GM Touts Volt's Long Battery Warranty

General Motors Co. introduced an eight-year, 100,000-mile warranty on the Chevrolet Volt's new lithium-ion battery Wednesday, calling it a show of confidence in the technology's capability, The Detroit News reported.

The warranty program -- three years longer than GM's standard powertrain warranty -- is designed to reassure consumers worried about buying a vehicle that relies on first-generation battery technology, one which executives hope will transform the public's perception about GM.

"This is really a major statement of our confidence," said Vice Chairman of Global Product Operations Tom Stephens.

The announcement came on the eve of President Barack Obama's visit to a battery plant in Holland -- one stop in the administration's nationwide promotion of electric vehicle developments.

The lengthy warranty is necessary to convince consumers the Volt's technology will work and be durable for the lifetime of the vehicle, said Ivan Drury, an analyst at Edmunds.com, an auto research website.

"It can only raise consumer confidence," Drury said. "It's almost a must for a vehicle seen as the showcase for Chevrolet, and therefore GM. There's been so much hype. If the Volt fails in any way, it's a disaster."

GM's warranty is similar to the long warranties offered by other manufacturers of advanced-technology, clean vehicles. Toyota Motor Corp. offers an eight-year, 100,000-mile battery warranty for its Prius hybrid in most states and a longer, 10-year, 150,000 mile warranty in California and other states that have adopted California's stricter clean vehicle standards.

Because GM has not had the Volt certified yet in California, the California Air Resources Board has not determined the warranty it would need to obtain partial zero-emission vehicle credits.

GM announced its warranty program ahead of a key competitor.

Nissan has not announced warranty plans for its all-electric Leaf, which goes on sale late this year. Tesla Motors, meanwhile, offers a three-year, 36,000-mile warranty on its electric Roadster sports car.

Large batteries are very expensive, ranging in cost from several thousands of dollars up to tens of thousands. GM would not disclose its battery costs Wednesday.

Many automakers, including GM, offer similar -- or stronger -- warranties on hybrids.

Ford Motor Co. offers an eight-year, 100,000-mile warranty on its Ford Escape and Mercury Mariner hybrid batteries and components. Toyota offers the same warranty on its hybrid vehicles.

Honda Motor Co., meanwhile, offers eight-year, 100,000-mile battery warranties on its Insight hybrid for cars sold in states that don't follow the California Air Resources Board emissions standards. In states that do follow the standards, Honda offers a 10-year, 150,000-mile warranty.

The Volt, which will get up to 40 miles on electric power alone, will have a range of 300 miles on its gasoline engine. The Volt's engine kicks in after its battery is drained by about 70 percent to sustain the remaining charge and keep the car running.

GM plans to produce 10,000 Volts for the 2011 model year before eventually expanding to as many as 30,000. Its warranty announcement was made Wednesday during an event at GM's battery assembly plant in Brownstown Township, where regular production of battery packs begins in August.

The automaker also gave updates on validation and testing of the lithium-ion battery and details on the start of regular battery-pack production.

GM has performed more than 1 million miles and 4 million hours of validation testing on the battery packs since 2007. GM tests include short circuit, dust, impact, water submersion, crush and penetration and extreme temperature swings. The battery is designed to work, while plugged in, at temperatures as low as -13 degrees Fahrenheit and as high as 122 degrees.

The warranty, which is transferable to another owner, will cover 161 battery components and the thermal management system, charging system and electric-drive components.

GM's warranty should soothe any customer fears about the expensive technology's durability and GM's commitment to fixing and replacing any faulty batteries, dealers said.

"With anything new, you're going to have a whole bunch of questions rolling in, so I think this will be huge," said Chris Cabana, new car manager at Mark Chevrolet in Wayne. "I think it goes to show how much time and effort GM has put into the vehicle and technology and how GM is standing behind the product."

Unless consumers tamper with the battery, GM will replace it within the eight years and 100,000 miles, Stephens said. He expects the battery will suffer only slight degradation over the life of the warranty. After 10 years, the battery could still be operating at 70 percent capability.

And Stephens conceded the Volt won't get 40 miles on electric power in extreme cold and heat. The Volt will "lose significant range" in extreme conditions and if drivers are draining the battery by using the vehicle's heating and cooling system.

"We are susceptible like any other manufacturer," he said.

GM already is working on second- and third-generation lithium-ion batteries, Stephens said.

The vehicle will be sold initially in Michigan, California and Washington, D.C., late this year -- as well as Austin, Texas, and New York City.

Other launch markets -- New Jersey, Connecticut and the rest of Texas -- will begin receiving Volts in early 2011. The Volt is expected to cost about $40,000 before a $7,500 tax credit.

GM is receiving about $241 million in federal grants, including $106 million for its battery pack assembly factory, the first such facility in the United States operated by a major automaker.