Challenges in Electric Cars
Electric cars are priced within the higher range and it would need an innovative solution and inclusive infrastructure development to push electric car prices down.
People are eyeing electric cars as the future of transportation. In a utopia, citizens only use cars powered by batteries as they have lower emissions therefore improvement in air quality. Countries compete to have the most electric cars on road with incentives such as tax deduction. But after more than a decade, we are still waiting for an entry-level electric cars.
Passenger vehicles are one of the major pollution contributor as the burning of Fossil Fuels is the top source of pollution in the world. Pollutions, contaminants in the natural environment that are beyond the permitted limit, are one major continuous world issue. This is a rooted problem as vehicles are too important to our lives.
The invention of Electric Cars started even before pollutions are a massive problem, in 1896. But gaining recognition as Tesla gained popularity. Tesla, founded in 2003, is the top player in the Electric Vehicles (EV) industry starting when Tesla went public in 2010. Quickly becoming a luxury car, Tesla is the face of future vehicles.
Globally, the EV industry is growing steadily each year. By 2020, there are more than 10 million electric cars on the road, 38% increase from 2019. Namely Europe (31%), US (17%), and China (44%) are where most of these sales happen. Where US and China still dominate the supply.
Not a lot of people have the luxury to spend 4 times more money for an eco-friendly car. Government subsidies play a big role in EV boom. China’s EV subsidies reimburse in 2020 has helped China become the world’s largest market in the industry. But why is it expensive? Does caring about the environment cost that much more of a money?
The additional cost of an electric car mainly comes from the battery. To replace an EV battery, you need to spend around $5,500. It’s main material, nickel, is expensive and hard to extract and process. Cutting-edge battery innovation mostly comes from Tesla with major improvements in quality and efiiciency. But it seems like we still need an even more efficient car battery.
Moreover, electric cars are known as the luxury car. Electric cars are famous for their next-gen technology, and that’s how the market likes it. They give opulent features to make it more tempting. Take Tesla Model 3 for an example. Model 3 has an autopilot with 360 degree of visibility and 250 meters of powerful visual processing, with 12 ultrasonic sensors. Plus their jaw-dropping interior including a 15inch touchscreen display, it’s hard to imagine a car with these features have a friendly price.
BYD’s Blade Battery: The Game Changer
BYD, headquartered in Xian Shaanxi, China, is sometimes reffered as “The Chinese Tesla”. They are arguably the main competitor for Tesla to date. Especially after their newest reearch output; Blade Battery. This battery revolution not only offers new EV safety standards with its ultra-safe credentials, but is believed to help companies to reduce cost.
Electric Vehicles in Indonesia
Electric cars initiative in Indonesia are driven mainly by transportation companies. Grab signed a partnership with Hyundai in 2020 to provide GrabCar Elektrik. Bluebird in partnership with BYD and Tesla offers Electric Taxis.
Final thoughts
China’s Wuiling produced the cheapest electric car by date, Wuiling Mini EV for around $4,700. But with its low range, countries should make sure they have sufficient infrastructure to accommodate the implementation for entry-level electric cars.
We are hoping for an innovative EV battery solution and inclusive infrastructure development that can push electric car prices around the world down. Our environment rely on electric cars. Citizens from all economic classes should be able to make sustainable choices when it comes to transportation.