Projection: Only 7.3% Of Cars Electric By 2020

Future worldwide demand for some types of electric vehicles may be over-hyped, according to one research firm.

J.D. Power and Associates expects combined gobal sales of hybrid-electric and battery-electric vehicles to total  5.2 million units in 2020, or just 7.3 percent of the 70.9 million passenger vehicles forecasted to be sold worldwide by that year.

For comparison, global HEV and BEV sales in 2010 are forecasted to total 954,500 vehicles, or 2.2 percent of the 44.7 million vehicles projected to be sold through the end of 2010.   

A new J.D. Power study shows the biggest obstical for consumers who are thinking about buying an alternative energy vehicle os the price, which is often signifficantly higher than traditional energy vehicles.

The Wall Street Journal's Ed Coury reports that GM's Chevy Volt, the most publicized of plug-in hybrid electric vehicles, costs $40,280. That's before federal tax credits that could offset up to $7,500.

The J.D. Power report, titled "Drive Green 2020: More Hope than Reality" considers various factors affecting the future potential for "green" vehicles in the world's largest automotive markets. These factors include market trends, regulatory environment, consumer sentiment and technology development in these markets.  

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