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US EV Sales Likely Hit 26,000 in June

The big surge in electrical vehicle sales within the U.S., primarily driven by clean energy leader Tesla, continues.

According to reports from Inside EVs, total U.S. EV sales are likely to hit near 26,000 for the month of June. Such sales increases have primarily been driven by Tesla — which sold over 11,000 EVs in the U.S. for the month — representing nearly half (42 percent) of the entire U.S. market.

(Unpacking why EVs are so important to confronting climate change.)

Tesla’s dominance was spear headed by its Model 3 — which sold over 6,000 in June to the U.S. (and approximately 2,000 to Canada). Meanwhile, combined Model S and Model X sales were in excess of 5,000 in the U.S.

Other U.S. clean energy vehicle leaders for the month of June included Toyota Prius Prime (a plug in hybrid electrical vehicle), the Nissan Leaf, The Chevy Bolt and the Chevy Volt (plug in hybrid). In total, all of these four models combined represented less sales than Tesla — approximately  5,900 in total or about 55 percent of Tesla’s sales. Of these, only the Prius Prime cracked the 2,000 mark (see more here).

(U.S. EV sales are rapidly increasing in 2018. Image source: Inside EVs.)

Overall, it appears that U.S. EV sales are likely to hit near 400,000 on the back of Tesla’s rapid expansion in production rates. In addition, GM has recently acknowledged that it is unable to meet high demand for the Bolt in the U.S. and has stated that production lines are set to expand by 20 percent. Though this is unlikely to satiate rising EV demand, it will add to the widening trend of ramping clean energy sales here.

GM recently saw big Bolt sales gains in South Korea. And the company recently acknowledged that it is not doing enough to meet consumer’s clean energy needs in North America. Though a bump from 26,000 to approximately 31,000 Bolts sold from 2017 to 2018 is a drop in the bucked compared to the approx 100,000 or more new EVs Tesla will be adding by itself vs 2017 (100,000 total EVs in 2017 to approx 200,000 total in 2018).

(Tesla hits past 5,000 Model 3’s per week in late June and early July. Image source: Bloomberg.)

Looking ahead, Tesla appears set to sell well in excess of 10,000 Model 3s alone in the U.S. in July as weekly production rates surge. According to Bloomberg’s Model 3 Tracker (image above), the company has sky-rocketed weekly Model 3 production rates to above 5,000 during late June and early July. And while some wag is likely between the mid 2,000s to mid 5,000s as Tesla continues to work on its lines, the company is on a clear path for increased production — aiming at another surge to 6,000 per week by August.

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Tips for Responding to Climate Change Denial and Anti-Clean Energy Attacks in the Media

It is becoming more and more obvious that powerful economic interests associated with the harmful fossil fuel industry often spread anti-scientific, anti-factual misinformation relating to climate change and clean energy in the mainstream media. This post will explore some recent examples while providing you with a few simple methods for countering what is essentially a PR industry of lies for profit.

(Day after day we can see The Madhouse Effect in action in the form of major media sources providing a platform for the agents of the fossil fuel industry to cast doubt and aspersions on both science and clean energy.)

Typically, it would fall to a responsible government to reign in bad media actors that spread such fraudulent reports in the press. Reports by paid industry agents that masquerade as news and fact, but are just the opposite. Daily we are inundated with false and misleading attacks on clean energy leaders like Tesla even as major sources baldly spread the anti-factual claims of climate change denialists.

But despite a broad assault against basic reason enabled by some of the most powerful media outlets in the land, the tools are there for us regular folks to counter such attempts to spread doubt, uncertainty, and fear (FUD). We just require the will and the wherewithal to use them. Today, I’m going to pull two blatantly false reports — one from the Wall Street Journal, and one from Politico — to provide examples of the variety of crud we are subjected to every single day.

But before I do, I’m going to share with you my simple little method for dealing with the nonsense. In short — QUADS is a good basic rule of thumb:

  1. Question strange claims.
  2. Ask a scientist who works in the field.
  3. Do the research.
  4. Speak out.

The Wall Street Journal Makes the Ridiculous Statement that Sea Level Rise isn’t Caused by Global Warming

Yesterday, the Wall Street Journal published this ludicrous article written by known climate change denier S. Fred Singer. The article, entitled ‘The Sea Level is Rising, But Not Because of Climate Change’ is quite frankly not worth the paper or the electrons used to bring it to our eyes. Simply put, Singer baselessly casts doubt on long established scientific facts related to sea level rise caused by climate change. Then he makes the equally baseless claim that we can’t do anything about it but build dikes (Fred has long attacked policies promoting carbon emissions reductions — like those that advance the needed transition to renewable energy).

These are indeed strange claims worthy of questioning. And if we were to ask an actual climate scientist, we would find this to be the response:

Doing a little research we find that NASA states:

Sea level rise is caused primarily by two factors related to global warming: the added water from melting ice sheets and glaciers and the expansion of seawater as it warms.

A statement of fact that is validated again and again and again across the field of climate science by such luminaries as the World Meteorological Organization, the Met Office, the IPCC, NOAA, JAXA and ever other major climate science body known to man.

Facts that put Mann’s rebuke to Singer in the context of yes, this guy just basically said the climate science equivalent of ‘objects are falling, but not because of gravity.’ Making Singer here more than just a bit of a voice in the wilderness. Which begs the question — why would the Wall Street Journal give him such a large platform from which to project his nonsense statements?

Turning our ‘do the research’ focus back to Singer we find that he’s a big name among the usual suspects of climate change denial nonsense. According to Desmogblog:

Singer founded the Science & Environmental Policy Project (SEPP) in 1990, a 501(c)(3) “educational group” focusing on global warming denial….Leaked documents obtained by DeSmog revealed that Fred Singer has also been receiving $5,000 a month from the Heartland Institute(emphasis added).”

For those who don’t follow climate deniers, the Heartland Institute is an organization that feeds off the money of fossil fuel donors (like Exxon) and then turns around to publish numerous anti-scientific and anti-factual reports that attempt to fog the issue of climate change. This serves the simple polluting industry purpose of delaying or denying helpful government policy, business and social action meant to address climate change. Which is the main reason for the existence of Fred Singer as a media figure and for the endless repetition of his quack-quackish statements.

Politico Says Electrical Vehicles Increase Air Pollution — Which is a Complete and Utter Bullshit Claim

In a similar vein, but along a different tac, on the same day the major media source — Politico — published an equally ridiculous report by the appropriately named Jonathan Lesser falsely stating that electrical vehicles increase air pollution. Our response to Lesser and Politico calls them out for what amounts to publishing a gigantic stinking heap of nonsense:

Digging into actual research and looking at what actual scientists at The Union of Concerned Scientists have to say we find that:

Electric cars and trucks are powered by electricity, which as an energy source is cleaner and cheaper than oil. Even when the electricity comes from the dirtiest coal-dominated grid, electric vehicles (EVs) still produce less global warming pollution than their conventional counterparts, and with fewer tailpipe emissions (or none at all).

Such widely varied and notable institutions like the Department of Energy  and NRDC agree.

So how did Jonathan Lesser produce his claim? In short he double counted the impact of electricity based emissions, assumed all electricity comes from coal (just 30 percent and falling comes from coal in the U.S.), ignored the fact that EVs produce zero tailpipe emissions, overlooked the massive efficiency gains that come from EVs, and ignored the fact that EVs mated with wind and solar produced zero emissions in use. Further, Lesser seems to have fiddled with material lifetime emissions results to generate the most pessimistic view imaginable. One that has no basis in actual fact or reality.

(According to this report from the Union of Concerned Scientists, EVs keep getting cleaner and cleaner at a pace that is impossible to match by their fossil fuel based counter parts. See comparison tool here.)

To be clear, if EVs were only plugged in to coal power plants on net, then it is likely that we would see some specific instances of particulate pollution rise (which Lesser appears to be cherry picking). And when more EVs are used, electrical power demand increases. But not all power generation comes from coal. In fact, coal plants are being shut down all over the world due to an inability to compete with renewables and natural gas. And as cleaner sources of energy keep getting added at higher rates, total life cycle emissions from EVs, which are already lower than ICEs keep falling.

On a net basis, the Union of Concerned Scientists is correct. Due to the simple fact that an electrical motor is x2 to x3 more efficient than an ICE, simply switching the motor results in considerable emissions reductions. However, add in the battery and you have a vehicle that is capable of zero emissions in use when mated to wind and solar.

Moving on, we find that Johnathan Lesser happens to be a rather biased source of information. According to both Politico and Desmogblog, Lesser is a writer for the Manhattan Institute. According to Desmogblog:

The Manhattan Institute for Policy Research, originally known as the International Center for Economic Policy Studies, was founded in 1978 by Anthony Fisher and William Casey and in recent years has promoted climate science contrarianism while defending policies supporting the development of fossil fuels (emphasis added).

The Institute notably receives most of its funding from fossil fuel related interests. Including 1.7 million from the Mercer Foundation, 1 million from Exxon Mobile, and 2.7 million from the Koch Brothers. So reading Lesser’s article is like getting a direct shot of fossil fuel industry PR messaging. In other words — not an honest report devoid of serious conflict of interest related issues.

Speaking Out is Necessary to Expose Bad Actors

It’s understandable that individuals may feel powerless in the face of vast media empires like Politico and the Wall Street Journal who brazenly publish the slanted and unscientific views of fossil fuel industry shills without even providing responsible warning or qualification. However, each of us has a voice with its own degree of power as well. A power that is lost if we stand silent. But one that is enabled if we lift our voices and speak out. The truth itself is a powerful tool. And if we first learn what is true and then communicate that truth, we can have a shot at overcoming the harmful interests who’ve generated such a vastly damaging, short-sighted, and self-serving fire-hose spume of misinformation.

 

U.S. Electrical Vehicle Sales Rocket Higher — Breaking New Records in March

A proliferation of attractive electrical vehicle models produced by automakers combined with a surging Tesla to generate a significant new U.S. sales record in March.

The surge is indicative of a break-out ‘moment’ for EVs that will likely result in serious growth in this clean energy segment throughout 2018. The potential now exists that total U.S. EV sales will exceed 300,000 this year. As the global, regional and local impacts of continued high carbon emissions from fossil fuel industry worsens, this surge in clean energy technology couldn’t come on fast enough. However, as is true with all carbon emission reduction efforts, the pace needs to be quickened if we are to provide a navigable pathway through the rising crisis that is human-caused global warming.

44 Percent Growth YoY

In total, March saw 26,373 electrical vehicles sold in the U.S. This is about a 44 percent growth rate over March of 2017 at 18,542 EVs hitting the streets during that time. It was also a new all-time monthly record for the U.S.

(Due to better overall efficiency and zero tailpipe emissions, pure electrical vehicles presently cut annual carbon emissions by more than half. Plug-in hybrids also produce substantial emissions reductions. But the kicker is that when combined with an all renewable grid, pure EV production to roadways carbon emissions fall by 90 percent to up to 100 percent if materials and logistics are decoupled from carbon sources as well. Grids in the U.S. are becoming cleaner. As a result, EV emissions are making further progress over their dirty gas and diesel counterparts. Image source: Union of Concerned Scientists.)

Tesla Model 3, beginning a break out production surge, led the pack by hitting 3,820 sales. Tesla Model S trailed somewhat at 3,375. While Toyota Prius Prime’s plug in hybrid rounded out the top 3 at 2,922.

In the past, sales rates in excess of around 500 for individual models in any given month was seen as significant. And from the Chrysler Pacifica plug in hybrid (480) on upward to the Chevy Volt (1,782) and Tesla Model X (2,825), fully ten attractive models (outside of the top 3) fall within this range at present. These include both the Chevy Bolt (1,774) and the Nissan Leaf (1,500). Bolt, a long range all-electric vehicle rated at over 200 miles produced significant sales in the 2,000s to low 3,000s per month late last year. But as the Model 3 production ramp has increased, Bolt sales have lagged. A 151 mile range version of the Nissan Leaf (1,500) is one of the top selling EVs globally. However, the new Leaf’s production ramp in the U.S. has been a bit slower. That said, it’s expected that the Nissan sales effort for the Leaf in the U.S. will be substantial going forward.

Sales Surge Due to Multiple Factors

Meanwhile, the long tale of models selling between 100 and 400 is extending — with fully 16 models accounted for in that range.

(The U.S. saw a major surge in electrical vehicle sales during March. The start of a trend that will likely continue through the end of 2018. Image source: Inside EVs.)

The primary drivers of the major sales surge, therefore, are multiple. First, Tesla’s own production effort creates a lot of momentum for the surge — so far adding a net gain of around 3,000 vehicles all by itself. A second surge comes in the form of the advent of more attractive long range EV models like the Bolt and the Leaf — both of which are drawing intense interest from buyers. A proliferation of attractive plug in electric hybrid vehicles like the Toyota Prius Prime, The Chrysler Pacifica, The Honda Clarity (1070), and the Chevy Volt is leading a third wave in the surge. A final push comes simply due to model proliferation and increased general sales efforts.

Due to these combined trends, and due to the fact that additional attractive long range EV models are likely to become available during 2018, the 300,000 EV per year mark appears to be well within reach for the U.S. during 2018. Hitting so high would represent more than 50 percent growth over 2017. However, if major EV manufacturers like Tesla manage to step up their production game further, even the 300,000 mark could be substantially overcome.

Exciting if uncertain times.

 

Traditional Automakers Shoot Their Future in the Foot by Attacking CAFE Standards

“Rolling back strong national fuel economy and emissions standards will undermine the global competitiveness of the U.S. auto industry. In the absence of federal leadership, states need to continue to lead on clean car standards.” — New York City Comptroller Scott Stringer.

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Notable news on the climate and clean energy fronts over the past couple of days. On one side, we have Tesla surging ahead with clean energy vehicle production (more later). Meanwhile, a legacy industry clinging to old, dirty, climate wrecking, fossil fuel driven combustion engines and a perception that such machines mean easy profits, is actively fighting to undermine its own future.

(Polluted skies, more respiratory illness, higher energy costs, less energy independence, ramping climate destruction, the loss of auto industry leadership. Reduce CAFE standards and that’s what you end up with.)

A Crooked Old Business Philosophy

The mainstream U.S. auto industry represented by legacy fossil fuel vehicle manufacturers continued in their decades-long campaign to roll back vehicle fuel efficiency standards (CAFE) this week. The campaign, which was born at about the same time the Environmental Protection Agency first attempted to cut back harmful vehicle based air pollution and related high fuel consumption at the same time, is a creature of purest short-sighted profit motive gone wrong.

Auto industry executives myopically looking at quarterly reports and not at the need for more desirable vehicles in the form of less polluting and non-polluting, more efficient cars have long seen these government standards not as enablers of innovation, but as an onerous constraint. In the 80s, 90s, and 2000s, automakers achieved numerous legislative and executive victories that allowed them to produce slightly modified versions of the same vehicle designs exhibiting only slow, marginal improvements. But these improvements, when achieved, were often used to increase vehicle size and acceleration — not to improve overall efficiency.

A Stated Commitment to Advance Clean Energy

(Increasing fuel economy standards produce massive benefits to the United States. Families save money on fuel, carbon dioxide pollution is greatly reduced, the U.S. becomes more energy independent, and the harmful impacts of climate change are blunted. What is not communicated in the above graphic, however, is the fact that fuel efficiency standards spur American business leadership by encouraging continuous innovation in the form of more attractive, cleaner, more advanced products. Image source: Obama Whitehouse Archives.)

This trend changed with the oil shocks of the middle 2000s and the related establishment of new, more aggressive fuel efficiency standards during the Obama Administration. These stronger CAFE standards followed a massive public bailout of the U.S. auto industry after the Great Recession. A bailout that was predicated on the notion that automakers would improve. That they would innovate in order to become competitive. That they would be more forward-looking.

Promises along these lines were made by auto industry leaders at the time. The Obama Administration subsequently joined with clean energy promoters across the country like California in establishing an aggressive plan to reduce harmful carbon and particulate emissions by rapidly increasing vehicle fuel efficiency. In 2010, these new standards were set. The ultimate goal was to achieve an average fleet fuel efficiency of around 55 miles per gallon by the middle 2020s.

(Obama Administration fuel efficiency increases and targets. Image source: Obama Whitehouse Archives.)

Implied in this goal was a great deal of U.S. auto industry innovation and leadership. Such strong goals would enable automakers to produce world-leading vehicles by pushing them to rapidly improve their designs. In other words, they would develop vehicles that were outside of traditional internal combustion engine (ICE) based platforms. Since electrical vehicles were the lowest cost, easiest to mass produce, and easiest to support non-ICE technology, the 55 mpg standard implied that U.S. automakers would ultimately become electrical vehicle leaders. A new market would be produced. And because of responsible public policy, the U.S. auto industry would have a critical competitive advantage on a global level.

Backsliding and Backwards Thinking

But the old industry didn’t want to innovate. And it often resisted the production of electrical vehicles which were so foreign to its business models and more conservative, traditionally lazy way of thinking. For years, they resisted the increase in CAFE standards by every means imaginable. Instead of asking the government for added incentive and reward for progress achieved, the industry returned to its old tradition of flogging progress through lobbying. Mileage standards were watered down — reduced to 51 mpg by 2025. But the ultimate goal appeared to be to plateau fuel efficiency averages near 36 miles per gallon. A number of mainstream electrical vehicles were produced by these automakers. But many either appeared as token efforts or as reactionary responses to real EV innovators like Tesla.

By the time a backward-looking, corrupt, and autocratic Trump Administration wrested executive political power from the hands of the majority of the American people, these old industry players were ready for a change back to harmful business as usual. So through their ties and lobbying groups, they again pushed for reduced mileage standards.

As of yesterday, Trump’s EPA, hollowed out and corrupted by fossil fuel cheer leader Scott Pruitt, was aiming to roll back Obama’s clean vehicle standards and the potential for broader U.S. clean energy leadership along with it. In other words, a great leap backward — but one that will put Trump’s dirty-fuel-promoting executive branch directly in conflict with both EPA’s stated and lawful mission as well as make foes of state clean energy leaders spear-headed by California. From this against-the-future decision-making a battle will almost certainly ensue. One which will ultimately be fought in the courts.

Shooting Themselves in the Foot

If big auto wins this most recent push to pollute, will it really be winning? To be clear, none of the rest of us will. We’ll be treated to worse climate change and worse health-harming pollution combined. Higher gas prices, higher cost of living, less efficiency and ease in our daily lives. And much more risk and danger.

But what does big auto get out of it? Public ire? Less advanced vehicles that are less competitive in a world that is rapidly moving toward electrification? Lower competitiveness with emerging industries in China? And the inability to compete with the likes of Tesla at home? Taking these variables into account, the auto industry’s push to reduce CAFE standards looks a lot like a pathway to another set of bankruptcies five to ten years down the road. Are a few quarters of extra profits really worth all that?

Fossil-Fuel Spear-Headed Fake News Attacks on Electrical Vehicles Intensify as Sales Ramp

In China, the world’s largest automobile market, something amazing is starting to happen. A swarm of electrical vehicles is hitting the streets. The smoggy, smoke-choked air is starting to clear. And oil demand is slowly starting to slacken.

Ramping electrical vehicle production in China takes a bit out of oil demand. Image source: Bloomberg New Energy Finance.

Fossil fuel profit-addicted investors are starting to panic as oil’s very real carbon-spewing death-grip ’round the neck of what is now the world’s largest economy is slowly being pried off.

But big oil is nothing if not a tricky and resourceful beast. So as electrical transportation leaders are marching the world away from dirty energy sources, the fossil-fueled monstrosity is fighting back tooth and nail with its primary weapon of choice…

Fake News 

It’s one of those blanket terms that has been dramatically mis-used by those like Trump to generate a million false impressions of late. To attack credible, public-serving media sources and to generate an assault on freedom of the press in total. But the term has its origins in a very real problem that each of us have to deal with every day. That problem being that some news sources can and often do, intentionally or unintentionally, get the story wrong.

Why?

Well, it can happen for a hundred different reasons not the least of which is social and individual bias. But a key issue for the present day is news generated by special-interest related media aimed at creating an impression that serves that particular interest’s goals. In other words — media that sells to or pushes from a particular political, ideological, or business-related frame of reference.

Public relations campaigns aimed at misinforming the public about harmful products or to tamp down competition by more benevolent industries have long been funded by fossil fuel interests. Image source: Smoke and Fumes.

If, for example, you’re a Fox News viewer, then your information comes with such a heavy conservative and pro-established industry bias that you tend to believe fallacies like ‘climate change isn’t real or dangerous,’ ‘Hillary Clinton sold Uranium to the Russians,’ ‘giving more money to rich people by cutting taxes pays off the national debt,’ ‘Russian interference didn’t alter the outcome of the 2016 election,’ ‘social security is an entitlement and not a government run savings program that you pay into so you have a cushion for retirement,’ and ‘all real energy comes from fossil fuels.’

These media objects and impressions could well be considered fake news.

Fossil Fuel Special Interest Fake News

In the climate and clean energy sphere, we are confronted with these kinds of targeted messages every day. More specifically, what we see is a proliferation of messages aimed at delaying a transition to clean energy and enabling the continued dominance of fossil fuel based energy sources on and on into the future.

The primary messaging issues that we deal with here are smears, doubt promotion, distractions, and myth propagation.

Lately, for anyone that’s been paying attention, we’ve seen an amazing amount of smear-based hyperbole aimed at clean energy leaders like Tesla. Not a single day goes by when we don’t have some ‘journalist’ who holds a short position in Tesla as a company beating the old hackneyed drum over which terrible demise Tesla is ‘destined’ to suffer this day or that. And this short interest is not focused on predicting so much as it is on manufacturing reality.

‘Short EV Interest’

If we’re honest with ourselves, we realize that short interest in clean industry leaders like Tesla is primarily propagated by pro-fossil fuel sources. Most of the short ‘journalists’ have some association with the fossil fuel industry. And practically all take a negative view of the prominent and most widely available clean energy sources of the day.

Some will even promote a prospective clean energy source, like hydrogen, as a distraction from the larger mega-trend represented by wind, solar and batteries. But this is more as a shiny object in the form of systems that are 5-15 years or longer from actual realization. A kind of vapor-ware competition in impression vs the real trends.

Taking this week’s penchant to proffer the hydrogen economy distraction as an example, we find that during 2017 more than 1.2 million electrical vehicles sold worldwide. Hydrogen based vehicles sold far less well — at approximately 3,500 units in 2017 or about 1 hydrogen fueled vehicle to every 350 EVs hitting the roads. Moreover, global EV sales could hit as high as 2 million in 2018 and 4-5 million by 2020. Though hydrogen might get off its laurels and start to show real gains by the early 2020s or later, electrified transport is taking flight now.

Moreover, hydrogen presents its own emissions problems as it is presently 90 percent produced from reformed natural gas in a high-carbon emitting process. The promise of mass-electrolysis based hydrogen from renewables and other low carbon processes are, you guessed it, 5-15 years off. And, even more concerning, major oil companies like Shell are heavily invested in hydrogen — which increases the likelihood that it will serve as a spoiler and not as an enabler of the clean energy transition.

Just as electrical vehicles reach their moment of realization, major media attacks against the clean energy trend emerge. Image source: EV Volumes.

This week the flavor is hydrogen. Next week it will be nuclear. Next it will be something else that can be slow-walked. Anything to distract from the actual electrical, solar, wind revolution that is now in progress and achieving rapid advancements.

It’s at these critical times when the pro fossil fuel and anti renewable energy messaging tends to proliferate on a mass scale. And today is just such a time. For right now, global EV sales are surging. Spear-headed by industry leaders like Tesla and countries like China, the electrification revolution is on. And the oil companies know it. In rather short order, as occurred recently with coal, global oil demand could drop. And those magical, marginal profits that fossil fuel investors have been addicted to for so many years and decades could go up in one final puff of CO2 laden smoke.

Will Tesla Survive The Assault?

So it is at this crucial time that all of the major media guns associated with the fossil fuel industry are now unleashing a furious, focus-fire barrage on Tesla. We’ve hinted at some of the reasons above. But looking deeper we find that Tesla’s all-clean-industry business model is the exact antithesis to that produced by traditional industry.

From its lock to its stock to its barrel, Tesla is clean tech through and through. It builds battery plants, it builds solar panels, it builds battery storage for homes, it builds all clean energy vehicles, it builds EV charging networks. And it works to integrate them all. Not one dollar of Tesla capital is wasted on fossil fuel extraction or machinery that burns fossil fuels. Not one iota. Not one cent.

The Tesla model is the model of a pure path away from carbon emissions and if it gets duplicated in one subset or another by companies the world over, then big fossil fuel is finished. If Tesla generates competition by example, as it is doing, then the clean energy revolution takes flight and there’s nothing that the oil, coal, or gas industry can do to stop it.

So from the fossil fuel point of view, Tesla must die. And that is the primary reason why we are seeing so many negative news stories lately about Tesla. Not because of Tesla’s intrinsic weaknesses. Not due to some puffed up accident investigation. These are the facts — the negative bias against Tesla comes from fossil fuel industry based sources. Fin.

Facing such a massive wall of media, political, and industry opposition isn’t easy. In all honesty, it’s amazing that Tesla has made it as far as it has. And under the present barrage, Tesla’s survival is again somewhat in doubt. I think it will pull through this relatively difficult period to emerge as both a major automaker and a global clean industry leader. But if the shorts win and Tesla goes down it will be due to direct sabotage by fossil fuel special interests — not due to some other failure. And that’s not fake news.

From Rimac’s Electric Hypercars to Volkswagen’s Big EV Spend, Everyone’s Racing to Catch up with Tesla

In a world where human-caused climate change is increasingly damaging and harmful, a global race to produce electric, zero tailpipe emissions vehicles is a positive development. And just such a global race appears to be in the offing.

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We’ve heard a lot recently about how traditional automakers are spending boatloads of cash on electrical vehicles. Every week, we see new concept cars and planned production vehicles floated to the public in an apparent effort to show competitiveness in a key emerging industry. And the vaunted term that appears to be the sought-after standard is ‘better than Tesla.’ Ironically, this is a tacit admission that Tesla is presently the first horse in what appears to be a ramping race in mass electrical vehicle production.

Rimac’s Concept Two vs the Tesla Roadster 2.0

A recent example of this trend came in the form of the electric start-up Rimac’s Concept Two. Fresh off a 30 million euro fundraising round, Rimac is planning to produce a clean electric hypercar that’s capable of edging out Tesla’s Roadster 2.0 in a number of performance parameters. To be clear, the Roadster 2.0 is a revolution in automotive engineering — leaving former ICE hypercars in the dust in practically every performance specification that matters. But typical to the presently irresistable lure to compete with (or to appear to compete with) Tesla, Rimac attempts a one-up.

(Rimac’s Concept Two is another all electric hypercar that leaves fossil fuel based vehicles in the dust. But can it outsell Tesla’s Roadster 2.0? Image source: Commons.)

Concept Two boasts a stupendous 1,914 horsepower. And its 1425 kWh battery pack can push the car from 0-60 in 1.85 seconds while achieving a top speed of 258 miles per hour. This acceleration and speed edges out Tesla’s Roadster 2.0. But only just.

Of course a big underlying question here — is how many will Rimac build and for how much of an asking price? Rimac produced another electric hyper car (with far less compelling capabilities) — the Concept One during 2013 to 2014. Eight were ultimately built. In contrast, the Roadster 2.0 is a hypercar that’s starting at around 200,000 dollars (which is rather inexpensive for a car that can blow the likes of Lamborghini out of the water) and will likely produce hundreds to thousands.

Can Legacy Diesel Volkswagen Catch Tesla by Spending Big?

Another automaker that’s trying to catch up to Tesla is Volkwagen. Globally, the world’s largest automaker, the company appears to be setting aside 50 percent of its slated investment capital in an effort to produce a massive line of electrical vehicles. Its stated goal is to have an electric version of every model and to sell 5 million EVs annually by 2025. And the company is apparently willing to spend 60 billion dollars to achieve it.

Volkswagen is also investing in not one but 16 battery production facilities. And it states that it will be producing one new hybrid, plug in hybrid, or all electrical vehicle per month by next year. These are major goals. One that is in stark contrast to the present reality in which Volkswagen currently produces just one all-electric mass market vehicle — the E-Golf. And that, admittedly capable, attractive and well-priced, EV is selling at rather lower rates than Nissan’s popular Leaf EV.

(Volkswagen’s E-Golf is presently its only all-electric model. But the company plans a big surge into the EV market over the next couple of years. Image source: Volkswagen.)

In other words, despite big investments and big stated plans, Volkswagen is presently just barely on the EV leader board, if that. This puts the company at a pole position in the EV race far behind Tesla in 2018. And major investments and innovations will be required for it to catch up.

We’ve heard big EV promises from other traditional automakers before. And those like Volvo and Ford appear to have struggled with legacy issues in their stated attempts to put EVs on a fast track. One such issue that could hamper Volkswagen is the fact that it invested heavy sums in diesel vehicle technology during the 70s and 80s. As a result, the carmaker will have to overcome a decent amount of institutional inertia to jump into an EV leadership position. Pollution and emissions scandals plaguing the company have helped to spur its EV drive. But a history of profit-making selling polluting cars may inject a degree of cynicism into the company’s leadership. So self-sabotage is something to look out for here.

If Volkswagen manages a major internal transformation and if its engineers are capable of producing market EVs with mass appeal, then it could take a huge share of the emerging EV market and surge to match Tesla sales during 2019-2021 while possibly surpassing it by 2022-2023. Perhaps. But there’s a lot of hurdles for Volkswagen to overcome before gets there, all promises and talking aside.

Tesla Model 3 Leads Record Electrical Vehicle Sales in January 2018

For those concerned about human-caused climate change, electrical vehicles and the batteries that their engines derive stored energy from are a key innovation. These zero emissions platforms stand to potentially replace more than a billion internal combustion engines — each dumping about three tons of greenhouse gasses into the atmosphere every year. Moreover, the powerful batteries in these cars can be used to store electricity generated by renewable sources. Making clean energy available 24/7 despite hours of darkness and lulls in the wind periodically sapping generation.

(In this National Renewable Energy Laboratory study, the most rapid carbon emissions reductions were achieved in scenarios where large-scale EV deployment was combined with wholesale replacement of coal, oil, and gas fired electricity generation with renewable sources like wind and solar.)

Recognizing the climate-saving potential of this clean tech, nations have pledged to rapidly transition vehicle fleets away from fossil fuel burning automobiles. Leaders of this revolutionary move include China, India, France, Germany, the Netherlands, and Britain.

The U.S. is also presently a leader in EV innovation — primarily due to efforts by California, a handful of states, and locally based clean energy giants like Tesla. However, U.S. leadership in this crucial new industry is presently threatened by the Trump Administration which is seeking to remove incentives for EV adoption while also undermining the ability of states like California to set clean car goals.

(With numerous countries, states and cities planning to ban fossil fuel based vehicles, the Trump Administration’s proposed policies to disincentivize EVs would put the U.S. at a competitive disadvantage. Image source: Commons.)

Such moves could rightly be called myopic as the global electrical vehicle market last year grew to 1.2 million and will likely hit near 2 million in 2018. So EV incentives in states like California aren’t just good for the environment, they’re good for U.S. competitiveness even as they benefit the larger economy. By the early 2020s, if Trump succeeds in undercutting the U.S. clean car market, around 5 million EVs will be sold per year even as U.S. automakers will be faced with the prospect of dwindling fossil fuel vehicle sales. A combination that may, once again, threaten bankruptcy for a key U.S. industry.

That said, despite ominous moves by Trump, the U.S. EV market presently continues to grow apace.

Tesla Model 3 Leads U.S. EV Sales

During January of 2018, approximately 12,000 EVs were sold. This beats out January of 2017 by about 1,000 cars to hit a new record for the U.S. market. And topping January’s sales is Tesla’s flagship Model 3. In all, about 1,875 of these clean cars were sold on the U.S. market last month according to Inside EVs. That’s about 80 percent growth from December sales and probably represents a total production of between 2,000 and 2,500 cars for the month.

(With 500,000 reservations, the all-electric, zero emissions Tesla Model 3 is probably the most desired car produced by an American automaker within the last 40 years. Can Tesla satisfactorily meet this demand by swiftly scaling production of high-quality versions? If it does, it will rapidly rocket to the top of the automotive world. Image source: Tesla.)

Model 3 is thus still steadily moving up the S curve according to this recent Inside EVs report. It is not, however, yet anywhere near target production volumes of 5,000 to 10,000 vehicles per week (which it now plans to meet by June). Nor is it in a position to hope to fulfill an unprecedented 500,000 pre-orders before 2019. Tesla thus still appears to be facing some production bottlenecks. But they appear to be steadily clearing even as the Model 3 line continues to ramp up. And at this point, it is notable that the Model 3 is now the best-selling EV in the U.S. We are likely to see continued progress with around 2,400 to 4,000 Model 3s sold during February. Ensuring that the Model 3 remains a top contender for the #1 EV sales spot for the foreseeable future.

2018 Nissan Leaf Enters U.S. Market with Potential to Surprise

Other top clean car sellers during January included Chevy with its Bolt (1,177) and Volt (713) offerings, Toyota’s Prius Prime (1,496), Honda’s Clarity (853), and Tesla’s Model X (700) and S (800).

(The 2018 Nissan Leaf ain’t as sexy as the Tesla Model 3. But it’s no slacker either — having already racked up numerous awards and tens of thousands of sales around the globe, this EV is now starting to enter the U.S. market. With a 150 mile range, a 30,000 dollar price point, and a jump in horsepower, this car has the potential to surprise during 2018. Image source: Commons.)

Nissan also released its new longer range Leaf in January.  But low initial rates of production resulted in only 150 sold. This vehicle will be one to watch as Nissan has a track record for both producing and selling Leafs in high volumes. The Leaf has good reviews and a considerably expanded range, horsepower and other capabilities. It also comes in at a price about 5,000 dollars lower than the higher performance luxury Model 3. So it’s not surprising that the car has already racked up 14,000 pre-orders in the U.S.

Overall EV sales in the U.S. near 200,000 represented about 3 percent of the 2017 market. During 2018, we should expect the U.S. EV market share to grow to between 280,000 and 400,000. This growth will primarily be dependent on new higher performance, lower cost Model 3, Leaf, and Bolt sales. But detrimental policy moves by Trump or his Republican allies in Congress may negatively and unexpectedly impact this key emerging market.

FEB 5 UPDATE: Tesla Model 3 Sales Projections For January Now Range Between 1875 and 3,000

In lieu of actual numbers coming out of Tesla itself, two firms have lately been producing reliable numbers based on analysis of factory output, VIN numbers, and employee statements — Inside EVs and Clean Technica.

This weekend, Clean Technica put out its own estimate in which total numbers of Model 3s, Model Ss, and Model Xs sold were considerably higher than Inside EVs estimates at 3,000, 2,300, and 2,200 respectively. If Clean Technica’s numbers are correct, then the Model 3 is much further up the S curve than we thought earlier. In addition, the larger Model S and X estimates would be enough, if they bear out, to push total U.S. EV sales to over 16,000 for January.

Clean Technica’s perspective is one of more rapid growth. But either estimate shows both growth and progress. And they probably provide a decent bracket between the more conservative and aggressive estimate ranges. We’ll see who ends up revising their numbers over the coming days and weeks. But overall, this is cautious good news for EV and clean energy enthusiasts.

Record Year For Renewables Brings 185 GW of Clean Power Generation and 1.1 Million Electrical Vehicles

Despite policy opposition from fossil fuel backers across the world, renewable energy adoption rates rapidly accelerated during 2017 as both renewable electricity generation and clean energy vehicles saw considerable growth. This rapid growth is providing an opportunity for an early peak in global carbon emissions so long as investment in and broader policy support for clean energy continues to advance.

Solar Leads Record Year for New Renewable Power Generation

At the grid level, the biggest gains came from solar which saw an estimated 98 GW added globally. This is a 31 percent jump YOY from 2016 when 76.2 GW of solar energy was installed. More than half of this new solar generating capacity (52.83 GW) was added by China — now the undisputed solar leader both in terms of manufacturing and installations. That said, large gains were also made by India, Europe and the U.S. even as the rest of the world saw broader adoption as panel prices continued to fall. Uncertainty in the U.S. over the 201c trade case brought by Sunivia and enabled by the Trump Administration hampered solar adoption there. However, it is estimated that about 12 GW were still installed. Australia also saw a solar renaissance with more than 1 GW installed during 2017 as fossil-fuel based power generation prices soared and panel prices continued to plummet.

(Solar energy’s versatility combined with falling prices generates major advantages. In the coming years, solar glass will make this clean power source even more accessible.)

Wind energy also saw major additions in the range of 56 GW during 2017. Though less than banner year 2015 at 60 GW, wind grew from an approximate 50 GW annual add in 2016. This clean power source is therefore still showing a healthy adoption rate despite competition from dirty sources like natural gas and cheap coal due to overcapacity. Other renewable energy additions such as large hydro power, small hydro, biofuels, and geothermal likely resulted in another 30 GW or more– with China alone adding 12.8 GW of new large hydro power capacity.

Overall, about 185 GW of new clean electricity appears to have been added to global generation during 2017 — outpacing both new nuclear and new fossil fuels. This compares to approximately 150 GW from similar sources added during 2016. The primary drivers of this very rapid addition were swiftly falling solar costs, continued drops in wind prices, a number of policy incentives for clean energy adoption, rising access to energy storage systems and increasing concerns over human-caused climate change.

(More bang for your buck. Despite a plateau in clean energy investment over recent years, annual capacity additions keep rising — primarily due to continuously falling wind and solar prices. Image source: Bloomberg New Energy Finance.)

Electrical Vehicles Boom

Even as clean power generation was making strides, clean transport was racing ahead. With new offerings like the Chevy Bolt, the Tesla Model 3, and the upgraded Nissan Leaf, the electrical vehicle appears to have come of age. Luxury EVs are now more and more common in places like Europe and the United States even as mid-priced EVs are becoming widely available. Concern over both clean air and climate change is driving large cities and even major countries like India and China to pursue fossil fuel vehicle bans. A growing number of EVs with range capabilities in excess of 200 miles are hitting markets. And charging infrastructure is both growing and improving. As a result of these multiple dynamics, EV sales grew by nearly 50 percent from about 740,000 sold in 2016 to 1.1 million sold in 2017.

Renewables + EVs Bring Potential For Early Peak in Carbon Emissions

Such rapid rates of renewable energy adoption are starting to have an impact on human carbon emissions. Annual rates of renewable power addition in the range of 150 to 250 GW are enough to begin to plateau and/or reduce global carbon emission so long as reasonable efficiencies are added to the energy system. Meanwhile, annual EV sales in the range of 3 to 5 million per year and growing around 20 percent annually is enough to start to tamp down global oil demand and related externalities.

(Very rapid EV sales growth during 2017 is likely to be repeated in 2018 as more capable and less expensive electrical vehicles like Tesla’s Model 3 hit markets in larger numbers. Image source: Macquarie Bank and Business Insider.)

We are beginning to enter the range of visible fossil fuel replacement by renewable power generation now and it appears that EVs will start to measurably impact oil demand by the early 2020s. To this point, direct replacement of coal with renewable and natural gas based energy sources during recent years has resulted in a considerable slowing in the rate of carbon emissions growth. If renewables continue to make substantial gains during 2018 and onward, this trend of replacement of fossil fuels and reduction of harmful greenhouse gasses hitting the atmosphere will become more and more apparent.

Tesla Model 3 Production Ramp — Steady as She Goes

If a person were to define the goal of aspiration, not in the dictionary sense, but in the ideal sense, a part of it would include attempting to achieve things that were previously considered impossible.

From the point of view of Tesla, setting seemingly impossible goals and then shooting to attain them has apparently become a new model for doing business. As the old adage goes — shoot for the stars. Go ahead try. If you miss them you might hit the moon instead.

With the Model 3, it appears that Tesla, so far, may have just managed to land on the moon after setting some pretty amazingly ambitious initial star-shot-type goals. That said, the moon, at this point, appears to be a temporary way-station as the company course corrects, but is still aiming for some ridiculously starshot-high production goals through 2018.

According to recent announcements from Tesla, the company achieved 2,425 units of production in the 4th Quarter of 2017. This is a considerable jump from third Quarter production of around 260 Model 3s. It is not, however, anywhere near the 5,000 vehicle per week target by year end that Tesla had initially aimed for. In other words — some moon, but no stars as yet. And it’s obvious that some Tesla watchers are disappointed. Perhaps more frustrating to those of us who are EV lovers, Tesla has again scaled back its targets somewhat — shooting for 2,500 vehicles per week by the end of Q 1 of 2018.

(Ramping Model 3 deliveries in a record 4th Quarter for Tesla. Image source: Electrek.)

But before we leave it at that, let’s add just a little context.

The first bit is that reviews for the Model 3 are coming back as very positive. Even Jalopnik, which regularly tears Tesla a new one, recently complained that there wasn’t enough to criticize about the Model 3. Meanwhile, previous Tesla owners are raving about the car. So some credibility must be given, there, to Musk’s recent claim that the company is aiming for a slower ramp to focus more on quality early and push the mass quantity part back for later. But how much later is still a pretty serious question on everyone’s mind.

The second piece of context that’s worth considering is the fact that as of December, the Model 3 was likely the 5th or 6th best selling EV in the United States. If Tesla manages to achieve an average production rate of around 500 to 1,000 vehicles per week in January, then the car will likely be ranked between 1st and 3rd. By March, if the ramp continues to scale up, it’s likely that the Model 3 will hit over 5,000 monthly sales and be the best-selling EV in the U.S.

(Despite moderate production delays, the Tesla Model 3 continues on its ramp to mass production. As you can see from the above video, fans really love this car. Meanwhile, many analysts don’t see major issues with the present Model 3 ramp and still expect Tesla to be selling north of a million EVs per year by the early 2020s.)

Looking still closer, we should take Tesla’s claims of 750+ vehicle per week production in late December with a dash of salt. It’s clear that Tesla production is now ramping. That bottlenecks are being cleared. That said, this announced sustained rate is the highest yet achieved over a relatively decent period of time. And, if past is any guide, it’s likely that Tesla will be speeding and slowing the line as they address issues. We probably shouldn’t assume that every week from now on will produce 750 or more. It could. But it’s likely we’ll see a kind of two step forward, one step back, two step forward progression as Tesla continues to refine the Model 3 line.

To this point we should probably also add that when Tesla says it is aiming for 2,500 vehicles per week by end of Q1, that’s probably a snapshot of peak production. Not of average weekly production during March. Same for the 5,000 vehicle per week target by June.

It’s a lot to digest. But I think those of us who’ve been following EVs for some time should sit back and take stock of what is a really big achievement underway. It may not be happening as fast as many had hoped. But it is happening. And even with its less ambitious ramp, Tesla appears set to at least double its overall EV production during 2018.

Steady as she goes…

Tesla Semi is Racking up the Preorders

Tesla isn’t the only player in the electrical trucking field. It is, however, presenting one of the most attractive offerings for an electric truck in the present marketplace.

(Tesla is again producing best-in-class clean transport capabilities in its all electric Semi offering.)

Tesla’s Semi will have a range of 300 to 500 miles. Its rig will go from 0-60 in less time than many passenger vehicles. And its cost of fuel is so low that it will repay the 150,000 to 200,000 dollars initially invested in energy savings in just three to five years. With economics and performance parameters like these, the fact that the Semi will emit zero harmful greenhouse gas emissions in operation is a much needed layer of icing on the new energy vehicle cake.

All these features are quite attractive. And, as a result, Tesla has already received upwards of 300 pre-orders for what promises to be a truly revolutionary vehicle. Pepsi, Anheuser Busch, SYSCO, Loblaw, Wal-Mart, DHL and numerous others have all jumped onto the Tesla clean trucking bandwagon. Since Tesla requires a 20,000 dollar down payment to reserve a truck (up from 5,000 dollars when the semi was first announced), these pre-orders represent a major commitment by buyers. It also represents between 45 and 55 million in new revenue for Tesla.

(Tesla is already starting to make waves in the U.S. class 8 truck market — in which less than 200,000 units are generally sold each year. Image source: Statista.)

300 pre-orders may not sound like much when compared to Tesla’s massive Model 3 total of about 500,000. However, considering the fact that less than 200,000 class 8 trucks were sold in the U.S. during 2016, this initial wave of orders is far from a drop in the proverbial bucket. For one, interest by major shippers in Tesla will likely bring more interest as competitors race to gain access to that best-in-class efficiency, performance and related energy cost reduction. In addition, pre-orders are likely to be a smaller portion of total sales due to Tesla’s higher reservation asking price.

Such levels of demand may support in the range of 5,000 Semis sold per year in the U.S., according to recent clean-tech market analysis. And this would represent about 3 percent of the present U.S. market from a single automaker. But when considering the fact that big rig emissions are about 20 to 40 times that of a typical medium sized car over the course of a year, those projected 5,000 Semis could have an outsized impact in helping to reduce the amount of heat trapping gas hitting the atmosphere.

Not too shabby for a start and for a single automaker. And some people called the Semi a distraction. Pshaw.

As Climate Emergencies Rise — A Call For Action

With climate change enhanced wildfires raging across California during December, now is exactly the time to redouble our resolve to fight against the causes of such widespread destruction. To enact policies aimed at reducing the force of a rising crisis that continues to impact so many of our people with increasing intensity.

In California today, there is a move afoot to set a deadline for banning the very fossil fuel based vehicles that have fanned the fires of climate change across the state. To resolve, by 2040, to take gas powered cars off the road.

Phil Ting, a San Francisco Democrat and sponsor of this legislative drive, notes that for the State to meet its greenhouse gas reduction targets, it’s going to have to transition away from fossil fuel based vehicles. Such vehicles represent more than 1/3 of all state carbon emissions. And the state can’t effectively address the carbon dioxide emissions that drive climate change disasters without also directly targeting the number of fossil fuel based vehicles in operation.

(According to California’s Air Resources Board, nearly 38 percent of the state’s carbon emissions are due to transportation.)

New electrical vehicle (EV) technology is enabling just such a move. According to Ting:

“The market is moving this way. The entire world is moving this way. At some point you need to set a goal and put a line in the sand.”

If California sets a policy to ban fossil fuel based vehicles by 2040, it will join a growing number of cities and states that have already set similar goals. These include France, the United Kingdom, India, Germany, and Norway. Meanwhile, China is pursuing very aggressive incentives to increase the number of EVs as a means of combating terrible local air pollution and climate change.

Movement by cities and states to ban fossil fuel vehicles and incentivize EVs has an out-sized impact. It signals automakers that EV preference by government is becoming widespread. And because manufacturers have limited capital to spend on new vehicles, this drives a manufacturing preference as well.

(In this National Renewable Energy Laboratory study, the most rapid carbon emissions reductions were achieved in scenarios where large-scale EV deployment was combined with wholesale replacement of coal, oil, and gas fired electricity generation with renewable sources like wind and solar.)

Since EVs are more efficient that internal combustion engine based vehicles, they greatly reduce carbon emissions when tied to even traditional grids. But when linked to renewable power sources like wind and solar, EVs produce zero emissions in operation. This combination enables a far more rapid rate of carbon emission reduction.

In addition, the manufacturing base for EV batteries can also be used to build storage systems for intermittent wind and solar energy. This enables the removal of fossil fuel emitting coal and gas fired generators held in reserve for times when the wind doesn’t blow or the sun doesn’t shine even as the EVs themselves remove the need for oil based transporation. Such a manufacturing chain also opens up a new market for auto manufacturers — a fact that both Tesla and Hyundai have learned to their benefit.

Because EVs are based on electronic technology that is closely tied to the information age, they can benefit both from synergistic related economies of scale and from various innovations and breakthroughs. This means that EVs already outperform fossil fuel based vehicles in a number of areas. A performance advantage that is increasing and will likely overcome most traditional vehicles by the early 2020s. Because of this advantage, EVs would probably ultimately win out over time. However, the present climate crisis lends urgency to speeding their rate of adoption and in accelerating the rate of harmful fossil fuel based vehicle replacement.

U.S. Electrical Vehicle Sales Rose by 30 Percent in November, Likely to Hit Near 200,000 by Year End

Good news continues in the U.S. on the renewable energy front where electrical vehicle sales increased by about 30 percent in November of 2017 vs November of 2016.

In all, 17,178 electrical vehicles sold on the U.S. market in November. This number compares to 13,327 sold during November of 2016. Top selling brands for the month were the Chevy Bolt EV, The Tesla Model X, the Chevy Volt, the Toyota Prius Prime, and the Tesla Model S. The Chevy Bolt topped the list of monthly best sellers with nearly 3,000 vehicles going to owners during the month. The top annual seller remains the Model S (at 22,085 estimated sales so far) — which the lower-priced Bolt is unlikely to surpass this year.

(Over the past few years, the performance of electrical vehicles has been steadily catching up to or outpacing that of conventional fossil fuel vehicles. The Tesla Roadster by 2019-2020 will have a 620 mile range, hyperfast charging, a top speed of 250 mph, and be able to go from 0-60 in 1.9 seconds. A combined set of specs that no gas guzzler could hope to match. By 2022, most EVs will cost less and perform better than their comparable fossil fuel counterparts. Image source: Tesla.)

Total electrical vehicle sales for the year so far has hit nearly 174,000 through November. This compares to 158,614 for all of 2016. Given that December is often a top sales month and that Model 3 production is continuing to ramp, it’s likely that final sales for 2017 will hit close to or exceed the 200,000 mark for the year in the U.S.

Model 3 Production Ramp Rate Still a Mystery

Model 3 sales will likely continue to ramp through December as Tesla works through scaling production. Considering the fact that there are more than 500,000 Model 3s on order, the big question is — how fast? For even if Tesla were able to produce 10,000 Model 3s per week, it would take more than a year to fill all the orders.

Production is presently considerably lower. But it more than doubled in November to an estimated 345. A similar rate of increase would result in 800 of the vehicles being sold in December. Meanwhile, the company plans to be making 5,000 Model 3s per week by Q1 of 2018.

There are some indications that Tesla is preparing for a start of mass market releases. It is filling an LA Model 3 distribution site even as it has opened up ordering to customers outside of employees. Meanwhile, Panasonic recently announced that battery production issues will soon clear. Which raises the possibility of a faster ramp going forward.

Updated Nissan Leaf Begins Mass Production

New developments also include the start to mass production of the 2018 Nissan Leaf in the U.S during December. The 2018 Leaf features longer range (150 miles), lower cost (700 dollars less) and higher performance (more horsepower) than the previous Leaf. And it will be followed on by a (higher-priced) 225 mile range version in 2019 which will put it in a distance capability class similar to that of the Bolt and the base line Model 3.

Electrical Vehicles — Key Aspect of the Renewable Energy Transition

In context, solar energy, wind, and battery storage are the triad of new renewable energy systems that have the serious potential to really start cutting down global carbon emissions as they replace fossil fuels.

All these energy systems are getting less expensive. All have what they call a positive learning curve. And all can work together in a synergistic fashion while leveraging technological advances. Economic advantages that fossil fuel based systems lack.

In addition, renewable energy sources help to drive efficiency, even as they clean up transportation, power generation, and manufacturing chains they are linked to by producing zero carbon emissions in use.

(By transitioning to renewable energy as the basis for economic systems, we can dramatically reduce global carbon emissions. In order to stave off very harmful impacts from climate change, this transition will have to be very rapid. In the best case, more rapid than the scenario depicted above. Video source: IRENA.)

On the battery storage side, electrical vehicles are a crucial link in the battery development chain. As electrical vehicles are mass produced, this process drives down the cost of batteries which can then be used to store electricity and to replace base-load fossil fuel power generators like coal and gas plants. Meanwhile, battery electrical vehicles are considerably more efficient than gas or diesel powered vehicles and those linked to wind and solar or other renewable energy sources emit zero carbon in use.

Both electrical vehicles and other renewable energy systems have a long way to grow before they provide the same level of energy produced by dirty fossil fuels today. This large gap represents a great opportunity to cut back on the volume of harmful gasses hitting our atmosphere in the near future.

Tesla Model 3 Production More than Doubled During November

Hands down, no other electrical vehicle company possesses the charging infrastructure, the high quality electrical vehicles, and the production infrastructure that’s now in Tesla’s hands. This system synergy provides unparalleled value to Tesla customers. Enabling them to use and improve their electrical vehicles with far greater ease than offerings from other automakers.

So when one reads about rising sales of the Chevy Bolt or how Volkswagen plans to sell 100,000 EVs per year by 2020 (Tesla sells that many now, in 2017), one should realize that both of these companies, though presently producing or planning to produce high-quality EVs, are behind in a race to catch Tesla. The Bolt, which sells for around 36,000 dollars hasn’t even yet caught up with the Tesla Model S — which costs more than twice as much. And Volkswagen is still waiting for its signature EV brands to be built over the next two years.

(Tesla deposits are an indicator of customer interest. Model 3 has been a primary driver of deposit increases since openings for reservations began in Q1 of 2016. Image source: Bloomberg.)

Struggles by Tesla to hit a rapid Model 3 production ramp, however, have caused some to question whether the revolutionary EV manufacturer and renewable energy company would hold on to that lead. Whether the delay would allow others to start to catch up. And of course some of this conjecture was puffed up by traditional Tesla bears and opponents — grasping at any bad news to spin against a rising green energy giant.

To be very clear, Tesla is at least 1-2 years ahead of the competition. So a month or two or three delay for the Model 3 production ramp — a vehicle which more than half a million customers have reserved — is not going to knock it out of its present leadership status. Longer term problems — lasting for more than 6 months — would be more telling, especially if reservation holders began to drift away. But Tesla’s present advantage is so significant at this time that the production fail on the Model 3 would have to be pretty monumental to provide any serious opening for the competition.

(Model 3 starting to break out of the pack. The vehicle is now the #21 best selling EV for all of 2017 and probably #11-12 for November. If the production ramp continues, the car will easily break the top 10 in December and probably become the best-selling EV in the U.S. by January or February. Image source: Inside EVs.)

To this point, according to reports from Inside EVs, Tesla produced and sold an additional 345 Model 3s during the month of November. This number is up 200 from the estimated 145 produced and sold during October. In total, Inside EVs estimates that 712 Model 3s had been sold by end of November.

Number sold is not number produced. So if Inside EVs estimates are correct, then Tesla has likely built over 800 Model 3s so far. And present trends make it likely that Tesla will complete between 1300 and 3000 of these revolutionary new vehicles by year-end. If this is ultimately the case, then the Model 3 production ramp is 2-3 months behind schedule. Disappointing to the hundreds of thousands waiting to get their hands on a Model 3, for sure. But not a crisis set to break the back of Tesla — as some have implied.

Global Electrical Vehicle Sales Grew by 63 Percent in the Third Quarter, But Model 3, Leaf, and Bolt Say You Ain’t Seen Nothing Yet

Tesla may still be the industry leader in global electrical vehicle sales. And though a very important player — primarily as a gadfly that’s helping to spur key renewable energy innovation through clean energy business models and competition — this story of a breakout in new energy production isn’t just about Tesla.

During July, August and September of 2017, according to Bloomberg, 287,000 electrical vehicles were sold worldwide. This is some pretty stunning growth equaling 63 percent more than during the same period of 2016 and 23 percent more than during April, May and June of 2017.

Electrical vehicle sales saw broad growth in all major markets. However, China experienced very rapid expansion of EV sales and was the primary driver of such a large jump with 160,000 electrical cars sold there in the 3rd quarter alone. Europe came in second with around 70,000 EV sales with North America following third with more than 55,000 EV sales. Since Bloomberg only tracked these major markets, total global EV sales were likely even higher, particularly when you consider that EV sales in places like Japan, India, other parts of Southeast Asia, and Australia are also on the rise.

China’s incentives aimed at cleaning up dirty air through EV purchases weighed strongly. In addition, pledges by various cities, states and nations to fully transition to electrical vehicles coupled with numerous policy incentives are helping to produce a ground swell of rising EV demand. However, EVs are also increasingly available, lower cost, and feature an expanding array of capabilities that are often competitive with or superior to their global warming producing fossil fuel competitors. And a number of new developments indicate that EV sales will continue to rapidly expand in the near term.

Signs the Model 3 Production Log Jam May Be Starting to Clear, Serious Competition on the Rise

During 2017, primarily on the strength of Model S and X sales, Tesla is the global sales leader for EVs at 73,227 cars sold through September. Chevy, runs a distant 7th with 36,963 EV sales through same period. While BYD, BMW, BAIC, Nissan and Toyota fall 2-6th in the global sales rankings thus far.

In the coming months, Tesla plans to be adding thousands of high-quality, lower cost Model 3s to its trend-setting volume. For 2017, the company is likely to hit near 100,000 sales in total. But if Tesla is able to achieve 5,000 Model 3 per week production by early 2018, that number could more than double in the follow-on year.

Presently, Tesla represents 10 percent of global electrical vehicle sales. And Bloomberg expects 1 million electrical vehicles to be sold globally during 2017. Yet during 2018, vehicles like the Leaf, the Model 3, and Chevy’s Bolt really have the potential to blow the lid off even these far-stronger numbers.

(The 2018 Nissan Leaf sold a pheonomenal 14,000 units during October of 2017. A record setting number of an all-electrical vehicle launch. Image source: Nissan.)

Nissan launched its longer range Leaf on October 1 of 2017 in Japan and Europe. And early reports indicate that sales of this model have just been going gangbusters. In total, 14,000 of the vehicles are reported to have moved in just one month — close to Tesla’s goal of hitting 20,000 per month by early 2018. The 2018 Leaf features a shorter range than the Model 3 (150 miles vs 210 for the base Model 3). But it also has a more attractive base price of 30,000 dollars (5,000 dollars lower than the base Model 3). And though not as zippy or sporty as the Model 3, the Leaf’s new design and 147 horsepower are nothing to shake a stick at. In total, for the same price, Leaf buyers are now getting a far more attractive and capable zero emissions vehicle. And though not in the same class as the Model 3, the Leaf is a serious competitor for those without the extra cash.

Hunger for lower cost EVs was also evident in Chevy’s sales of 2,871 Bolts in the U.S. during October. Though nowhere near the pheonomenal Leaf sales totals, the Bolt is giving Tesla a serious run for its money on its home turf in the U.S. And the high quality, 238 mile range Bolt is certainly a competitor of note. Priced about the same as the Model 3’s base vehicle at around 36,000 dollars, the Bolt is unable to compete on performance in any measure other than range. And its economy styling is certainly less appealing. However, the Bolt is nonetheless capable of capturing serious market share. Probably at least in the range of 30,000 to 50,000 annual sales.

With 500,000 pre-orders, the lower cost, longer range EV market still appears to be the Model 3’s to lose. And with a production ramp struggling to reach 440 vehicles by end October, Tesla looked like it was in a bit of a bind as competitors circled in. Yet some clouds appear to be readying to clear for Tesla as lots swell with Model 3s and the company opens up Model 3 orders to regular reservation holders. An indicator that production may finally be starting to ramp.

Understanding the Context — Sooner or Later, Model 3 Ramp is Imminent

In other words, the fact that Tesla is now transferring reservations into orders is an indicator that Tesla is now more confident in its ability to clear bottle necks and to rapidly ramp production. With a large number of employee pre-orders that need to be completed before it starts to meet regular customer orders, it appears that Tesla may be set to hit in excess of 1,000 Model 3s produced per week sooner than feared. However, we’ve seen hopeful signs of Tesla hitting an early production ramp disappointed before. So this news may just be another false signal.

What do you think? Will Tesla meet new competition coming from Chevy and Nissan by hitting a faster production ramp soon? Or are the Tesla woes of September and October here to stay for at least another few months? Please feel free to provide your take in the comments section below.

Republicans Seek to Use Tax Bill to Suppress Climate and Clean Air Saving Electrical Vehicles

Republicans in Congress seem more concerned with cutting taxes for the rich than dealing with present and worsening problems like Russian interference in U.S. democracy or the ever-escalating damages coming from human-caused climate change related to fossil fuel burning. In fact, the Republican Party today signaled its intent to use the presently proposed tax bill in a manner that would make one of these problems dramatically worse.

According to news reports, Republicans intend to use their tax cut plan to remove incentives for electrical vehicle ownership by the end of 2017. Presently, buyers of all-electric vehicles enjoy a $7,500 tax credit. An incentive that helps the U.S. clean up its air and reduce the kinds of greenhouse gas emissions that fuel sea level rise, more powerful storms, and worsening droughts, deluges, and wildfires.

(In the U.S., more than 200,000 people die every year as a result of outdoor air pollution to which vehicle transportation is now the primary contributor resulting in 53,000 such deaths per year. That’s more deaths than from vehicle accidents. Moreover, air pollution impacts like asthma, stroke, heart attacks, and reduced lung function are far more widespread. Image source: EPA.)

Though such a policy might not be much of a surprise coming from the party of a Rick Perry, who today falsely claimed that fossil fuel burning prevented sexual assault against women, climate change denier Inhoffe, and tilting at windmills Donald Trump, it would have wide-ranging negative impacts for every American. Impacts like bad air quality which is a health risk for everyone, worsening climate change which is now causing many Americans to lose their homes or be forcibly displaced, and loss of economic advantage coming from new jobs and new industry.

Presently, U.S. automakers hold a global edge in high quality electrical vehicle adoption due to this and other related policy supports. Top EV automakers like Tesla, GM and Ford who produce renowned vehicles like the Model S, Model 3, and the Chevy Bolt. But, apparently, it looks like Republicans are now using tax policy as a means to legislate an attack on this innovation, which result in reduced fossil fuel demand, more energy independence for the U.S., and far less in the way of harmful particulate and greenhouse gas emissions.

(Tesla stock reacts negatively to news that Republicans are adding a provision to remove electrical vehicle incentives to their tax bill. Image source: Google Finance.)

Tesla bears, who have been rabidly consuming and perpetuating bad news (a good portion of it exaggerated or invented) about the leading U.S. electrical vehicle manufacturer, went nuts over the Republican announcement today. Tesla share prices dropped from around $320 to $296 following the move. More than a bit of this investor flight appears to be irrational. Ironically, Tesla is less exposed to risk from removal of this tax cut than automakers like GM due to the fact that it is already approaching the 200,000 EV limit under the tax credit. After this point, tax incentives for EVs from individual automakers drop off. And Tesla has already sold 250,000 vehicles globally with more than 150,000 of those sales coming from the U.S.

Republicans have once again proven that they are the anti-renewable energy, pro harmful impacts from climate change party. They have also once again proven that their capacity to use tax policy to greatly increase a variety of bad effects — ranging from worsening inequality in the U.S., to undercutting innovation and American technological leadership, to fighting directly against the very solutions and mitigations for a rapidly worsening climate situation.

RELATED STATEMENTS AND INFORMATION:

Links:

Republican Tax Plan Kills Electrical Vehicle Credit

EPA

Air Pollution Causes 200,000 Early Deaths in the U.S. Each Year

Rich Perry Says Fossil Fuels Will Prevent Sexual Assault in Africa (Hint: FALSE)

Hat tip to Suzanne

This post is dedicated to DT Lange

Energy World Rocked as China Cuts Coal Imports, Aims for Fossil Fuel Car Ban

The global energy posture is changing almost as rapidly as a climate increasingly choked with greenhouse gas emissions. And few parts of the world show this emerging trend more clearly than China. In short, China is adding restrictions to both domestic coal production and coal imports even as it is rapidly building new solar generation capacity and moving to ban domestic fossil fuel based vehicle sales.

Cutting Coal as Solar Grows

Recently, China made two major policy moves that have rocked the global energy markets. The first was its recent closing of terminals to coal imports — which may result in a net reduction of imported coal by 10 percent during 2017. Since July, China has closed approximately 150 smaller facilities to coal imports. These ports, which China has designated as tier two, are less able to test coal for compliance with China’s new emissions standards. As a result, coal imports have re-routed to larger (tier 1) facilities. A move that has created a backlog of coal off-loading ships.

In early September, China then closed the major port of Guangzhou to coal imports ahead of a cyclone. Guangzhou is one of China’s largest ports — capable of handling 60 million tons of coal per year. The closure sent shivers through coal exporters like Australia as the line of ships waiting to off-load coal lengthened. This port has since re-opened but larger constraints to China’s coal import market remain.

(China is defying all expectations with regards to the rate at which it is adding new solar electrical generation capacity. Such a strong renewable energy addition is coming in conjunction with far more restrictive domestic and import policies aimed at reducing coal burning and improving air quality. Image source: Renew Economy.)

Recently, China imposed caps on domestic coal production and aimed to reduce total coal generating capacity. These caps and cuts led some coal exporters to believe that China’s large fleet of coal plants would require more imports to fill a perceived demand gap. But China’s new, more restrictive import policies are belying those earlier notions.

In the larger context, China is engaged in a major shift toward renewable energy production. Through July, China had added approximately 35 gigawatts of new solar electrical generation capacity — with 24 gigawatts of that capacity being added in June and July alone. By early August, China’s total solar electrical generating capacity had exceeded 112 gigawatts. Strong adds that have to be putting more than just a little bit of pressure on traditional and dirty generating sources like coal. Add in China’s more restrictive policies and the picture for coal in the country during 2017 doesn’t look very rosy.

Fossil Fuel Vehicle Ban

After imposing tougher restrictions on coal imports, China’s second major policy move involves a recent statement that it will declare a ban date for all fossil fuel based vehicles. During the weekend of September 10th, Xin Guobin, China’s industry and information technology vice minister, announced that China would set a deadline for car makers to stop selling vehicles that run exclusively on diesel and gasoline.

Though no deadline has presently been announced, the move has resulted in a big freak-out by majority fossil fuel vehicle producers like General Motors.

(National polices are aiding a rapid transition away from fossil fuel based vehicles. These actions are enabling the goals of the Paris Climate Agreement and providing hope for reducing the terrible impacts of human-forced climate change. See interactive graphic of above image here: Bloomberg.)

China’s announcement comes alongside similar moves by Britain, France, Norway, the Netherlands, and India. France and Britain both plan to ban fossil fuel based vehicle sales by 2040. Meanwhile, the Netherlands and India have announced their own plans to phase out carbon-emitting cars. And, according to Bloomberg, countries accounting for 80 percent of the global vehicle market are now undertaking polices pushing toward the phase out of petroleum vehicles and the adoption of electrical vehicles.

China’s 28 million per year automobile sales, however, is a huge addition. And if the country imposes a deadline, it will force major automakers to further accelerate electrical vehicle production plans or become basically irrelevant as the fossil fuel vehicle market disappears.

(Rapid transition away from fossil fuel vehicles means declining prospects for oil just as a rapid transition to wind, solar, and battery based storage means declining prospects for coal and gas. Do we really want to be putting economic eggs into shrinking fossil fuel baskets? Image source: IEA, Bloomberg.)

Ironically, China’s move appears to be mirroring similar policies already put in place by U.S. states like California and U.S. technology leaders like Tesla. Sophie Lu, a Beijing-based China researcher for Bloomberg New Energy finance recently noted that: “Chinese regulators see the success of Tesla and other Californian companies, and want to promote the same success amongst Chinese car manufacturers.”

The fact that the world is following in the footsteps of both California and Tesla should set off a loud ringing in the otherwise deaf to new energy ears of the present administration in Washington. More to the point, valid analysis shows that China is setting itself up to dominate the newer, cleaner, less harmful to climates, and more appealing energy and technology markets of the future. And a failure to successfully engage in what is an emerging global competition at the federal level sets the U.S. up for a serious future failure and ultimate energy market irrelevance.

Links:

China is Banning Traditional Auto Engines: It’s Aim — Electric Car Domination

China Port Halts Coal Imports

China Announces Intention to Ban Fossil Fuel Vehicles

Fears Raised as China Cuts Coal Imports

Electric Cars Reach Tipping Point

 

The Economist Sounds Death Knell for the Internal Combustion Engine as Pathway Toward Carbon Emission Reductions Opens Wide

Earlier this month, The Economist prophetically declared that the “death of the internal combustion engine” is at hand. That the end for this inefficient fossil fuel burning monstrosity was “in sight.” And that, ultimately, “days were numbered” for a design that has so efficiently and so harmfully injected billions of tons of pollution into the Earth’s atmosphere.

(Gigafactories like this one being built in Nevada and numerous others being built in Southeast Asia are helping to enable a combined electrical vehicle and grid based renewable power revolution. Note that the Tesla gigafactory is still far from complete even though it is currently producing 5 GWh of lithium batteries per year. Production by end 2018 is expected to hit 35 GWh per year and ultimate production could hit as high as 150 GWh per year.)

The Economist notes that performance gains for electrical vehicles are quickly outpacing those of internal combustion engine based vehicles. That “today’s electric cars, powered by lithium-ion batteries, can do much better.” It finds that electrical vehicles are simpler to manufacture, easier to maintain, and easier to improve than traditional vehicles. It points to the fact that transportation based emissions alone result in 53,000 premature deaths each year in the U.S. vs the 34,000 who die due to car related collisions. And it cites research showing that transferring existing vehicles to electrical vehicles would reduce vehicle based carbon emissions by 54 percent using present grid sourced electricity generation. But it also rightly notes that as the grid becomes more and more dominated by renewable based energy systems, vehicle-based emissions will fall further — eventually reaching zero on a grid fully supplied by sources like wind and solar. Finally, The Economist notes that when mated with automation and ride share, EVs have the potential to reduce the number of vehicles on the road upwards of 90 percent (in the most optimistic assessments).

EVs are disruptive in that they’re becoming increasingly easy for start-up companies to produce — even if they are more difficult for traditional auto manufacturers who have heavily invested in fossil fuel based vehicle production infrastructure and parts chains. The result is that numerous independent EV shops are cropping up and that countries and industries who were not traditionally auto manufacturers are capable of making serious new entries. Tesla was an industry leader in this regard. But many such businesses are emerging all over the world from the U.S. to China to Europe to India and beyond.

(Increasing predictions for rate of EV build through 2040. Image source: The Economist.)

Moreover, the predicted rate of EV adoption just keeps rising. The Economist points out that UBS expects that 14 percent of all new vehicles in 2025 will be electric. And while UBS is among the more optimistic prognosticators, even traditional oil companies like Exxon are being forced to acknowledge that EVs will take larger and larger portions of the auto market. In just one year, from 2016 to 2017, Bloomberg adjusted its expected rate of new EV sales in 2040 upward from 400 million to 520 million, OPEC from 50 million to 250 million, and Exxon from 80 million to 100 million (see graphic above).

Such large and expanding build rates will certainly enable more and more rapid rates of global carbon emissions reductions. Not just through direct carbon emissions removal by replacing ICE based vehicles with EVs. But also by enabling the mating of batteries with renewable energy systems around the world. Tesla, which is today producing 5 gigawatt hours of battery storage in 2017 from its Gigafactory in Nevada is now starting to do just that. In South Australia, Tesla is involved in mating wind energy with battery storage even as it pursues a similar project in New Zealand and following its completion of a solar and battery based storage system for Kauai Hawaii.

(The amount of batteries available for both EVs and grid based storage is set to rapidly expand. Note that Tesla recently announced that its Nevada Gigafactory could eventually produce 150 GWh per year of battery storage. Image source: The Economist.)

By 2018, rate of battery production at the Tesla plant will accelerate to 35 GWh per year with the plant ultimately able to achieve near 150 GWh per year (according to Musk). Similar very large battery production plants are being built in Europe and China, with a number likely also slated for India in the near future. And the batteries produced in these plants can be used either in EVs or as a massive and growing energy storage pool that’s already capable of directly replacing coal and gas plants now operating on electrical grids.

Such was the economic reality for the Liddel Coal Plant in New South Wales Australia when AGL Energy decided it was more economic to replace the plant with wind, solar and batteries than to continue to burn coal and gas as a baseload energy supply. And this decision was made under present economic realities. Now imagine what those economic realities will look like when the world is producing more than an order of magnitude more battery storage each year at much lower cost and as wind and solar costs continue to fall. In other words, the electrical vehicle revolution is enabling the renewable power revolution and vice versa. And both are bringing forward the time when global carbon emissions start to consistently drop off. To support the advancement of one is to support the advancement of both — to the larger overall benefit of more rapid global carbon emissions reductions and a quickening ability to address the very serious issue that is human-forced climate change.

Links:

The Death of the Internal Combustion Engine

After Electric Cars, What Will it Take For Batteries to Change the Face of Energy?

Tesla Could Triple Planned Battery Output of Gigafactory 1 to 150 GWh

China is About to Bury Elon Musk in Batteries

Tesla to Build World’s Largest Lithium Ion Battery Plant in South Australia

The Economist Announces Death of the ICE

Liddel Coal Plant in New South Wales Will be Replaced By Wind, Solar and Batteries

Tesla Powerpack Will Join Wind Turbine at New Zealand Salt Factory

Renewables Boom as China Halts or Eliminates Another 170 Gigawatts of Coal Power Plants

On Monday, China announced that it was halting or delaying another 150 gigawatts worth of new coal power plant construction through 2020. In addition, the world’s largest coal user also announced that it would eliminate 20 gigawatts of present coal burning capacity. These moves come on the back of China’s previous cancellation and closure of 103 coal-fired plants coordinate with three consecutive years of falling coal consumption from 2014 through 2016.

(China’s annual CO2 emissions primarily come from coal use. Rapidly reducing that coal use is essential to addressing global climate change. Image source: NRDC.)

According to the China News press release, the move was aimed at both avoiding overcapacity and ensuring a cleaner energy mix. China’s National Development Reform Commission went on to state that: “New capacity will be strictly controlled. All illegal coal-burning power projects will be halted.”

China alone burns about half of all the coal converted into carbon dioxide each year globally. So if the world is to effectively address climate change, then China’s massive coal consumption needs to start tapering downward. And the faster it does, the better things will be for us all. Outwardly, the country appears dedicated both to the notion of becoming a global climate leader while also working to address its serious air and water pollution issues. And to the latter point, China plans to revamp its existing coal plants in order to lower harmful particulate emissions. Digging a bit deeper we find that a worrisome high level of coal burning is slated to remain in place at least over the next decade. Even if the trend is moving in a generally helpful direction and even as renewable energy platforms popping up across China may enable the country to further cut its harmful greenhouse gas emissions.

(China’s coal targets through 2020 show continued steady reductions. Image source: NRDC.)

China’s move to halt or eliminate 170 gigawatts of coal burning follows a larger plan to keep total coal capacity below 1,100 gigawatts by 2020. How much below is still somewhat up in the air. But it’s worth noting that present coal burning capacity in China is 900 gigawatts and the best news for all involved would be if this capacity did not increase and that China’s rate of overall coal use continued to fall. This action is in keeping with a stated goal to reduce coal’s portion of the Chinese electrical power supply to 58 percent by the same year (down from 70 percent in 2010).

It’s a trend that follows major renewable energy build outs. A build that, taking into account China’s past economic over-achievements could accelerate to replace coal capacity at a faster than expected pace. Solar alone is well ahead of plan and is now expected to reach 230 gigawatts worth of capacity by 2020. Meanwhile, China is on track to have about 250 gigawatts of wind capacity installed by the same year. But there, too, an acceleration in off-shore wind capacity that could spike this number may also be in the offing. And as of August, China was selling about 45,000 zero-emitting electrical vehicles each month with a goal to have around 3 million EVs per year by 2020.

All serious trends that will, hopefully, further accelerate China’s rate of greenhouse gas emissions reductions. Given Trump’s various attempts to sabotage Obama’s positive legacy of climate response and renewable energy production here in the U.S., somebody in the world needs to take the role of global climate leader. Trump’s vacuous vision and overtly divisive nature has given China the opportunity to step it up.

Links:

China Halts Building Coal Power Plants

NRDC

Global and China Wind Turbine Industry Report 2016-2020

China’s Strict Electric Car Quotas

India Utility Plans to Build EVs, Startup Bollinger Motors Launches Gritty Electric Truck, Wind Energy Boosters Push Europe to Meet Paris Goals Faster

Internal combustion engine automobile manufacturers and fossil fuel investors, eat your hearts out…

Indian electrical power generation utility JSW has decided to throw its weight behind building electrical vehicles for the larger Southeast Asian market. On the other side of the world, a small U.S. EV startup plans to sell 10,000 to 20,000 off-road all-electric SUVs each year. Meanwhile, still further east in Europe, an industry consulting group is recommending a rapid off-shore wind energy build-out to help address human-caused climate change.

An Indian Electrical Power Company Decides to take a Shot at EV Manufacturing

According to reports from The Economic Times of India, the utility JSW plans to pursue an electrical vehicle (EV) build-out as part of a larger drive by India’s government to have all new vehicles sold in the country be electrified by 2030. The company is outlaying 3,000 to 4,000 crore, or more than half a billion dollars, as an investment to jumpstart its EV manufacturing by 2020.

Though JSW’s previous economic interests have primarily focused on electrical power generation, steel, and mining, the group appears to be adopting a Tesla-like business model going forward by integrating energy storage, charging infrastructure, and electrical vehicles. Prashant Jain, JSW’s chief executive officer noted to ET that:

“India is at an inflexion point and the three businesses that we have identified offer growth. While battery storage and charging infrastructure would be a forward integration for us, electric vehicle is an adjacent business, but we believe it’s a huge opportunity as it will offer level playing field to new entrants.”

Upstart Bollinger Motors’ Serious Off-Road SUV

Across the Pacific in the U.S. a small company out of Hobart, New York, population 47,000, has produced a serious EV sport utility vehicle prototype. The Jeep-Hummer mashup looking thing has an impressive 362 horsepower and can be configured with 120 or 200 miles of all-electric range. A 6100 lb towing capacity and massive wheel base communicate an underlying attitude of grit that’s something entirely new in the electrical auto world and, well, for lack of a better set of descriptors, rough and rugged.

(With the advent of less expensive and more widely available battery packs and electrical drive trains, EV and energy storage companies are starting to pop up all over the place. The above video shows Bollinger Motor’s planned EV off-road truck — which it hopes to produce at a rate of 10,000 to 20,000 per year. JSW, a traditional India-based utility, just threw its own hat into the EV ring this week. With so few EVs available and so much demand for clean energy alternatives, the market at this time appears to be wide open. Video source: Bollinger Motors.)

At $60,000 per truck, it’s well within the traditional off-road market. And Bollinger ultimately plans to sell between 10,000 and 20,000 copies of this mean machine each year — if it can make the regulatory hurdles for U.S. auto manufacturing and find a partner that will help it produce all those thousands of units. A big if — but one that achieved could really help to jump-start the off-road EV market in the U.S.

Looking at traditional auto manufacturers, you kind of have to shrug and say — why didn’t they think of this? But one industry’s apathy is another entrepreneur’s opportunity. Or at least so thinks Bollinger.

Big Wind Energy Build Recommended for North Sea

Electrical vehicles are a key element of a synergistic suite of renewable energy technologies including wind, solar and energy storage that are increasingly capable of replacing fossil fuel burning infrastructure and removing harmful carbon emissions. Rapid growth in these industries enables swift reductions in the amount of heat-trapping gasses from human sources presently hitting the atmosphere.

Facts that were obviously on the minds of wind energy boosters in Europe during recent days as Michiel Muller of energy and climate consulting group Ecofys published a new report recommending a rapid increase in offshore wind development in order for Europe to meet Paris Climate Agreement goals. Muller noted that to prevent increasingly harmful warming, “Europe will need a fully decarbonized electricity supply by 2045. Renewables are essential to making this happen.”

(A graphic description of a large wind energy build-out recommended to help Europe meet its Paris Climate Agreement goals. Image source: Europe’s Growth Rate in Offshore Energy Must Triple to Get Paris Goals in Reach.)

Muller recommends adding significant new off-shore wind energy supplies from North Sea countries like France, Belgium, the Netherlands, Luxembourg, Germany, Denmark, Sweden, Norway, Ireland, and the United Kingdom.

During recent years, turbine size increases and industrial mass production efficiency gains have resulted in falling costs for both onshore and offshore wind generation. Offshore wind, which in the past has been somewhat more expensive than onshore wind or other traditional power sources, is becoming more cost-competitive. And it’s a power source that suffers less intermittency than its onshore brethren. However, lower solar and onshore wind prices present additional renewable energy and carbon emission reduction options for European states.

Links:

Europe Must Triple Off-Shore Wind to Bring Paris Goals Within Reach

Europe’s Growth Rate in Offshore Energy Must Triple to Get Paris Goals in Reach

JSW Energy Plans Electric Vehicles Manufacturing by 2020

JSW Energy

The Bollinger B1 is an All-Electric Truck with 360 Horsepower and up to 200 Miles of Range

Bollinger Motors

Hat tip to Suzanne

India and China Building Solar Like Gangbusters, Electric Revolution Continues as GM Sells EV for $5,300 in China, Tesla Plans 700,000 Model 3s Per Year

If we’re going to halt destructive carbon emissions now hitting the atmosphere, then the world is going to have to swiftly stop burning oil, gas and coal. And the most effective and economic pathway for achieving this removal of harmful present and future atmospheric carbon emissions is a rapid renewable energy build-out to replace fossil fuel energy coupled by increases in energy efficiency.

(To halt and reverse climate change related damages, fossil fuel based greenhouse gas emissions into the atmosphere need to stop.)

This week, major advances in the present renewable energy build and introduction rate were reported. Chiefly, India and China are rapidly adding new solar panels to their grid, the monthly rate of global EV sales surpassed 100,000 in June, GM is offering a very inexpensive electrical vehicle in China, and Tesla has ramped up plans for Model 3 EV production from 500,000 vehicles per year to 700,000 vehicles per year.

India and China Solar Gangbusters

In the first half of 2017, India is reported to have built 4.8 gigawatts (GW) of new solar energy capacity. This construction has already exceeded all 2016 additions. The country is presently projected to build more than 10 GW of new solar energy capacity by year-end. Large solar additions are essential to India meeting its goal of having 100 GW of solar electrical generation available by 2022. It is also crucial for reducing carbon emissions from fossil fuel fired power plants (coal and gas).

(Total solar capacity in India could hit 30 GW by end 2018. India will need to add solar more rapidly if it is to achieve its goal of 100 GW by 2022. Image source: Clean Technica.)

Further east, China added 24.4 Gigawatts of new solar energy in just the first half of this year. This pushed China’s total solar energy generating capacity to a staggering 101 GW. It also puts China firmly in a position to surpass last year’s strong rate of solar growth of 34 GW. China’s previous goal was to achieve 105 GW of solar production by 2020. One it will hit three and a half years ahead of schedule. China now appears to be on track to overwhelm that goal by achieving between 190 and 230 GW of solar generation by decade’s end.

(China has already overwhelmed its 2020 target for added solar capacity. Recalculating based on present build rates finds that end 2020 solar generation levels are likely to hit between 190 and 230 GW for this global economic powerhouse. Image source: China National Energy Administration.)

Such strong solar growth numbers in traditional coal-burning regions provides some hope that carbon emissions growth rates in these countries will continue to level off or possibly start to fall in the near future. Adding in ambitious wind energy and electrical vehicle build-outs in these regions provides synergy to the larger trend. If an early carbon emissions plateau were to be achieved due to rapid renewable energy build-outs in China and India, it would be very helpful in reducing overall levels of global warming during the 21st Century.

GM’s $5,300 EV for the Chinese Market

Adding to the trend of growing movement toward an energy switch in Asia this week was GM’s introduction of a small, medium-range electrical vehicle for the Chinese auto market. GM is partnering with China’s Baojun to produce the E100. A small EV that’s about the size of the U.S. Smart Car. The E100 has about a 96 mile all-electric range, a 62 mph top speed, and goes for $14,000 dollars before China’s generous EV incentives. After incentives, a person in China can purchase the vehicle for $5,300. GM states that 5,000 buyers registered to purchase the first 200 E100s hitting the market last month, while a second batch of 500 vehicles will be made available soon.

100,000 Electrical Vehicle Sales Per Month by Mid 2017

Globally, electrical vehicle sales have ramped up to 100,000 per month during June of 2017. This growth is being driven primarily by increased sales volumes in China, India, Japan, Australia, Europe and the U.S. as more and more attractive EV models are becoming available and as governments seek to limit the sale of petroleum-burning vehicles in some regions.

(Projected growth rates for EV sales appear likely to surpass present projections through 2020. Image source: Cleantechnica.)

Meanwhile range, recharge rates, acceleration, and other capabilities for these vehicles continue to rapidly improve. This compares to fossil fuel vehicles which have been basically stuck in plateauing performance ranges for decades. 2017 will represent the first year when sales of all EV models globally surpass 1 million per year. With a possible doubling to tripling of EV production through 2020.

Telsa Aiming for 700,000 Per Year Model 3 Sales

2018 will likely see continued growth as new vehicles like the Model 3, the Chevy Bolt, and Toyota Prius Prime provide more competitive and attractive offerings. This past month, the Chevy Bolt logged more than 1,900 vehicles sold in the U.S. in one month. If GM continues to ramp production, marketing, and availability of this high-quality, long range electrical vehicle, the model could easily sell between 3,000 and 5,000 per month to the U.S. market. Another vehicle — the plug in electric hybrid Toyota Prius Prime — is also capable of achieving high sales rates in the range of 5,000 per month or more on the U.S. market due to a combined high quality and low price so long as production for this model also rapidly ramps up.

But the big outlier here is the Tesla Model 3. By end 2017, Tesla is aiming to ramp Model 3 production to 5,000 vehicles per week. It plans to hit more than 40,000 vehicles per month by end of 2018. And, according to Elon Musk’s recent announcement, will ultimately aim to achieve 700,000 Model 3 sales per year. If such a rapid ramp appears, the Model 3 along with other increasingly attractive EVs could hit close to 2 million per year annual combined sales in 2018 and surpass 3 million at some time between 2019 and 2020. This is well ahead of past projections of around 2.2 million EV sales per year by 2020. Representing yet another early opportunity to reduce massive global carbon emissions coming from oil, gas, and coal.

Links:

India Installs 4.8 GW of Solar During First Half of 2017

China’s New 190 GW Solar Guiding Opinion Wows

China Could Reach 230 GW Solar by end 2020

GM Should Bring Baojun E100 EV to USA

EV News for the Month

Joint Venture for Baojun E100

Model 3 Annual Demand Could Surpass 700,000

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