Shades of Green: Tesla Motors Inc (TSLA) and Elon Musk

Page 1 of 2

The Growing Acceptance of Electric Vehicles

One of my favorite pastimes recently is to see just how efficiently I can drive my car. Throughout the summer I get 10 miles to the gallon more than the 43/40 miles per gallon that the window sticker advertised. But, that’s in a gas-electric hybrid. I wonder what I’d be able to do in an electric vehicle.

It took a few years before I decided to buy my hybrid. Somewhere in the back of my mind, I believed that hybrid cars would fall through the cracks of history like the Betamax and Laserdisc, leaving me stuck with a vehicle, which no one would be able to service.

Tesla Motors Inc (NASDAQ:TSLA)It never happened.

There were some green reasons I bought my hybrid — both environmental shades and cash shades. But, regardless of one’s opinions on the source of global warming, the value of carbon credits, or the importance of recycling, everyone likes to save money and feel more secure.

I think that electric vehicles (EVs) are poised to satisfy both of those interests.

People are getting charged up

The subject of EVs is becoming an increasing part of the national conversation. Motor Trend named the Tesla Motors Model S as the 2013 Car of the Year, and Mayor Michael Bloomberg, in a recent State of the City address, announced plans for creating 10,000 public parking spots (charging stations) for electric vehicles over the next 7 years. To put that in perspective, there are currently about 15, 989 non-residential charging outlets nationwide.

In addition to the high price tag of EVs (which is consistently dropping), many people are hesitant to buy the cars for fear of running out of charge during a trip. This issue caused a firestorm in the media when a NY Times reporter revealed that he suffered from this problem on a recent test drive. Elon Musk, Tesla Motors Inc (NASDAQ:TSLA)’s CEO, retaliated on Twitter, which prompted another article from the reporter, which prompted another response from Musk, who is proving how sensitive he is to assuaging the public’s fears of EVs.

These “running out of charge” fears during a trip sound familiar.

It is reminiscent of people’s reluctance to embrace natural gas vehicles due to the few stations, which supply CNG or LNG. Many consumers want to wait for a greater number of stations to be built before they switch over, but companies are reluctant to build stations, which offer natural gas because there aren’t enough vehicles, which would make the endeavor profitable. Although this seems to be a stalemate, with only 1,197 CNG stations nationwide and 66 LNG stations, it doesn’t seem like it will remain a stalemate.

This chick and egg dilemma is being successfully handled by Clean Energy Fuels Corp (NASDAQ:CLNE) which is remedying this issue by developing America’s Natural Gas Highway — a network of stations strategically located along inter-state trucking routes. Currently, this comprises about 70 stations, of which Clean Energy saw a 25% increase in deliveries in 2012. In addition to this project, Clean Energy continues to form partnerships with state and city governments to assist with their growing, natural gas fleets.

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 10 Countries with the Highest Suicide Rates

The 10 Most Technologically Advanced Countries in the World

The 10 Safest Countries in the World to Live in Peace

The 10 Top Selling Smartphones in the World 2014

The 12 Biggest Shopping Centers in the World

The 10 Friendliest Countries in the World

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!