It feels like the electric vehicle has been on the cusp of a breakthrough for well over a decade. Ongoing innovations have increased journey range and there's been progress in the form of decreased EV battery cost (around 80 percent in the past seven years) as well as EVs gaining some economies of scale. Further, there have been financial incentives for EVs making them comparable with internal combustion engine vehicles. The recent combination of global government regulatory mandates, monetary incentives and changing consumer attitudes toward the environment have created the opportunity necessary for EVs to go more mainstream.
Take, for example, the U.S. where President Joe Biden is supporting the development and adoption of EVs. He has pledged to create 500,000 EV charging stations by 2030, which I think is ambitious considering where we are now. Yet, according to the BloombergNEF energy research group, that 500,000 may only cover 57 percent of the charging stations needed for implementation at-scale, leaving the door open for new solutions, including public-private partnerships, to pave the way forward.
Despite the long road to full-scale electrification, new data from the EY AI-powered Mobility Lens Forecaster predicts that ongoing advancements will be the push that propels EVs into the mainstream. The EY Mobility Lens Forecaster predicts EVs will represent most global sales by as soon as 2033 — five years ahead of previous expectations.