What the Future of EV Adoption Will Really Look Like
A few years ago, electric vehicle (EV) adoption was the headline discussion of every dealership in town — investors listened, and EV vehicles were on a fast track to occupy every home in America. Today, however, consumer adoption of EVs has not followed how we thought it would: Hertz recently sold a third of its U.S. fleet of EVs (20,000 cars) following their ambitious strategy to acquire 100,000 Teslas in 2021. Germany’s electric-vehicle sales sank in December, Ford halted production of the F-150 Lightning, and GM cut near-term investment in EVs. But what happened? EV fervor was reaching record highs following mainstream exposure by Tesla and renewed calls for fossil fuel awareness during COVID-19.
This slump is a stark reminder of optimism vs. reality: EVs still have miles to go and a significant adoption curve before making it to the forefront of consideration for the mainstream buyer. Still, all of this back-and-forth begs the answer to one question: What are the key concerns we need to address to truly adopt EVs in America?
A Dearth of EV Technicians
Before we can even drive an EV model out the door, it needs to be built, and electric vehicles are a horse of a different color compared to their combustible engine counterparts. The auto industry faces a shortage of EV technicians, as they require a specific skill set separate from that of a typical auto technician. On top of that, EVs have been subject to countless quality issues and recalls, and only a certain number of technicians are qualified to work on them. The higher cost of entry is repelling younger workforce members from getting EV trained (source). This necessitates demand for affordable specialized training programs for EV adoption to rise across the U.S. We can’t operate a motor vehicle if we don’t have a competent workforce to service them.
Charging Infrastructure Expansion
The availability and accessibility of charging infrastructures remain key factors in EV adoption, with various challenges surrounding implementation and accessibility.
Implementation — Many governments, businesses, and utilities are investing in expanding charging networks to address battery life and travel distance anxieties, encouraging more drivers to switch to electric. That said, many roads and highways — particularly in “flyover” parts of the country — are suited for traditional long-distance travel and don’t have the network necessary for fast-charging stations. On top of this, charging stations are facing universality issues as manufacturers put their own spin on different connectors, protocols, and overall standardization issues.
Accessibility—Other challenges include the accessibility of home and workplace charging stations, incorporating renewable energy to offset the large amounts of electricity needed for charging stations, and ensuring equitable access to EV chargers in underserved areas. Efforts to establish common standards and promote interoperability are necessary to streamline the overall charging experience for EV owners.
Market Competition & Accessibility
When we think of EVs, Tesla is often the first thing that comes to mind. Unfortunately, Tesla’s cheapest model is worth $40,000 (a considerable cost for most Americans), and prices only go up from there. While other motor companies are beginning to dabble in EVs by testing potential models, current options remain much more expensive than non-EV vehicles. Almost all automakers would need to roll out EV models to drive pricing reductions and enforce competition. Consumers need a wider range of EV options to choose from to drive innovation and lower prices from carmakers, which, in turn, would make EVs more accessible to a broader pool of car shoppers.
Government Incentives Aren’t Enough
Government incentives are crucial to break down some of the barriers associated with the transition to electric transportation. Historically, this has included subsidies, tax incentives, and stricter emissions regulations. Although incentives can help offset the higher upfront costs of EVs and other expenses (such as operational costs, maintenance expenses, and charging infrastructure installations), EV vehicles still contend with financial barriers for consumers. These are innately longer-term issues for EVs, as the overall cost of ownership may remain a big concern for potential buyers.
Although EVs are hot topics in the news, most Americans are still using gasoline automobiles. While various factors naturally push us towards EV adoption, the issues that remain in the broader ecosystem related to the price, upkeep, maintenance, and charging requirements of EVs are more problematic than the car itself.