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Webinar: Bringing EVs to market ‐  

technical challenges and business opportunities

Chairperson: 
 

Dr Peter Wells, Director, Centre for 
Automotive Industry Research, 
Cardiff Business School 
 
Speakers: 
 

George Paterson, Axeon 
Kate Armitage, EDF Energy 
Colin Herron, One North East 
Will Cutler, OLEV 
 
Bringing EVs to market: technical
challenges and business opportunities
George Paterson March 2010
Electric vehicles – why now?
Environmental considerations:
No CO2 emissions at the point of use
No NOx, SOx or other particulates
Reduced noise

Rising fuel costs and concerns over energy security


Improved technology
More powerful, smaller and lighter batteries

Probable overall reduction in lifetime costs:


No road tax
No congestion charge
Recharging an electric car battery costs £1.50 = 100 miles range
Lower running costs as fewer moving parts (e.g. no gear mechanism, catalytic converter,
exhaust)

Government incentives
US funding of $2.4 billion for advanced batteries
Several governments introducing tax credits or subsidies for Electric Vehicles

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Forecasts
480,000 new EVs forecast per year in
Europe and 130,000 PHEVs globally by
2015 (Frost and Sullivan)

The European market for hybrids/electric


vehicles could rise to 50% by 2015 from
approximately 2% in 2007 (Roland Berger
Strategy Consultants)

Nissan believe that 10% of global sales will


be EVs by 2020, amounting to 7 mln cars

The UK, Scandinavia, France, Italy and


Spain are likely to constitute 93% of the
sales in Europe.

Frost & Sullivan predict that by 2015 21%


of EVs will be produced by start-up OEMs

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Robustness of technology

Reliability – fewer moving parts, therefore lower running costs


and ease of maintenance once vehicles are built in volume

EVs have control and monitoring systems to prevent abuse to


the electrical components and to the batteries

Cells are now developed for automotive environment not just


phones and laptops

Unknowns – calendar life in real world use

Performance in extreme temperatures unless active thermal


management is included

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Supply chain management

Raw material supply not an issue, currently

Lithium is an abundant element and can be


derived by various methods

Recycling will reduce the demand for virgin


raw material

No standard cell technology or format

Manufacturers are increasingly looking at


dual-sourcing

Independence from cell manufacturers is an


advantage

Predictions go from over-demand to over-


supply; who is right?

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Charging infrastructure

No “one-fits-all” solution

Commercial vehicles
Return to base, 3 phase fast and rapid charging possible, off-board

Private vehicles
Charge at home (domestic plug) 3kW max as standard (UK)

Domestic 32A fast charge hard-wired installation possible

Charging posts (on street, at work, public car parks; opportunity for e.g.
Tesco, Little Chef, etc to attract more customers)

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Charging infrastructure

Fast charging
Installation costs
Grid infrastructure
Battery to battery

Inductive
Easy of use
Efficiency?
Safety?

Battery exchange
Variety of batteries?
Obsolete when batteries have increased energy density?

Ownership: Individuals, councils, private companies, car


manufacturers, utility companies?

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Major EV Hot Spots
Until 2012, EV companies are likely to target hot spots such as
London, Stockholm, Oslo and Rome.

In the UK:

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Ownership Factors

EVs are currently expensive

Early adopters will have EVs as a 2nd or 3rd vehicle

They will be environmentally conscious and want to make a


statement

Commercial vehicle operators will buy EVs to make an


environmental statement

Reduced cost of ownership and/or government legislation is


required for >10% market share

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Axeon’s automotive experience

New prototype with volume


potential
Small city car
Conversion of Citroen C1
Electric urban delivery vehicle Designed to deliver
improved performance
Producing in volume
51kWh pack
Half a million vehicle miles
Range 70 miles
driven since 2007

Volume production
Prototype EV sports car
Scottish vehicle
converter Conversion of Porsche
911
Demo project in
Glasgow Range 150 miles
Range of types of
EVs 12
Axeon
Nobel Court, Tel: +44 (0)1382 400040
Wester Gourdie, Fax: +44 (0)1382 400044
Dundee, DD2 4UH,
Scotland, UK www.axeon.com
The Role of Utilities in the
development of Electric Vehicles

Kate Armitage
Electric Vehicle Team Manager
01273 428 247
Kate.armitage@edfenergy.com

14 CONFIDENTIAL - Title of presentation © 24 November 2009 EDF Energy plc. All rights Reserved.
Background to EDF Energy –
The UK branch of the EDF Group

26% 13 170,000 km 25% 20,000 5m+


We generate We own 13 power We manage and We distribute We employ around We supply
around 26% of stations – 8 are maintain around electricity to a 20,000 people in electricity and gas
UK power nuclear 170,000 km of quarter of the UK the UK to over 5m
electricity cables population accounts
and wires

15 CONFIDENTIAL - Title of presentation © 24 November 2009 EDF Energy plc. All rights Reserved.
INTRODUCTION

• Electric Vehicles will play an important role in decarbonising the UK’s transport. A
mile driven by a fully electric vehicle produces approx 30% less CO2 than a mile
driven by an ICE.
• Based on the forecast take up of electric vehicles to 2020 EDF Energy does not
anticipate a big impact on the grid.
• EDFE anticipates that PHEV’s will make up the bulk of EV’s in 2020
• Although a public charging network is key to addressing range anxiety, it is
expected that charging at home and work will make up a large % of all charging
• The electricity industry is changing, by 2020;
- New nuclear generation will be a reality
- Smart metering will the accepted standard
- Better understanding of Smart Grid capabilities
• EDF Energy is a vertically integrated business – there will be impacts for all areas;
- Electricity Generation
- Electricity Network
- Electricity Supply – domestic and business

16 CONFIDENTIAL - Title of presentation © 24 November 2009 EDF Energy plc. All rights Reserved.
KEY AREAS FOR UTILITIES
Generation

• Nuclear generation has a flat load profile – off peak charging of


electric vehicles can be used to smooth demand to match the flat
line.

• Stability - Ensure stability of electricity supply, without detriment to


Networks

existing services
• Low Carbon – utilising new and emerging technology to maximise
low carbon electricity generation
Customer Supply

•Encourage off peak charging to realise carbon saving potential


•Establish best practise for safely recharging at home & work
•Understand the contribution of smart meters
•Consumer Awareness – support and encourage the acceptance
and take up of Electric Vehicles

17 CONFIDENTIAL - Title of presentation © 24 November 2009 EDF Energy plc. All rights Reserved.
EDF ENERGY SUPPORT TO DATE:
Research and Development
- A partner in the ETI – Establish national
standards for infrastructure & charge points
- TSB Trials (Smart & Toyota) – understand
consumer recharging behaviour, charge point
requirements & electricity charging profile
- Share learning – 50 years+ experience of
electric vehicles within the EDF Group.
Currently involved in EV trials with Toyota,
Renault and Peugeot.
Infrastructure
Investment in Electric Vehicle Recharging
infrastructure - necessary for driver confidence &
overcome range anxiety
- Sponsorship agreement to subsidise the cost
of Elektrobays – 80+ EDF Energy sponsored
charge points in the ground so far

18 CONFIDENTIAL - Title of presentation © 24 November 2009 EDF Energy plc. All rights Reserved.
NEW EDF ENERGY EV INITIATIVES:
Research and Development
- TSB Trials (Smart & Toyota) –
understand consumer recharging
behaviour, charge point requirements &
electricity charging profile
Infrastructure
• Plugged in Places Olympic Work Package
= 550 public charge points
• Developing products and tariffs for homes
and businesses to support EV’s
Communication
• Spread the word – to our customers and
wider audience

19 CONFIDENTIAL - Title of presentation © 24 November 2009 EDF Energy plc. All rights Reserved.
Technology Strategy Board Trials

• Domestic trial - 60 Smart pure • 20 PHEV’s – commercial fleet


EV’s. • 3 Years
• 12 months
• Working with TfL, Met Police,
• Understand the technical
requirements for home charge Government Car Despatch
point and metering Agency and private partners
• Establish best practice for safe • Understand the usage and
home charging associated carbon savings of
• Testing customer incentives that PHEV’s within commercial fleet
support responsible off peak
charging • Quantify the business benefits

20 CONFIDENTIAL - Title of presentation © 24 November 2009 EDF Energy plc. All rights Reserved.
Summary

• In the medium-long term electric vehicles will play a


significant role in low carbon transport
• The electricity industry is changing and can adapt to
support this new market
• In the short term utilities must support the development
of the charging infrastructure and help raise customer
awareness

Questions?

21 CONFIDENTIAL - Title of presentation © 24 November 2009 EDF Energy plc. All rights Reserved.
22 CONFIDENTIAL - Title of presentation © 24 November 2009 EDF Energy plc. All rights Reserved.
Developing a zero carbon
automotive industry

Dr Colin Herron
Manager: Manufacturing and Productivity
Our regional ambition
No 1- Establish North East England as one of the world’s leading regions for
research, skills and manufacture of Low Carbon technologies

 Enablers:
 Commenced the installation (first phase) of a comprehensive EV charging network.
 Participating on all known government programs for low carbon vehicles.
 Agreed outline programme for infrastructure with; Tesco, British Gas, Mid American
and Liberty International.
 The first region in Europe where all local authorities have agreed to binding targets on
carbon reduction.
 Secured major new investment in EV (battery) manufacture.
 A new low carbon economic area
 Producers in the region (cars, vans, buses and mobile homes).
Developing a Supporting Infrastructure

 We are developing a low carbon vehicle research centre for use by universities and
other business, through developing existing buildings and lease of the Nissan test
track facility.
 Undertake major research projects, including the possible use of batteries to store
electricity, local ‘smart grids’; and the design of cities for EVs/HVs.
 Build a training centre for sustainable manufacturing and ‘green collar’ jobs.
 Link current training programs and develop new qualifications.
NaREC

Low carbon concept

RCSMPI

Tegrel

Nissan

Smiths
LCVDC
Population spread
Joined Up Cities

Ideal for EV
Low Carbon
Economic Area

We must skill people for the


new technology so we are building a
€9m college to train 1,000 people per
year

Phase 2 by March 2012


Initial installation of 40 • 710 intelligent charging points (620 by march 2011)
• 350 standard points
• 240 domestic points
• 12 rapid chargers
R&D Park Concept

The concept is to develop the current Nissan test track area into a R&D facility where, universities
and colleges will develop ideas with national bodies and regional manufacturers.

Proposed R & D centre


Nissan
test track

Turbine Business Park (see next slide)


Turbine business park

Nissan test track


Challenges

We do not know all the challenges, as we do not know all the technology,
but somebody will have to deal with the problems created!
Regional on-road Vehicle Trialling Facility - Including a unique test
facility for real life trials of LCVs
Thank you for
your attention
The Office for Low Emission
Vehicles
William Cutler
Electric Vehicle Infrastructure Policy Advisor
Office for Low Emission Vehicles: The aim

 Placing the UK at the global forefront of ultra-low carbon


vehicle development, demonstration, manufacture and
use
 Over the next five years, to create a flourishing early
market, with a path to mass market

 Focus - on three complementary objectives:


 Demand – consumer incentive
 Supply – R&D
 Places - infrastructure
Places: Plugged In Places – EV Infrastructure
Scheme
 
 Launched November 2009  Collecting and 
  sharing 
information 
 Up to £30m available 
 
Building the 
 Supporting and learning  local market  Consortia 
from an early market in 3 to  funding 
6 places (maybe more) 
 
Implementing 
 Places with a commitment  a range of 
technology  Integration 
to: 
 
Where have we got to? ….
What are we looking for? (i)
 Consortia:   Strategic fit 
 LAs; businesses, RDAs,   Links to Smart Grid, 
electricity companies  Integrated transport etc 
 
 Infrastructure installed: 
 On‐street and in car parks 
(LA, Workplace, Retail, 
Leisure) 
 
 Local market building 
 Marketing and initiatives like 
EV only parking 
 Simple and transport 
measures 
 
What are we looking for? (ii)
 Integration   Information 
Street Scene 
  Willingness to collect and 
 Willingness to link the places  share information 
   Helpful for longer term plans 
 Funding 
 Match funding from consortia 
 State aid compliant bids 
 
 Value for money 
 support the uptake of electric 
vehicles 
 supports development of skills 
and jobs to help future wider 
rollouts 
 
 
Timescales
 Two‐stage process to support projects according to local readiness 
 First Wave (announced 25th February 2010): 
 Second Wave: 
 Expressions of Interest (EOIs) submitted: 1 June 2010 
 OLEV works with consortia on final applications: June‐September 2010 
 Final applications submitted: 30 September 2010 
 Successful consortia announced: end 2010 
 Investment made: 2011/12, 2012/13 

 Assessed by independent panel who will provide advice for ministerial decision 
 
And Finally … 
 
 AFIGP (Alternative Fuel Investment Grant Programme) 
 Small scale projects 
Webinar Q&A: Bringing EVs to market ‐  
technical challenges and business opportunities 
 
Q&A chaired by: 
 
Dr Peter Wells, Director, Centre for 
Automotive Industry Research, 
Cardiff Business School 
 
Panel: 
 
George Paterson, Axeon 
Kate Armitage, EDF Energy 
Colin Herron, One North East 
Will Cutler, OLEV 

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