The Bay Area Air Quality Management District announced last week that it would be giving a $5 million loan to EV Life, a startup that helps people finance their electric cars. California offers rebates for electric cars, and the federal government offers tax credit. EV Life helps people pay for electric vehicles by allowing them to use those EV tax credits and rebates up front rather than having to wait for them — sort of like a down payment.
“[People] can wind up purchasing an auto which they normally would not be able to because of their individual income status," said George McDaniel, a consultant for the program. "So that ordinary folks like myself might be able to buy a Tesla, as an example.”
But for some people, the price may not be the only thing making them hesitate. Even though electric cars are greener than gas ones, the electric grid is still powered by fossil fuels. Roughly 40 percent of California’s electricity comes from fossil fuels. And the batteries that power electric cars often require cobalt — a metal whose mining process has raised environmental and human rights concerns.
The district recently provided a loan to a California battery manufacturer looking to eliminate cobalt from their products. But, just like transitioning to electric cars, replacing the old type of battery will take time.
