How Technology is Affecting the Energy World

How Technology is Affecting the Energy World

The oil and gas industry is a large part of our everyday world. With the demand for fuel that has been generated by the advent of the motor vehicle, more and more emphasis has been placed on alternative energy resources and vehicles. Electric vehicles have been on the outer edge for decades, but with new companies and technologies in the past few years, the interest and emphasis on them has expanded.

The Tesla company, headed by Elon Musk, has made great strides in overcoming the main barriers to the introduction of electric cars to the mainstream, such as:

  • The cost of battery technology
  • The horsepower of electric engines
  • Duration of electric charge
  • Ability and availability of recharge stations or outlets
  • Weight of electric cars and handling ability
  • Size and capacity of the cars in people and cargo

Elon Musk and the Cult of Tesla How a Tech Startup Rattled the Auto Industry To Its Core

By introducing new battery technology that is lighter, holds a longer charge and has the oomph need for performance, electric cars are now attractive to consumers. This has also led to a kind of cult-like enthusiasm amongst owners of Tesla cars that may have a big impact on the traditional fuel industry and vehicles.

Check out the great article on how Tesla has impacted the market in a way that could change how we see fuel taxation and use. Since it does not use petroleum products, how will they tax usage of these electric options? Could it be a mileage tax? An electric charging tax (along the lines of how they tax utilities)? The options are impressive.

This analysis is intended for informational purposes only and is not tax advice.  For tax advice, consult your tax adviser. See the full disclaimer here.