Three years ago, the Obama administration abandoned another of its predecessor's central tenets?that the future of vehicle propulsion was zero-emission hydrogen fuel cells. Energy Secretary Steven Chu, backed by Obama, instead launched an aggressive program to develop a new generation of high-performance batteries, the factories in which to manufacture them, and the vehicles they would power. Lithium-ion technology and electrified cars offered the best chance of achieving three key policy objectives, the administration asserted: get the country off of oil, reduce emissions of CO2, and invigorate a new age of American manufacturing.
But electric vehicles are off to a sluggish start in the United States and around the world. Battery costs seem likely to be high for the foreseeable future, and consumers are not buying electrified cars at the rates originally foreseen. Major oil companies are getting the impression that they can relax: The gasoline age will still be with us for at least another two decades, they believe, perhaps even longer.
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