Shai Agassi likes what he's hearing from French president Nicolas Sarkozy. Sarkozy recently announced a plan to expand sustainable transportation infrastructure in France, including more money for electric vehicles. The founder of Project Better Place - and someone with an apparent inability to find a media outlet he doesn't like - said that France's move accelerates "the inevitable electrification of the automobile" (see also: Johnson Controls).

In France, Project Better Place will work with Renault, EDF (yes, that EDF) to develop a "pan-European electric vehicle network," Agassi said in a statement (it's pasted after the jump). I tell ya, if anyone's going to get a standardized EV charging network in place, it looks like it'll be Agassi. We may have to wait until 2010 to see the first cars, but this guy is playing long term.

[Source: Project Better Place]

By now many of us around these parts know who Shai Agassi is and what he wants to do. He wants to build a distribution infrastructure of swappable batteries to be used in electric cars with the ultimate goal of making EVs mainstream. The problem is that electric cars remain an expensive proposition. Even with Agassi's approach that would sell the EV without a battery and add on a subscription model for the battery, the up-front cost will remain higher than conventional cars. Nonetheless, in Paris last week Agassi was telling the Wall Street Journal that he doesn't think the Chevy Volt would ever be more than a niche product. He bases that on price of the car, expected to be around $40,000 before any tax incentives.

Agassi thinks that is too high for what would otherwise be a $20,000 vehicle, like the Chevy Cruze on which it's based. As far as he goes, he's right, but he doesn't go far enough. GM and everyone else know that any car that will be mainstream has to have an affordable up-front cost. That's why GM originally wanted a $30,000 price point for the Volt. That's why they went with a smaller battery and range extender. The realities of the battery situation will continue to make longer range electric driving unaffordable for the foreseeable future from a purchase standpoint regardless of whether you take the GM or Better Place approach.

While Agassi's subscription-based software background may make sense for large deep pocketed corporations, for regular people the cost of entry is a much bigger hurdle than the total cost of ownership. If you can't pay the door charge, it doesn't matter if the drinks are free once you get inside. That's why so many people relied on cheap lease deals and nothing down mortgages over the last decade. The current reality of what is happening in the financial markets means that there is a high probability that none of these approaches will prove to be viable anytime soon. Unless a manufacturer can find a way to get that entry cost down and soon, all EVs will likely remain niche products for many more years.


[Source: Wall Street Journal]

Bad news for fans of the Better Place plan - maybe. According to a report on an Israeli business website, Renault executives at a conference in Geneva have said that the electric car bound for Israel, to be franchised by Shai Agassi's Better Place, will be delayed by a year. However, the website also states 2011 as the new launch date which is basically when Renault has originally said it would happen. Perhaps it is just a matter of it happening at year's end rather than the beginning. No reason for the delay was mentioned but, if real, it could have something to do with newly-announced cost-cutting measures that will see the departure of 6,000 Renault employees. Of course, it might just be that the company already has its hands full preparing the six different liquid-fueled Megane III models it says will be available. Based on a slightly lengthened 2010 Megane III (pictured above), the electric version of the car was to be sold in other countries as well. Hopefully the French automaker won't wait too long to deliver on its earlier promise. Israel is a relatively small market and there are other electric car competitors getting ready to grab up precious market share.

[Source: Globes}

No one could ever accuse Shai Agassi, the man behind electric-car infrastructure company Project Better Place, of not being ambitious. He has been all over the planet making deals with major car makers and various countries. His American discussions have been somewhat more modest though with a city here, and an island-state there. No longer.

Speaking to the House of Representatives Select Committee on Energy Independence and Global Warming (we have one of those?), Agassi said, "For the price of two months worth of oil, some $100 billion, we can put in place the infrastructure needed to power the nation's cars and end this oil dependence," Ambitious, no? He then threw in the "American jobs" angle with, "Of that $100 billion, moreover, some $80 billion will go into jobs that, by their nature, can only be performed in the US - the construction of the infrastructure itself."

In the mood for throwing out big numbers and lofty goals, the man-on-a-mission even pitched renewable sources to power the nations automotive fleet saying, "For the price of one year's worth of oil, some $500 billion, we can go even farther - creating fully renewable electrical generation sufficient to power all of the nation's vehicles. In so doing, we will again create jobs that can only be performed in this country, and we will give a much broader stimulus to the renewables energy market." No word on what kind of impression was made on the politicians but we hope it got some hamster wheels turning. Check out the video after the break to gain your own impression of Agassi's vision.

[Source: Globes]

We've told you all about Shai Agassi's (above left) ambitious Project Better Place and how PBP has plans to create a charging and battery-swapping infrastructure to support fleets of electric cars in Israel, Denmark and possibly Japan. We've also noted not only PBP's deals with Renault to be the first major auto supplier for the scheme but Renault's repeated announcements of its intention to bring electric cars to America in couple of years from now. Now all of this seems to be coming together and it appears, much to our jaw-dropping surprise, that a city in California may very well lead the way into this brand new age of electric-car driving.

According to the San Francisco Sentinel, the mayor of that fair city, Gavin Newsom (above on right), is in talks with PBP about setting up shop in his town of steep rolling hills. In Israel last week to encourage exchanges between business peoples of that country with those in the San Francisco area, the mayor met with several different executives from Agassi's company. Over lunch with CEO Moshe Kaplinsky, Newsom offered to work with the company if they would consider using his city as a testing ground. Watch the video from a Israeli news interview after the break to hear the mayor discuss the goings-on in his own words.

One of the launching points for Shai Agassi's Project Better Place is in Israel and it looks like the first tangible progress might be demonstrated this weekend. The CEO of PBP is planning to drive a prototype electric car that is being developed at around noon on Sunday at the Fairgrounds and Conference Center in Tel Aviv Israel. Agassi will apparently provide an update on the status of the project to develop both electric cars and a charging infrastructure. Israel is just one of a number of countries to express interest in the program. According to Israeli President Shimon Peres, the hope is to have electric vehicles on the road in Israel by 2010. If any readers happen to be in Tel Aviv on Sunday and catch this send us a report.

[Source: Jerusalem Post, thanks to Vince for the tip]

We told you early this morning about the new electric car company Project Better Place. The founder and CEO, Shai Agassi made an appearance on CNBC 11:35 AM EST and the full video of his interview is available online. The video includes a computer graphic simulation of one of the Project Better Place electric cars and the battery swapping station. It appears there are two kinds of stations; one, a modified parking spot, which I guess would be in a city parking lot and the other a covered, cargo container like building, which seemed to be out in the country.

Shai said the process of exchanging batteries would take just 2-3 minutes. When asked if he had enough to build the infrastructure, which he compares to mobile networks, he said many of his investors are bankers. Shai also mentions in the interview that he raised $200M in just 3 months and that two key things that made Project Better Place possible was 1.) the price of oil went up a lot and 2.) there are "new generation of batteries that can outlive the car." Also, Shai says he initially pitched this as a government project but Israeli President Shimon Peres suggested he explore the idea in the private market and Shai took his advice. It wasn't the last time, as Shimon now advises the company.

We will have more on Project Better Place soon.

[Source: CNBC]