Connect with us

Published

on

An electric vehicle charging point in Stoke-on-Trent, England.
Nathan Stirk | Getty Images News | Getty Images

The number of electric vehicles on the world’s roads is surging, hitting a record number last year.

That would seem to be good news, as the world tries to wean itself off fossil fuels that are wrecking the global climate. But as electric cars become more popular, some question just how environmentally friendly they are.

The batteries in electric vehicles, for example, charge on power that is coming straight off the electric grid — which is itself often powered by fossil fuels. And there are questions about how energy-intensive it is to build an EV or an EV battery, versus building a comparable traditional vehicle.

Are electric vehicles greener?

The short answer is yes — but their full green potential is still many years away.

Experts broadly agree that electric vehicles create a lower carbon footprint over the course of their lifetime than do cars and trucks that use traditional, internal combustion engines.

Last year, researchers from the universities of Cambridge, Exeter and Nijmegen in The Netherlands found that in 95% of the world, driving an electric car is better for the environment than driving a gasoline-powered car.

Electricity grids in most of the world are still powered by fossil fuels such as coal or oil, and EVs depend on that energy to get charged. Separately, EV battery production remains an energy-intensive process.

Producing electric vehicles leads to significantly more emissions than producing petrol cars … which is mostly from the battery production.
Florian Knobloch
Cambridge Centre for Environment, Energy and Natural Resource Governance

A study from the Massachusetts Institute of Technology Energy Initiative found that the battery and fuel production for an EV generates higher emissions than the manufacturing of an automobile. But those higher environmental costs are offset by EVs’ superior energy efficiency over time.

In short, the total emissions per mile for battery-powered cars are lower than comparable cars with internal combustion engines.

“If we are going to take a look at the current situation, in some countries, electric vehicles are better even with the current grid,” Sergey Paltsev, a senior research scientist at the MIT Energy Initiative and one of the study’s authors, told CNBC.

Paltsev explained that the full benefits of EVs will be realized only after the electricity sources become renewable, and it might take several decades for that to happen.

“Currently, the electric vehicle in the U.S., on average, would emit about 200 grams of CO2 per mile,” he said. “We are projecting that with cleaning up the grid, we can reduce emissions from electric vehicles by 75%, from about 200 (grams) today to about 50 grams of CO2 per mile in 2050.”

Similarly, Paltsev said MIT research showed non-plug-in hybrid cars with internal combustion engines currently emit about 275 grams of CO2 per mile. In 2050, their projected emissions are expected to be between 160 to 205 grams of CO2 per mile — the range is wider than EVs, because fuel standards vary from place to place.

Decarbonization is the process of reducing greenhouse gas emission produced by the burning fossil fuels. Efforts to cut down pollution across various industries are expected to further reduce the environmental impact of EV production and charging over time.

“When you look forward to the rest of the decade, where we will see massive amounts of decarbonization in power generation and massive amount of decarbonization in the industrial sector, EVs will benefit from all of that decarbonization,” Eric Hannon, a Frankfurt-based partner at McKinsey & Company, told CNBC.

Batteries are the biggest emitter

EVs rely on rechargeable lithium-ion batteries to run. The process of making those batteries — from using mining raw materials like cobalt and lithium, to production in gigafactories and transportation — is energy-intensive, and one of the biggest sources of carbon emissions from EVs today, experts said.

Gigafactories are facilities that produce EV batteries on a large scale.

“Producing electric vehicles leads to significantly more emissions than producing petrol cars. Depending on the country of production, that’s between 30% to 40% extra in production emissions, which is mostly from the battery production,” said Florian Knobloch, a fellow at the Cambridge Centre for Environment, Energy and Natural Resource Governance.

Those higher production emission numbers are seen as “an initial investment, which pays off rather quickly due to the reduced lifetime emissions.”

China currently dominates battery production, with 93 gigafactories producing lithium-ion battery cells versus only four in the U.S., the Washington Post reported this year.

“I think the battery is the most complicated component in the EV, and has the most complex supply chain,” George Crabtree, director of the U.S. Department of Energy’s Joint Center for Energy Storage Research, told CNBC, adding that the energy source used in battery production makes a huge difference on the carbon footprint for EVs.

Batteries made in older gigafactories in China are usually powered by fossil fuels, because that was the trend five to 10 years ago, he explained. So, EVs that are built with batteries from existing factories

But that’s changing, he said, as “people have realized that’s a huge carbon footprint.”

Experts pointed to other considerations around battery production.

They include unethical and environmentally unsustainable mining practices, as well as a complex geopolitical nature of the supply chain, where countries do not want to rely on other nations for raw materials like cobalt and lithium, or the finished batteries.

Mining raw materials needed for battery production will likely be the last to get decarbonized, according to Crabtree.

Recycling and decarbonizing the grid

Today, very few of the spent battery cells are recycled.

Experts said that can change over time as raw materials needed for battery production are in limited supply, leaving firms with no choice but to recycle.

McKinsey’s Hannon outlined other reasons for companies to step by their recycling efforts. They include a regulatory environment where producers, by law, would have to deal with spent batteries — and disposing them could be more expensive.

“People who point to a lack of a recycling infrastructure as a problem aren’t recognizing that we don’t need extensive recycling infrastructure yet because the cars are so new, we’re not needing many back,” he said.

Most auto companies are already working to ensure they have significant recycling capacity in place before EVs start reaching the end of life over the next decade, he added.

It’s not silver bullet for climate change mitigation. Ideally, you also try to reduce the number of cars massively, and try to push things such as public transport
Florian Knobloch
Cambridge Centre for Environment, Energy and Natural Resource Governance

Knobloch from Cambridge University said a lot of research is going into improving battery technology, to make them more environmentally sustainable and less reliant on scarce raw materials. More efforts are also needed in decarbonizing the electricity grid, he added.

“It’s very important that more renewable electricity generation capacity is added to the grid each year, than coal generation capacity,” Knobloch said.

“Nowadays, it’s much easier to build large scale solar or offshore wind compared to building new fossil fuel power plant. What we see is more renewable electricity coming into the grid all over the world.”

Still, he pointed out that generating electricity by using renewable sources will still emit greenhouse gases as there are emissions from producing the solar panels and wind turbines. “What we look at is how long will it take until the electricity grid is sufficiently decarbonized so that you see large benefit from electric vehicles,” Knobloch added.

Policies needed for societal change

Experts agree that a transition from gasoline-powered cars to EVs is not a panacea for the global fight against climate change.

It needs to go hand-in-hand with societal change that promotes greater use of public transportation and alternative modes of travel, including bicycles and walking.

Reducing the use of private vehicles requires plenty of funding and policy planning.

MIT’s Paltsev, who is also deputy director at the university’s joint program on the science and policy of global change, explained that there are currently about 1.2 billion fuel-powered cars on the road globally –that number is expected to increase to between 1.8 billion to 2 billion.

In comparison, there are only about 10 million electric vehicles currently.

People underestimate how many new cars have to be produced and how much materials will be needed to produce those electric vehicles, Paltsev said.

The International Energy Agency predicts that the number of electric cars, buses, vans and heavy trucks on roads is expected to hit 145 million by 2030.

Even if everyone drove EVs instead of gasoline-powered cars, there would still be plenty of emissions from the plug-in vehicles due to their sheer volume, according to Knobloch.

“So, it’s not silver bullet for climate change mitigation. Ideally, you also try to reduce the number of cars massively, and try to push things such as public transport,” he said. “Getting people away from individual car transport is as important.”

Continue Reading

Environment

Microsoft signs deal with Swedish partner to remove 3.3 million metric tons of carbon dioxide

Published

on

By

Microsoft signs deal with Swedish partner to remove 3.3 million metric tons of carbon dioxide

A building of Stockholm Exergi in Stockholm, Sweden, Sept. 5, 2022.

He Miao | Xinhua | Getty Images

Microsoft signed a deal to remove to permanently remove 3.3 million metric tons of carbon dioxide with Swedish energy company Stockholm Exergi, the companies announced on Monday.

The contract with Microsoft is the world’s largest carbon removal deal to date, Stockholm Exergi said in a statement. Delivery of the carbon removal certificates to Microsoft are planned to begin in 2028 and will continue for a decade, according to Stockholm Exergi.

The Swedish company, which provides power to the people of Stockholm, plans to build a carbon capture and storage project that will permanently remove 800,000 metric tons of carbon dioxide per year.

Construction on the carbon capture project is scheduled to start in 2025. The contract with Microsoft will help the project move closer to a final investment decision in the fourth quarter of this year, said Anders Egelrud, the CEO of Stockholm Exergi, in the statement.

The carbon capture project will be installed at Stockholm Exergi’s biomass power plant, which is the largest of its kind in Europe. The plant burns waste from the forestry industry and paper mills to produce heat and electricity.

Carbon dioxide released from those materials during incineration will be removed from the gas emitted from the plant, liquified for transport and permanently stored underground.

Stockholm Exergi is selling carbon removal certificates, equivalent to 1 million metric tons of carbon dioxide, to help companies achieve their net-zero emissions goals.

“Leveraging existing biomass power plants is a crucial first step to building worldwide carbon removal capacity,” said Brian Marrs, Microsoft’s senior director of energy and carbon removal, in a statement.

Continue Reading

Environment

WattEV opens US’ first megawatt charge station with 1.2MW speeds and solar

Published

on

By

WattEV opens US' first megawatt charge station with 1.2MW speeds and solar

WattEV has just opened the first electric truck charging depot in the US to use the new Megawatt Charge System, capable of delivering up to 1.2 megawatts of power, currently the highest-speed charger available in the US, along with solar and battery backup on-site and a unique partially grid-islanded setup.

WattEV says that its charge depot in Bakersfield, CA, includes the first MCS charger in North America, and the fastest as well. Tesla has a number of its own 750kW chargers deployed “behind-the-fence” in Pepsi and Tesla facilities, but this 1.2MW charger beats those in speed and is also publicly available.

MCS is a new charge standard being worked on by charging standards organization CharIN. The standard is close to being finished, though currently there aren’t really available MCS-capable trucks, or even UL-certified charging units.

WattEV CEO Salim Youssefzadeh displaying an MCS charger

As a result, WattEV’s installation is somewhat of an experiment. The site has 50 total chargers, split between 32 grid-tied 360kW CCS chargers on one side, and 3 1.2MW MCS and 15 240kW CCS chargers on the other side, attached to backup batteries and solar and fully grid-islanded.

That latter part is particularly interesting – WattEV got grants from the California Energy Commission to create this grid-islanded setup, wherein power for the chargers is fully provided by 5MW of on-site solar (which WattEV wants to expand to 25MW eventually) and 3MWh of battery backup.

WattEV could connect the setup to the grid, but between its grant from CEC, the lack of UL-certified MCS chargers, and delays that would have been caused in the permitting and interconnection process, it decided that grid-islanding half of the site would be the right decision for the time being.

The inclusion of an MCS charger promises the ability to fill a truck in the same time as a traditional truck rest stop. While trucks don’t currently have 1.2MW charging capability, WattEV wanted to be ready for when they do.

Notably, something many operators bring up is that they’re waiting for chargers before they start building or buying trucks. Here, however, we have an infrastructure provider out in the lead – building infrastructure before trucks are being built or purchased. In a world where operators have gotten used to using infrastructure as an excuse, WattEV seems uninterested in allowing them to continue to use that excuse.

Like WattEV’s other chargers, this one will be publicly available either via membership or scanning a credit card/QR code at the site. It’s near an industrial park in Bakersfield with several distribution centers and near the 99 freeway, which services the California central valley. WattEV also offers a “truck-as-a-service” model, wherein the company offers electric trucking at a set price with lower startup costs.

The charger could be of use for those distribution centers, bringing goods in from the Ports of Los Angeles and Long Beach, and also for traffic in the valley, as there are many local farming facilities and produce delivery services (for example, OK Produce in Fresno, which has committed to full zero emission operations).

FTC: We use income earning auto affiliate links. More.

Continue Reading

Environment

Lucid (LCID) shares Q1 2024 numbers: Deliveries and revenue are up year-over-year

Published

on

By

Lucid (LCID) shares Q1 2024 numbers: Deliveries and revenue are up year-over-year

Ahead of its call with investors this afternoon, Lucid Motors has posted its Q1 2024 financial results. The numbers aren’t mind-blowing, but the American automaker is making slow improvements in EV deliveries and revenue as it gears up to launch its second model later this year.

Today’s full Q1 2024 financial report follows a peek at delivery numbers Lucid Motors ($LCID) made public in April. The American EV automaker reported record deliveries of its Air sedan to date, sending 1,967 vehicles to customers in the first three months of the year.

That metric bested its previous delivery record of 1,932 units in Q4 2022 and is up 13% compared to Q4 2023 (1,734 deliveries). That being said, Air production is significantly down following a dawdling demand for its lone model, which recently saw some 2024 model year updates and lower pricing.

Lucid produced a mere 1,727 BEVs in Q1 2024, down from 2,391 units in Q4 2023 (-27%). Still, Lucid Motors remains quite liquid following a fresh raise of private funds and has expressed confidence that it can remain on track to hit its production guidance for the entire year.

The 2024 Lucid Air Touring / Source: Scooter Doll

Lucid reports nearly $173 million in revenue in Q1 2024

You can check out the full Q1 2024 financial breakdown from Lucid Motors ahead of this afternoon’s call with investors, but here are some notable figures. Q1 revenue was $172.7 million year-over-year, up from $149.4 million in Q1 2023.

Operational losses were $729.9 million, down from $772.2 million a year ago, and net losses were $680.9 million, down YOY from $779.5 million. With the $1 billion investment from the Saudi Arabian Public Investment Fund (PIF), Lucid relayed that at the end of Q1 2024, it remains quite liquid with approximately $5.03 billion. Lucid CEO and CTO Peter Rawlinson elaborated:

I believe there are two factors that set Lucid apart – our superior, in-house technology and the partnership with the PIF. Our sales momentum is building, our focus upon cost remains relentless, and we believe Gravity is on track to become the best SUV in the world.

Gravity is expected to begin deliveries before the end of the year and could contribute to Lucid’s production numbers. The automaker said it remains on track to produce approximately 9,000 BEVs in 2024. For comparison, Lucid Motors built 8,428 EVs in 2023.

Gravity will be followed by a third model, currently codenamed “Mid-size,” which will be available in at least two variations and has the potential to be a true competitor to companies like Tesla and Rivian.

Gagan Dhingra, Lucid’s interim chief financial officer and principal accounting officer, also spoke about the automaker’s progress

We continue to make significant progress on our cost optimization programs. We’re focused on significant growth as we enter the next transformational phase of Lucid’s end markets while simultaneously driving cost discipline.

You can tune into the live webcast with investors discussing Lucid’s Q1 2024 numbers here.

FTC: We use income earning auto affiliate links. More.

Continue Reading

Trending