$2.75 Billion a Day

[Dogtone]

“Currently we are at 100 million barrels of oil used each day worldwide – 20 million here in the U.S. At $55 per barrel, that’s about $5.5 billion per day. That’s another $2 TRILLION world market business. As the percentage of all automobiles that are electric grows, the demand for oil will diminish. Fully 50% of all oil goes to road transport. That is $2.75 billion per day. And for every day that future is delayed, is another $2.75 billion. It would be a $2.75 billion win if the adoption of the electric car could be forestalled for ONE DAY. The incremental growth of the automotive market is as I stated, inevitable and unstoppable. But for every day it is delayed, there are BILLIONS of dollars at stake. Literally the clock is running at $1,909,722 per minute on just that part of oil used by automobiles.”

Here is the link to the above quote The Tesla Conspiracy... or Am I a Dead Whistleblower? - EVTV Motor Verks

And a synopsis from Know You Know

 

[Joshan]

That is a good story that touches on a lot of factual issues. But expect a lot of thumbs downs from the haters...

No one is saying Tesla is perfect, but the FUD campaigns are real. Not sure how the SEC doesn't get involved in this as it is absolutely stock manipulation.

 

[Big Dog]

Not exactly to sure what his point is. Should it be surprising to anyone that existing competitors and suppliers will use every means -- including regulatory -- to protect their existing bidness and market share? Not only in US but everywhere else too. Indeed, even the German auto unions are trying to slow the conversion to EV's bcos they know it means less jobs for them. (And note, that both government and union reps are board members of the big German automakers.)

I'm a huge fan of Tesla. Loved the model 3 so much, I got a second for the wife. But let's be clear: Elon does not (yet) mass produce the most in demand and affordable vehicles, i.e., SUV and trucks. Moreover, battery costs will need to drop a whole lot more for an EV to become THE mass market vehicle. The top selling cars in the US have stickers at less than $25k; the Corolla and Civic list at <$20k and sell millions. (and, of course, nobody pays sticker.)

Is the Model 3 an awesome car? Absolutely. But if a $20k price point is 'affordable' for the masses, that is a huge challenge Elon, as battery packs alone start at what, $7-$8k?

btw: the author forgets to discuss the impact of Solar on Telsa's stock price.....

 

[Knightshade]

“Currently we are at 100 million barrels of oil used each day worldwide – 20 million here in the U.S. At $55 per barrel, that’s about $5.5 billion per day. That’s another $2 TRILLION world market business. As the percentage of all automobiles that are electric grows, the demand for oil will diminish. Fully 50% of all oil goes to road transport. That is $2.75 billion per day. And for every day that future is delayed, is another $2.75 billion. It would be a $2.75 billion win if the adoption of the electric car could be forestalled for ONE DAY.

The above seems to:

A) Not understand the difference between revenue and profit (for example net profit at most oil companies is in the ballpark of 6%... suddenly that 2.75 billion becomes 165 million. Not nothing but a tremendously less impressive number (and even that is making some broad assumptions)

and

B) Assume causing that delay costs $0.00- when they actually spend 10s of millions a month just in the US on state and federal lobbying alone.

and

C) Assumes somehow we go from 0 EVs (or 0 more than the 100 million/day number) to 100% EVs in one day. When the fact of the matter is, even if Tesla made its absolutely greatest apsirational/stretch goals for production this year, they'd be incapable of replacing even 0.5% of all non-BEV cars sold this year (let alone the massive # of them already out there). There's simply not enough batteries in existence to replace even half of ICE vehicles, and won't be for a LONG time.



Not that the general point isn't a good one, there's certainly profit for many companies in slowing EVs as much as possible- just the amount suggested is at least a good order of magnitude below what that sound bite suggests.