An Approximate Evaluation and Feasibility Assessment of Electric Vehicles in Nigeria
Qasim Ajao Efforts toward building a sustainable future have underscored the importance of collective responsibility among state and non-state actors, corporations, and individuals to achieve climate goals. International initiatives, including the Sustainable Development Goals and the Paris Agreement, emphasize the need for immediate action from all stakeholders. This paper presents a feasibility assessment focusing on opportunities within the Electric Vehicle Value Chain in Nigeria. The research aims to enhance public understanding of Nigeria's renewable energy sector by sharing preliminary findings. Currently, petroleum fulfills more than 95% of global transportation needs; however, the transition to a sustainable future necessitates energy companies to diversify their portfolios and integrate various renewable energy sources. Investor sentiment is shifting away from traditional fossil fuel industries, making the incorporation of renewable crucial. To facilitate significant progress in the renewable energy sector, the establishment of platforms supporting the growth and diversification of industry players is vital. Knowledge sharing plays a pivotal role in this process. This feasibility assessment serves as an initial reference for individuals and businesses seeking technically and economically viable opportunities within the sector.
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AN APPROXIMATE EVALUATION AND FEASIBILITY ASSESSMENT OF ELECTRIC VEHICLES IN NIGERIA
Forecast 2030
Qasim M. Ajao
Georgia Southern University
Department of Electrical and Computer Engineering Statesboro, Georgia, United States
Abridged version
ABSTRACT:
Efforts towards building a sustainable future have underscored the importance of collective responsibility among state and non-state actors, corporations, and individuals to achieve climate goals. International initiatives, including the Sustainable Development Goals and the Paris Agreement, emphasize the need for immediate action from all stakeholders. This paper presents a pre-feasibility assessment focusing on opportunities within the Electric Vehicle Value Chain in Nigeria. The research aims to enhance public understanding of Nigeria's renewable energy sector by sharing preliminary findings. Currently, petroleum fulfills more than 95% of global transportation needs; however, the transition to a sustainable future necessitates energy companies to diversify their portfolios and integrate various renewable energy sources. Investor sentiment is shifting away from traditional fossil fuel industries, making the incorporation of renewable crucial. To facilitate significant progress in the renewable energy sector, the establishment of platforms supporting growth and diversification of industry players is vital. Knowledge sharing plays a pivotal role in this process. This pre-feasibility assessment serves as an initial reference for individuals and businesses seeking technically and economically viable opportunities within the sector.
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ELECTRIC VEHICLES
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A B L E O F C O N T E N T S
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Summary
The need for oil and gas companies to diversify their portfolios into renewable energy has been accelerated by several factors, including unstable global oil prices, evolving global and local policies favoring cleaner energy sources, and a shift in financiers' interests. As the world moves away from fossil fuels towards renewable energy options such as solar, wind, geothermal, and tidal power, energy providers in the fossil fuel industry must adapt quickly to avoid disruption. One significant disruption comes from the growing popularity of electric vehicles, which are replacing internal combustion engine vehicles and reducing the demand for fossil fuels.
There are abundant opportunities for private actors interested in committing to an environmentally sustainable Nigeria by leveraging the abundance of solar energy, the increasing interest of financiers in funding renewable energy projects in Africa, and the Nigerian government's focus on developing and implementing solar power projects for rural and institutional electrification.
Introduction
The continued push for a world focused on Sustainable Development and the Energy Transition Act are increasingly tuning and shifting attention to transforming the global energy sector from fossil-based to zero-carbon by the second half of this century. The United Nations with its pledge to end poverty has provided an excellent roadmap aimed at protecting the planet and ensure prosperity for all by 2030.
The Oil and Gas industry is responding with operations models that seek to reduce carbon emissions, and with the Environmental, Social, and Corporate Governance-ESG framework, investors are putting increasing amounts of their funds in high sustainability and societal impact opportunities.
Renewables are essential in the drive towards universal access to affordable, sustainable, reliable and modern energy. Of the three end uses of renewables—electricity, heat, and transport—the use of renewables grew fastest with respect to electricity, driven by the rapid expansion of wind and solar technologies.
In Q1 2020, global use of renewable energy in all sectors increased by about 1.5% relative to Q1 2019, showing that renewable electricity has been largely unaffected while demand has fallen for other forms of energy.
The United Nations has set the pace with a plan that proposes an integrated approach to realize rapid results and progress, accelerating proven innovative solutions and partnerships. Over the next 10 years, the UN Climate Action targets:
Carbon emissions: Absolute and per capita reductions of 25% by 2025 and 45% by 2030.
Electricity consumption: Per capita reductions of 20% by 2025 and 35% by 2030.
Renewable energy: 40% by 2025 and 80% by 2030 of consumed electricity.
Commercial air travel: Per capita emissions reductions of 10% by 2025 and 15% by 2030.
Climate neutrality: 100% of unavoidable carbon emissions are offset yearly from 2019 via certified carbon
credits.
Operational efficiencies: demonstrated long term economic benefits from the Plan implementation.
Sustainable Development co-benefits: demonstrated increase in climate smart infrastructure and other sustainable development benefits to local communities from Plan implementation
This report provides an assessment of the solar power value chain, its technologies, opportunities and potential obstacles.
Developing the EV Business
The EV business / value chain development refers to the development and deployment of technologies to support the manufacturing of EV car components and the charging of the EVs.The main elements of these value chain are;
Manufacturing of EV PowerTrain and other Sub-Systems
Assembly of EV Cars, Distributorship and Sales
Electricity Generation, Transmission and Distribution Infrastructure
Manufacturing of EVSE and Other EV charging system components
Charging Infrastructure (Private and Public)
E-Mobility ServicesDevelopment of the EV charging business has been slow due to uncertainty around policy direction and timing; No one wants to invest in stranded assets.
Investors must partner up with other stakeholders to define the development of EV
THE EV CHARGING BUSINESS
Development of the EV charging business has been slow due to uncertainty around policy direction and timing; No one wants to invest in stranded assets.
Investors must partner up with other stakeholders to define the development of EV
Most Importantly:
Investorsmustbuildinfrastructurearoundexistingdemand
Developing an understanding of where the demand is coming from and how consumers will use EVs will be critical in sizing, scaling and shaping the right infrastructure. Outside the “Home Charging Model”, two other models have been defined
Mode 1:The Destination User
Airports, Car parks, business parks and major office spaces. The target is areas where users will leave their cars for long periods of time.
Model 2:The Hub User
This targets fleets of cars, Taxis, buses, emergency vehicles, delivery trucks. This relies on the development of charging hubs around cities.
CAR COMPANIES
POWER TRAIN COMPANIES
LOCAL AUTHORITIES
ENERGY NETWORKS
CHARGING TECHNOLOGY COMPANIES
DIGITAL SOLUTION PROVIDERS
INVESTORS
CUSTOMER NEEDS
Opportunity Description
8
Global EV Market Size
NUMBER OF EVs ON THE ROAD IN 2010 NUMBER OF EVs ON THE ROAD AS OF 2019
0.002% of
Global Car Stock
17,000
7.2
million
1% of Global Car Stock
Number of EVs on the road as
of 2019
47% of all EVs are in China (Largest Market Share)
EV Units by Area
US (1.1million units) Europe (1.2million units) China (2.3million units)
27%
47%
26%
56%
Norwary
% of New Cars are EVs
15%
Netherlands
25.5%
Iceland
9
Growth and Trends of EV
million 250
200
150
100
50
million 250
200
150
100
50
0
2019 2030
0
2019
2030
PLDVs - BEV PLDVs - PHEV LCVs - BEV LCVs - PHEV Buses - BEV
Buses - PHEV Trucks - BEV Trucks - PHEV
PLDVs - BEV PLDVs - PHEV LCVs - BEV LCVs - PHEV Buses - BEV
Buses - PHEV Trucks - BEV Trucks - PHEV
thousand
2.5
Twh 1000
2.0
1.5
1.0
0.5
0
India
Europe South America North America Others
2015
2016
2017
2018
2019
750
500
250
0
2019
2030 - Stated Policies Scenario
Bus LDV 2/3-Wheeler
2030 - Sustainable Development Scenario
Truck
Two/Three Wheelers
350 Million in circulation
Light Commercial Vehicles 380,000 in circulation
Electric Buses 500,000 in circulation
Electric Trucks 6000 in circulation
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Global Market Outlook
The electrification of transportation is the new frontier of mobility and the trends exist to prove it. Other key changes/trends to note are:
Car companies have embraced EV and there are expected to be at least 21+New EV brands in 2021 alone
Nissan targets 1million EV & hybrid sales by FY 2023
Renault expects 10% of its total sales to be EV in 2023 (Renault Zoe is one of the best-selling EV cars in Europe)
Daimler plans to introduce 10 Pure electric and 40 hybrid models into its car manufacturing portfolio
Volkswagen plans to have electrified all models of their cars by 2030 and have the entire company CO2-neutral by 2050
Utilities, Power and Other Energy companies have increased their investment in EV charging Infrastructure (~$1.7billion) and over $100 billion has been earmarked to be invested into battery and EV car manufacturing from 2018 till date.
Political and Government support is also on the rise
In the USA, Biden has expressed support for EV adoption, targeting 500,000 new public charging outlets and restoring EV tax credits
The UK government has made moves to bring forward its ban on fossil fuel vehicles to 2030
Privatecommercialcompaniesaremakingchangestotheirfleet
DHL has pledged to reach 70% clean operation of last-mile pick- ups and deliveries by 2025
DB Schenker wants to make its transport activities in EUROPE emission free by 2030
As the price parity between ICE and EVs gets even closer (~2-3years), these trends act as signaling devices for the rest of the market that EVs are here to stay. It thus puts pressure on competitors, stakeholders and investors to act faster or risk being left behind
350,000,000.00
300,000,000.00
250,000,000.00
200,000,000.00
150,000,000.00
100,000,000.00
50,000,000.00
-
Global EV Stock Outlook
2019 2030
(SPC Scenario)
30% of Global Car sales
2030
(EV30@30 Scenario)
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EV
in Africa and Nigeria
Africans want Electric cars, but they are still too expensive for most car owners says a survey carried out by auto-trader. The survey also collated drivers and resistors for EV adoption in Africa as shown in the table:
In Africa, South Africa first started the adoption of EVs with the introduction of the Nissan Leaf in 2014. Currently there are estimated 1000 EVs in South Africa.EVs can also be found in Nairobi,Kenya,Uganda,Rwanda,Nigeria.
EVs account for only 0.001 percent of car sales in Africa. Adoption techniques have been to use EVs for Ride – hailing services.
Charging Infrastructure: South Africa has the most developed charging infrastructure in Africa with investments of over 2MUSD going into the electric power way project.
Mindshift is necessary and vital for the adoption of EVs in Africa
However,ThemiddleeastandAfricaareexpectedtoregisteraCAGRofabout6.80%from2020-2025(Dubaiaimstohave30%ofroadtransportasEvsby2030)
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EV
in Africa and Nigeria
In Nigeria, Hyundai and Stallion group have taken the first big step towards electric vehicle deployment and adoption in Nigeria by unveiling the first locally assembled EV electric car with a 64-kWh battery pack that allows a 300 miles (482 km) drive on single charge.
The Entrance of EV into the Nigerian space has come with many challenges, yet many opportunities. With the country’s current power condition/realities comes many questions begging for answers:
Where is the power source going to come from?
How will the generated power be distributed?
How are the vehicles going to be charged?
Would EV owners charge in their homes or at public stations?
Who will own and operate public charging stations?
It has however become imperative that these questions be met with solutions that would directly speak to the challenges presented with the peculiarity of our business terrain.
?
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Market Entry Strategy
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Market Entry Approach
Supply and
Distribution Chains
Supply and
Distribution Chains
Parts and Component Manufacturing
EV Vehicle Assembly
Distribution & Sales
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Risk Assessment
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Risks and Mitigation Measures
TECHNICAL
Limited experience in the sector
Limited local technical expertise (Electric Vehicle Supply Equipment Supplier (EVSE-S) and Charge Point Operator (CPO) and as an E- mobility Service Provider) - lack of knowledge required to develop, produce, replicate and control the technological principles in the product/service
Slow development of the EV charging business due to uncertainty around policy direction, timing and inherent technology limitations of range (One-Time Travel Distance at Full Charge) which is envisaged to cause range anxiety for local long-distance travellers
Seek working partnerships and technical alliances with renowned international players in this sector. This is to augment local skill sets, gain new competitive skills and eventual technology and knowledge transfer that will have a lasting effect on the brand's product market positioning
Seek to drive policy changes/support within this sector. It is envisaged that investor confidence would be gained by a robust and stable policy framework and long-term national objectives and targets backed up by sound market forecasts
Policy approaches to promote the deployment of EVs in relation to a variety of measures such incentives for zero- and low-emissions vehicles, economic instruments that help bridge the cost gap between electric and conventional vehicles and support for the phased deployment of charging infrastructure
The number of charging stations in the long-run can reduce the limited range problem and technological advancement has also seen the battery swap method of recharging growing which decreases charging time
FEEDSTOCK RESOURCE
Inadequate local electricity supply and infrastructure to sustain the Electronic Vehicle business/Industry. With low electricity access rates and a national electricity grid that relies on load shedding to manage demand and supply of electrical power, Nigeria as a country may not be positioned for the emergence of electric vehicles
Build infrastructure around existing demand. An in-depth understanding of current and potential demand would be critical in strategically sizing, scaling and shaping the right infrastructure. A phased approach to adopting home, office and other public charging models would be defined
From the technical analysis, it is expected that initial adopters would provide their own fuel (electricity) for Level 1 or Level 2 charging at home (Sources: PHCN + Diesel/Petrol Generators + solar) or pay a premium to charge at private / Government owned public charging stations – Level 2 or DC Fast Charge if the existing power supply can support it
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Risks and Mitigation Measures
FEEDSTOCK RESOURCE
Inadequate local electricity supply and infrastructure to sustain the Electronic Vehicle business/Industry. With low electricity access rates and a national electricity grid that relies on load shedding to manage demand and supply of electrical power, Nigeria as a country may not be positioned for the emergence of electric vehicles
For EVs to become a means of transport on a large scale in Nigeria, Power generation, transmission and distribution capacity needs to be upgraded and expanded
EV pricing needs to be nearly as affordable as fossil fuel powered vehicles
Cost of power per distance travelled needs to be more affordable than liters of fuel per distance travelled
Gas powered and Solar EV charging stations will need to be part of the Energy source mix
Limitations caused by non-existent nature of public charging stations - A sufficient number of charging stations is a prerequisite for EV adoption. The lower number of charging networks is recognized as a limiting factor for consumers to buy EVs. The public and private sectors are reluctant to invest in charging stations as the number of EV users is still insufficient and, conversely, potential EV users hesitate from purchasing EVs due to the insufficient number of
Build infrastructure around existing demand. An in-depth understanding of current and potential demand (drive office policies to adopt EVs as official cars in line with ESG sustainability adoption by public companies) and how consumers will use EVs is critical in strategically sizing, scaling and shaping the right infrastructure. A phased approach to adopting home, office and other public charging models would be defined
charging stations Technological advancement has also seen the battery swap method of recharging growing which decreases charging time and is also efficiently suited for 2/3 wheelers making adoption easier
Seek to drive policy changes / support within this sector
Supply chain risks – with the near-term entry strategy of exploring the downstream and mobility service component of the Electric Vehicle value chain as an Electric Vehicle Equipment Supplier, Charge Point Operator and an E-mobility Service Provider, material
logistics coupled with an optimal sourcing strategy is key to gaining immediate competitive advantage
Leverage technical partners relationship with component manufacturers
Build strategic relationships and comprehensively assess EV components supply chain partnerships whilst expanding supply optionality and having alternative back up suppliers
Perform in-line and pre-shipment inspections on components for quality control assessments
Maintain module/component delivery timelines through a risk based logistics strategy
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Risks and Mitigation Measures
OUTPUT AND END USE
Slow adoption due to consumer perceptions about EVs e.g. infrastructure to support adoption, long range travel concerns - limits regarding driving distance with a single charge, higher pricing
Social factors, particularly consumer understanding of the attributes of EVs, are being recognized as significant influencing variables for users choosing EVs over Cvs
compared to CVs, charging times etc As the popularity and adoption of EVs is significantly dependent on user acceptance, sensitization efforts and EV user education should be planned to significantly drive adoption from a quality, environmental awareness/benefits and long-term financial savings (maintenance costs) perspective
Evaluate optimal profitability of e- mobility product or service of different streams within the value chain in order to make final investment decision
Economic and financial models must evaluate the optimal profitability of the service within the different streams of the value chain from which a final investment decision can be made
ECONOMICS AND FINANCING
The relatively higher price of EVs compared to that of conventional vehicles (CV) serves as a critical local and regional barrier
Limitations in market penetration rate, demand and profitability due to slow rate of adoption in Nigeria and Africa at large coupled with higher electricity price for charging battery aswell as replacement cost
Low rate of market penetration compared to CVs to justify immediate commercial gains due to various cost and non-cost factors
Transport modes other than passenger cars are also going electric guaranteeing cheaper options e.g Electric mobility options have expanded to include E-scooters, E-bikes, Electric mopeds, and Electric Tricycles, available in over 600 cities andacross 50 countries globally
Help Government drive the Implementation of economic policies
/incentives that help bridge the cost gapbetweenelectric andconventional vehicles & support for the early deployment of charging infrastructure coupled with other policy measures that increase the value proposition of EVs (such as parking waivers or lower toll or parking fees)
In-depth understanding of current and potential demand (help drive office and Government policies to adopt EVs as official cars in line with ESG sustainability adoption by public companies and government parastatals) whilst sensitizing the public on the environmental and medium to long term financial benefits of EV adoption (limited maintenance costs, lower carbon emissions etc)
Development of detailed economic and financial models to evaluate optimal strategies to drive market penetration rate, demand and profitability of product /service within the different streams of the value chain from which a final investment decision can be made
Risks and Mitigation Measures
ECONOMICS AND FINANCING
Significant initial capital investment and access to finance - financial capabilities of project sponsor
Identify local and international intervention funds and grants and be positioned accordingly to access these funds
Eligibility to access identified funds and grants
Perform a thorough assessment of all identified funds/grants’ eligibility criteria and be strategically positioned to access same
If there are any time or experience-based barriers for fund/grant prequalification, consider partnership/technical alliances with companies that meet the set criteria
Alternative funding barriers Development of a project economic model that shows the viability of the project
Perceived high cost of doing business in Nigeria and impact on the overall value creation potential of the project/ investment
Development of a business model that seeks to optimize the commercialization of the energy/power output with a focus on cost optimization and profitability
Development of a detailed project evaluation and commercial optimization/margin profit analysis which guarantees sustainability and profitability
GOVERNMENT AND REGULATORY
Limited policy support/traction from a regulatory perspective creating a near uncertain environment for major investors and entrepreneurs within this space
In addition there are currently no tax credits for renewable energy as the Nigeria government is still in the process of developing a robust set of policies to encourage and incentivize solar power or general renewable energy development locally
For Nigeria to expand in the electric mobility industry, Government would need to use a variety of measures such as, a revamp of the electricity supply infrastructure, institute procurement programmes to kick-start demandandstimulate automakers to increase the availability of EVsonthe market, provide incentives for an initial roll out of publicly accessible charging infrastructure, fuel economy standards coupled with incentives for zero and low-emissions vehicles, economic incentives that help bridge the cost gap between electric and conventional vehicles & support for the early deployment of charging infrastructure coupled with other policy measures that increase the value proposition of EVs (such as parking waivers or lower toll or parking fees). Increasingly, policy support has to be extended to address the strategic importance of the electric vehicle technology value chain
Investor confidence can be gained by a robust and stable policy framework & long-term national objectivesandtargets,backed-upbysoundmarketforecasts
Seek to drive policy changes/support within this sector. It is envisaged that investor confidence would be gained by a robust & stable policy framework and long-term national objectives and targets backed up by sound market forecasts
Conclusive Informati
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Carbon
Credits in Nigeria
Introduction
Developed under the Kyoto Protocol;
Establishes the Clean Development Mechanism (“CDM”) applicable to developing countries
The CDM allows Annex B Countries to execute/finance emissions reduction projects, including renewables (such as a solar power project, waste to power) in developing countries. Such projects can earn them saleable certified emission reduction (“CER”) credits.
Eligibility
CDM project must:
Have long term climate change benefits
Achieve Reductions in emissions that are additional to any that would occur in the absence of the CDM project
Administration
Presidential Implementation Committee for CDM, which was established under the auspices of the Federal Ministry of Environment;
Companies creating projects, in developing countries, which actively reduce GHG emissions become eligible for carbon credits and then can raise funds, by selling them to a company exceeding its allowance on an exchange.
Income from Carbon credit trading are tax exempt.
Carbon credit prices are affected by forces of demand and supply, risks – project, sovereign, credit, etc
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CDM
Process flow
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CBN
Intervention Fund
- Other Strategic Subsectors
Introduction
Set up by the CBN in January 2016
Funding for the agriculture, manufacturing, mining, solid minerals and other strategic subsectors
For green and brown (expansion) projects - priority for local content, fx earnings and for job creation
Trading activities shall not be accomodated
Other Key Points - Upstream
Types – (i) Term Loan for acquisition of plants and machinery and (ii) Working Capital
Tenor - Maximum of 10 years (1 year for Working Capital on a 1 year roll-over basis)
Interest rate – 9%
Moratorium – 1 year
Eligibility – Borrower must be registered under CAMA
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Appendix
25
Technical
26
Electric
Vehicles (EVs)
ElectricVehicles (EVs) are vehicles that are driven by an electric motor instead of an internal combustion engine. EVs are basically divided into 4 major categories:
BEV (Battery ElectricVehicle)
EREV(Extended Range ElectricVehicle)
PHEV(Plug-In Hybrid ElectricVehicle)
HEV (Hybrid ElectricVehicle)
Electric Vehicles (EVs) are driven primarily by a battery pack which stores the electrical energy that powers the electric motor. EV batteries are charged by plugging the vehicle to an electric power source. (Note: Although EV charging may contribute to air pollution, the U.S EPA categorizes BEVs as Zero-Emission vehicles because they produce no direct exhaust or tailpipe emissions).
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EV Powertrain
The On-board Charger: Converts AC received from charging port to DC and controls the amount of current flowing to the battery pack.
The Electric Traction Motor: This converts electrical energy to mechanical energy, that is delivered to the wheels via single ratio transmission.
Single Ratio Transmission: Transfers Mechanical Power from the ETM to the wheels.
The Charging Port: connects the onboard charger to an external Power source.
The Battery Pack: made up of multiple lithium-ion cells and stores the energy needed to run the vehicle. Battery pack provides direct current (dc) output.
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Powertrain
Comparison
Spark-Ignited Internal Combustion Engine
Battery provides electricity for vehicle electronics/accessories
Fuel System (Fuel injection System, Fuel line, Fuel pump, Fuel tank)
Transmission transfers mechanical power from the engine to drive the wheels
ECM – Fuel mixture, Ignition timing, emissions, operations, safeguards, troubleshooting
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Powertrain
Comparison
Spark-Ignited Internal Combustion Engine
Electricity generator generates electricity from rotating wheels while braking to charge traction battery
Electric Traction Motor uses power from the traction battery to drive / Power the car at low speed / Idle
Fuel System (Fuel injection System, Fuel line, Fuel pump, Fuel tank)
Transmission transfers mechanical power from the engine to drive the wheels
Power electronics controller – manages flow electrical energy
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Powertrain
Comparison
PHEVs have one major difference from the HEVs – Traction battery pack can be charged through regenerative braking, Wall outlets or charging equipment, and by the internal combustion engine
Traction battery packs are slightly bigger
An onboard charger and charging port have also been introduced
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Powertrain Comparison
Also Known as BEVs – these vehicles operate entirely on electricity store in an on-board traction battery pack. They are charged from external electrical power sources. The major difference between BEVs and PHEVs or HEVs is the complete absence of an internal combustion Engine and fuel system
The Electric Traction Motor is also scaled up
Powertrain
Comparison
The hydrogen fuel cell electric vehicle uses electricity to power an electric motor, but this electricity is generated by a hydrogen fuel cell.
The Fuel cell stack is an assembly of individual membrane electrodes that use hydrogen and oxygen to produce electricity (It is an electrochemical reaction – with water as a by product)
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Powertrain
Comparison
EXAMPLE
ENERGY EFFICIENCY
GEAR SHIFT ENGINE
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EV Part Manufacturing
As with conventional Internal Combustion engines, Electric vehicles are made up of different parts and systems that are designed, Built and tested for assembly into the functional cars brought by customers.
Outside the standard parts of an automobile,Two main systems require manufacturing for a successfully built EV.
The Electric Motor and Controller: The controllers are responsible for managing the voltages and currents running from external electric supply, to the battery, to the electric motor and to other systems. The electric motors convert electrical energy into mechanical motion for propulsion.These systems are typically designed by car companies for manufacture in-house or by third-party manufacturers.
The Battery Storage System: This is made up of several connected battery cells enclosed in a specially designed housing which typically forms part of the chassis of the electric vehicle as shown in the images below. The Battery Cells are typically purchased from a battery manufacturer by the EV manufacturer in the required dimensioning that allows for easy configuration and scalability.
BATTERY MODULES ASSEMBLED IN THE CONSTRUCTED HOUSING
BATTERY AS PART OF THE CHASSIS
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EV
Energy Infrastructure
The EVEnergy Infrastructure development refers to developmentanddeployment of technologies to support the charging of electric vehicles across its increasing range of applications.The main elements of these infrastructural need include:
Electricity Generation,Transmission and Distribution Infrastructure
Charging Infrastructure (Private and Public)
Smart Metering (Incl. Bundled Energy Solutions)
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EV CHARGING STATION
PLUG-IN ELECTRONIC VEHICLES
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EV Charging
EV Cars require their batteries to be charged upon depletion after use. EV charging is done with an EVSE – Electric Vehicle Supply equipment required to condition and transfer energy from the constant frequency, constant voltage supply network to the direct current, variable voltage EV traction battery bus for the purpose of charging the battery:There are generally three ways of charging:
Conductive Charging
Inductive Charging
Battery Swapping
Conductive Charging
Is a charging method where the battery is connected by a cable and plugged directly into an electricity source or charging unit. It is further classified into
Level 1 Charging (Home/ Public) – 120V
Level 2 Charging (Home/ Public) – 240V
Level 3 Charging (Public) – 480V
01
02
03
Battery Swapping
Is a method where discharged batteries are swapped with fresh - fully charged batteries at a swapping station
Inductive Charging
This method of charging works through electromagnetic transmission without any contact between the EV and the charging infrastructure.
There are two further classifications
Static
Charging Lanes
37
EV Conductive Charging
Conductive charging system use direct contact between the EV connector and charge inlet. The cable can be fed from a standard electrical outlet or a charging station. The main drawback of this solution is that the driver needs to plug in the cable, but of course this is only a connection issue
The Conductive Charging Method has different Charging levels. The Charging level describes the “ power level” of a charging outlet and there are three levels in charging technology.
This is the first level of EV charging and it is simply charging from a standard 120V AC household outlet.
EV users who do not drive very far each day tend to find this sufficient.
This is the second level of EV charging and it supplies >200V AC. It provides a foster rate of charge, nearly 3-4 times the rate of a level 1 charger.
Level 2 chargers can be single or three phase power.
Level charging requires specialized electric vehicle supply equipment and cables. Thiscouldbehomewallmountsystemsorpublicchargesinstalledforcommercial use.
DC fast charging uses direct current (DC) available in much higher voltages (as high as 800V).This allows for rapid charging. How ever, DC fast chargers are expensive, and the current needed to use them is not always readily available.
DC fast chargers have a charge rate that allows them to charge most cars fully in about 30 minutes.
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EV Conductive Charging
Adds 5 miles per hour
of charge*
Residential Use
39
EV
Conductive Charging
As the popularity of EVs grow, EV batteries become more efficient at battery power utilization and Charging efficiency and speeds increase, it is predicted that EV car owners will prefer to charge their EVs at home with either a Level 1 or Level 2 Home charger.This is further driven by the cost of charge. It is cheaper to charge at home than at public stations.
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EV
Conductive Charging
Level 2 Home chargers increase the rate of charge (they are 4 – 10times faster than Level 1 chargers. Level 2 chargers provide between 12-60 miles per hour charge rates
They are sold separately from the car
Requires specialize installation service (By OEM or certified Electricians)
Rating: 240Volt Level 2 charger; 16Amps Charging current
$ 500 - $800 RRP depending on size
Installation: $1,000 – 3,000 incl. Permits
Faster charge time (4-5 hours for full charge of 200km Range EV) Also available in larger sizes with faster charging times
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EV
Conductive Charging
FLEET WORKPLACE COMMERCIAL
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EV Conductive Charging
Level 3 public chargers increase the rate of charge (they are 20-40 times faster than Level 1 chargers, and 8-10 times foster than most Level 2 chargers.
They are sold separately from the car
Requires specialize installation service (By OEM or certified Electricians)
They are not available for residential use and are typically used for commercial applications
Typical Rating:
50 KW – 480V
Takes 30-45 mins for 200km range
Price Range:
$10,000 - $50,000
Installation costs Ranges (Dual Port):
$4,000 - $20,000
Depending on presence of existing infrastructure
NOTE:
Not all cars can charge with Level 3 chargers.
They require unique charging connectors and power train architecture
View following slides for more on the subject
43
EV
Charging Connectors
If you can relate to this
<
You can
understand this
>
It is important to note that we cannot possibly talk of EV charging without the Charging cables. Similar to phone charging cables, EV charging cables tend to have two connectors, one that plugs into the vehicle socket and the other into the charge point. However, some charge points could have Charging connectors“Tethered”.
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EV
Charging: Inductive
Inductive charging uses an electromagnetic field to transfer energy between two objects. Electricity is transferred through an air gap from a magnetic coil in the charger generating an alternating electromagnetic field (usually fixed on the ground or charging platform) to a second magnetic coil fitted to the car. All the driver needs to do is park in the right place to align both coils and charging will begin.These two induction coils in proximity combine to form an electrical transformer.
Advanced Inductive Chargers like the Halo by Qualcomm and others by BMW and tesla can provide a Level charging experience
Only about 10% of power is lost using inductive charging
The Inductive pads can be purchased and fitted to most new Evs
They cost between $1,500 - $3,000 and require professional installation
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EV
Charging
Battery swapping is simply the concept of swapping an already discharged battery pack with a fully charged battery eliminating the delay involved in waiting for the vehicles battery to charge. This is usually carried out in battery swapping stations (BSS).
Battery swapping has had a couple of false starts. Better Places launched in 2005, pioneering BSS. They could only get Renault on board – couldn’t get other car manufacturers or gas stations to buy into deploying them. Tesla also launched a battery swap service in 2013 and shut it down in 2016. BSS are expensive to build,
maintain and the cost of battery replacements tend tot fall to manufacturers.
More recently a company in China NIO has set up 125 battery swapping stations for its E-vehicles. Offering battery swapping for free as a buy incentive to its potential customers. This tech is expected to be phased out as range and charge time continue to be improved.
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Smart
Charging
Find available charging stations for your EV
Charge faster with BMS included
Charge Safer
Save money with network incentives, discounts and benefits
Grid stability from the ability to control charging remotely and to match grid availability, energy production and consumption
Energy management and consumption data
Monitor and control EV charging remotely
View usage statistics and data
Manage and monitor charging station issues
Make changes to pricing packages and charging station information conveniently
Seamless energy metering
Seamless billing (on-site or offsite)
Improved billing offerings (pay-as-you-use or subscriptions)
Manage electricity consumption at stations (great for managing peak and off-peak pricing of power consumed)
Better asset function and integrity management
Asset life extension
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EV R&D and Standards
The advancements in Electric vehicles Hass primarily been as a result of funded research in research in Power Electronics, Electric Motors and battery storage systems. These key research areas make it possible to develop electric drive technologies (Power Trains) that meet mobility performance on par with conventional car propulsion systems.
Research efforts are mainly trying to achieve the following
Reduction in cost, weight and volume of key components including the energy storage
Improvements in performance, efficiency and reliability
Development of innovative modular and scalable designs
Improvement in manufacturability
Acceleration of commercialization
EV companies are in a race to develop the most cost friendly and efficient power train in the market and thus they keep some of their developed technologies proprietary
As the electrification of the automotive industry continues to progress, car designers and manufacturers, charging service providers and the power industry have come together to standardize components and infrastructure surrounding the safe operations andmaintenanceofthevehicles.
The 3 majorareascurrently receiving these attentions are
EV Batteries
Range, weight and size considerations
Functional and electrical safety
Environmental and performance testing
EV Charging
Communication protocols
Market specific requirements and
Wireless and inductive charging development
EV Electronics and Components
ISO and IEC Standards considerations
Inverters, converters, and on-board chargers
Connectors, plugs, charging cables, etc.
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Drivers
and Resistors
GROWTH FACTOR
The main growth factors for the development and deployment of EVs are as follows:
Technological Advancements
Improvements in battery technology will reduce cost of EV production
Improved energy density will also increase range and efficiency
Improved chargers will lead to less time for battery charging and increase adoption in both first and third world countries
Price of Raw Materials (Battery and Charging Components)
A reduction in price of raw materials such as Cobalt, lithium, silicon and other battery and charging related materials will lead to a further drop in EV manufacturing cost and sales price
Energy and Charging Infrastructure
Improvements in power stability, availability, generation and transmission will aid the deployment of EV charging infrastructure across a wider network.
The availability of power in conditions suitable for Fast charging will also influence the adoption of EVs especially in third world countries
Incentives and Policies
This includes but not limited to;
Purchase Subsidies (including ICE trad-in incentives and Purchase financing)
Infrastructural development financing
Tax breaks and Credits
Hardware and mobility service standards and mandates
Import and export regulations
Emission policy and sustainable development goals / Targets
Market Readiness (Investors, Manufacturers, End Users, EMSPs, Governments)
As policies and incentives continue to be deployed, market readiness will be signaled, and investors interest will grow as the uncertainty in the market is mitigated
The environmental and sustainability objectives of governments backed by policy and political will would make it halt growth in each market locality
The Perception of people will also be a huge factor. Manufacturers and other key stakeholders must engage in end user education. The availability of varieties in car type, function and design will also encourage adoption.
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EV Related Policies
Governmental International and local policies play a huge role in the adoption of Evs. Some of the most effective policies that have been implemented to date across some of the major EV markets are as seen in the table below. As the adoption of EVs increase, it is only a matter of time until the rest of the world catches up.
EV-Related Policies in
Selected Regions
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Incentives (Vehicles) Fiscal Incentives
Industrial Policies Subsidy
Regulations (Chargers) Hardware Standards**
Building Regulations
Incentives (Chargers) Fiscal Incentives
* * *
*
*Indicate that the policy is only implemented as a state/province/local level
50 ** Standards for chargers are a fundamental prerequisite for the development of EV supply equipment. All regions listed here have developed standards for chargers. Some (China, EU, India are monitoring specific standards as a minimum.
Top EV Cars & Makers
TOP 10 EV MODELS - GLOBAL DELIVERIES 2020 H1 vs 2019 H1
EV Volumes
0
Thousands
20 40 60 80 100 120 140 160
Tesla Model 3 BEV Renault Zoe BEV
Nissan Leaf BEV
VW e-Golf BEV
BYD Qin Pro EV500/600 BEV
Hyundai Kona EV
Mistibushi Outlander PHEV
GAC Trumpchi Aion S BEV
Audi e-tron Quattro BEV
VW Passat GTE PHEV
2020 H1
2019 H1
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Top
EV Cars & Makers
There are many car manufacturers now playing in the EV space. These Car makers are mainly from the USA, Germany, France, South Korea, Japan and China. Most are existing car makers while a few are new car companies strictly in the EV business.
CAR COMPANY & BRANDS
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EV Cars & Makers
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Legal and Regulatory Framework
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Applicable
Laws and Regulatory Institutions: Electric Vehicle
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Other
Authorization or Institutions
that May be Applicable - Electric Vehicle
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More details
- License: CC BY
- Review type: Open Review
- Publication type: Article
- Submission date: 27 May 2023
Citation
Ajao, Q. (2023). An Approximate Evaluation and Feasibility Assessment of Electric Vehicles in Nigeria [preprint]. Engineering.
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