Major international companies are charging ahead on electric vehicles (EVs) to address the climate crisis, tackle air pollution and meet growing customer expectations – but they are increasingly confronted with a lack of vehicle supply, a new report by global non-profit The Climate Group reveals.
The Climate Group runs the global EV 100 initiative, which brings together leading companies to accelerate the switch to electric transport and make EVs the new normal by 2030. They represent the fastest moving big business buyers and have a strong understanding of the state of the EV market.
This year’s EV100 Progress and Insights Report shows that members are speeding ahead, with approx. 80,000 EVs already deployed and over 10,000 charge points installed to date.
- Global businesses are charging ahead on EVs, but cite a lack of supply from automakers as the top barrier to switching their fleet
- Wipro, State Bank of India, BSES Rajdhani Power Ltd., BSES Yamuna Power Ltd., Shuttl, and Bounce making progress in driving electric mobility in India
- The Climate Group calls on automakers to turbo charge EV supply to meet market demand and deliver on their responsibility to tackle climate change
- International business members at the forefront of the auto industry have already committed to go electric by 2030
- Members of The Climate Group’s EV100 initiative have committed over 2.5 million vehicles by 2030 and are set to save 42 million metric tons CO2e, equivalent to the annual emissions of 11 coal power plants;
- Schneider Electric and Danfoss Group among the new joiners
However, the slow roll-out of electric vehicles from the auto industry is the top barrier to switching their entire fleet, cited by 79% of respondents – up by a third from last year.
As corporate ambition shifts gear, the auto industry is not responding fast enough for supply to match demand. While the European EV market is expected to grow in response to tough EU emissions rules, the US in particular risks being left behind globally – with the right for State level leadership on vehicle emissions standards being fought out in the courts later this year.
Helen Clarkson, CEO, The Climate Group, said: “For years automakers have raised the lack of demand as a problem for moving faster on electric vehicles. Our report shows that big business demand for EVs is increasing but is still not being met by manufacturers. If automakers want to stay competitive, they need to shift to a higher gear on producing EVs – or risk losing their largest customers.”
Jim Massey, Global Vice-President, Global Sustainability, AstraZeneca, said, “There are obstacles we face, such as infrastructure, such as access to the electric vehicles we’re going to bring into our fleet. So we’re putting out there the demand and the need for infrastructure so that all of us – government, other sectors – can help solve this problem together.”