Electric car sales slump

* Nice Car Company in administration * Electric car sales have halved in 2008 * Safety and running cost changes blamed...

Electric car sales slump

Electric car seller the Nice Car Company has gone into administration following the slump in the sales of electric cars.

The company had been selling an all-electric version of the French-made Aixam Mega, and was planning to sell a new a two-seater and MPV imminently.

The firm's collapse follows news that electric car sales have halved this year, according to figures produced by green motoring guide Clean Green Cars.

Reasons being given for the slump in sales are:

CO2-based congestion charge proposals
Ken Livingstones proposals to exempt sub-120 g/km CO2 petrol and diesel cars from the congestion charge damaged the market. The proposals were subsequently scrapped by new mayor Boris Johnson, but many had turned away from all-electric motoring in the interim.

Electric quadricycles and safety
Quadricycles are not required to undergo the rigorous crash tests of standard cars. Their safety record has therefore been questioned.

City of Londons U-turn on parking concessions
Electric cars were exempt from parking charges in the City of London, until a U-turn announced in June this year. The concession was thought to be worth up to 4000 a year for those regularly parking in the City.

Models by mainstream car makers
Many early-adopters have become wary of dipping their toes in the market with independent companies like Reva and NICE, particularly since mainstream car makers announced their plans to bring electric cars to market in the near future.