The business case for corporate leadership on EV's

EV100 members are seeing the cost savings associated with switching fleets to EVs first hand, and with up-front costs continuing to fall, there is no better time to commit to the switch.

The business case is continuing to grow - companies gain competitive advantage as early movers.

EVs are becoming increasingly price competitive. Battery pack costs - one of the major price factors for EVs - have fallen 87% between 2010 and 2019 and are expected to fall to $100/kWh by 2023. 

Bloomberg New Energy Finance (BNEF) has predicted there will be upfront price parity between battery electric vehicles and internal combustion engine vehicles by 2022.

Already today, total cost of ownership (TCO) of an EV is increasingly becoming competitive, as higher purchase price is balanced out against operational savings on fuel, maintenance and repair.

Policy makers are driving EV uptake - companies secure their licence to operate.

Governments support EV market development as a strategic interest. Countries including China, Denmark, France, Germany, India, Ireland, Japan, the Netherlands, Portugal, South Korea, Spain and the UK have already set national targets for EV deployment. Over a dozen national governments have announced a "phase-out" date on fossil fuel vehicles. Amongst others:

• Norway by 2025
• The Netherlands by 2030
• The UK by at least 2035
• France by 2040

Sub-national governments are doing the same. In California, all new car and passenger trucks sold in California must be zero-emission vehicles by 2035.

EVs are moving towards a tipping point - companies prepare for the transition.

The market for electric vehicles is rapidly expanding. In 2019, global sales of electric cars topped 2.1 million, surpassing 2018 - already a record year. Over 7.2 million electric cars are now on the road worldwide.

The number of electric models is also rapidly increasing. Although COVID-19 has delayed some plans, it is projected that by 2022, there will be 500 EV models available globally.

To learn more about the business case for switching to electro-mobility, you can download the document below.