Carmakers around the globe are adjusting their business models to meet a growing global demand. Electric Vehicles (EVs) are rapidly replacing internal combustion engine vehicles (ICEV). Companies are redesigning and reorganizing production facilities to produce EVs.
Over the past 100 years, communities and nations around the world have become increasingly dependent on motor vehicles. We use them for daily office commutes and week-long road trip vacations and everything in between. With each and every trip, we are damaging our environment as most of these cars run on fossil fuels and release greenhouse gases.
Why The Electric Vehicle Is The Future
As per the regulation passed by the Obama administration in 2012, all passenger cars in the United States need to meet the emission norms of 163 grams per mile by 2025. This means that the average passenger car will need to operate above 54.5 miles per gallon (mpg). Individual states are also coming out with regulations to the same effect. For example, the state of Washington will no longer register ICE cars after 2030.
Car manufacturers are also leading the way into the EV future. Many companies have announced steep targets to cut ICE-based vehicles. Toyota aims to have 50% of its sales from EVs by 2025. Volkswagen aims to make 40% of its fleet EV by 2030 and will spend $34 billion to build an EV version of every car in its lineup and ecosystem around it by 2023.
The step into the EV future is expensive for automakers, but there is no turning back. Compliance with new legislation and regulations can easily be attained through EVs. The greenhouse emission breakeven for EVs and ICEVs will happen when ICEVs achieve 88 mpg efficiency. Innovation into batteries has led to lower manufacturing costs and an increase in their range. The Audi e-Tron has a range of 400 Km on a single charge. Generous government subsidies are helping to sway consumers towards EV adoption en mass.
Affordability and the Future
People are realizing that EVs, which used to be a product financially out of reach, have become more affordable than ever. They are soft on the environment and a reliable alternative to traditional gas fuel vehicles. The variety and options in the EV segment are ever-increasing. EV hatchbacks, Sedans, SUVs, and even trucks are available at dealerships.
Motorists planning to buy a car are asking themselves whether an electric vehicle is a better choice for the future. Consumer data shows that more and more are deciding to purchase EVs. The charging ecosystem is developing fast. States are taking steps to set up EV charging stations at prominent places and along highways. EVs are more consumer-friendly, have fewer moving parts, require no oil changes, and can save 20-30% in servicing costs when compared to ICEV.
EVs are showing promise. Battery technologies are evolving, and the driving range of many EVs is on par with that of gas-powered engines. These vehicles are easy to maintain as charging can be done at home or the workplace. The government is also taking steps to improve the ecosystem around these vehicles. EVs are the future and they are here to stay now.