With the e-mobility revolution happening right before our eyes, it’s only natural we want to try out all the newest inventions ASAP. So why is it that there’s no massive surge in EVs sales?
The problem is multifaceted. While everyone is optimistic about the new chapter in transportation, there’s a possibility that a long time will pass before the changes have been fully implemented. We’re talking about a massive change in our worldview. This doesn’t happen overnight.
The first and foremost issue for an average user is obviously the price. Let’s take a look at our combustion car. Its powertrain, consisting of a combustion engine, a gear, and a fuel tank, currently costs around 4k euro. The powertrain in an EV – a battery, an inventor plus an electric engine – is at least three times more expensive, at around 13k euro. Because we’re in the transitional trial-and-error stage of reinventing the car, the technology we’re developing today will quickly get old. Experts estimate that electric cars might continue to be 50% more expensive for years. Right now, the residual value of an EV is as little as 26% of its original value, according to an analysis by Black Book. It will be much more difficult to sell it when we decide it’s time for a change.
Another issue is the infrastructure. Currently, the Netherlands and Norway are leading the worldwide conversion to e-mobility but in Poland, only a few hundred EVs will hit the roads this year. That doesn’t mean nothing is happening. On the contrary, big changes are being introduced both in the transport infrastructure and legislation. The Act on Electromobility and Alternative Fuels, put to work in February 2018, aims to encourage more and more citizens to choose alternative-fuel vehicles.
However, while Poland is quickly catching up to other European countries, there’s still a long way to go. For instance, we’ve built quite a lot of highways, but we still lack the necessary infrastructure for EV services, with only 350 charging stations across the country.
Still, the leaders of the e-mobility revolution remain optimistic. For example, Volkswagen AG plans to invest 34B dollars in e-mobility and design 50 different models of EVs by 2025.
According to Volkswagen Financial Services experts, automotive companies cannot develop their services and products with no regard to their clients’ needs and the technological advancements. The way mobility is developing might still hold a few surprises for us, especially since we’ve entered the era of ‘new understanding of mobility’. Volkswagen Financial Services is the strategic partner of Impact mobility rEVolution’18, which will place in Katowice on September 12-13th.