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Tesla Trade-up now offering Pedego e-bike

Three years ago, an Ottawa resident embarked on an effort to turn a $30 camera into a Tesla Roadster electric vehicle purely through the magic of bartering. Today, he's halfway to his goal. Sort of. Martin Provost, known for his Tesla Trade Up blog, has traded his way up to a $2,000 Pedego Comfort Cruiser electric bike, and it came from the CEO of Pedego, no less. If you're keeping track, that's two wheels out of the four that he's taken down. See, half way. In mid-2011, Provost set out on what he calls his "quest to become an EV owner through the kindness of humanity." Starting with that camera, he's since engineered 10 trades. The process included bartering his way through items like a computer, an electric guitar, a VIP brewery tour and a software suite valued at $3,000. Of course, he now has a $2,000 e-bike, so we hope he doesn't go too far backwards. The gentleman also has taken his official leap into EV ownership, securing a Smart Electric Drive for a lease rate of $100 a month. He's big on the three-year lease contract because it'll expire around the same time Tesla may start putting out its $35,000 vehicle. Which is irrelevant if he actually scores that Roadster, but it's nice to know he has a backup plan, just in case.

Why it's difficult to accurately test the efficiency of a plug-in car

When it comes to electric vehicles and plug-ins in general, the Environmental Protection Agency-certified range is a hugely important number. While actual range anxiety is largely psychological, the magic number does provide a point of comparison of buyers considering one EV over another. The driving distance is also often touted by automakers when marketing their models. Unfortunately, as Green Car Reports finds in a recent deep dive, the way the EPA calculates the figure is a convoluted mess, and discovering the reasons why is definitely worth the read. The issue isn't about bad science but instead comes down to vague wording. The EPA's accepted range test is sourced from an evaluation called J-1634 from the Society of Automotive Engineers, and it seems to provide balanced results for vehicles that automatically reach a single state of charge when plugged in. However for models with multiple charge settings, the situation gets complicated very quickly. Of course, these modes are often created in the software, meaning that a car's certified driving distance can change with just a few taps of the keyboard without the real world results owners might experience actually changing. By showing the test's effects on the certified range for the Tesla Model S, Nissan Leaf and Mercedes-Benz B-Class Electric Drive over the last few years, Green Car Reports makes a compelling argument that it's the evaluation that needs to change. Thankfully, it appears that the solution is a very simple one. Get the details here.

Tesla dropped to 'junk bond' status by S&P

While Tesla Motors' Model S is a piece of pristine, well-designed metal, the company's bonds have now been rated as "junk." But maybe that's better than the other way around. We'll let the investors decide. Standard & Poor's gave Tesla's bonds a 'B-' rating this week, indicating so-called "junk status," Automotive News says. That means investors are saying the company has a relatively high chance of defaulting on its loans. S&P cites Tesla's short history, competition from some very large companies and relatively narrow product line (none of which are new facts), and estimates that investors would be able to recover 30 to 50 cents on the dollar should the company default. Tesla has been issuing billions of dollars in bonds this year to raise funds for its planned gigafactory somewhere in the southwestern US, a project that Tesla estimated will cost $5 billion ($2 billion from Tesla, $3 billion from partners). Tesla said earlier this month that it took a first-quarter loss of $49.8 million, compared to year-earlier net income of $11.2 million. While revenue rose 10 percent to $620.5 million, selling and administrative costs more than doubled while research and development costs jumped 48 percent. And while Tesla's share price has doubled during the past 12 months (it's at around $209 today), the company's liabilities doubled to $3.52 billion from the beginning of the year to the end of the first quarter. There's a short video on the situation from CNN Money below.