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MAASTRICHT, Netherlands, Feb. 25, 2020 /PRNewswire/ — Despite the challenges associated with transitioning to eMobility, the global uptake of going electric is accelerating in numerous countries. About three million public charging points will be needed for 44 million electric vehicles in 2030 if the EU is to become climate neutral by 2050, as per a report by Transport & Environment (T&E). That means, over 15 times of the 1,85,000 current public chargers will be required to keep up with the growing market ahead of 2020. The shift of turning electric will create a multi-billion Euro market opportunity for the European market. This will also generate jobs in the grid works, manufacturing, installation and maintenance of new public charging stations.
The electric vehicle charging stations market is projected to reach USD 27.7 billion by 2027 from an estimated USD 2.5 billion in 2019, at a CAGR of 34.7% during 2020-2027. Increasing investments made by governments across the globe to develop charging infrastructure creates opportunities for OEMs to expand their revenue stream and geographical presence. The European market is projected to experience steady growth, owing to the well-developed infrastructure for electric vehicles according to the world’s largest revenue impact company, MarketsandMarkets.
Market giants such as Intel, Airbus, Samsung, Goldman Sachs, Alliance and Accel have entered the eMobility space as financial investors along with big technology companies like Google, Baidu, or Tencent have continued their involvement as strategic EV investors. Apart from venture capitalists (VC’s), numerous corporate venture entities of Fortune 500 companies stepped in last year to invest in the growing multi-billion Euro market. Utilities, oil and gas companies are rapidly taking advantage of these investment opportunities by acquiring and investing in start-ups.
“Fundraising is a continuous process for most EV Start-and Scaleups” said, Paul Jan Jacobs, speaker and advisory board member for the EV Charging Infrastructure and Technology Expo from 30th September – 2nd October 2020 at MECC, Maastricht.
Such investments are crucial to achieve zero emission transport ambitions set by the National Agenda for Charging Infrastructure and the National Government of Netherlands. The Dutch zero emission transport ambitions are:
- 100% zero emission new sales passenger cars by 2030
- 100% zero emission public transport by 2030
- 100% zero emission city logistics by 2030 in more than 30 largest municipalities
- 100% zero emission dedicated transport by 2025 in 32 municipalities
- Zero emission zones for commercial vehicles by 2025 in more than 30 largest municipalities
These ambitions are set by Bert Klerk who is the chairman and one of the advisory board members for the expo in Maastricht. The approach for charging infrastructure is that charging of an electric car should be as easy as charging a smartphone.
“The market is maturing across Europe and we are seeing an increase in interest in electric vehicle charging infrastructure,” said Manuel Fernandes who is the President of Tritium Europe. “This year we opened the TRITIUM E-MOBILITY INNOVATION CENTRE in Amsterdam to cater to this growth, and we will continue to add to our team to meet the market while continually innovating to stay ahead of it.”
US needs to invest $2.2 billion to meet EV Charging demand through 2025 according to International Council on Clean Transportation (ICCT). Since 2010, 61 EV charging infrastructure vendors have raised a cumulative total of $1.7 billion across 133 investment rounds. A total of 29% of these rounds did not disclose the investment value, indicating value of the investments is even higher. Vendors strategically acquire companies that strengthen their current EV charging offerings or open a new regional market. Acquisitions of these vendors by utilities reflects a shift in utility mindset and business model. In Europe, most of the charging infrastructure is operated by utilities. Leading utilities such as Enel, Eneco and Vandebron will be present at the expo in September.