It’s Time to Put the Discussion on Electric Cars to Rest

I don’t know about you, but whenever I think about electric cars, one word comes first to my mind: Tesla. From 0-60 real quick, it’s become the most valuable car brand in the world. It’s also constantly in the news these days, from its eccentric CEO Elon Musk pumping out tweets to how other manufacturers and brands are planning to respond. Traditional major manufacturers pumping billions every year into R&D did not seem to realize the true potential and promise that electrification might bring, whereas a start-up from the 21st Century managed to make the idea popular. But is all the hype worth it? After all, there are still many cons to owning an electric car currently, not to mention the huge change required to infrastructure and the disruptive effects this technology might have on the auto industry. Despite all these questions, a new technological race has already begun.

A rise worthy of SpaceX

In terms of company growth, 17 years is certainly not the blink of an eye, but it can’t really be said as a long time either. Tesla’s remarkable rise to the world’s most valuable car company in that time is worthy of Elon Musk’s other venture, SpaceX. Like a rocket soaring into the heavens, it has left other traditional manufacturers trailing in its wake.

Since their first car, the Tesla Roadster was officially revealed to the public in 2006, the company has only ever had electric models. Their foray into this new form of propulsion technology has sparked a new race among automobile manufacturers, vying to come up top in the battle for electrification.

There are five main selling points to owning an electric car, namely lower running costs, reduced carbon footprint, lower maintenance needs, better performance, and convenience. In the case of Tesla, they offer more than the promise that electric models bring. An example of this is its controversially-named “Autopilot” feature, which supposedly allows the car to drive by itself. However, unlike a pilot in a plane, a Tesla driver must keep their hands on the wheel, and there’s been cases of owners not paying the required attention while driving, leading to serious accidents.

Still, even the Autopilot feature is miles ahead of what other manufacturers are able to offer. This self-driving AI is contained within an integrated central control unit (ICCU) in the car. A teardown of this ICCU shocked industry insiders who thought that such technology would only take hold around 2025 at the earliest, showing how Tesla is ahead of major automakers by about six years.

How major auto manufacturers are responding

A fully electric Porsche Taycan, part of VW’s portfolio of electrics © Motor Authority

Tesla’s plan to build a gigafactory in Germany is not just business, it’s a symbolic move as well. Germany is the home of the automobile: it’s where the car was invented in 1885, after all. It’s also home to the Volkswagen Group (VW) which is the biggest automaker in terms of volume produced.

In late 2018, VW announced a $50 billion electrification plan, most of which was to be spent on developing electric cars and new mobility services by 2023. It appears that the investment VW made is continuing to move ahead at full throttle. Last year in December, the group signed off on a comprehensive decarbonization program and increased the number of electric models planned to 70 by 2028 instead of 50 which was previously announced.

Besides VW, many other big automakers have also shifted their sights towards fully electric vehicles. Daimler, the parent of Mercedes-Benz, has stated that they will invest $1 billion in an Alabama plant which will specifically produce all-electric SUVs, with the first one coming in early 2021. General Motors is planning to produce 20 all-electric vehicles by 2023. Volvo plans to roll out 5 all-electric models through 2021. Nissan has also unveiled a new flagship electric model to rival Tesla.

Who stands to lose out from the rise of electrics? Are they really so climate friendly?

A fully automated Tesla assembly line © Wired

Some people in society do not stand to benefit from electric cars. There has been some worrying indication so far that electrification has the potential to be a job killer. The auto industry supports around 7M jobs in the US and close to 13M in Europe. A report by analysts from UBS found that a Chevrolet Bolt has merely 35 moving parts compared to 167 in a VW Golf. It’s largely due to the fact that electric motors are so much simpler than combustion engines so it stands to reason that less workers will be required to build a less complicated product.

This then also begs the question, what about the repair and service market for cars? In an age of all-electric cars, petrol stations and the people who work there become obsolete. Furthermore, electric motors simply do not require the same amount of maintenance. Not all of these workers might be able to switch from oil changes to rebooting an onboard computer or electrical system.

There’s also questions of how climate friendly electrics actually are and if it’s enough to justify the disruption to jobs. Electrics emit more CO2 than conventional vehicles during production, as mining lithium for the battery can be carbon intensive and toxic. The Austrian and German automobile associations commissioned a large-scale study which concluded that on average, a mid-sized electric car in Germany must drive 219,000 km before it starts paying off in terms of reduced emissions. However the catch is that on average, passenger cars in Europe last only 180,000 km.

Despite the drawbacks, society still stands to benefit

Recently the coronavirus has reminded us of what it’s like to breathe clean air again © World Economic Forum

While some jobs might be lost from this rapid industrial change, many will be created. Currently, charging infrastructure is still in its infancy. A study by Germany’s Fraunhofer research institute has demonstrated that by 2030, around 84,000 job losses are expected to be lost directly due to electrification. The positive thing is that in the same time period, nearly 200,000 permanent jobs will be created. While fewer workers might be needed during production and car maintenance, much more will be needed in order to construct charging infrastructure, maintaining those chargers, battery cell manufacturing, electricity generation and much more.

On the climate front, the greening of electric generation will gradually make electric cars more and more viable. Using renewable sources will eliminate the burning of fossil fuels altogether, instead of simply shifting the burning from an engine to a power plant. Even with Trump’s pro-coal stance, coal use in America is in decline. The UK has almost got rid of coal, Germany is phasing it out and by 2030, half of the EU’s electricity will come from renewables.

Some 385,000 premature deaths occurred in 2015 as a result of vehicle emissions alone, the effects of which are even more severe in cities where the highest densities of vehicles naturally are. Air pollution is a silent but very real killer. Coronavirus has given people a glimpse of what it feels like to have that pollution reduced and fresh air back. Citizens have a right to clean air and health, electric vehicles will help give them that right back. Companies such as Tesla are pushing the envelope on electric tech, and it’s time to put the pedal to the metal and embrace this change.