Vans can (and should) drive electrically
#Vans #drive #electrically Welcome to InNewCL, here is the new story we have for you today:
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Commercial vehicles have remained an underserved area of the electric vehicle market for far too long. Despite accounting for over 23 million vehicles worldwide and accounting for 82 percent of vehicle emissions, the sector is still dominated by legacy manufacturers struggling to transition to electric. In 2023, however, we will see a shift in the industry as government contracts are implemented and new electric vehicle suppliers begin shipping vehicles to customers. This will transform our cities, reducing carbon emissions and having a radical impact on clean air.
Over the past 12 months, governments and cities have introduced regulations and incentives to accelerate the shift to zero-emission vehicles. The regulatory authorities define stricter emission targets. President Biden’s administration has introduced a target of 50 percent electric vehicles by 2030, and the European Commission has pledged to have at least 30 million electric vehicles on the roads by the end of this decade. Beyond such measures, governments have offered significant subsidies for electric vehicles to encourage more responsible purchasing decisions. In 2023, companies will begin to respond to these mandates.
Against this backdrop, companies have started upgrading their infrastructure as they commit to electrifying their fleets, but despite being cheaper to run, purchase price remains the deciding factor. A lack of options and the significantly higher purchase price for electric vehicles compared to petrol or diesel vehicles have made the switch difficult to justify and plan. Only when these barriers have been overcome does the decision to use electric commercial vehicles become obvious. However, once this transition begins, it will happen faster than we expect.
In 2023, several new electric vehicle manufacturers will launch their products alongside the established companies. Rivian will continue to produce vans for Amazon, Canoo is expected to supply vehicles to Walmart, and Arrival will provide electric vans for UPS. With these new players, companies have a much wider range of options to choose from to meet their needs.
Innovation will remain crucial in the industry to further reduce the cost of owning an electric vehicle. There are three broad areas where this can occur – the vehicle itself, the software and the production method. Most automakers focus on the first. After Tesla showed that EV software is crucial, many are now focusing on the second as well.
Arrival picks up on all three. In 2023, our team will produce vehicles in a completely new way of manufacturing in local “micro-factories”. These are to be placed near cities to support local jobs, scale in parallel, with shorter commissioning time and lower assembly costs, and be more environmentally friendly than traditional production methods. Imagine a warehouse in your city where you build vehicles for your city. To do this, we had to rethink the way vehicles are designed and engineered. For example, we had to develop new, lighter materials that don’t need to be painted and are more durable than steel. We also had to design and build our own components to better control the cost and functionality of each system in the vehicle.
In 2023, companies will have no choice but to start the transition to electric vehicles. Commercial vehicles can make the biggest difference in CO2 emissions as they cover the most kilometers in cities compared to consumer vehicles. In the US alone, commercial vehicles are responsible for 82 percent of traffic emissions, despite making up just 5 percent of vehicles on the road. Once we make this shift, we can rapidly contribute to the decarbonization of transport and ensure that no one is left behind when it comes to reaching net-zero targets.
