Future Electric Vehicle Market Estimation

A decline in battery costs, increased commitment from automakers, low operational costs, and a strong policy support from both local and state governments, are factors that have helped to place electric vehicles (EVs) on the right track to outdo gasoline-powered vehicles. Indeed, Electric Vehicle sales in the United States have grown an average of 32% yearly from the year 2012-2016, and around 45% in the year 2017.

Despite those factors, one thing that has really pushed the invention and development of electric vehicles is carbon emissions. The transport industry is widely known as a major contributor to global carbon emissions. In fact, according to EU, the transport sectors is considered as the second most greenhouse emitting industry in the world with 24.3%. Due to this, major auto manufacturers have set certain rules and goals to decrease these high emissions. The introduction of electric vehicles to the transport sector will certainly aid to reduce high emission ratios.

Importance of Electric Vehicles to Economic Development

Like any other transformative technology, electric vehicles create numerous potent economic development challenges and opportunities. Although the EV market is still under development, it is likely to reshape communities and industries all over the world. This section of the article will look at the benefits of electric vehicles and why the future is so bright.

Electric Vehicles Create Jobs

There is a good reason to believe that the electrification of personal transport will lead to job creation in a lot of industries. More efficient EVs will require more technology, which will be made possible by adding more workers to the auto industry. We forecast that a lot of jobs will be created around sectors related to advanced batteries, auto manufacturing, and research and development.

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Electric Vehicles Reduce Overdependence on Foreign Oil

Studies show that over 80% of the cost of a gallon of gas leaves the local economy. In addition, high gas prices mean that retailers will charge a lower markup so that they can be able to compete. This leads to a reduction of local profits even more. The introduction of EVs in the transportation industry can lead to great savings on gas, something that is likely to have benefits to regional economies.

Electric Vehicles Can Reduce Utility Prices

EVs have the potential to either reduce or moderate the utility prices. The reason why Electric Vehicles might help reduce utility rates mainly lies in daily oscillations in regards to power consumption. EVs usually charge at night, when electricity is cheaper to produce. In short, electric vehicles help to balance the demand for electricity during the day and night. Through this, the vehicles are able to reduce average cost of electricity, decreasing overall utility rates.

Looking at these benefits, the future of EVs is certainly a bright one.

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What is in Store for the Future?

It seems like EV revolution could turn out to be more dramatic than anyone ever thought. A study conducted by Bloomberg New Energy Finance suggests that bigger reductions in battery prices lie ahead. In addition, in the 2020s EVs will be a better economic option compared to diesel and gasoline cars in a lot of countries.

The research forecasts that EV sales will hit over 41 million by 2040. If this would happen, $41 million would be almost 90 times the equivalent figure for 2015, where EV sales amounted to $462, 000. The anticipated change between today and 2040 will have effects beyond the car market. According to the study, the growth of Electric Vehicles will amount to a quarter of the cars on the road by 2040. This will help displace 13 million barrels of crude oil used on a daily basis. However, close to 2,700 TWh of electricity will be consumed. This would be equal to 11% of global electricity demand in 2015.

At the core of this future forecast, electric vehicle manufacturers are working hard to reduce the cost of EV batteries. The cost of lithium-ion batteries has reduced by 65% since 2010. Last year, the cost had reached $350 per kWh. This is price expected to reduce to $120 per kWh by the year 2030.

At the moment, the EV industry is highly dependent on early adopters that are ready to try out new technologies or are eager to reduce their emissions, and also on government incentives provided in markets like Netherlands, China, and Norway. Although, over 1.3 million EVs have been sold worldwide at the moment, and 2015 showed strong growth, they still represented less than 1% of light duty vehicles sold last year.

Electric Vehicles come in two categories – plug-in hybrid EVs (PHEVs) and battery electric vehicles (BEVs). PHEVs have rechargeable batteries but also have traditional engines as backup. On the other hand, BEVs rely fully on their batteries for power. The best-selling PHEV in the last five years has been the Chevrolet Volt, and the best-selling BEV the Nissan Leaf.

Research shows that the total cost of BEVs will be cheaper compared to combustion engine cars by the mid-2020s. This will still be possible even if combustion engine cars increase their normal mileage per gallon by 3.5% every year. The assumption here is that a battery electric vehicle with a 60kWh battery will be able to travel 200 miles between charges. The very first generation of these kinds of BEVs is set to hit the market in the coming 18 months with the launch of Tesla Model 3 and Chevy Bolt.

Want To Experience a Luxury Ride Like That of an EV?

Apart from protecting the environment, having better technology, and helping people save on gasoline costs, electric vehicles offer a luxurious, smooth, and comfortable riding feel.

Apart from protecting the environment, having better technology, and helping people save on gasoline costs, electric vehicles offer a luxurious, smooth, and comfortable riding feel.

If you would like to experience such a luxurious ride, then you should consider hiring our limo service. Whether you are travelling to the airport, a corporate event, a party, or sightseeing, our luxury car service will make sure that you reach your destination in style. We value you, as our customer, and work hard to offer the best limo service.

In need of a professional limo service? Hire us today.

Experiencing luxury cars like  any of our cars in our fleet is an exciting experience in itself, and no option you choose would ever disappoint. If you would like some suggestions on which ride is best for your event feel free to call us at any time!

We can be reached by phone at 561-622-2222 or by email at Dispatch@a1alimo.com of course if you are ready to Book Now, head over to our reservation page and get ready to experience the best of luxury.