NICE Car Company goes into administration - where’s the support for the cars of the future?
I was going to write a positive article today. I’ve been researching the electric car market this week, and was starting to get excited at the increasing number of options - some of them even starting to compete with the internal combustion engine in terms of top speed and distance between charges, and at the cars that have been announced for the next 12 months.
The announcement of the new electric Mini put me into an even better mood because, although it’s still not that practical (only 2 seats, and a maximum range of 150 miles), and at least for 2009 will only be available for a limited trial, it is tangible evidence of the mainstream car manufacturers looking for solutions in the electric vehicle market.
So, boosted by all of this good news, I was intending to write about how we seemed, finally, to be reaching a ‘tipping point’, where electric cars are actually being taken seriously, even by the mainstream, and looking forward to exciting developments over the next few years: the first electric 4-seater; the first 400 mile electric car; the first electric car that is genuinely worth its price.
And then came this morning, and not one, but two pieces of depressing news:
First, I read that the NICE Car Company, along with G-Wiz the UK’s main electric car distributor today, has gone into administration. Apparently sales had dipped to under 1 car per week this year and, in spite of bullish announcements about new models and a new test-drive stall in the new Westfield shopping centre, they have run out of funds.
Secondly, it seems that this exciting new market has been flat as a pancake in 2008, with a total of 156 sales this year, a 58% dip on 2007. Most of these were sold by G-Wiz, who seem to be surviving, but it must be touch and go even for them.
So maybe the constructors and distributors are waking up to the opportunity, but the public is not? Clearly the recession has played an important part in this dip, but what has happened to the crucial message: invest in low-emissions solutions, save the planet, and save money?
Ok, so I’d be the first to admit that currently available electric cars are by no means everyone’s cup of tea - in fact they are totaly impractical for many of us. In general only 2 real seats, which cuts out families, a short range, which means they are almost certainly a second car, and now most London boroughs have withdrawn their previous offer of totally free parking, replacing it with time-limited free parking. On top of all of this is the price range, running from £8,000 to around £15,000 for the just-launched 4-seater Ze-0.
We musn’t forget, however, that these guys are the forerunners, the start of the revolution. They may not be perfect, but they get our attention, and they get the message out there. This is not the time for things to stumble to a halt and start to go backwards. There is a market for these little cars, even in a downturn, and I think that with some targeted marketing and by running a tight ship, they could easily turn a small profit.
Which is why I am hoping against hope that our dear government, desperate to preserve institutions such as banking, might take a leaf from the USA’s books and also look for a solution to support the electric car industry. The investment will be minimal, but to me it’s absolutely crucial. Still, I’m not holding out much hope - does anyone know any investors out there? If not, do let anyone interested in buying a NICE know that right now, they just might get a good deal. Visit the NICE Car Company web site for more information.