General Motors is finally answering the question of pricing for its first mass-market electric vehicle - the Chevrolet Volt. The electric vehicle will have a sticker price starting at $41,000 when it hits showrooms later this year.
But government tax credits and rebates designed to speed the entry of electric vehicles into the marketplace will make the price more attractive. There's a federal tax credit of $7,500 for electric vehicles.
Additionally, Californians are eligible for an additional $5,000 rebate through the state Air Resources Board. That lowers the Volt price in California to $28,500.
Chevrolet also plans to offer a lease program on the Volt with a monthly payment as low as $350 for 36 months plus $2,500 due at lease signing. And in a move to reassure potential buyers that they won't have to make a costly battery replacement early in the life of the vehicle, GM is guaranteeing the battery in the Volt for eight years or 100,000 miles.
Initially, GM will offer the Volt in seven regions: California, New York, New Jersey, Connecticut, Washington, D.C., Michigan, and Texas.
The company anticipates that it will sell 10,000 cars in the first year and then make the Volt available nationally and sell 30,000 units in 2012, GM executives said on a conference call on Tuesday. The company hopes that higher volumes will bring down the price in the future, but some of that is already figured in, said Joel Ewanick, GM vice president of U.S. marketing.
"We're pricing very aggressively taking into account some of those factors already," he said. "We think it's a great opening salvo and we'll see what happens over time."
The base model will include a number of high-tech features, such as Bluetooth connectivity, a navigation screen, and five years of GM's OnStar service. There will also be four options, such as a rear camera, a more expensive paint package, and different wheels. If all options are chosen, the cost is $44,600 before the $7,500 tax credit.
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