Can someone explain what “credits” are like I’m 5? I read the article, but still don’t understand it.
Edit: Is it carbon credit subsidies from the gub’ment?
this post was submitted on 01 Mar 2024
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In this case, the US governance sets a target efficiency for vehicles (miles per gallon here in the US) and if a pant does not meet that overall efficiency, they have to pay. EVs are a bit odd because they have a miles per gallon equivalency. So if it is expected for them to have 50% by 2030 (50% cars at 100 MPGe and 50% at like 45 MPG(e)) but they out have 30%,they will have to pay a large fine. They are saying they are okay with that rather than ramp up EV production more quickly.
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Aside from hybrids, Toyota has also put a lot of work into hydrogen cars. Those have some real benefits -- range, fast fueling time, running the heater is "free", like in a gasoline vehicle and doesn't hurt range, don't have range reduction in cold environments -- but they're more-expensive to fuel than a pure EV, because you've got the overhead of conversion from electricity to hydrogen.
I don't think that the EV user experience is as good as the hybrid gasoline/electric experience or the hydrogen user experience, but I also don't think that hybrids are gonna be able to achieve enough carbon reduction. Like, if we had figured out a really good, cost-effective way to do carbon sequestration, that'd be one thing. But that isn't the case in 2024.
And if it comes down to hydrogen or EVs, I think that ultimately, the lower fueling costs of EVs will dominate.
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