Ticket Price Still Biggest Challenge to EV Adoption

Paul Myles

TU-Editor

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6th October 2022

More than 60% of US and UK motorists are shunning EVs because of their high price tags compared to ICE powered vehicles.

In Juniper Research’s Urban Mobility Study 2022, 66% of UK respondents and 61% of US respondents quoted forecourt prices as their main obstacle to making the switch away from ICE. It also noted that EVs have yet to demonstrate significantly lower running costs compared to traditional vehicles to justify the initial expenditure. This has become even more exacerbated with the steep climb in electricity prices during the UK’s cost of living crisis.

The survey found that only 5% of UK and US respondents currently use an EV, with Tesla proving the most popular. It noted that further consumer education is needed to boost market adoption, with the integration of electric fleet vehicles within MaaS (mobility-as-a-service) solutions key to improving user familiarity.

Research found that mobility schemes, which determine the best route and price across end-to-end transport services, could save consumers $10.5Bn in fuel costs by 2027, boosted by the use of EVs. The analyst company suggests MaaS vendors must incorporate EVs to benefit from claimed environmental benefits and, subsequently, adoption.

The research also found that 48% of UK respondents and 47% of US respondents would be encouraged to use an EV if the lifespan of vehicle batteries were increased. As part of this survey, Juniper Research interviewed 1,000 adults in the US and 1,000 adults in the UK during July 2022.

Research author, Scarlett Woodford, said: “Vehicle manufacturers must invest in battery technology; focusing on performance improvement and range extension, whilst decreasing cost. This will facilitate lower production costs, enabling electric vehicles to offer a more competitive value proposition versus internal combustion engine vehicles.”

— Paul Myles is a seasoned automotive journalist based in Europe. Follow him on Twitter @Paulmyles_