Electrification
The Road to EV Adoption: Fast Lanes and Potholes
The following content is sponsored by Rock Tech Lithium.
The Road to EV Adoption: Fast Lanes and Potholes
Electric vehicles (EVs) are a key piece of the clean energy puzzle.
However, the road to electrification is influenced by various factors. While some are helping speed up the switch to EVs, others are slowing it down.
The above infographic from Rock Tech Lithium outlines the fast lanes accelerating mainstream EV adoption, and the potholes slowing it down.
The Fast Lanes Accelerating EV Adoption
From government policies to falling battery prices, a number of factors are putting EVs in the fast lane to consumer adoption.
Factor #1:
Promoting Policies
The shift to a clean energy future is slowly moving from a goal to a reality.
Governments around the world have made automobile electrification a key part of public policy. More than 20 countries are targeting a complete phase-out of vehicles that emit greenhouse gases over the next two decades. Furthermore, 35 countries have pledged for net-zero economies by 2050, where EVs will play a key role.
As an example, here’s a recent tweet that U.S. President Joe Biden wrote before signing an executive order to make 50% of the U.S. auto fleet electric by 2030:
“The future of the auto industry is electric—and made in America.”
—President Biden on Twitter
Given the increasing importance of EVs, it’s no surprise that governments are not only promoting auto electrification but also incentivizing it.
Factor #2:
Consumer Awareness
The rapid growth of the EV market is partly due to consumers that are choosing to go electric.
Rising awareness around the risks of climate change as well as vehicle improvements from EV manufacturers is spurring EV adoption among consumers. Between 2015 and 2020, consumer spending on EVs increased by 561%, up from $18 billion to $119 billion.
As more consumers switch to EVs, the market will continue to grow.
Factor #3:
More Models
EV manufacturers are recognizing the need for a wider variety of vehicles to meet the needs of different consumers.
The number of available EV models has increased from 86 in 2015 to over 360 in 2020, and thanks to recent announcements from the auto industry, this trend is likely to extend over the next decade.
Company | # of New EV Models Announced | Year |
---|---|---|
Volkswagen | 75 | 2025 |
Ford | 40 | 2022 |
GM | 30 | 2025 |
Hyundai-Kia1 | 29 | 2025 |
BMW | 25 | 2023 |
Renault-Nissan2 | 20 | 2022 |
Toyota | 15 | 2025 |
Total | 234 | N/A |
1Hyundai is the parent company of Kia Motors.
2Refers to the Renault-Nissan-Mitsubishi Alliance.
Source: IEA
With more models available, consumers have a wider variety of cars to choose from, reducing the barriers to EV adoption.
Factor #4:
Falling Battery Prices
Batteries are the most expensive and important components of EVs.
Improvements in battery technology, in addition to expanding production, have driven down the cost of EV batteries. As battery costs fall, so do EV prices, bringing EVs closer to price-parity with gas-powered cars.
Year | Battery Pack Price ($/kWh) | % Price Drop Since 2010 |
---|---|---|
2010 | $1,191 | 0% |
2011 | $924 | 22% |
2012 | $726 | 39% |
2013 | $668 | 44% |
2014 | $592 | 50% |
2015 | $384 | 68% |
2016 | $295 | 75% |
2017 | $221 | 81% |
2018 | $181 | 85% |
2019 | $157 | 87% |
2020 | $137 | 89% |
Source: BloombergNEF
According to BloombergNEF, at the battery pack price point of $100/kWh, EV prices will become competitive with gas-powered cars, providing a boost to electrification.
All of the above factors are playing a major role in accelerating the EV transition. So what’s slowing it down?
The Potholes Slowing Down EV Adoption
Although the EV market is growing exponentially, it’s still in its early days, with various obstacles to overcome on the way to mainstream penetration.
Pothole #1:
The Supply of Battery Metals
EV batteries rely on the properties of various battery metals to power EVs. In fact, a single EV contains around 207 kg of metals.
As EV adoption grows, the demand for these critical minerals is expected to reach unprecedented highs. In turn, this could result in supply shortages for metals like lithium, cobalt, and graphite, potentially slowing down the growth of the EV market.
To avoid potential shortages, EV manufacturers like Tesla and Volkswagen are vertically integrating to mine their own metals, while governments work to build domestic and independent metal supply chains.
Pothole #2:
Charging Infrastructure
With more EVs on the roads, drivers need more places to plug in and recharge.
However, most countries are lagging behind in the installation of public chargers. The global average ratio of public chargers to EV stock is less than 0.15. This means that on average, there are less than 3 chargers for every 20 EVs.
But there are signs of optimism. Global charging infrastructure has doubled since 2017, and governments are incentivizing charger installations with subsidies and tax rebates.
Pothole #3:
Charging Times
While filling up gas tanks takes less than five minutes, it can take up to eight hours to fully charge an EV battery.
Fast chargers that use direct current can fully charge EVs in a couple of hours, but they’re more expensive to install. However, the majority of publicly available chargers are slow, making it inconvenient for drivers to charge on the go.
As charging technology improves, faster chargers are being developed to boost charge times. According to Bloomberg, new ultra-fast chargers can fully charge EVs in less than 30 minutes. Furthermore, the market share of fast chargers is expected to grow from 15% today to 27% by 2030.
Pothole #4:
Range Anxiety
Compared to gas-powered vehicles, EVs do not go the distance yet.
Limited driving ranges are known to cause “range anxiety”—the fear of running out of power—among EV drivers, presenting a hurdle for mainstream EV adoption. Additionally, the lack of charging infrastructure reinforces the problem of limited ranges.
However, consistent improvements in battery technology are resulting in longer driving ranges. Between 2015 and 2020, the average range for battery EVs increased by 60%. With further technological improvements, extended ranges will allow EVs be compete more aggressively with their gas-guzzling counterparts.
The Decade of the Electric Vehicle
The EV market is growing at a remarkable rate. EV makers sold around three million vehicles in 2020, up 155% from just over one million vehicles sold in 2017.
With several factors driving EV adoption and stakeholders working to overcome the industry’s obstacles, mainstream adoption of EVs is on the horizon.
Electrification
How EV Adoption Will Impact Oil Consumption (2015-2025P)
How much oil is saved by adding electric vehicles into the mix? We look at data from 2015 to 2025P for different types of EVs.

The EV Impact on Oil Consumption
As the world moves towards the electrification of the transportation sector, demand for oil will be replaced by demand for electricity.
To highlight the EV impact on oil consumption, the above infographic shows how much oil has been and will be saved every day between 2015 and 2025 by various types of electric vehicles, according to BloombergNEF.
How Much Oil Do Electric Vehicles Save?
A standard combustion engine passenger vehicle in the U.S. uses about 10 barrels of oil equivalent (BOE) per year. A motorcycle uses 1, a Class 8 truck about 244, and a bus uses more than 276 BOEs per year.
When these vehicles become electrified, the oil their combustion engine counterparts would have used is no longer needed, displacing oil demand with electricity.
Since 2015, two and three-wheeled vehicles, such as mopeds, scooters, and motorcycles, have accounted for most of the oil saved from EVs on a global scale. With a wide adoption in Asia specifically, these vehicles displaced the demand for almost 675,000 barrels of oil per day in 2015. By 2021, this number had quickly grown to 1 million barrels per day.
Let’s take a look at the daily displacement of oil demand by EV segment.
Number of barrels saved per day, 2015 | Number of barrels saved per day, 2025P | |
---|---|---|
Electric Passenger Vehicles | 8,600 | 886,700 |
Electric Commercial Vehicles | 0 | 145,000 |
Electric Buses | 43,100 | 333,800 |
Electric Two & Three-Wheelers | 674,300 | 1,100,000 |
Total Oil Barrels Per Day | 726,000 | 2,465,500 |
Today, while work is being done in the commercial vehicle segment, very few large trucks on the road are electric—however, this is expected to change by 2025.
Meanwile, electric passenger vehicles have shown the biggest growth in adoption since 2015.
In 2022, the electric car market experienced exponential growth, with sales exceeding 10 million cars. The market is expected to continue its strong growth throughout 2023 and beyond, eventually coming to save a predicted 886,700 barrels of oil per day in 2025.
From Gas to Electric
While the world shifts from fossil fuels to electricity, BloombergNEF predicts that the decline in oil demand does not necessarily equate to a drop in oil prices.
In the event that investments in new supply capacity decrease more rapidly than demand, oil prices could still remain unstable and high.
The shift toward electrification, however, will likely have other implications.
While most of us associate electric vehicles with lower emissions, it’s good to consider that they are only as sustainable as the electricity used to charge them. The shift toward electrification, then, presents an incredible opportunity to meet the growing demand for electricity with clean energy sources, such as wind, solar and nuclear power.
The shift away from fossil fuels in road transport will also require expanded infrastructure. EV charging stations, expanded transmission capacity, and battery storage will likely all be key to supporting the wide-scale transition from gas to electricity.
Electrification
Graphite: An Essential Material in the Battery Supply Chain
Graphite represents almost 50% of the materials needed for batteries by weight, no matter the chemistry.

Graphite: An Essential Material in the Battery Supply Chain
The demand for lithium-ion (Li-ion) batteries has skyrocketed in recent years due to the increasing popularity of electric vehicles (EVs) and renewable energy storage systems.
What many people don’t realize, however, is that the key component of these batteries is not just lithium, but also graphite.
Graphite represents almost 50% of the materials needed for batteries by weight, regardless of the chemistry. In Li-ion batteries specifically, graphite makes up the anode, which is the negative electrode responsible for storing and releasing electrons during the charging and discharging process.
To explore just how essential graphite is in the battery supply chain, this infographic sponsored by Northern Graphite dives into how the anode of a Li-ion battery is made.
What is Graphite?
Graphite is a naturally occurring form of carbon that is used in a wide range of industrial applications, including in synthetic diamonds, EV Li-ion batteries, pencils, lubricants, and semiconductor substrates.
It is stable, high-performing, and reusable. While it comes in many different grades and forms, battery-grade graphite falls into one of two classes: natural or synthetic.
Natural graphite is produced by mining naturally occurring mineral deposits. This method produces only one to two kilograms of CO2 emissions per kilogram of graphite.
Synthetic graphite, on the other hand, is produced by the treatment of petroleum coke and coal tar, producing nearly 5 kg of CO2 per kilogram of graphite along with other harmful emissions such as sulfur oxide and nitrogen oxide.
A Closer Look: How Graphite Turns into a Li-ion Battery Anode
The battery anode production process is composed of four overarching steps. These are:
- Mining
- Shaping
- Purifying
- Coating
Each of these stages results in various forms of graphite with different end-uses.
For instance, the micronized graphite that results from the shaping process can be used in plastic additives. On the other hand, only coated spherical purified graphite that went through all four of the above stages can be used in EV Li-ion batteries.
The Graphite Supply Chain
Despite its growing use in the energy transition all around the world, around 70% of the world’s graphite currently comes from China.
With scarce alternatives to be used in batteries, however, achieving supply security in North America is crucial, and it is using more environmentally friendly approaches to graphite processing.
With a lower environmental footprint and lower production costs, natural graphite serves as the anode material for a greener future.
Click here to learn more about how Northern Graphite plans to build the largest Battery Anode Material (BAM) plant in North America.
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