Current battery technology will drag on EV market growth, since the cars have a higher sales price and more limited range on a single “tank” of fuel than a typical mass market, gas-powered vehicle, and government tax breaks for car buyers are under threat.

Moreover, one tax-based buyer incentive ended Jan. 1 and another may not survive past 2012.

Of course, that's not to say that manufacturers are not busy working on potential breakthroughs in the lab, says one battery maker.

David Vieau, CEO of A123 Systems , says component substitution with newer materials currently in development promise “50 percent improvement in density of a battery cell,” effectively doubling the range of the vehicle.

That would boost the range of Ford’s 2012 Focus EV from 100 miles to 200 miles, well within the requirements of the average car trip to work or the mall.

Zinc-air technologies to replace lithium ion could triple the energy density of the battery system within the decade, allowing for smaller batteries or a wider range.

“A few years ago the question was ‘do they work?’” Vieau says about the state of the battery business today. “Now it’s ‘how much do they cost?’”

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