EU-Electric Car Market: E-mobility and the growth of the electric vehicle in a decarbonized Europe – by ENEL

Mercedes Electric Car

Last November, the European Commission presented a package of clean energy initiatives with the aim of achieving global leadership in renewable energies and promoting energy efficiency. The package seeks to provide a fair deal for consumers and support the EU’s commitment to cutting CO2 emissions by at least 40 percent by 2030.

The so called “jumbo package” also includes specific measures to support e-mobility, such as promoting the installation of recharging points in new, non-residential buildings. With these measures, there is a commitment to use renewable electricity in transport and to ensure renewable sources and new technologies are integrated and allowed to compete on a level playing field.

It is hoped that these changes will improve the penetration of electric vehicles (EVs) in the transport sector. Figures currently estimate their market share to be well under 1 percent, although analysts predict a potential upsurge that could see this figure as high as 35 percent by 2035.

“E-mobility has the potential to be a game changer,” explains Simone Mori, Executive Vice President for European Affairs at Enel. “It can help to deliver a whole range of inter-connected benefits, from cleaner air and less pollution, to greater energy security. But barriers exist and these need to be pulled down if these benefits are to be realized.”

EVs are also supporting the market for renewable energy sources (RES), with car batteries offering new opportunities for grid-connected storage and bringing “prosumers” into the electricity market.

A key to this is the continued development of innovative Vehichle2Grid (V2G) technology, which allows managing bi-directional flows between the EV’s battery and the electric grid. By acting as a “virtual power plant,” they can sell the energy back to the grid and help the system operator improve reliability by balancing supply with demand. Enel is currently working on major V2G programs in Denmark and the U.K., with the goal of introducing it to other European cities.

There are further wins for both consumers and the environment. Building the market share of EVs means a higher use of electricity in satisfying consumers’ energy needs in transport, which improves energy efficiency by reducing primary energy needs. In fact, evidence shows that in the past decade, as the use of electricity as an energy carrier has grown, the economy’s energy intensity — the ratio between final energy consumption and GDP — has decreased, providing the tangible proof of the benefits of electrification. In particular, EVs can be three to four times more energy efficient than conventional cars, therefore they bring greater energy security to Europe by reducing energy imports. With poor air quality currently exposing urban populations to numerous health risks, e-mobility can dramatically reduce air pollution in our cities.

Read More: Decarbonizing Europe By Growing The Electric  Vehicle Market Politico