A LIPA-financed study has found that Long Island is currently leading the way in the electric, plug-in car movement which they estimate will be able to rake in about $2 billion in revenue. However, for the start-up to get off the ground, they will need at least $200 million in funding to get the start-up moving.
The main way they feel they can raise this money is by working with the PSEG Long Island and the Long Island Power Authorities that want to spend up to $20.5 million in the next few years to help upgrade everything from the public, workplace, and residential charging outlets which will help promote the market.
This money is to be invested over about a decade, which comes out to a cost of about $190 million throughout the 10-year period. Throughout the same 10-year period, a study by Gabriel Associates says that the residents of Long Island would benefit from the $422 million in additional benefits that would be added to their current electric system which could reduce the cost of having to pay for electricity in the long term (2035 and beyond). Wider adoption of the electric vehicle could save Long Island residents even more money in the future when the technology becomes more widespread.
While in the year 2011 less than 100 electric cars sold on Long Island, studies show that this number could jump to as high as 680,301 electric vehicles selling by the year 2035 if current upward trajectories of electric car sales continue. This would mean that Long Islanders could save $1.5 billion in fuel costs for their cars between 2018 and 2035 if sales rates that are predicted hold up and electric cars sell at the rate they believe they will.
Once the electric cars continue to go up in popularity, some of the profits that are made from those cars can go back into the electric system to help improve the grid and provide electricity users with the additional benefits they want. These upgrades include improving the efficiency of transformers and maximizing the use of existing electricity infrastructure that is already in place.
However, raising that initial $190 million in funds is what is keeping the program from currently taking off and becoming popular as many believe it could become. To experience this savings all it would take is to convert a small percentage of the vehicles on Long Island to electric vehicles. The money saved in taxes would help give more households more spendable income rather than requiring people to spend money on things like fuel for their cars when they can use electricity instead.
Another Alternative: Solar Power
While electric prices continue to rise to pay for the costs of improving the electric grid and provide upgrades, another alternative source of power is to use solar energy. As the cost of electricity rises to support improving their infrastructure and to provide upgrades, solar energy is becoming more and more affordable as time passes. The costs of installing electric panels have come down exceptionally over the last few years and will continue to fall as technology to install solar power improves.
Moreover, solar power does not require constant infrastructure upgrades and it uses natural energy (sunlight) which means you don’t even have to pay for your power source!
If you are looking to avoid the ever-increasing costs of electricity and are considering an alternative, solar power is a great alternative to choose. It can save you money by using sunlight as a natural source of power and the only cost you incur are the initial setup fees. Moreover, these can be written off of your taxes in most states, which helps make the motivation to use “green energy” even better.
For more information about using solar energy in your home please feel free to contact us at Demon Solar to help decrease your electric costs and increase your friendliness to the environment.