Are EVs Really the Future?
From perfectly clean cities out of imagination to roads filled with the whispers of electric motors instead of whirring engines, the vibrant setting of many futuristic movies still seems, in fact… futuristic. As for us in modern times? Our climate projections have much more room for improvement.
In the next 30 years, the Energy Information Administration projects the global demand for energy to grow by nearly 47%.1 While increased energy usage isn’t inherently harmful, our continued dependence on fossil fuels is. TDL research analyst Jestine Cabiles previously metaphorized unchecked greenhouse gas emissions and deteriorating climate stability as a “dragon” that must be tamed. My investigation will go further into the heart of one of the potential solutions capable of conquering this beast: electric vehicles (EVs).
Our Objective
In response to dangers regarding biogeochemical cycles and environmental cleanliness, nations across the world have begun electrifying ground transportation. By the end of last year, 31 countries had over 5% of new car sales go electric—a pivotal EV threshold.2 Nonetheless, despite the online buzz about electrification and seemingly widespread support for sustainability, the cold, hard data on actual electric vehicle adoption metrics don’t live up to expectations. The question is why?
By the end, I hope this nuanced analysis of EV’s psychological barriers and proposed solutions will clarify if EV is truly “the future”—and if so, how long it will take us to get there.
References
- Kahan, A. (2019, September 24) EIA projects nearly 50% increase in world energy usage by 2050, led by growth in Asia. U.S. Energy Information Administration (EIA). https://www.eia.gov/todayinenergy/detail.php?id=41433
- Randal T. (2024, March 28). Electric Cars Pass the Tipping Point to Mass Adoption in 31 Countries. Bloomberg.com. https://www.bloomberg.com/news/articles/2024-03-28/electric-cars-pass-adoption-tipping-point-in-31-countries
- Marchand, P. (2023, January 26). The Jevons’ Paradox Applied to Electromobility. Transport Energy Strategies. https://www.transportenergystrategies.com/2023/01/26/the-jevons-paradox-applied-to-electromobility/
- Zhao, E., Walker, P. D., Surawski, N. C., & Bennett, N. S. (2021). Assessing the life cycle cumulative energy demand and greenhouse gas emissions of lithium-ion batteries. Journal of Energy Storage, 43, 103193. https://doi.org/10.1016/j.est.2021.103193
- Kertscher T. (2023, June 21). Carry that weight? Electric vehicles outweigh gas cars but aren’t main culprit of road wear. PolitiFact. https://www.politifact.com/article/2023/jun/21/carry-that-weight-electric-vehicles-outweigh-gas-c/
- EV Leasing Volumes Poised to Surge as Tax Rule Makes It Cheaper to Lease than Buy. (2023, May 25). J.D. Power. https://www.jdpower.com/business/resources/ev-leasing-volumes-poised-surge-tax-rule-makes-it-cheaper-lease-buy
- Ryan, G. (2022, May 20). Overcoming psychological barriers to electric vehicle adoption. Innovation News Network. https://www.innovationnewsnetwork.com/overcoming-psychological-barriers-electric-vehicle-adoption/21672/
- Winton, N. (2023, November 1). Electric Vehicles Not Guilty Of Excess Short-Term Fire Risk Charges. Forbes. https://www.forbes.com/sites/neilwinton/2024/04/21/electric-vehicles-not-guilty-of-excess-short-term-fire-risk-charges/
- 2024 Global Automotive Consumer Study. (2024 January). Deloitte US.
https://www2.deloitte.com/us/en/pages/consumer-business/articles/global-automotive-consumer-study.html - Nayum A. & Thøgersen J. (2022 July). I did my bit! The impact of electric vehicle adoption on compensatory beliefs and norms in Norway. ScienceDirect https://www.sciencedirect.com/science/article/pii/S2214629622000482#s0085
- AMSI, D. (2023, June 30). Understanding Range Anxiety in Electric Vehicles: An EV Car FAQ. Mercedes-Benz of Naples. https://www.mercedesbenznaples.com/understanding-range-anxiety-in-electric-vehicles-an-ev-car-faq/
- Kutz, J. (2023, March 22). Women are less likely to buy electric vehicles than men. Here’s what’s holding them back. The 19th.https://19thnews.org/2023/03/electric-vehicles-gender-gap/
About the Author
Ian Hartana
Ian Hartana is a student at the University of California, Berkley. He is also an experienced researcher with a background in investing and behavioral finance. Prior to writing for The Decision Lab, he has posted investment analysis on Seeking Alpha and Yahoo Finance. He also writes under Insider Finance to unearth investment psychology and implications of macroeconomic pressures on consumer choices. He often leads webinars to financial literacy nonprofits such as Finatic and Finclusion and has worked on research with a mentor from Capital Group.
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