EV Sales Soaring, But Charging Stations Can’t Keep Up!
The growth of electric vehicles (EVs) has outpaced the development of public charging points, leading to a situation where there are more EVs on the road than available charging stations. This is according to a recent study by BloombergNEF analyst Ryan Fisher. The number of EVs per public charging point globally rose to 9.2 at the end of 2021, compared to 7.4 at the end of 2020.
In the United States, the ratio of EVs to public chargers increased from 19.7 in 2019 to 21.2 in 2021. The situation is even more pronounced in Europe, where the ratio has gone from 8 EVs per public charging point in 2019 to 20 in 2021. In China, the ratio of EVs to public charging points has remained relatively constant at 6 cars per charger since 2018, due to the government’s effort to expand charging infrastructure in the country.
while the growth of EVs has exceeded the development of public charging points, this can be seen as an opportunity for private investment in charging infrastructure.
In terms of fast and ultra-fast chargers, China has 16 EVs for every ultra-fast charger, while the United States has more than 100. The Netherlands, with the most favorable charger-to-EV ratio, mostly has slow chargers.
The rise in the ratio of EVs to public chargers can be seen as an opportunity for private investment in charging infrastructure. However, for charging stations to be profitable, high utilization is necessary. According to the BloombergNEF analysis, most fast chargers need 8-10 charging events per day to start making a decent return for the investor. Finding the balance between high utilization and customer satisfaction can be challenging, as too many sessions may lead to longer wait times for drivers.
Tesla’s Supercharger stations stand out, with an average of 10 ultra-fast charging points per site, compared to the 2-4 offered by competing networks. The long-term goal is for the ratio of EVs to public charging points to level out between 30 to 40 EVs per public charging point, similar to the situation in Norway, the most mature EV market in the world. The ratio of EVs to charging points will vary depending on factors such as the types of housing, the power grid, charging speeds, and government policy.
In conclusion, while the growth of EVs has exceeded the development of public charging points, this can be seen as an opportunity for private investment in charging infrastructure. A balancing act between high utilization and customer satisfaction is necessary for charging stations to be profitable, and each country is likely to end up with a different mix of home, public, and workplace charging and varying power outputs.
