Nissan Prices Replacement Battery Cost For LEAF: $100 A Month

4 years ago by Jay Cole 27

Nissan LEAF Battery Pack Replacements Now Available At $100/Month

Nissan LEAF Battery Pack Replacements Now Available At $100/Month

Two weeks ago, Nissan made good on a pledge to offer LEAF owners a battery warranty program with set benchmarks for performance.  Today, they made good on a commitment by their Executive VP, Andy Palmer, to offer some set price assurances on the cost of a replacement LEAF battery pack.

Nissan's Pack Replacement Rental Guarantees At Least "9 Bars" Of Performance

Nissan’s Pack Replacement Rental Guarantees At Least “9 Bars” Of Performance

Nissan says today that for $100 per month, current LEAF owners are eligible to receive a replacement pack for their cars.

This replacement would return owners “capacity bars” back to 12 (that’s full) and guarantee to the LEAF to maintain at least 9 bars  for the rest of the life of your EV.

Currently, LEAF owners have a 5 year or 60,000 mile warranty that their batteries will remain at least 70% capacity (also 9 bars).

Doing ‘the math’ on the EV’s starting range of 75 miles, that puts the guaranteed EPA range at 52.5 miles under the factory warranty plan, or the extended battery replacement plan.

Nissan has yet to flush out all the details, but says the program will start “during the first half of 2014.”

As part of the program, this will also allow current LEAF owners the ability to enjoy and future upgrades in technology in battery technology, which could translate to better thermal management and more range.

“Technology is evolving and battery prices are projected to decline as EVs become increasingly mainstream,” said Erik Gottfried, Nissan’s director of Electric Vehicle Sales and Marketing.  “Therefore, this new battery program today affords more flexibility for the future so that customers can both upgrade to the latest available technology for their LEAF and enjoy more predictable vehicle operating costs.”

Interestingly as part of the program, if you choose to replace your current battery with a replacement one at $100/per month, Nissan takes back your old battery pack as part of the deal.

Also of note, Nissan has not still not completely fulfilled what many LEAF owners had expected as part of Mr. Palmer’s commitment last December to outline the battery replacement costs by putting a fixed number on the cost of the pack and making it available for purchase.  Nissan says it still has no intention of selling the packs individually to consumers at this point..

Full Press Release From Nissan:

NISSAN ANNOUNCES BATTERY REPLACEMENT PROGRAM FOR LEAF

NASHVILLE, Tenn. (June 20, 2013) – Nissan, the world leader in zero-emission vehicles, today announced plans to offer a battery replacement program for U.S. LEAF customers who wish to replace their original equipment, lithium-ion battery pack.

The program, which will begin during the first half of 2014, will work in tandem with the Nissan standard battery warranty for LEAF – which includes industry-leading five-year, 60,000 mile coverage against battery capacity loss (below approximately 70%) and 8 years/100,000 miles against defects – to provide multiple layers of assurance for electric vehicle owners.

Erik Gottfried, Nissan’s director of Electric Vehicle Sales and Marketing, said: “Nissan anticipates that the great majority of our current LEAF drivers will never need this battery replacement option. However, this program is yet another example of Nissan’s commitment to deliver peace of mind for our continually growing community of LEAF drivers.” 
Nissan conducted a global survey of LEAF owners and prospective electric vehicle customers and reviewed publicly available industry data to help shape the replacement proposal. Owners and prospective owners voiced a preference for a monthly payment program, and that they wanted assurances that the battery will maintain its capacity at a certain level.

“Technology is evolving and battery prices are projected to decline as EVs become increasingly mainstream,” said Gottfried.  “Therefore, this new battery program today affords more flexibility for the future so that customers can both upgrade to the latest available technology for their LEAF and enjoy more predictable vehicle operating costs.”
The battery replacement option is being modeled after aspects of both competitor and Nissan Europe battery leasing programs. The majority of the EVs bought in Europe involve battery leasing separate from the vehicle.

All LEAF batteries installed under this program will enjoy coverage similar to the terms of standard battery coverage under the Nissan New Electric Vehicle Limited Warranty and be assured to maintain at least 9 bars capacity, or approximately 70 percent and protection from defects in materials or workmanship for the time they own their LEAF and remain in the battery program. If necessary, Nissan will replace the battery with a new or remanufactured battery to restore capacity at or above a minimum of 9 bars, much like the existing expanded battery capacity warranty. 

The Nissan LEAF battery replacement program pricing is consistent with Europe and will be approximately $100 per month. The replacement program will officially launch during the first half of 2014, and all Nissan LEAF vehicles will be eligible. It will be administered by Nissan Motor Acceptance Corporation.

“The battery replacement option will provide the peace of mind that customers have an economical option should they choose to replace the battery for whatever reason,” says Gottfried.

Nissan will announce additional details of the battery replacement program later this year, including other global markets.

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27 responses to "Nissan Prices Replacement Battery Cost For LEAF: $100 A Month"

  1. Anderlan says:

    Is there a time period after I start paying the fee before I can swap packs? Can I just start paying the monthly fee at the end of my warranty? Do I have to decide to buy the plan when I take ownership of the car? Lots of details yet to come.

  2. Brian says:

    I am not satisfied with this answer. Something tells me those who have been clamoring for this info on MNL won’t be either.

    So if I want to replace my pack, I now have to make a payment of $100/mo for the rest of the life of my car? Why can’t I make one purchase and be done? Oh, and it only initially brings me back to 100%, but then I can degrade back to 70%. What about those who need 90% of the range? Once they buy a new pack, they have to pay $100/month forever, but can never again get to 100%?

    Nissan really dropped the ball on this. Sad. Unless they release a lot more details, and possibly completely change this, I may have to walk away from Nissan at the end of my lease.

  3. kdawg says:

    So no credit for turning in your old battery? $100/mo is too much.

  4. Jay Cole says:

    The issue at play here is the lack of a hard price/availability of pack replacement. It is fine to have a $100/month pack rental option, but it has very limited applications.

    The problem is that a new $28,800 LEAF has a perceived value of $199 a month, so trying to resell any LEAF with a replacement pack will be near impossible.

    ie) what is a 2011 LEAF with 100,000 miles on it worth in 2016 if it comes with a eternal $100/month rental?

    I imagine any owned Nissan LEAF is instantly near worthless when it comes to resale after a pack replacement rental is opted for. If you choose to replace your pack, you are basically choosing to own the car until you throw it away….that is probably the only scenario that makes any sense.

    1. evnow says:

      That $199 is actually like $275 with zero down.

      I think a $5k Leaf + $100 rental for a used Leaf will have good demand.

      1. Jay Cole says:

        I did say perceived, heeh. But yes, there is still the matter of that $1,999 down payment + fees. Although, I strongly suspect some dealer discounting/further price reductions will occur between now and 2016 as well that might mitigate some of that, (=

    2. noah says:

      The National Automobile Dealers Association said earlier this week that the expected trade-in value this year for a model-year 2011 Chevrolet Volt was $21,235 or 49% of the original price and for the Nissan Leaf it was $14,792, or just 42%. Those figures are well below the 62-63% residual of similarly-sized, gasoline-powered compact sedans over that period.

      so by 2011 you Leaf won’t be worth much at all

      1. David says:

        Except that both MSRPs are reduced by $7500 initially.
        And the Leaf’s base price has dropped $8000.
        So, factoring both of those in, prices are pretty typical so far.

  5. vin says:

    Wow, I wonder if there will be any takers.

    This will take off like a lead balloon for lessees…. “Hmm, should I pay $100/mo for an old car with a new battery, or lease a new BEV for $199/mo?”. A no brainer, if you ask me.

    For those that bought Leafs (Leaves?) as opposed to leasing one – gotta wonder what this will do to the resale value when it’s time to sell or trade-in…. How hard will it be to sell a car with a $100/mo leased battery? Probably easier to sell one with a 50-mile range. A Leaf with a tired battery is a perfect car for a parent to get their high school kid… if they disappear on you, at least you’ll have a smaller radius to search…

    Am I missing something? Is this battery lease thing a good option for anyone?

    1. Bryan Whitton says:

      And this is why I would (will) only lease a BEV. It doesn’t matter if the battery is still good or not. The technology should have progressed to the point that an old BEV is going to be hard to get rid of.

    2. Suprise Cat says:

      Well, the SL lease is 296$ and I doubt Nissan will keep the lease rates that low forever. Just look at the lease rates for their gasoline cars, like the Altima, 400$+.

  6. kdawg says:

    So If I want to buy a new Leaf, can I lease the battery and subtract $10k off the price?
    If I want to lease a new Leaf and lease the battery pack, what’s the total $199 + $100, or less?

    Is the extra $100/month just for a warm/fuzzy feeling? If so, I can buy a lot of beer for $100/month that would make me feel much better.

  7. EVerywhere says:

    Any possibility for third party replacement batteries some point in the future?

    Second question, if one ops for the battery lease option and stops paying their monthly $100, does the repo man show up the next week? Or will they turn CarWings on the owner and remotely disable the vehicle?

    1. Suprise Cat says:

      When there is enough demand, someone will make third party battery replacements.

      But it’s still the question, if the car makers will use their patents to keep others out of business.

  8. Anthony says:

    The lack of a hard price is bad, undoubtedly.

    The only way to spin this positively is if the $100/mo battery is if Nissan gave you better packs as time went on. It might be ~75 miles of range now, but if you drive your Leaf for 8 years and replace the battery at $100/mo for the rest of the time you own the car, it’d be nice to get a 125+ mile range battery. You might have an “old” Leaf but you can still get the benefits of new battery tech. This would improve the resale of the “glider” part of the car.

  9. bloggin says:

    So the Leaf battery is only warranted to function up to 70% for 5 years, but defects are covered for 8 years or 100k miles.

    Nissan was forced by angry Leaf owners with early capacity loss to create the 60k capacity warranty, due to the fact that Nissan went the cheap route and offers no battery thermal management system to protect the battery and extend it’s life like the Tesla, Volt and Focus Electric has.

    So not only do 2010-2012 Leaf owners have to take a $6k hit on depreciation, they are told that after 60k miles, they will need to pay $100/mo (cost of gasoline) for a replacement battery as long as they want to drive their EV.

    Why would anyone buy a Leaf, when there are so many downsides. Lease is the only way to go.

    1. io says:

      So you advocate leasing the car, but are against leasing its fastest-depreciating component, the battery?
      I agree that 100$/mo isn’t interesting; it remains less than 200$/mo nonetheless…

      Anyway, by the time existing Leafs both run out warranty and lose enough capacity to warrant a battery refresh — which can take a decade or more, see the table linked by Stoaty below — pricing won’t be anywhere what it is today.

      As a rough estimate, for EV batteries, count -7%/year. For gasoline… er, got a crystal ball handy?

  10. Stoaty says:

    > Why would anyone buy a Leaf, when there are so many downsides. Lease is the only way to go.

    Not necessarily, it depends on the climate you live in, your annual mileage and the way you cycle the pack. For example, my 2 year old Leaf has lost about 11% capacity, almost exactly what the Battery Aging Model predicts:

    http://www.mynissanleaf.com/wiki/index.php?title=Battery_Capacity_Loss#Battery_Aging_Model

    I drive about 10,000 miles per year. If the model is correct, I will hit 70% capacity when my Leaf is 12 years old and has 120,000 miles on it. Even down to 60% capacity the Leaf will still meet my driving needs, so it may last even longer.

    1. Brian says:

      My battery is actually beating your model for Syracuse, NY. After 15 months, I have lost less than 3% capacity (reported by TurboFrog’s app). Then again, I’m a low mileage driver at <11k miles in 15 months.

      I'm still concerned about the fact that if I keep the car, I take on a huge risk as Nissan is blatantly saying the have no plans to ever sell a replacement battery. I don't want to be indebted to them forever at $100/mo when my leaf is only saving me $40/mo in gasoline (low miles, and compared to the hybrid I would otherwise drive)

      1. George B says:

        Brian, is that the CAP value on Turbo3’s Android app?

        1. Brian says:

          Yeah, that’s the one I mean. It reports 97.75% for my 15 month old battery

  11. GeorgeS says:

    Wow
    I’m glad I own a Volt!!

    1. io says:

      Why? Because ignorance is bliss?

      Save for the lack of such information on the dash, what makes you think that your vehicle isn’t degrading just as slowly/quickly? Has GM detailed the cost of battery (or engine) lease, upgrade or replacement, and is it known to be substantially lower?

      Everything to date still points to both running and maintenance costs for PHVs being higher than EVs.

  12. kdawg says:

    At what point is $100/month x #months = the cost of the battery?
    If the battery cost $10K, that’s 8.3 years

    I think I would just keep my $ and take my luck for 8.3 years, and if the battery craps out, trade in the car and buy a new one.

  13. Stuart22 says:

    Yeah, I’m glad I own a Volt too. Especially now with all the scrambling around going on by the leading BEV companies – Nissan coming up with shell game schemes to address its battery problems and Tesla’s wild goose chase to bury range anxiety with, first, a committment to building a proprietary recharging network which apparently they now feel is not the solution, and now their shift to a promise of battery swapping which nobody feels is a solution. And they were doing so damn well….

  14. Cavaron says:

    Personaly I think the prices for used EVs will drop dramatically for maybe two to three years, after that there will be crazy cheap and powerful battery technology out there which will raise the prices of used EVs. Third party upgraders will come. If I remember right, there is already a company which can upgrade your Leaf with about additionaly 10kwh LiFePo. And compared to what will come, LiFePo will look like lead acid looks today.

  15. Dave K. says:

    This is a good deal if you live in Phoenix and drive alot, otherwise no. And of course someone will eventually make an aftermarket Leaf pack, Tesla should be thinking about it right now! I’m generally opposed to leasing and this has done nothing to chang that.