Does going EV really make a difference?
If we take a long view of the technology, that's overcoming the challenges, it is very promising.
Electric Vehicles (EV) vs. Internal Combustion Engines (ICE) has been a debate raging for many years. A decade ago, I can remember sitting in an audience listening to Mike Jackson tell us his take on the rapid push for electrification. The debate was that fossil fuel plants power the charging stations that charge the EV’s battery. Said another way, fossil fuels are still used to power EVs. Technology has undoubtedly advanced since then, and there are many other advantages to electrification not considered in that conversation, but assuredly, the debate will rage on. Don't get me wrong, I am not against fossil fuels and have never demonized them. Moreover, I live in rural America. The service industry that supports fossil fuel exploration sustains many of my neighbors and friends. So, it is hard to imagine fossil fuels won't always have a place in the industry.
However, if you were watching the Superbowl this week, it was easy to see EV is all the rage with Manufactures. Some of the OEM lines are very stylish too, not to mention fast! To see those EV commercials, Click Here.
The data is starting to show with advancements in technology; electrification is helping us use energy more efficiently. Because of that, EVs look to be a win-win and not so far down the road, maybe as early as 2025. Comparative studies also show that EVs like Tesla can get over 100mpg equivalent to their ICE counterparts today. Taking that back to the powerplant, it takes less fossil fuel energy production for an EV to travel 100 miles than an ICE vehicle. That alone is a strong argument for EV adoption and leans towards EV being better for the planet. You can read more about that HERE.
The next challenge is affordability, of course. Currently, there are tax credits that assist in EV purchases that can be up to 10,000 dollars; however, the upfront cost is still an issue with consumers. Today, this significant hurdle can be better understood using data and insights around the total cost of ownership. Some studies show by 2025, even without government assistance or cost of ownership considerations, EV’s upfront cost should be equal to, or less than, their ICE counterparts. That will be a game-changer for the industry. We will dive more into that in our next EV blog addition.
Over the next few months, we will also discuss range anxiety, battery health, battery replacement, eco-friendly battery recycling, and other factors impacting EV adoption. Even with those initial concerns, EVs look to be here to stay. There is no going back now with recent OEM investments of billions of dollars in battery facilities and manufacturing partnerships. So it might be time to take another look at EVs!