Electric Vehicle: Potential Benefits and Challenges in Australia

CRITICAL THINKING AND DECISION MAKING
Electric Vehicle in AustraliaStudent Name
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Executive Summary
Internationally, there are very few sign-posts that directs towards longer shifts in policies related to
transportation moving away from fossil fuels and stirring towards electricity. The main reason
behind this straightforwardness is due to intensity in CO2 and existing power system that may
represent modest environmental gains due to which customers are preferring switching from
internal combustion engine (ICE) motors to electric vehicles (EV). After finding potential benefits and
challenges of EV, it has been seen that there is a prodigious necessity to look outside traditional
transportation standards and consider issues related in conniving and recharging EVs. This report
has been prepared for managers and organisations of EVs in Australia to address identified
challenges correlated to batteries and range as well as prices and charging issues in electricity driven
vehicles.

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Table of Contents
Executive Summary...............................................................................................................................1
1. Introduction.......................................................................................................................................3
2. Background........................................................................................................................................3
3. Defining Electric vehicle.....................................................................................................................4
4. Complements and Substitutes of EVs................................................................................................5
4.1. Hybrid Electric Vehicles (HEVs):.................................................................................................5
4.2. Plug-in Hybrid Electric Vehicles (PHEVs):...................................................................................5
4.3. Battery Electric Vehicles (BEVs):................................................................................................5
5. Potential benefits of EVs....................................................................................................................6
5.1. Reduced air pollution:................................................................................................................6
5.2 Reduced noise pollution..............................................................................................................6
5.3 Fuel saving:..................................................................................................................................7
6. Challenges and Barriers for EVs.........................................................................................................8
6.1 Range and batteries:....................................................................................................................8
6.2 Charging:......................................................................................................................................8
6.3 Purchase price:............................................................................................................................9
7. Conclusion.........................................................................................................................................9
References...........................................................................................................................................10

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1. Introduction
Australia is comparatively a small country in relation to world’s population and global implications. In
regards to energy policies that are mostly geopolitical, Australian policy making consists of those
components that can be argued for ‘policy taking’ rather than ‘policy making’ ( Järvinen, Orton, &
Nelson, 2011). Under this context, it can be said that electric vehicle (EV) trend is developing
significantly in Australia. For businesses, making investment in electric vehicle sector can bring in
potential gains and prove very significant in long run due to growth intensity features of EVs. The EV
industry in Australia can be best defined as an emerging trend with great potentiality due to increase
in number of manufacturers including global companies like Nissan, Mitsubishi and Holden (Sharma,
Manzie, Bessede, Brear, & Crawford, 2012). However, failure or success of EVs to set among
transportation paradigms can be decided in global context and it can be said that Australia is one of
those countries which acclimatizes policies that are reliable with rest of the nations. Recognition of
similar need has been identified and have been prime motivation behind preparing this report.
2. Background
With growing uncertainty in global supply for conventional fuels and growing societal concerns
about contribution of global gases to greenhouse gases, significant interest among people have been
seen where application of alternative drive in technology are being considered by them ( Zhang, Xie,
Rao , & Liang , 2014). Under this framework, electricity powered vehicles have emerged and proves
to be most promising in terms of technology and reducing societal dependence upon transport fuels
along with reducing GHG emissions (Devogelaer, 2010). The apparent advantages of electric vehicle
technology have resulted numerous countries undertake advanced programs and procedures that
have even sought to hasten the global market of Japan, America, and other European nations. In
fact, global manufacturers are also responding to these market indications by developing range of
plug-in hybrid and fully electronic vehicles for global vehicle industry (shown in figure below).