The Latest in the Electric Vehicle Industry
Recently, the BP Statistical Review of World 2018 came out with some key challenges concerning the Electric Vehicle Industry, stating that we are taking a ‘backwards step’ in terms of our carbon consumption, which has gone up 1.6% in 2017 alone.
A significant finding was the concerns of the people. Stating that they are uncertain about the process of the making of the batteries used in electric cars, could they act as a hindrance to our carbon emissions output?
Overall the consumption of coal increased, causing an increase in carbon emissions due to the high level of energy demand needed. Positively, we have increased our renewable energy sources and it is now sitting 8.4% as of 2017- a big step since 2007, showing an increase of 3.1%!
Given that the industry is on the rise, we at EMC believe it is good to know the in’s and out of the industry. What factors are effecting it – whether it be good or bad. Overall we want a cleaner, safer environment in how we go about our travel day by day. This will ultimately bring a brighter future, just imagine us using our electric vehicles all the time, for short distances and long! Personal use is one thing, but the opportunity for businesses with Australia are another, such as the transit industry.
Below are a few factors that are affecting the industry.
This is big one. The rise in interest of electric as an alternate source of travel is a hot topic. We have seen roll outs of domestic vehicles such the Nissan Leaf this year and with Tesla is always coming up with innovative technologies to advance the Electric Vehicle industry: growth is happening!
It is clear that the security of our energy is in our minds as a concern on a global level. How we can adapt to the changing landscape of the way we view our energy consumption is something that is a clear goal in many countries eyes. The simple fact is, that the use of electric versus gas will overall drive the carbon emissions down.
A recent report for the Electric Vehicle Industry Forecast, conducted by QUBE, founded that it has been proven that energy security concerns has been a promotional tactic of the sale of ethanol blends in the US. The increase in the use of electric vehicles for personal use as well as business will mean less vehicles using oil. In turn reducing the energy security concern on a government level.
EV Range Anxiety
This is something that we at EMC have already investigated, but the advances in technology and Electric Vehicle anxiety will be a thing of the past. Recently, an article in the Independent, in the U.K has founded that ‘EV range anxiety’ is slowing down.
Let’s recap; EV Range Anxiety is the fear that an electric vehicle does not have enough range to reach its destination, leaving the occupants of the vehicle stranded. This, in the past has been a major barrier in the adoption of Electric Vehicles. However, cars such as the Hyundai Kona Electric can now cover up to almost 300 miles, a figure which fits into a number consumers range ambitions. Another finding was 37 percent out of 250 people, do not expect the range to be the same of a combustion engine.
This is a positive outlook from our friends in the U.K as it shows that that attitude to ‘EV Range Anxiety’ is becoming more optimistic. This is only going to follow suit in other Countries such as America and here in Australia.
Changes in Oil Demand
As we can see, the way we view our energy sources is changing. The International Energy Agency published its World Energy Outlook recently and it has shown the revised assessment of the demand and supply for fuels and electricity. An interesting finding that has been founded is that oil demand has been weakened in the transportation in certain markets. This leads us to the transportation sector itself.
One area that has room for growth, and one which Australia could benefit from is the transit industry. Buses. The report has stated that the use of Electric Buses in China will displace 233,000 barrels of oil demand a day by the end of the year – and this is what Greece consumes per day! Whilst this is hurting the oil industry, the opportunity for the transport business in Australia is a large one, and something that should not go unnoticed.
We have already seen the roll out of the changes in the transport methods in areas such as the Gold Coast in Queensland, with their light rail integrated and working well, with plans of extension. As well as locally, the introduction of the light rail in the city centre of Newcastle, New South Wales.
So it is clear that the way we view our transport methods are changing. This is a direct effect concerning the changes in oil demand, as countries such as China have switched to Electric – we can potentially do the same with our transport system with advances in battery life and electric technology are getting better and better.
The International Energy Agency
The role of the IEA in this industry is essential for the future of Electric Vehicles. Recently they have come out with a modernization agenda, of which South Africa have just joined. Established in 2015, it is built on three pillars, in short;
- Deepening cooperation with emerging economies
- Expanding energy security considerations with oil, gas and electricity
- Transiting the IEA into a Global Clean Energy and Energy Efficiency Centre.
The agency has now over 30 member states, 8 Coalition countries which cover almost 75% of the total global energy consumption. This shows good intentions on a global level which has knock on effect to industries such as Electric Vehicles. Which overall is good for EMC, with opportunities for growth always coming our way. By keeping our finger on the pulse allows us to pass on the benefits to you – our valued customer.