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posted by mrpg on Wednesday January 31, @04:00AM   Printer-friendly
from the but-but-but-the-fancy-brochure-said dept.

CNN Reports: https://www.cnn.com/2024/01/11/business/hertz-tesla-selling/index.html

Hertz, which has made a big push into electric vehicles in recent years, has decided it's time to cut back. The company will sell off a third of its electric fleet, totaling roughly 20,000 vehicles, and use the money they bring to purchase more gasoline powered vehicles.

Electric vehicles have been hurting Hertz's financials, executives have said, because, despite costing less to maintain, they have higher damage-repair costs and, also, higher depreciation.

"[C]ollision and damage repairs on an EV can often run about twice that associated with a comparable combustion engine vehicle," Hertz CEO Stephen Scherr said in a recent analyst call.

And EV price declines in the new car market have pushed down the resale value of Hertz's used EV rental cars.

[...] For rental car companies like Hertz, which sell lots of vehicles in the used car market, depreciation has a big impact on their business, and is a major factor when deciding which cars to have in their fleets.

SoylentNews previously reported when Hertz was expanding their EV fleet.


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  • (Score: 4, Interesting) by weirsbaski on Wednesday January 31, @06:54PM (1 child)

    by weirsbaski (4539) on Wednesday January 31, @06:54PM (#1342539)

    TFA makes no mention of a lack of chargers being a factor in Hertz deciding to dumping 20,000 EVs. For years, we've been told lie after lie to advance the false narrative that EVs are cheaper to own than ICE vehicles.

    A big part of EV savings is that charging it is cheaper than gas. But Hertz wasn't paying for the gas (customers fill the car before returning), so those savings didn't propagate to Hertz's bottom line.

    For your Hyundai link, an almost-new car was in an accident that damaged its most expensive parts, (financially) totaling it. Really sucks for the owner, but it's not like that situation is new, or unique to EV's. The relevant question is whether this is more common for EV's, or is this just an anecdote?

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  • (Score: 0) by Anonymous Coward on Wednesday January 31, @07:40PM

    by Anonymous Coward on Wednesday January 31, @07:40PM (#1342549)

    > A big part of EV savings is that charging it is cheaper than gas.

    A big part of EV savings is that charging it at home (residential $/kWh rate) is cheaper than gas.

    ftfy

    I'll guess that most Hertz renters either:
      + get a free/cheap charge at their motel (overnight duration) or work destination (company perk)
      + if it's a service replacement rental, then they might keep up with 110VAC level 1 charging at home--but may need an adapter to do this?
      + get fleeced at a public charging station where the price is really high per kWh