**Written by Doug Powers
The Audi president called the Chevy Volt a “car for idiots,” but because the average Volt owner earns $170,000 a year and the average American couldn’t afford to buy it if they wanted to, it sounds more like the taxpayers are the ones who have been played for fools:
Each Chevy Volt sold thus far may have as much as $250,000 in state and federal dollars in incentives behind it – a total of $3 billion altogether, according to an analysis by James Hohman, assistant director of fiscal policy at the Mackinac Center for Public Policy.
Hohman looked at total state and federal assistance offered for the development and production of the Chevy Volt, General Motors’ plug-in hybrid electric vehicle. His analysis included 18 government deals that included loans, rebates, grants and tax credits. The amount of government assistance does not include the fact that General Motors is currently 26 percent owned by the federal government.
The Volt subsidies flow through multiple companies involed in production. The analysis includes adding up the amount of government subsidies via tax credits and direct funding for not only General Motors, but other companies supplying parts for the vehicle. For example, the Department of Energy awarded a $105.9 million grant to the GM Brownstown plant that assembles the batteries. The company was also awarded approximately $106 million for its Hamtramck assembly plant in state credits to retain jobs. The company that supplies the Volt’s batteries, Compact Power, was awarded up to $100 million in refundable battery credits (combination tax breaks and cash subsidies). These are among many of the subsidies and tax credits for the vehicle.
The $3 billion total subsidy figure includes $690.4 million offered by the state of Michigan and $2.3 billion in federal money. That’s enough to purchase 75,222 Volts with a sticker price of $39,828.
In many cases not only are taxpayers subsidizing the Volt’s manufacturing and incentives, but also its outright purchase for use in the public-sector fleet. The government purchases a little padding for the sales numbers:
**Written by Doug Powers
Heh: Obama to flex his job creation muscle at auto plant — just one problem (make that two problems)
January 5, 2015 08:10 PM by Doug Powers
July 25, 2014 06:55 AM by Michelle Malkin
May 20, 2014 12:52 PM by Doug Powers
Following up on Joe Biden’s promise that Fisker Auto would be a multibillion dollar return on investment for taxpayers
November 26, 2013 01:16 PM by Doug Powers
Inspector General: Yeah, Obama Treasury Dept. screwed Delphi non-union workers, but there’s nothing we can do about it
August 16, 2013 10:58 AM by Michelle Malkin