July 22nd, 2022
How do we accelerate the transition to e-mobility?
Electric vehicles (EVs) are hot right now, and that’s putting it mildly. More and more people are seeking EVs, especially as gas prices at the pump are hitting consumers hard. In the last two years, 52% of consumers are looking to buy EVs globally, which is a rise of 22 percentage points. And in the US, EVs have entered the mainstream, including large features in cultural mainstays like this past year’s Super Bowl. With EVs accelerating progressively, we’re seeing barriers lift as e-mobility technology transforms. Consumers are starting to get more familiar with charging infrastructure, and ways they can refuel at home and throughout their communities.
However, the US is lagging behind, especially as compared to the rest of the world. While it’s expected to increase in 2023, by 2025 the US will only represent 15% of EV sales worldwide. So what’s stopping the US from leading the charge to e-mobility? And once we’ve ramped up, are we ready?
Challenge 1: Lack of EV Supply
One of the biggest hurdles that the US faces is a lack of incentives for consumers. Moreover, short-term supply is crippling mass adoption and failing to keep up with demonstrated demand. Supply chain disruptions from COVID and exacerbated due to the war between Russia and Ukraine are contributing to the shortfall, making EVs more expensive. In addition, manufacturers in Shenzhen and Changchun have experienced a surge of COVID-19 cases, making EVs even more challenging to get.
Our EV concierge makes transitioning to an EV easy
We recently launched our EV concierge service, taking the pain out of sourcing an EV, especially while the supply chain is low. Our dedicated team will help you find the EV of your choice, and get you set up at home to charge. And by leasing with us and connecting to Intelligent Octopus, you get access to incredibly competitive energy rates that fall 20-30% below the Texas average!
“We’ve seen that consumers are looking for experts that can offer the full EV package to guide them through their journey,” said Fiona Howarth, CEO of Octopus Electric Vehicles. “With more EV models entering the market every month, and innovative tariffs [rates] like Intelligent Octopus making charging your car as easy as your phone, we only expect the transition to accelerate. We’re thrilled to be able to open up our ultimate EV package to millions of new customers both in the UK and the U.S. Our roads are transforming and we plan to lead from the front, making it easy for drivers to make the switch.”
Challenge 2: Can the grid handle EVs?
To ensure that the grid can handle the increased demand that EVs will bring, rapid change is necessary. EVs are expected to account for 10% of all US power demand by 2035. And as we well know in Texas, our grid can barely keep up with demand from population increase and extreme temperatures now. How can we manage even more load from EVs?
Managed charging can help balance the grid
Features like Intelligent Octopus have the power to optimize charging when energy is at its cheapest and greenest. At Octopus, EV and smart thermostat owners opt in to having their charging managed through our proprietary technology, Kraken Flex. We’re actively monitoring grid conditions every 15 minutes and can adjust these devices to ramp up or turn down when charging isn’t as optimal, all while ensuring that you still get the power you need to keep going.
This helps save the customer money, and helps manage grid demand, leading to less emissions overall. Analysts estimate that managed charging can lower peak demand by 9% to 45%. Residential charging is a prime candidate for managed charging because of the amount of time a car is spent parked in a single location, adjacent to existing electricity infrastructure.
Moreover, EVs make consumers more resilient in the face of energy instability: some EVs can hold enough energy storage to power a home for two to three days, offering more independence. As an energy retailer, we’re here to support customers in more ways than just selling electricity. At Octopus, we’re able to maximize the value of vehicles charging on the grid, including vehicle-to-grid solutions, all managed through Intelligent Octopus. Through our technology, we’re accelerating the transition while at the same time unlocking even more savings potential and resiliency for our customers.
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