles, according to the proposal. Auto manufacturers failing to meet the state's benchmarks would face civil penalties of up to $10,000 daily. The plan would allow for the sale of used gas-powered vehicles.

The board held a public hearing on the proposals in August, which drew more than 100 vocal supporters and opponents to testify about the proposed emissions standards.

Meanwhile, groups on either side of the issue are making their case to the public for state officials to adopt or reject the proposed regulations.

Environmental groups argue that adopting the standards, known as the Advanced Clean Cars II and Advanced Clean Trucks rules, will help meet the growing demand for electric vehicles, lower sticker prices and help the state transition away from gas-powered cars and trucks.

"Toxic pollution from cars and trucks overheats the planet and clogs the air in our communities," Emily Green, a senior attorney with the Conservation Law Foundation, said in a recent statement supporting the move. "It's time for our state leaders to step up and walk the walk when it comes to slashing pollution from vehicles."

But in a recent op-ed, Jessica Nickerson, a policy analyst at the Portland-based Maine Policy Institute, argued Maine "isn't ready" for a rapid transition to electric vehicles and that government mandates will punish working-class families who can't afford to make the switch.

"So much must be done before a full transition can occur, and there are too many unanswered questions to start imposing mandates today," she wrote. "There are also numerous logistical and infrastructure-related concerns that still exist which make such rapid adoption of EVs in Maine unrealistic."

Maine's climate change plans call for cutting greenhouse gas emissions by 45% by 2030. Tailpipe pollution accounts for more than half of the state's emissions.

A law signed by Gov. Janet Mills in 2021 calls for accelerating Maine's transition to electric vehicles by encouraging more electric charging stations and reducing the costs consumers pay for charging vehicles. Those plans include putting another 219,000 EVs on Maine's road within the next decade.

Currently, electric vehicles account for only about 6% of the registered cars and trucks on the state's roads, according to the Maine Registry of Motor Vehicles.

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Manchin to Introduce Bill to Enforce $7,500 EV Tax Credit Battery Rules

Written by Steven Loveday, InsideEVs
Published Jan. 25, 2023

U.S. Sen. Joe Manchin, D-WV, who was integral in getting the new U.S. tax credit put together and passed, is not happy the original rules aren't being followed. 

He's already voiced concerns about various loopholes, and he wants the U.S. Treasury Department to immediately pause issuing the $7,500 credit to cars that don't comply with guidelines related to battery components and materials.

For those unaware, the Biden Administration revamped the U.S. federal EV tax credit as part of the Inflation Reduction Act, and the new credit kicked in at the beginning of 2023. However, the Treasury Department is behind on issuing final guidance related to compliance with battery components and battery material sourcing guidelines, so vehicles that weren't supposed to comply are currently eligible.

In short, when the credit was put together, there were specific rules about where the batteries and battery materials had to come from in order for a car to get the full credit. The goal here was to bring more EV-related manufacturing to the U.S. However, the Treasury Department still needs to issue final guidance on exactly how those rules are handled, and it can't get to the task until at least March. In the meantime, many EVs are eligible for the full credit even though they were expected to be excluded.

Manchin's potential bill reportedly doesn't yet have bipartisan support, as it's only in the stage of early talks. If the senator can get support and the bill passes, it would cut off all credits for cars that don't comply with the rules as outlined in the original law. 

According to Automotive News, Manchin explained the Inflation Reduction Act "is first and foremost an energy security bill, and the EV tax credits were designed to grow domestic manufacturing and reduce our reliance on foreign supply chains for the critical minerals needed to produce EV batteries."

As far as battery materials are concerned, the law says 40% of materials must be obtained and processed in the U.S. or from a country that has a free-trade agreement with the U.S. The materials could also be sourced from a North American recycling facility. Beginning in 2027, the requirement rises to 80%.

Ahead of 2024, 50% of battery components must be produced or assembled in North America. However, by 2029, that moves to 100%.

At this point, some 40 new EVs are eligible for the full $7,500 credit. However, if Manchin gets his way, very few vehicles will qualify. In fact, there's a chance not a single fully electric car in the U.S. will be eligible for some time. 

Meanwhile, some gas-powered plug-ins with small batteries and almost no electric driving range could be eligible for the full credit.

Manchin is also concerned about various loopholes that may allow extra wiggle room for leases, thanks to confusing guidance about a commercial EV tax credit versus the consumer credit. 

Manchin put the Treasury Department on notice, saying, "Instead of trying to find loopholes within these credits, domestic automakers should be seizing the opportunity to solidify our country's role as the automotive superpower we can and should be."

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Manchin’s Bid to Stop Some EVs from Getting $7.5K Tax Credit Blocked by Fellow Democrat

Written by Maria Merano, Teslarati
Published Jan. 27, 2023

U.S. Sen. Debbie Stabenow, D-MI, successfully opposed a proposal by fellow Democrat, U.S. Sen. Joe Manchin of West Virginia, to eliminate certain EV models from being eligible for the Inflation Reduction Act’s (IRA) $7,500 tax credit. 

The $430 billion IRA was passed last August. The legislation limits the availability of the program’s $7,500 EV tax credit to those manufactured in North America. It also introduced new regulations for sourcing EV batteries. 

In December, the U.S. Dept. of the Treasury said it would not release proposed guidance on battery sourcing regulations until March. This meant some EVs that do not fully meet the IRA’s battery requirements could continue to be eligible for tax credits, at least until the rules take effect this year. 

Manchin, the chairman of the Senate Energy Committee, took issue with this system, and proposed legislation that would make the IRA’s battery tax credit requirements retroactive to Jan. 1. 

“China has cornered the electric vehicle supply chain market,” the senator said, adding the Treasury is “continuing to let the $7,500 credit go without any concerns at all about the critical mineral requirements.” 

Manchin’s efforts had some support; U.S. Sen. Mike Braun, R-IN, agreed with the proposal. Manchin and Braun aimed to get unanimous consent to pass the proposed legislation, but they were blocked by Stabenow’s opposition. 

Stabenow said the IRA’s EV tax credit is complicated, and it “doesn’t work for several years for American companies.” The senator also said carmakers “need more time to meet battery sourcing requirements.” 

“It is not unreasonable what the Treasury is doing… they have been given an incredibly complicated task to try to figure out how this consumer credit will work,” Stabenow said. 

In a statement to Reuters, Stabenow said Manchin’s proposal “would literally take away credits from people who are buying cars today.” She also noted, “Fundamentally, [Manchin] is not a fan of EVs.”

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Maryland Commits to 2035 Ban on New Gas Vehicle Sales

Written by Joey Klender, Teslarati
Published March 14, 2023

The State of Maryland followed in the footsteps of California on March 13 by banning all new gas vehicle sales by the model year 2035.

Maryland’s Air Quality Control Advisory Council unanimously voted to approve a regulation to implement California’s vehicle emissions standards, which have specific goals for a certain percentage of new vehicle sales be emission-free.

Maryland laws already exist that require the state to match California’s vehicle emissions programs. Maryland aligned with the California Air Resource Board (CARB) vehicle standards in 2011, one of 17 states in the U.S. to do so.

“This is a policy that was created in California,” House Minority Leader Jason Buckel said in a statement to the Baltimore Sun. “It is based on California’s economy, California’s transportation needs and California’s electrical grid.”

The proposal will require 43% of Maryland’s new car sales to be zero-emission by 2027. By model year 2035, all new passenger vehicles sold in Maryland will need to be zero-emission. The requirements allow plug-in hybrid vehicles to account for 20% of the requirements.

Maryland Gov. Wes Moore criticized the previous administration, run by Larry Hogan, for dragging its feet to push the state’s fleet of passenger vehicles to be more sustainable.

“The last administration pumped the brakes on this regulation, but today I am proud to say that we’re getting rolling again,” Moore said.

Moore drove off from a March 13 press conference in a FordMustang Mach-E, the Detroit-based automaker’s initial EV rollout several years ago.

“Today, we’re talking about a major transformation that is going to define this administration---and that’s how we turn Maryland from a state powered by oil and gas to a state powered by clean energy,” Moore said in a press release. “I am confident that the State of Maryland can and will lead the clean energy revolution.”

383,000 fewer new gas-powered vehicles would be sold under the new rule by 2030. This figure rises to 1.68 million vehicles by 2035.

The requirements are expected to be finalized by September, and the public will be given an opportunity to comment and voice concerns. The rule will receive an advisory review from a legislative committee.

In August, California became the first U.S. state to ban the sale of new gasoline cars by 2035. Every new car sold in the state after that year is required to be 100% free of fossil fuel emissions.

“The climate crisis is solvable if we focus on the big, bold steps necessary to stem the tide of carbon pollution,” California Gov. Gavin Newsom said when the goal was announced.

California plans to have 68% of its new car sales be zero-emissions by 2030; 35% of new car sales will be free of fossil fuels by 2026.

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Maryland Has Given 12,836 EV Rebates for $28M

Written by Scott McClallen, The Center Square
Published Sept. 22, 2023

Maryland has given 12,836 electric vehicle rebate credits between fiscal year 2011 and 2022 for $28.7 million.

The program allows up to a $3,000 excise tax credit for battery electric vehicles and plug-in hybrid electric vehicles. The battery electrics are fully electric and have rechargeable batteries; plug-in hybrids use a battery and gasoline-powered internal combustion engine.

The Maryland Zero Emission EV Infrastructure Council targets 600,000 registrations statewide by 2030 to reduce annual greenhouse gas emissions by 1.61 million metric tons.

Maryland has 81,088 electric vehicles registered and must average registering 6,178 monthly for seven years to gain the 518,912 needed to reach the benchmark.

Carter Elliot, press secretary for Gov. Wes Moore, told The Center Square that Maryland is investing more than $100 million in public charging infrastructure over the next five years. The state will provide nearly $25 million in incentives over the next three years for the purchase of light-duty zero-emission vehicles.

“Since day one, Gov. Moore has shown a strong commitment to protecting Maryland’s environment for generations to come, which is why he has strongly supported new regulations that encourage the manufacturing and usage of electric vehicles,” Elliot told The Center Square in an email.

Elliot said the U.S. EV market is projected to grow to $137 billion over the next five years and said the governor strongly believes Maryland needs to be a part of that growth.

“This effort will not only ensure that our air will be cleaner and our planet will be safer, but it will create a major economic driver as well,” Elliot said.

The Maryland Greenhouse Gas Emissions Reduction Act sets a 40% reduction goal of greenhouse gas emissions by 2030. Transportation represents 36% of greenhouse gas emissions, the state’s single largest greenhouse gas emissions generator, according to the Maryland Department of Transportation.

Transportation Deputy Director of Media Relations Ashley Millner told The Center Square in an email that between the fiscal year 2022 and the present, Teslavehicles composed 42.25% of electric vehicle rebates. Chevroletaccounted for 21.94% and Toyota 9.89%.

Most people tapping the rebate were between 20 and 59 years old. As of July 1, 128 rebates have been issued totaling $382,000.

The EV Supply Equipment Rebate Program, which provides a 50% rebate of up to $700 per residential charger, has delayed the processing of new applications. The program received $2.5 million in fiscal year 2024.

The most popular models with more than 1,000 vehicles registered as of June 2022 statewide are:

• Tesla Model 3: 15,020
• Tesla Model Y: 12,434
• ToyotaPrius Prime: 4,065
• Tesla Model S: 3,902
• Chevy Bolt: 2,978

We thank The Center Square for reprint permission.

Mercedes EQE Loaner Car Burns Down Inside Florida Homeowner's Garage

Written by Dan Mihalascu, InsideEVs
Published July 24, 2023

A Mercedes-Benz EQE sedan caught fire and burned to a crisp inside a Nocatee, FL, homeowner's garage July 19, severely damaging the building.

The 2023 Mercedes-Benz EQE 350+ sedan was in the garage when it caught fire. According to Jennifer Ruotolo, the EV was a loaner from Mercedes-Benz while her own car was getting serviced. She told News4Jax the luxury electric sedan wasn't even charging when it burst into flames, as she doesn't own a home charging unit.

"It was parked in the garage, about 22 hours and then it caught fire. I was at work. About 8:30 and my husband heard a hiss and a pop, and he went into the garage full of smoke. It engulfed in flames and exploded," Ruotolo said.

Footage shared by News4Jax showed the garage covered in flames, while photos showed the aftermath of the fire, including the completely destroyed vehicle, the devastated garage and the damage caused to the rest of the house, now filled with soot.

Ruotolo estimated the damages to her home to be well over $1 million dollars but said the most important thing is her family is safe. Her husband was right on the next side of the wall when the fire started, but he emerged unscathed, as did the family dog.

St. Johns County Fire Rescue is still investigating the exact cause of the fire and urged EV owners be aware of the potential risks associated with lithium-ion batteries.

Mercedes-Benz issued the following statement regarding the incident, via CarScoops: "Any time we receive a report of such an incident, we take the matter very seriously. In this case, we will work with appropriate officials and experts to immediately seek to determine the root cause so that appropriate next steps can be taken. Please understand that as our investigation is ongoing, we are not in a position to comment further at this time."

The Mercedes-Benz EQE was subject to a recall issued in May for a high-voltage battery software error. The high-voltage battery monitoring system does not alert the driver of a battery malfunction, which may increase the risk of an injury. Mercedes said its dealers would update the battery management system software, free of charge. 

It's not clear whether the EQE loaner that burned in Florida was part of the recall, but the chances are very slim considering only two EQE 350+ sedans were recalled for this issue.

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Mercedes First Automaker to Offer Level 3 Self-Driving in U.S.

Written by Iulian Dnistran, InsideEVs
Published Jan. 9, 2023

The Mercedes-Benz booth at this year’s Consumer Electronics Show(CES) showcased a bunch of new technology the German brand is preparing for the following months.

The biggest piece of news was the company’s plan to build its own, $1-billion global network of fast chargers, but another interesting story sort of went under the radar, and it’s about Mercedes-Benz becoming the first automaker to offer certified Level 3 self-driving technology in the U.S.

In 2022, the German marque began selling its top-tier autonomous driving system, dubbed Drive Pilot, in Germany, after receiving the first-ever certificate of compliance for an OEM.

Now, during CES 2023, Mercedes announced its Drive Pilot system has been approved by the state of Nevada and it’s waiting for it to issue the official certificate of compliance, which should happen “within the two weeks,” according to the company’s press release.

But that’s not all. When the German carmaker applied for certification in Nevada, it also did the same thing in California, and it’s “optimistic” the Golden State will “follow soon."

Mercedes’ Level 3 conditionally automated driving assistant can, on suitable highway sections and where traffic density is high, offer to take over the driving, leaving the driver free to do something else, like watch a movie or participate in a meeting.

Another feature coming to North America is Automatic Lane Change (ALC), which enables the car to automatically initiate a lane change and overtake slower vehicles with the cruise control system. It can also make automatic lane changes to help follow route guidance when approaching exit ramps or freeway junctions.

ALC will be part of Mercedes’ current Level 2 partially automated driving suite available in the U.S.

According to the SAE levels of driving automation, a Level 3-capable vehicle can take over certain driving tasks, but a driver is still required to be present and ready to take control of the car at all times when prompted to intervene. Currently, Drive Pilot is available in Europe on the Mercedes-Benz S-Class and EQS sedans.

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Mercedes-Benz Becomes First German Automaker to Adopt Tesla Plug

Written by Sebastien Bell, CarScoops
Published July 9, 2023

Mercedes-Benz announced its new electric vehicles will adopt a Tesla-style North American Charging Standard (NACS) plug as of 2025. In addition, it plans to grow its own network of proprietary charging stations, that will also feature the charger.

“Our strategic priority is clear: Building the world’s most desirable cars,” said Ola Källenius, Mercedes-Benz chairman. That’s why “we are also implementing NACS in our vehicles, allowing drivers to access an expansive network of high-quality charging offerings in North America.”

As with other third-party automakers adopting the NACS plug, Mercedes-Benz will offer customers an adapter that allows its existing vehicles---which use the Combined Charging System, or CCS plug---to use Tesla’s Supercharger network as of 2024. A year later, the new plug will be built into its vehicles.

Mercedes-Benz is the largest European automaker to adopt the NACS plug so far, though its announcement follows similar promises from Volvoand Polestar. The decision is noteworthy, as it will require the companies to offer a different plug in North America than in their home market, where the CCS standard is used.

In addition to Mercedes-Benz and the two Swedish brands, American automakers Ford, GMand Rivianhave all also said they will adopt the NACS standard in the coming years. Stellantis, Volkswagenand Hyundaiare also reportedly considering making the switch.

Mercedes-Benz will not only change the plugs in its electric vehicles, though. It also announced NACS plugs will be offered at its High-Power Charging Network. The first stations will be opened in the fourth quarter of 2023, and it plans to establish more than 2,000 charging hubs in North America, Europe, China and other markets by the end of the ’20s.

In all, Mercedes-Benz said these locations will offer EV owners 10,000 charging points worldwide. In addition to NACS plugs, it will also offer CCS plugs, which are the standard in Europe and elsewhere. The automaker said its stations will set a new standard for EV infrastructure.

“With the development of Mercedes-Benz’s new North American High-Power Charging Network, we are ready to redefine the electric vehicle charging experience,” said Andrew Cornelia, CEO of Mercedes-Benz HPC North America. “We’re building on our strong brand promise here by leveraging the renowned quality, reputation and customer focus for which Mercedes-Benz has been known for well over a century.”

We thank CarScoops for reprint permission.

With the transition to electric vehicles (EVs), collision repair facilities need to prepare for the changes now and in the future, according to Benito Cid, collision business development manager for Mercedes-Benz USA (MBUSA).

“In different parts of the world, different markets are going to react differently,” said Cid. “You have some countries where they've adopted EVs and they have a very high percentage of vehicles sold already, and then you have others that EVs still have some ramping up to do. EVs are coming and we have to be ready.”

During a recent Guild 21 webinar, sponsored by OECand hosted by George Avery, Holly Switzer-Pittsand Micki Woods, Cid shared information about EVs and some of the differences in handling and repairing them. With more than 30 years of experience in the collision industry, Cid has worked for MBUSA for more than a decade, and previously focused on the insurance claims side of the business for 17 years.

Mercedes-Benz Path to Electric

Cid said Mercedes-Benz has aggressive EV development goals in the U.S. and plans to go fully electric by 2030 where market conditions allow. In preparation, all vehicle lines moving forward will have an electric option.

“Historically, our EVs have been based off internal combustion engines (ICE) and both vehicle types use similar platforms,” he explained. “Going forward, new vehicles will be designed as EVs with the ability to add an internal combustion engine if needed, depending on the market.”

The EQ brand was the auto manufacturer’s entry into the EV market, launched in Europe in 2018. The EQS sedan was first offered in the U.S. in 2021. Since then, MBUSA has introduced the EQB and EQS SUVs and the EQE sedan. By year-end, the company plans to have six EVs on the market.

Unlike other OEMs, MBUSA offers shops different levels of its Certified Collision Program. With base certification, Cid said repairers can perform collision repair work on all passenger cars except those requiring aluminum welding. With Elite, repairers can also work on aluminum structural repairs. Mercedes EQ authorizes work on EVs, and Mercedes Vans authorizes facilities to perform structural and cosmetic repairs on Sprinter and Metris vehicles.

“Once you're Elite, there is no additional fee to become EQ certified,” explained Cid. “The goal was to make sure that facilities across the country have the right training.”

This includes hands-on education at one of the MBUSA centers across the country, as well as online and virtual training options. For information, visit www.mbcollisioncenters.com/become-collision-center.

To power its vehicles, Mercedes-Benz is opening battery production locations worldwide. This includes the Mercedes-Benz eCampus in Stuttgart-Untertürkheim and facilities in Hungary, Poland, Thailand and Alabama in the U.S.

Mercedes-Benz is also establishing an open charger network with ChargePoint Holdings, an EV charging provider, and MN8 Energy, a solar, stationary power and renewable energy provider. More than 400 hubs across North America are expected to be set up with more than 2,500 ChargePointDC fast charging ports.

Another development announced in March is a new battery recycling factory in Kuppenheim, Germany, to recycle battery raw materials.

EV Repair Considerations

Although the repair process is similar with ICE vehicles and EVs---minus the drivetrain and battery---Cid said there are unique considerations to keep in mind with EVs.

He said repairers are already familiar with the potential dangers with ICE vehicles; however, there will be a learning curve when hearing some of the precautions that need to be taken with EVs.

One of the biggest concerns is the safety aspect of the battery and ensuring repairers and others know what to do and what not to do. This includes tow truck companies transporting vehicles, insurance appraisers writing estimates and body shops doing the repairs.

“These are all touchpoints and potential hazards when dealing with an EV, not because they are more dangerous but because they are different than ICE vehicles,” Cid noted.

Typically, EVs require less maintenance than ICE vehicles due to fewer moving parts, but Cid said there are potential issues that need to be addressed due to the batteries and motors. He used the example of dragging a vehicle onto a wrecker rather than finding the best way to move it safely.

An EV tends to be heavy due to the weight of its battery, which can play into concerns about lifting, moving and working on it. As a result, Cid recommends shops learn how to handle EVs safely.

Mercedes-Benz is addressing safety considerations through its free Rescue Assist app, accessed using a QR code inside the vehicle. It contains details with safety-relevant components such as airbags, batteries, power and high-current fuel lines, plus the tanks for fuel, oil and gas. It also includes information about the high-voltage components in electric and hybrid vehicles and where to locate the emergency power down.

Cid said this is helpful for first responders who need this information quickly following an accident and for insurance appraisers and body shops who may have never seen these vehicles before.

Many of Mercedes-Benz’s patents regarding occupant safety are open and available for other auto manufacturers.

“It has always been impressive to me to have a company to be able to provide that, especially when it comes to the safety of the occupants in the vehicle,” said Cid.

In addition to the safety aspects of an EV, another consideration is the process of painting an EV after a repair. “Sometimes, there are limitations on how hot the vehicle can get,” he said.

Cid stressed the importance of always checking the OEM repair procedures on the auto manufacturer’s website. OEM procedures can also be accessed on OEM1Stop.com.

“I don't think I can stress that enough on every single vehicle you're touching,” said Cid. “The excuse of ‘I didn’t know’ isn’t going to save you from what happens when the car goes out on the road with the customer if it has been improperly repaired.”

He said the safety aspect is not just about the liability after the repair; it's also the liability of everyone involved.

Another change Cid pointed out with EVs is the amount of charge the battery has when it leaves the shop. Previously, there wasn’t a major concern with ICE vehicles having a low fuel tank; however, this isn’t the case if an EV has a low battery and might not make it to the next charging station.

One of the standard requirements for Mercedes-Benz EV certification is having at least an 80% charge when delivered to the customer.

The EV Customer

During the company’s EV journey, Cid said the car manufacturer is finding customers have very different expectations with EVs and the reason for buying them.

“Customers tend to be more tech-savvy,” he said. “A lot of them weren't really interested in cars beforehand but now they’re buying EVs for all of the technology available in these cars.”

Talking to collision centers nationwide, Cid said many people who have adopted EVs early on tend to be very in tune with their cars. This may result in them calling the shop after noticing the battery is below a certain percentage or asking why their car was moved during the repair. In response, he recommends shops always put EVs in service mode.

“This is something that collision centers probably aren’t used to,” said Cid.

Looking ahead, Cid recommends shop owners and managers begin thinking about the types of vehicles they want to specialize in and invest in the tooling, equipment and training required to be successful.

To access Mercedes-Benz service and technical repair subscription information, visit www.startekinfo.com/home.

Learn more about Guild 21 at go.oeconnection.com/guild21.

The electrified version of the brand's large cargo van offers efficiency, range and load capacity.

Mercedes-Benz Level 3 Automated Driving Tech Certified in California

PublishedJune 9, 2023

Mercedes-Benz announced June 8 its class-leading DRIVE PILOT system for SAE Level 3 conditionally automated driving received certification from California state authorities. 

With this significant milestone, Mercedes-Benz is the first car manufacturer with authorization to introduce such a SAE Level 3 system in a standard-production vehicle for use on public freeways in the most populous state in the U.S. 

DRIVE PILOT will be available in the U.S. market as an option for model year 2024 Mercedes-Benz S-Class and EQS Sedan models, with the first cars delivered to customers in late 2023. 

The state of Nevada already confirmed the compliance of the system with state regulations in January, and Mercedes-Benz has the ambition to further expand availability of this groundbreaking system to additional markets in the future.

“Mercedes-Benz DRIVE PILOT is the world’s only SAE Level 3 system with internationally valid type approval," said Markus Schäfer, member of the Board of Management of Mercedes-Benz Group AG, chief technology officer, responsible for development and procurement. "It builds on a very robust foundation, setting new industry standards. DRIVE PILOT uses a highly sophisticated vehicle architecture based on redundancy with a multitude of sensors enabling comfortable and safe conditionally automated driving. The certification by the authorities in California and in Nevada once again confirms that redundancy is the safe and thus the right approach.”

During a conditionally automated journey, DRIVE PILOT allows the driver to take their mind off the traffic and focus on certain secondary activities. When DRIVE PILOT is active, applications can be enabled on the vehicle's integrated central display that are otherwise blocked while driving.

On suitable freeway sections and where there is high traffic density, DRIVE PILOT can offer to take over the dynamic driving task, up to speeds of 40 mph. The control buttons required for this are located on the steering wheel rim, on the left and right above the thumb recesses. Once conditions are suitable, the system indicates availability on the control buttons. 

When the driver activates DRIVE PILOT, the system controls the speed and distance, and effortlessly guides the vehicle within its lane. The route profile, events occurring on the route and traffic signs are correspondingly taken into consideration. The system also reacts to unexpected traffic situations and handles them independently through evasive maneuvers within the lane or by braking maneuvers for example.

If the driver fails to take back control even after increasingly urgent prompting and expiration of the takeover time (e.g., due to a severe health problem), the system brakes the vehicle to a standstill in a controlled manner while engaging the hazard warning lights. Once the vehicle has come to a standstill, the Mercedes-Benz emergency call system is activated and the doors are unlocked to ensure the vehicle is accessible for first responders.

Source: Mercedes-Benz

Mercedes-Benz Unveils Its First Pinnacle Luxury EV

Written by William Johnson, Teslarati
Published April 18, 2023

Maybachhas made a name for itself by taking the already well-known premium driving experience of Mercedes-Benz to another level. The brand’s most recognizable vehicle, the Maybach S-Class, challenges the luxury and price tag of Rolls-Royce. Now, Mercedes-Benz has introduced its first ultra-luxury electric vehicle, the Maybach EQS SUV.

If it isn’t apparent from the vehicle’s profile and name, the Maybach EQS SUV is based on the Mercedes-Benz EQS SUV, already a luxury offering in its own right. However, with an expected price tag north of $200,000, it makes its Mercedes-Benz counterpart look affordable.

Besides the noticeable styling changes, primarily in paintwork and trim pieces, the Maybach EQS SUV receives a modest mechanical upgrade over the already well-performing EQS SUV. First, it comes standard with a dual motor all-wheel-drive configuration, but it now produces a massive 649 horsepower and 700 pound-feet of torque. Despite the increase in power output and no physical capacity change to the battery (107.8kWh), the Maybach achieves roughly 70 more miles of range, 372 miles on a full charge.

The Maybach still charges in the same respectable 30 minutes from 10% to 80% as the Mercedes EQS SUV.

“The Mercedes-Maybach EQS SUV is a milestone in our brand history," said Daniel Lescow, head of Mercedes-Maybach. “For us, it embodies nothing less than the redefinition of automotive excellence in the age of electromobility. Our customers can look forward to an absolutely top-class electric driving experience---with the aura of the extraordinary that is typical of Maybach.”

While the performance bump is undoubtedly a welcome inclusion, Maybach, as usual, has made its focus an incredible interior experience.

The Mercedes Maybach team has woven comfort and luxury with the highest tech and suitability possible. Materials throughout the cabin, including the Nappa leather, aluminum trim and suede accents, have all been responsibly sourced or made from recycled materials. The tech offering is also top-notch. Both front and rear passengers have access to massive screens and a suite of seat comfort settings fit for those who can afford to be driven in them.

This focus on tech and interior software experience is noted by Ola Källenius, chairman of the Board of Management Mercedes-Benz, in his statement on the unveiling.

“The Mercedes-Maybach EQS SUV unites our ambition to lead in digital and electric with our focus on the luxury segment," Källenius said. "The very first all-electric vehicle from Mercedes-Maybach complements the best technologies from Mercedes-Benz with the extra comfort and individual details that are only available from Mercedes-Maybach.”

While the Maybach offering will certainly not be a mass-market seller, the brand is often the pioneer of technologies and materials that eventually make their way to entry-level Mercedes-Benz vehicles. Mercedes-Benz has previously noted it will use an increasing amount of recycled materials within its vehicles, and hopefully, the Maybach EQS SUV is just the tip of the iceberg.

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Michigan OKs $1B Subsidy for $3.5B Ford EV Battery Plant

Written by Scott McClallen, The Center Square
Published Feb. 14, 2023

Michigan taxpayers will give $1 billion for Ford’s new $3.5 billion electric vehicle battery factory, which the automaker says will create 2,500 jobs in Marshall, MI.

The Michigan Strategic Fund approved incentives for the BlueOval Battery Park, including a $210 million Critical Industry Program grant from Michigan's Strategic Outreach and Attraction Reserve Fund; $772 million in Renaissance Zone property; a real tax exemption over 15 years; and a $36 million loan.

John Mozena, president of the Center for Economic Accountability, a nonprofit organization for transparent economic development policy, said in prepared testimony to the Strategic Fund that continual investments in Michigan manufacturing hasn’t stopped the state from hemorrhaging manufacturing jobs.

“Since 1995, the [Michigan Economic Growth Authority] Board and then the MSF Board have funneled billions and billions of dollars in subsidies to automotive manufacturers here in Michigan,” Mozena said. “And yet, there are now 185,000 fewer manufacturing jobs in Michigan today than when we started. There is no independent evidence that these subsidies have been anything other than ruinously expensive failures for the people of Michigan.”

The plant initially will employ 2,500 people when the production of lithium iron phosphate batteries begins in 2026, which aims to lower the cost of EVs. Ford will have the option to further grow its battery capacity in the BlueOval plant.

An announcement was made Feb. 13 in Romulus that included Ford executives and Democratic Gov. Gretchen Whitmer. Marshall is just outside of Battle Creek, about 100 miles west of Detroit and 45 miles south of Lansing.

The Great Lakes State may well have been a second choice. As reported by The Center Square last month, Virginia Gov. Glenn Youngkin pulled his state out of negotiations with Ford for a megasite; it was in part because of the motor company giant's Chinese partner. Youngkin said his administration "felt that the right thing to do was to not recruit Ford as a front for China to America."

University of Michigan-Flint economics professor Chris Douglas questioned whether the investment is the best use of $1 billion.

“The state has been heavily subsidizing battery manufacturing since the Granholm administration with not a lot to show for it,” Douglas said in an email, referring to former Democratic Gov. Jennifer Granholm, who served from 2003 to 2011. “If there was a market demand for batteries and EVs in general, these manufacturers wouldn't need taxpayer subsidies.”

Douglas added spending $1 billion to create 2,500 jobs would equate to spending $400,000 per job.

“We are committed to leading the electric vehicle revolution in America, and that means investing in the technology and jobs that will keep us on the cutting edge of this global transformation in our industry,” Ford Executive Chairman Bill Ford said in a statement. “I am also proud that we chose our home state of Michigan for this critical battery production hub.”

Ford aims to deliver an annual run rate of 600,000 electric vehicles globally by the end of this year and 2 million globally by the end of 2026.

Michigan has 25,181 EVs registered statewide.

This battery production facility in Michigan will add about 35 gigawatt hours per year of new battery capacity for Ford in the U.S. initially---capable of powering about 400,000 future Ford EVs.

Whitmer welcomed the project.

“Ford’s $3.5 billion investment creating 2,500 good-paying jobs in Marshall building electric vehicle batteries will build on Michigan’s economic momentum,” Whitmer said in a statement. “Today’s generational investment by an American icon will uplift local families, small businesses and the entire community and help our state continue leading the future of mobility and electrification. Let’s continue bringing the supply chain of electric vehicles, chips and batteries home while creating thousands of good-paying jobs and revitalizing every region of our state.”

Marshall Mayor Jim Schwartz also welcomed the investment.

“The city of Marshall welcomes this exciting new partnership with Ford Motor Company,” Schwartz said in a statement. “This investment in the local community will lead to an influx of new jobs to Marshall and economic development throughout the area. We are especially excited to support Ford’s conservation easement which will preserve Michigan’s natural beauty along the Kalamazoo River.”

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Michigan Says It Needs $750M More for Ford Battery Site

Written by Scott McClallen, The Center Square
Published Feb. 22, 2023

Michigan says it needs $750 million more from taxpayers to prep the site for Ford Motor Company's $3.5 billion electric vehicle battery plant in Marshall.

Taxpayers are already footing $1 billion for the factory, dubbed "Project Hickory," that Ford says will create 2,500 jobs.

Economic development officials said "not a cent" of the $750 million would go to Ford, but would instead fund site readiness.

The $750 million includes $330 million to the Michigan Department of Transportation for road improvements, $224 million for pad-ready site improvements, $100 million for water and wastewater improvements and $75 million for land acquisition. Other projected spending includes $15 million for Norfolk Southern rail improvements, $5 million for building inspections and $300,000 to fund fiber optics.

The cost breakdown was included in documents distributed at the Feb. 22 House Appropriations Committee hearing.

Ford said the factory is key to delivering an annual run rate of 600,000 electric vehicles globally by the end of this year and 2 million globally by the end of 2026.

Currently, Michigan has 25,181 EVs registered statewide. Cost is one major barrier to adoption. According to Kelley Blue Book, the average price of an electric car in September 2022 was $65,291. Meanwhile, the average price for a gas-powered vehicle was $48,100. Moreover, many used gas-powered cars cost between $5,000 and $15,000.

Ford's BlueOval factory aims to make lithium iron phosphate batteries in the U.S.

Chris Smith, Ford’s chief government affairs officer, said CATL, a Chinese company, was only a technical service provider for the plant and rejected claims that CATL would receive taxpayer money.

“The government of China has no role in the project and no tax dollars will go to the company licensing that technology,” Smith said.

However, Smith couldn’t provide the contract between Ford and CATL, saying it was still under negotiations.

Rep. Andrew Fink, R-Hillsdale, said Chinese law requires “all Chinese companies to cooperate with the intelligence gathering operations of the Chinese government, which is wholly controlled by the Chinese Communist Party.”

“I think we can’t talk about this seriously by saying, well, they’re not going to be a direct recipient,” Fink said. “What is the real substantive reason that we shouldn’t be concerned about the presence of an entity that is legally subject to the control of the CCP, according to the laws of their own country?”

Rep. Rachel Hood, D-Grand Rapids, said the proposed jobs would only pay between $20-$40 an hour, which is “barely a living wage job” to support a family.

Marshall City Manager Derek Perrysupports the plant. He said the project could bring 2,500 jobs to a region that’s lost 2,000 jobs in 20 years. Perry said the Ford investment is “critical” in reversing that trend.

Michigan Economic Development Corporation CEO Quentin Messer Jr. said the project’s goal is to grow Michigan’s population and the tax base.

Smith said Ford plans to recycle EV batteries to extract minerals from used batteries.

"A battery that is at end-of-life still has a lot of value," Smith said.

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Minnesota Legislators Ponder Household Energy Efficiency Tax Credits

Written by Mary Stroka, The Center Square
Published Feb. 8, 2023

Minnesota legislators are considering a refundable tax credit of up to $2,000 for residents who invest in energy efficiency.

Rep. Jeff Brand, DFL-St. Peter, sponsored the bill, HF810.

“This will give folks an incentive if they were kind of teetering,” Brand said Feb. 2. “But maybe it will offer more incentive to folks who weren’t quite able to reach that affordability range.”

The House Tax Committee on Feb. 2 laid it over for possible inclusion in an omnibus bill. Expenditures in three categories---appliances, large improvements and energy efficiency measures---could qualify. Taxpayers could claim up to $1,000 in expenditures from each category and collect up to $2,000 in tax credits.

Qualifying expenditures include ductless mini-split heat pumps, electric vehicles and residential chargers, smart thermostats and solar water heaters.

With an amendment the committee adopted, the bill’s language aligns with similar 2022 bills. Under the amendment, for married couples filing jointly, the energy efficiency tax credit is reduced $1 per every $30 of adjusted gross income over $150,000. For other types of filers, the credit is $1 less per every $15 of adjusted gross income above $75,000.

The committee also passed an amendment from Rep. Chris Swedzinski, R-Ghent. He proposed allowing residents’ upgrades to wood-burning stoves and boilers that meet EPA standards to qualify for the tax credit, as a method of protecting Minnesota manufacturers.

Rep. Greg Davids, R-Preston, said the bill won’t help the climate, Tesla owners don’t need tax credits and people who make lower levels of income don’t buy electric cars. However, he also said the bill says rich people can pollute and destroy the planet through climate change while poor people can’t.

The Department of Revenue estimates the bill’s provisions would reduce the state’s General Fund by $48.8 million in fiscal year 2024 and $50.2 million in fiscal year 2025, a Minnesota House of Representatives article said. According to the bill, the tax credit ends in 2027 but its ending doesn’t impact the Commissioner of Revenue’s ability to audit or examine and assess claimed credits.

Rep. Bjorn Olson, R-Fairmont, said, considering variations in estimated budget impacts of the Inflation Reduction Act, the Revenue Department may be underestimating how much less money the state’s General Fund would receive because of the bill.

Rep. Andy Smith, DFL-Rochester, said the state must spend the money in tax credits to promote energy efficiency before doing so becomes more expensive.

Rep. Kristin Robbins, R-Maple Grove, said while she supports transitioning to renewable energy, she thinks an education tax credit bill, HF915, that the committee laid over earlier that day should get priority, considering funding limitations, as it would have a larger return on investment. The education bill, which Rep. Matt Norris, DFL-Blaine, sponsored, would raise Minnesota’s income-based phaseout from $33,500 to $70,000 and increase the maximum credit to $1,000 to $1,500, at a cost of $11.1 million from the General Fund.

The Minnesota law adds to the Inflation Reduction Act’s tax incentives for use of electricity, which include buying electric vehicles. The U.S. Treasury Department on Feb. 3 announced changes in vehicle classification standards for the Inflation Reduction Act that will allow more vehicles to qualify as SUVs, which have a higher price limit for the $7,500 electric vehicle tax credits.

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Mississippi Bill Aiming to Restrict EV Direct Sales Passes Senate

Written by Simon Alvarez, Teslarati
Published March 3, 2023

Electric vehicle makers may find it harder to open new company-owned stores in Mississippi in the future.

Following a nearly two-hour debate among lawmakers, House Bill 401 passed through the Senate by a vote of 38-14. The bill is now on its way to Gov. Tate Reeves’ desk.

House Bill 401 is controversial. If it does get signed into law, electric vehicle makers like Tesla, Rivianand Lucidwould be mandated to sell their vehicles through a franchised dealership. EV makers today typically sell their cars through company-owned stores.

In a statement to WJTV 21 News, State Sen. Jeremy England, R-51, said the bill is simply bad policy. He also said with the bill in place, Mississippi is sending the wrong message. This could result in the state losing out on what could be lucrative investments.

“We’re telling the electric vehicle (makers) who use a different sales model that their sales model is not acceptable in Mississippi," England said. "If you have to go to a middle man and go to a dealership, you can already count on a 5% increase in cost tacked on just for the middle man on that.

“I believe we’re sending the wrong message. I think we’re telling them, 'Look, we’re going to do things the old way here in Mississippi. Good luck in the other states.’ They’re going to start selling their vehicles there, and we’re going to miss out on it."

Supporters of the bill said it would ensure all carmakers play by the same rules, regardless of their respective business models. England, however, argued states like Nevada, which allow companies like Tesla to sell their cars through company-owned stores, recently saw a massive investment worth billions of dollars.

“I think we took a step backwards with this legislation today… In Nevada, they’re an open model state. They allow direct sales from electric vehicle manufacturers. They just saw a $3.4 billion investment by a battery company in the state of Nevada,” England said.

Tesla’s lone store in Brandon, MS, will be allowed to operate even if House Bill 401 is passed into law.

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MIT Study: Self-Driving Cars Could Drive Up Carbon Emissions

Written by Scott McClallen, The Center Square
Published Feb. 8, 2023

A new study from the Massachusetts Institute of Technology says the computers that power autonomous cars could become a significant source of carbon emissions if widely adopted.

For years, Michigan taxpayers have subsidized research on autonomous cars, which aim to drive themselves using a series of sensors and advanced technology.

The goal of autonomous vehicles is to reduce traffic deaths and relieve humans of manual driving. In 2021, the most recent data available, there were 282,640 crashes in Michigan. Of those crashes, 1,068 were fatal, according to crash data from the Michigan State Police.

The study said 1 billion autonomous vehicles, each driving for one hour daily with a computer consuming 840 watts, would consume enough energy to generate about the same amount of emissions as data centers.

Data centers housing computer infrastructure currently account for about 0.3% of global greenhouse gas emissions, or about the annual carbon emissions of the country of Argentina, according to the International Energy Agency.

“We are hoping that people will think of emissions and carbon efficiency as important metrics to consider in their designs," study co-advisor Vivienne Sze said in a statement. Sze is an associate professor in the Department of Electrical Engineering and Computer Science and a member of the Research Laboratory of Electronics. "The energy consumption of an autonomous vehicle is really critical, not just for extending the battery life, but also for sustainability."

Michigan has spent millions investing in self-driving vehicles and industry 4.0, according to a Michigan Economic Development Corp. report. One of the core objectives of the Michigan Office of Future Mobility and Electrification, a part of the development corporation, is to “further develop systems and for deploying autonomous and shared transportation.”

The development corporation hasn’t responded to a request from The Center Square for comment about the study. The Office of Future Mobility and Electrification is also tasked with accelerating EV adoption, the goal of which is to reduce carbon emissions from transportation.

Michigan is developing a 40-mile corridor for connected and autonomous vehicles between downtown Detroit and Ann Arbor that allows for a mix of connected and autonomous vehicles, traditional transit vehicles, shared mobility and freight and personal vehicles.

Michigan and other partners have invested in autonomous vehicles since 2013, according to a 2017 Department of Transportation report. A 2022 report from The Citizen’s Research Council of Michigan recommends state transportation planners should “refocus efforts on proven solutions to today’s problems.”

“Michigan cannot be a leader in automotive by chasing transient technology trends,” the Citizen’s Research Council report said. “The industry appreciates that Michigan officials are interested and engaged in the development of new technologies, but there should be more reflection and less reflex when investing public resources. Such efforts distract from finding real solutions to real problems that exist today.”

A 2021 Department of Transportation study said out of 49 state transportation departments reviewed, 27 states were involved in connected autonomous vehicle activities while 22 states were not.

Michigan is partnering with Cavnueon its CAV corridor, The Center Square reported in 2020. Cavnue didn’t provide a comment to The Center Square about the MIT study by time of publishing.

“There is no denying, the future of vehicles is connected and automated,” Tyler Duvall, co-founder and CEO of Cavnue, said in an Michigan Economic Development Corp. article deeming the company a "success story." “A network of CAV corridors powered by an integrated hardware, software and advanced roadway operation solution can ensure that the future is safe and efficient. Coupled with the industry leading center of excellence in automotive that calls Michigan home, it only makes sense to begin here and grow a network of CAV corridors across the rest of the country.”

The National Science Foundation and the MIT-Accenture Fellowship partly funded the research.

We thank The Center Square for reprint permission.

Mitchell Publishes EV Collision Insights Report

PublishedFeb. 15, 2023

Mitchell, an Enlytecompany, on Feb. 15 announced the availability of its latest trends publication: Plugged-In: EV Collision Insights. The new quarterly report provides auto insurance and collision repair executives with up-to-date information on electric vehicle claims and market data.

In 2022, EV sales hit a tipping point, representing 5.6% of all new vehicles sold, according to Kelley Blue Book. As consumer adoption increases, vehicle manufacturers including Audi, GMand Volvo are pledging to go all-electric in the future---putting more of these automobiles on the road and, potentially, in a collision repair shop.

"EVs introduce some unique challenges to both insurers and repairers,” said Ryan Mandell, director of claims performance at Mitchell. “Their more complex, interconnected electronic systems and reliance on lightweight materials can complicate the repair process and increase claims costs. With the release of our new report, we hope to provide the industry with the information it needs to prepare for this growing segment of the car parc and the impact it will have on auto insurance claims.”

Based on data from Q4 2022, the inaugural issue of Plugged-In: EV Collision Insights documents an increase in the:

• Number of EV repairable claims of 1.1% in the U.S. and 2.26% in Canada
• Average percentage of EV parts repaired, suggesting collision facilities may be improving their ability to repair the lighter weight substrates common in these automobiles
• Average number of mechanical hours on EV estimates of 1.7 as compared to labor time listed on collision damage appraisals for vehicles with internal combustion engines

The report also features current claims data on EV average repairable severity, repairable claims frequency by market, and frequency by vehicle manufacturer and model.

To access the report, visit www.mitchell.com/plugged-in. You can also subscribe to future issues by completing the web form.

Source: Mitchell

Mitchell Report Details Collision Claim and Repair Differences Between EVs, ICE Vehicles

PublishedAug. 10, 2023

Mitchell, an Enlytecompany, on Aug. 10 announced the availability of its Q2 2023 report: Plugged-In: EV Collision Insights. 

The report highlights a continued increase in electric vehicle (EV) repairable claims frequency, which rose to 1.49% in the U.S. and 2.64% in Canada last quarter. It also documents the differences in claims severity, post-accident drivability and collision repair when comparing EVs to automobiles powered by an internal combustion engine (ICE).

“Not surprisingly, claims severity for repairable EVs is outpacing that of ICE alternatives,” said Ryan Mandell, director of claims performance at Mitchell. “However, the most recent data shows that EVs are less likely than ICE vehicles to be non-drivable following an accident. Despite greater interconnectivity between components, they have fewer moving parts. So, unless an EV gets hit from behind, it has a higher likelihood of drivability. Differences like these will have a dramatic effect on the auto insurance and collision repair markets, given the recent growth in EV adoption.”

According to Cox Automotive, U.S. EV sales broke another record in Q2, with nearly 300,000 battery-electric vehicles sold, an increase of 48.4% over Q2 2022. While adoption may be slowing in Canada, the International Energy Agency predicts global EV sales of 14 million in 2023 with new purchases accelerating in the second half of the year.

In addition to tracking general EV collision claim trends such as frequency and geographic distribution, this quarter’s report includes up-to-date statistics on how EVs differ from ICE automobiles when it comes to:

Claims Severity: Average severity for all EVs was $963 higher in the U.S. and $1,328 higher in Canada than ICE alternatives. Those cost differentials jumped to $1,589 and $1,600 respectively when looking at Teslamodels only.

OEM Parts Utilization and Percentage of Parts Repaired: Most EV parts are provided directly from the manufacturer, with 90.75% of repairable EVs using OEM parts as compared to 66.50% for ICE automobiles, a difference of 24.25%. Additionally, EV repairs include a lower percentage of parts repaired versus replaced: 13.49% versus 19.20% for ICE-powered options.

Average Refinish Hours: Labor hours for paint refinishing can be 40% of the total labor time for an average repair order---making them a key driver of collision claim expenses. In Q2, refinish hours for EVs averaged 8.51 compared to 8.02 for ICE automobiles.

To download the latest Plugged-In: EV Collision Insights report, visit the Mitchell website. You can also subscribe to future issues or access previous reports online at the same link.

Source: Mitchell

As vehicle manufacturers announce plans to go all-electric by 2030, repairers and insurers are keeping a close eye on the changes taking place and adapting as necessary. 

Mitchell International, Inc., an Enlytecompany, recently released its inaugural quarterly trends report: “Plugged-In: EV Collision Insights,” which provides insight into the electric vehicle (EV) claims and market data and analyzes industry trends. EV sales in 2022 represented 5.6% of the market, according to Kelley Blue Book.

Ryan Mandell, director of claims performance at Mitchell, said the report will help carriers and collision repairers prepare as EV market growth continues and more EVs enter auto body shops. 

“For the repair industry, additional training, tooling and equipment will be necessary considerations to meet the needs of these complex and interconnected vehicles,” the report said. “Automotive insurers, on the other hand, should be ready to examine underwriting practices so that they can meet the demands of a growing segment of the car parc with higher average repair costs and more complex repair procedures that must be performed to successfully deliver a proper and safe repair.”

As of Q4 2022, EV repairable claims frequency was 1.1% in the U.S. and 2.26% in Canada, according to the report. The top North American EV markets based on repairable claims frequency were British Columbia (4.47%), California (3.37%) and Quebec (2.75%).

Autobody News reached out to Mandell to learn about the quarterly trends report, the data it includes and what it means for the industry moving forward. 

What prompted the development of the quarterly EV report? 

Mitchell’s previous trends report transitioned into an annual report when Enlyte, our parent brand, was formed in October 2021. We looked at opportunities to share insightful data that would be helpful for the greatest number of stakeholders---information different than they could find anywhere else. 

The transition to EVs is a big disruptor, probably more so than anything we've seen in some time. We are seeing EV adoption numbers increasing and more coming into repair facilities. 

It made sense to put out focused information about electrification and what it means for the industry. Insurers are asking how this transition will likely impact severity. That was something we knew we had to include. 

We also wanted to demystify EVs and provide insights into what it means when these vehicles come into repair facilities. If you live in Southern California, you probably see EVs all the time, but if you are in another area of the country, you might not. A large section of the industry isn’t sure when they need to prepare for electrification, if they even need to, and if there is anything different with EVs. Whether or not people agree with the EV trend, people are buying them and it’s important to get prepared. 

Our goal is to get information to carriers and shops, explain the market differences with EVs, and what to expect. The data shared is based on repairable estimates uploaded to Mitchell and we’ll continue to evolve the report.

Who is your main target audience?

It’s both insurers and repairers. Repairers are more on the front lines understanding some of the differences with these vehicles because they're living it firsthand. However, that's only in certain markets. 

I work with many insurance carriers and the goal is to get them thinking about the EV business and how they will need to adapt their claims organization. An EV is a very different vehicle. They will need to think about the safety of appraisers in the field. They must understand how shops manage high-voltage batteries to ensure the safety of their teams.

What highlights can you share?

It was interesting to see how big of an impact Tesla has on the overall EV industry, with a 76.21% market share in the U.S. and 70.21% in Canada. When you look at that delta in terms of repair cost, it can be startling at first. But when you take Teslaout of that mix, it normalizes it a little more. 

Teslas are complex and more expensive to repair. However, it’s not just the Tesla effect. Even without Tesla, you still have a significant delta in the repair cost for EVs because there’s more involved. 

The number of mechanical labor hours on EV estimates still outpaces ICE vehicles with 1.7 additional mechanical labor hours, which was also interesting. That speaks to how you manage the high-voltage battery during the process. You have to isolate it in many instances, which often requires additional mechanical labor hours. 

The other piece that stood out to me in the report was looking at the 27.45% average supplement delta for EVs and how much of a role that plays in the final cost of the repair compared to the original estimate. When you look at internal combustion engine (ICE) vehicles, that number is around 17%, so you're talking about 10 percentage points higher for an EV. That speaks to how critical OEM repair procedures are with these cars. 

What is the main takeaway for repairers and insurers?

It’s important for insurers to look at the original estimate and forecast what the likely reserves will be for that claim and understand that it's probably going to be greater. When it comes to estimate writing, carriers and shops must be able to produce a collision damage appraisal that accounts for the differences between EVs and ICE vehicles. Once the estimate is written, there has to be a way for repairers to prioritize these vehicles and identify the damage quickly because there will be a more significant amount associated with them. The longer the claims process gets drawn out, the worse the customer experience is, which means CSI scores go down for the shop, the insurer and other stakeholders. 

If there is a way to pre-scan during the initial estimate and focus on writing the most accurate estimate possible, it is a great way to add additional value to the process and get a better understanding of the systems that have been impacted. 

The report states that 90.11% of U.S. and Canadian shops are using OEM parts. What do you attribute this to? 

It’s the lack of availability of alternative EV parts. With ICE vehicles, OEM utilization is roughly 68% to 70%. That’s a big difference. There is a lack of cars in the salvage pool that are making it to auto recyclers and I think many are going overseas.

I believe the percentage of OEM parts utilization will change as the salvage pool increases and aftermarket manufacturers produce parts. 

Can you share information about the percentage of parts repaired? 

We found that the average percentage of parts repaired on EVs increased from 11.05% in Q3 2022 to 12.16% in Q4 2022. This suggests that repair facilities may be improving their capabilities to repair lighter-weight substrates. However, some of this increase may also have to do with ongoing supply chain disruptions and the lack of availability of replacement parts. 

Shops are investing in technology, tools and equipment to repair some of these materials more effectively. Some of this is being driven by necessity because of the supply chain issue we're facing and the lack of availability of parts. Some shops are simply just repairing parts because they can't get a replacement. 

To read a copy of the report, visit www.mitchell.com/plugged-in.

Mitchell Signs Industry-First Data Licensing Agreement with Rivian

PublishedMay 4, 2023

Mitchell, an Enlytecompany, on May 4 announced it is the first collision industry information provider to sign a data licensing agreement with EV manufacturer Rivian. 

This will allow auto insurers and collision repairers using Mitchell Cloud Estimating and Mitchell Cloud Estimating TruckMax to write damage appraisals and access repair procedures for the OEM’s full line-up of passenger and commercial vehicles: the R1T, R1S and Electric Delivery Van (EDV).

Rivian, which delivered its first electric vehicles in 2021, has ramped production aggressively throughout 2022 onwards. As of Q1 2023, Rivian has manufactured more than 34,000 passenger and commercial vehicles and looks to significantly increase production again through the remainder of the year. These vehicles will be delivered to the U.S., Canada and Europe.

“Rivian is committed to supporting our passionate, adventurous owners and customers throughout the vehicle lifecycle. Unfortunately, this may occasionally include a collision event,” said Rivian Manager of Collision Data and Industry Relations Brandon Chittenden. “We are eager to make Rivian’s data available in Mitchell’s collision estimating database. This is a crucial step in helping insurance carriers and repairers restore our vehicles to pre-accident integrity and get our customers back on their adventures quickly.”

This announcement comes as EVs rapidly gain market share on their internal combustion engine (ICE) counterparts. While total new vehicle sales fell 8% in 2022, EV sales grew 65% and topped 800,000 units for the first time ever, according to Kelley Blue Book. In the U.S., 5.8% of new cars purchased were EVs, surpassing the 5% tipping point that many in the industry feel is the threshold for the start of mass adoption. In Canada, EV sales grew by more than a third in the first six months of 2022, although overall sales growth is lower than in other regions of the world.

“Increasing EV adoption rates have reinforced the need for accurate data on the latest vehicles along with a technology platform built for battery electric vehicles (BEVs) and their unique design differences,” said Debbie Day, executive vice president and general manager of Mitchell’s Auto Physical Damage division. “Mitchell is meeting this need through expanded EV coverage and enhancements to our cloud-based estimating platform, which are designed to better support accurate and efficient BEV damage appraisals."

Among the patent-pending, industry-first enhancements to Mitchell Cloud Estimating are features that directly address the design and construction differences between EVs and ICE-powered automobiles. 

This includes the addition of a BEV-specific data structure, which dynamically updates the user interface---displaying only information relevant to BEVs once the Vehicle Identification Number (VIN) is decoded. With new part categories and data organization, insurers and repairers can easily locate the BEV information they need to complete the collision-damage appraisal. 

Additionally, Mitchell has established industry-standard definitions for EV battery capacity and motor size, which appear on the vehicle selection screen and under the vehicle description detail on the printed estimate.

The updates to Mitchell Cloud Estimating were made available to U.S. and Canadian customers in fall 2022 and the first Rivian-authored vehicle data will appear in 2023 in Mitchell TechAdvisor and Mitchell’s estimating solutions.

In total, Mitchell has authored data for 168 mild hybrid, hybrid, plug-in hybrid and battery electric vehicles, which represents 3,500 unique configurations.

For more information about Mitchell’s expanded support for EVs, visit the company’s website.

Source: Mitchell

More Electric School Buses on the Way in CA with $150M in Grants

By Ria Roebuck Joseph, The Center Square
Published July 10, 2023

The California Air Resources Board (CARB) and the California Energy Commission (CEC) are collaborating to transition school districts from diesel dependent school buses to green energy alternatives. 

The initiative is a partnership to use $150 million in the state budget to award funding to public school districts who apply to the program in an effort to transition to zero emissions bus technology. 

The California Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project (HVIP) funds vouchers for the purchase of zero emissions trucks and buses and has a Public School Bus Set-aside Program specifically to replace old school buses with new electric ones.

The CEC’s Energy Infrastructure Incentives for Zero-Emission Commercial Vehicles Project (EnergIIZE) will fund charging stations for those buses.

This year’s successful awardees can receive $495,000 per bus---$395,000 for the vehicle and $100,000 for a charging station.

“California schools have already replaced hundreds of old polluting school buses with new zero-emission models, protecting thousands of kids from harmful diesel pollution,” Gov. Gavin Newsom pointed out.

In 2022, 81 school districts used the state-supported program to purchase more than 300 ZEV buses. California has ordered 1,200 buses to further increase the state’s zero-emission school buses from 560 to around 1,800. 

So far California has spent $1.2 billion to replace diesel operated buses.

Newsom is pleased with the progress. “We’re getting more kids on clean school buses while paving the way for the rest of the country to follow our lead,” he said.

Over the next five years, the state expects to spend an additional $1.8 billion on green energy school buses and the infrastructure to support them.

The funding is part of the California Climate Commitment, with $10 billion in funding for ZEV transitions motivated by Newsom’s efforts to achieve net-zero carbon pollution by 2045.

Applications are on a first come, first served basis and are being accepted through Sept. 29. Incentives are applied at point-of-sale for the purchase of eligible vehicles at participating dealerships.

We thank The Center Square for reprint permission.