David Martell, executive chairman of electric vehicle (EV) infrastructure company Chargemaster, talks to Louise Bateman about the road ahead for the EV market.
Q. There’s been a lot of talk about the electric vehicle market, but there is still very little evidence of it on our roads. Are we are on track with it?A. I think it is all on schedule. Everyone was saying two years ago, there would be a significant flow of electric vehicles from 2011. We had the Leaf (Nissan) announcement in March, we’re going to see the launch of the Mitsubishi i-Miev early next year, the Peugeot iOn at the end of the year and the Citreon DS4 and Smart ed early next year. You’ll see at least eight mainstream cars on the
roads by this time next year.
Q. Do you think enough is being done to develop the market?A. Undoubtedly, more urgency is required. We need further fiscal adjustments to ensure
low carbon targets are met. Governments here and elsewhere are increasing duty on carbon-based fuel and supporting low carbon fuel – they will need to do more of that. But we need to manage expectations as well. It is fair to say electric and plug-in hybrid markets will only become mainstream within the next five or 10 years.
Q. What about the car manufacturers – are they doing enough given they’ve just gone through one of their worst downturns?A. If you look at every motor manufacturer in the world, they either have a range of electric or plug-in hybrids under development. VW were slow getting into this, but by 2020 they want to be world leaders in this market. There is a huge amount of
investment going on. By next year you’ll start seeing electric vehicles around and it will start being normal rather than just a bit quirky.
Q. What about the range these electric cars have – isn’t that a problem for developing the market?A. Again it is interesting to see the technological developments at VW group – by 2020 they are planning to have a range of 500 miles. It is happening and I think we won’t have to worry when it gets up to that level.
In the shorter term, we are going to see more plug-in hybrids on the roads. That is the softer option, but when we do away with the 'range anxiety', as battery
technology becomes more sophisticated, we’ll see more electric vehicles.
Q. As well as the cars, there is the infrastructure and real challenges still remain here. How are you addressing these?A. There are challenges for infrastructure – putting charging points in the right locations is difficult and this is not always quite right at the beginning, but nobody sat down 100 years ago and said we’ll have a petrol station at this location and always got it right. Like the cycle hire scheme in London, there will be issues and teething problems. But there is also plenty of opportunity. We are selling our charging points to supermarket chains, to stores, to Government, to hotels, to shopping centres and NCP car parks.
Meanwhile, through the Government’s 'Plugged-in Places’, £30 million is being spent on public infrastructure. The private sector is spending that amount as well, and the Government, meanwhile, has confirmed that it will support the market with a subsidy.
Q. The subsidy – which was promised under the previous Government – will see it refund £5000 of the purchase price of an electric or plug-in hybrid vehicle from January 2011, but it has cut the level of funding?A. It hasn’t been confirmed for the first three years as had been previously expected, but the Government has confirmed the money will definitely be there for the first 15 months. So it is not switching it off, but will review it.
Q. Even with the subsidy, electric cars are still very expensive at the moment are they not?A. Not if you look at the whole lifetime cost, because the running costs of an electric cars are very low. If you buy an electric, you’ll be paying over £20,000 but it is very cheap motoring after that initial outlay.
Q. What about powering the infrastructure. How is that going to be met? A. I sit on a couple of Government bodies where we are looking at the impact on grids in 30 years time and how we are going to balance the load. One aspect is to make sure that charging happens off peak – between 11 o’clock at night and seven in the morning. Our Homecharge units automatically regulate the charging to off peak time because they are dynamically monitored. It won’t stop you charging straight away if you want to, but it will cost you more.
We are also working with motor manufacturers, so that when someone buys an electric car, they get their home surveyed to ensure that it is safe. It only takes a 30-amp plug – the same as having fan heater on – to charge up a car, but this could be a potential barrier to buying a car if you don’t get a free survey and wiring put in.
Q. You are also supporting car dealer networks with charging points – can you tell me more about this and what other businesses you are working with?A. Yes. We have got a programme with dealers to have charge points to charge cars on the forecourt. We’ve got exclusive arrangement with some but not all.
We’ve also got a big programme with KPMG to put charging points in their offices and we are even working with a number of architects and developers to put charging points in forecourts and garages, as it saves a lot of money to put them in when houses or
buildings are being built.
Q. What do you think the industry needs to further to encourage this market to grow?A. It’s not just industry, but Government and society as well, if we really want to save the planet and meet these targets for reduction of carbon. People are going to have start recognising the role they have to play. But we need to make it attractive and acceptable by making it possible for people to charge where they want to.
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