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Electric vehicles charge ahead

Monday, May 10, 2010
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Auto Focus

By Julie Cridler
Senior Market Analyst, IRN Inc.
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Aside from the cost of the batteries, one of the biggest obstacles blocking the forward progress of electric vehicles (EVs) is consumer “range anxiety” combined with a lack of public charging infrastructure. There have been some positive steps forward in the area of EV charging that may make the latter less of a daunting issue.

Collaborative projects

OEMs and various electric utility companies are beginning to work together to tackle the issue of charging infrastructure development. In some cases, these efforts are coinciding with a particular OEM’s introduction of an electric vehicle. Ford recently announced that the company is in talks with various utility companies throughout the U.S. about ways to create an infrastructure that will support greater use of electric vehicles. The OEM has not entered into any formal partnerships, but is currently working on an electric vehicle that will be launched in 2011.

Nissan, which will soon be launching the all-electric LEAF model, is offering a 220-volt personal charging station. The stations will be available to LEAF owners for around $2,200, but there are likely to be tax credits that apply. Nissan is working with AeroVironment, which will build and install the charging docks for customers.

Testing of concepts

There is a great deal of interest in linking EV charging with clean and renewable sources of energy to reduce environmental impacts throughout the value chain. The Tennessee Valley Authority (TVA) in conjunction with the Electric Power Research Institute and the Oak Ridge National Laboratory are working together to deploy solar-assisted EV charging stations throughout the state of Tennessee. The system will rely on the sun to generate the necessary power to offset the charging of EVs during peak power demand periods. There are two planned prototypes, which will be built initially and tested for up to six months before additional stations are constructed over a period of several years.

Another interesting concept that is being developed and tested is vehicle-to-grid (V2G) technology. V2G enables EV owners to plug in their vehicles and send electricity back to the utility companies. This is seen as a winning idea on many levels because it generates cash for the EV owner, has the potential to strengthen the power supply in the U.S. as well as further reduce dependence on fossil fuels. Obviously the usage levels would have to reach a point of critical mass before there will be any noticeable effects on the national power supply, as it takes a minimum of 60 vehicles plugged into the grid to produce one megawatt of power. Nonetheless, the technology could offer a promising step forward in the quest for EV charging infrastructure. The University of Delaware, in conjunction with AutoPort Inc., is conducting a proof-of-concept demonstration of V2G technology over the next couple years.

Technology becomes reality

The unveiling of a pay-at-the-pump charging station at the New York Auto Show, by PEP Stations LLC and Ricardo, is a major development regarding the availability of public charging access. While the conventional wisdom says that most EV owners will charge their vehicles overnight at home, the availability of convenient and reliable public charging stations will definitely give the EV sector a much needed boost. PEP offers a 220-volt charging station that accepts credit cards and can be installed at various commercial places. The company plans to begin production of the units early in the fourth quarter of 2010.

The ability to do a quick charge sounds like the solution to many problems, but there are concerns about the potential damage that fast-charging can do to an EV’s power electronics and battery. Enter another new technological advancement announced earlier in the year at the Washington Auto Show. (The PEP station is not a fast-charging technology.) EnerDel, battery supplier for the THINK City car, developed a new battery that was built to withstand the harshness of fast-charging. In fact, THINK, EnerDel and AeroVironment proved that the EnerDel battery can be charged from 0 percent capacity to 80 percent in only 15 minutes. THINK plans to incorporate the fast-charging technology into all cars that roll off their production line in Elkhart, Ind.

As these technologies and others like them come to fruition, ownership of EVs will start to become a possibility and a consideration for more and more consumers. Now that the price of oil appears to be on an upward trend, consumers will once again be looking for better fuel economy, so this could not have come at a better time.

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Columnist Bios

Melissa Anderson
Vice-President
IRN Inc.
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Melissa Anderson joined the staff of IRN in 1986. Her primary role in the organization is as the architect of custom research projects that help clients assess the market potential for new products, prioritize customer targets, understand industry trends, and other facets of strategic marketing. The majority of these projects deal with automotive components, such as airbags, climate control components, door impact beams, exhaust system materials, numerous elements of the interior, lighting, fuel delivery systems, bumpers and fascia, anti-lock brake systems, and others.

Julie Cridler
Senior Market Analyst
IRN Inc.
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Julie Cridler began working at IRN in 1994, first as an intern and then as a full-time Market Analyst following her completion, with distinction, of the Master of Business Administration (M.B.A.) program at Grand Valley State University. From August 1998 through August 1999 she worked at Haworth in Holland, Michigan as a Product Specialist involved in a new product development and launch team. In August 1999, Julie returned to IRN as a Senior Market Analyst.


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