Tesla plans to produce electric cars by 2010 that have a range of more than 300 miles between charges, making electric cars more practical and attractive to consumers, according to a company executive.
“The key is improvements in energy density of lithium ion cells,” said Mike Taylor, Tesla’s VP of finance, while presenting at the ThinkGreen conference in San Francisco this week.
Mr. Taylor said there have been huge investments in battery technology in the last 10 years, resulting in an 8 percent per year increase in energy density, a measure of how much power is held in a battery compared to its size.
San Carlos, California-based Tesla hopes to have its Roadster, with a price tag of $98,000, in production by early 2008. But the company has made previous production-date announcements, all of which have been delayed because of engineering obstacles.
The Tesla Roadster currently has a range of about 200 miles between charges, one of the highest in the all-electric car sub-sector.
Low range was one of the main causes for the less-than-spectacular reception of electric vehicles in the late ’90s, said Mr. Taylor. Many of the major car manufacturers, such as Toyota and Ford, came out with all-electric models in the late ’90s, but by 2003 they had all been pulled from the market.
Mr. Taylor said that all-electric cars are the most energy efficient of alternative-fuel vehicles, a space which includes hybrids and hydrogen fuel-cell cars. But he said that innovation in all types of alternative cars would drive improvements, making many viable and attractive to consumers.
The alternative car industry is abuzz with activity today, with hybrid, biofuel, electric, and fuel-cell technology competing for future market control. There are at least two dozen electric-car startups alone worldwide, and many bigger players like Toyota have announced plans to re-enter the arena by the end of the decade.
The ThinkGreen conference has brought together analysts, investors, and entrepreneurs in the cleantech industry. It was organized by ThinkEquity Partners.
Red Herring's Justin Moresco reported from San Francisco.