Batteries not included- Buyers of Nissan's Leaf Electric Vehicle Will Lease Power Pack

[Silver bullit]

Batteries sold separately. Not sold, actually, but leased.
The new Leaf electric car Nissan unveiled yesterday at San Diego Gas & Electric Co. headquarters will not include batteries in the sale price. Drivers instead will lease them, and pay for them in part with the money they save by not having to buy gasoline.
The strategy is designed to overcome one of the biggest roadblocks to getting electric cars in people’s garages — the high cost of batteries — and also deal with the fact that the batteries may outlast the cars.
It’s the kind of thinking Nissan is betting on as it hopes to bring the electric car to market without charging a premium over similar cars, as is typical with other battery-powered cars such as the current crop of hybrid vehicles. Complete article: Batteries not included - Business - SignOnSanDiego.com

[SageBrush]

Businesses prefer to lease sometimes, I think for cash-flow reasons. Perhaps Nissan is thinking of them ?

Private individuals also lease due to cash-flow problems, but their root problem is debt. I cannot see this group fighting to put down the $20+ k for a car that becomes a paperweight when the lease goes up in price, or a payment cannot be made.

[JimN]

IMO if the batteries are going to outlast the car then that doesn't say much for the car. What happens when Nissan decides to pull the plug & stop offering batteries? Owners will have a $25000 lawn ornament and a screwing even GM would be proud of.

[ualdriver]

Originally Posted by JimN

IMO if the batteries are going to outlast the car then that doesn't say much for the car. What happens when Nissan decides to pull the plug & stop offering batteries? Owners will have a $25000 lawn ornament and a screwing even GM would be proud of.

Gotta agree with that. If I can only lease the batteries, then I would only lease the car.

From the linked article:

Nissan hasn’t set a price, but industry observers expect it to sell for $25,000 to $33,000 before federal and state rebates

How in the world is this car selling for anywhere near 25 grand WITHOUT batteries? You'd figure a car with no engine and no batteries would sell for significantly less than that, regardless of federal and/or state rebates.

[radioprius1]

Originally Posted by ualdriver

Gotta agree with that. If I can only lease the batteries, then I would only lease the car.

From the linked article:


How in the world is this car selling for anywhere near 25 grand WITHOUT batteries? You'd figure a car with no engine and no batteries would sell for significantly less than that, regardless of federal and/or state rebates.

I couldn't agree with you more completely!

[SageBrush]

Welcome to real world of EV. It is EXPENSIVE. Awesome hybrids, otoh, much more reasonable ;-)

[bac]

Originally Posted by ualdriver

Gotta agree with that. If I can only lease the batteries, then I would only lease the car.

From the linked article:


How in the world is this car selling for anywhere near 25 grand WITHOUT batteries? You'd figure a car with no engine and no batteries would sell for significantly less than that, regardless of federal and/or state rebates.

You're right. If autos like this don't receive generous tax incentives, they will sink like a rock in the ocean. Then, we'll all be wondering why a bunch of Saudi Arabians attacked us again.

Let's just spend the money on the front end this time. Wars are so much more expensive.

-Brad

[Paradox]

Depending if you can get a short lease term on a pack, I can see it now...

Some unscrupulous people will make it appear the pack was stolen, damage some stuff etc. Make a report to the insurance company/police and get the 'damage' fixed while also getting a new pack. Or if done close enough to the end of the lease, they'll just let you out of the lease. Allow the lease to run out and don't renew or if the 'theft' happens close enough to the lease end they may allow you out of the lease w/o a penalty. Then pop in the pack which was 'stolen' and done.

I for one don't like this lease idea. I never liked it for vehicles in general as i do not own a business so they have no benefit to me. I really hope Toyota never takes this route. If I want a plug in vehicle, I'll accept paying more for the technology, but know I OWN the whole car battery and all.

[hill]

I too, don't like the lease idea at 1st blush. At the Santa Monica & Irvine CA events, the same disbelief was stated by others that I over-heard. When it was stated that sale price doesn't (or at least there's an 80% probability that it "may not") include the cost of the battery, folks first comment was (making a frown and large eyes) "WHAT?!?"

A lease typically costs about the same 'value' of what you'd pay for something if valued over a smaller / amortized time frame, less than the whole ... whether it's a whole car ... an apartment / house or jet plane. The fact that I don't like it, or other prospective customers don't like it doesn't seem to bother Nissan. Nissan marketing apparently feels that they can overcome folk's knee-jerk reaction / negativity ... and before folks can follow-up their, "WHAT?!?" with a, "Well FORGET IT then ... I'm not going to buy one !!" ... Nissan feels they can explain away the negative aspect well enough that prospective buyers will buy one anyway.

I don't think so IMO ... but we'll see.

.

[ualdriver]

I realize EV's are expensive, but that's usually because the battery is expensive. If Nissan is taking the battery cost out of the purchase of their small car, how does their car end up costing anywhere close to 30 grand? I mean, you can buy a small car WITH a gasoline motor and all the expensive stuff associated with it (transmission, exhaust, etc.) for under 20 grand.