The automotive industry has been working toward achieving a vision of a greener and more sustainable world for many years now. The future demands the adoption of new technologies and solutions in order to reduce carbon footprint and make the industry more environmentally-friendly. In this article, we will be discussing some of the key benefits that using electric vehicles have to offer as well as some of the key challenges that they are facing at the moment. As you read further, you will learn about the role that electric vehicles play in reducing carbon footprints, exposing you to some of the main reasons why you should begin switching over to electric vehicles today. You will also learn about the different types of electric vehicle models out there and which business benefits each one offers its users.
Why Is It Important To Switch Over To Electric Vehicles?
The electric vehicle industry is showing significant growth across the board. In fact, the number of electric vehicles on the road has increased by nearly 50% since 2016 when it was at 33.7 million. Such growth signifies the high demand for electric vehicles that businesses are now experiencing. When it comes to environmental impact, electric vehicles have the potential to reduce carbon footprint by 94%. This means that you could reduce your company’s CO2 emissions by more than 94% if you switch over to electric vehicles. Additionally, the adoption of electric vehicles also has a positive impact on your company’s bottom line. This is because of the operational cost savings that come with it. This not only helps you to reduce your costs, but it also allows you to improve asset quality and increase your asset utilization.
Reduce CO2 Emissions By 94%
Before we even talk about the various business benefits electric vehicles are bringing to the table, we need to first discuss how they help you to reduce carbon footprint. Electric vehicles have the ability to reduce carbon footprint by 94% because they do not emit fossil-based gases like CO2. With the rising demand for transportation, the transport sector is one of the most important contributors to CO2 emissions. With its low carbon emission, the adoption of electric vehicles in your fleet has the potential to reduce your company’s carbon footprint by more than 94%.
Provide Operational Cost Savings Up to 90%
One of the most significant benefits of switching over to electric vehicles is the operational cost savings that they can provide. With petrol-based vehicles, you need to plan in advance for the fuel costs, as they will be significantly higher than the cost of electricity. However, this is not the case with electric vehicles. With the cost of electricity declining over time, you can save a lot of money by switching over to electric vehicles. Currently, the price of electricity in India is at a low, which means that you can save a lot of money by switching over to electric vehicles. Furthermore, you can also receive additional business benefits with the use of electric vehicles. With the reduced carbon footprint, you could also benefit from higher equity valuations by exposing your company to some of the main equity research reports. At the same time, you can also increase employee satisfaction by reducing carbon footprint. This can be achieved by reducing the number of car trips employees take and encourage employees to use public transportation instead.
Additional Business Benefit Of Increased Employee Satisfaction
From a business perspective, the use of electric vehicles can lead to an increase in employee satisfaction as it can provide a healthy work-life balance. Many people now prefer to work from home rather than having to go to the office. This can lead to a decreased demand for office space and supply chain. This in turn can lead to significant cost savings for the company. Besides the cost savings, you can also contribute to a healthier work-life balance and increase employee satisfaction by encouraging employees to use public transportation. In this regard, you can provide them with free passes or reduce their car allowance. This can easily be done by switching over to electric vehicles in your fleet.
What Are The Challenges Electric Vehicles Face?
Now that we have discussed the benefits that come with the use of electric vehicles, let’s now discuss some of the challenges that the industry faces at the moment. With increasing demand for electric vehicles, there have been limited growth opportunities for vendors to use batteries and other components for the same. This has led to an increase in prices of these components, which has reduced the adoption of electric vehicles. With the current policies and regulations governing the automobile industry, it is also challenging for companies to adopt and deploy electric vehicles. To make it more convenient for consumers to switch over to electric vehicles, it is important to promote their benefits as well as provide them with adequate charging infrastructure. This can increase the adoption of electric vehicles and promote sustainable growth in the Indian automobile industry.
Conclusion
The adoption of electric vehicles is a step toward a more sustainable future. Businesses can reduce carbon footprint, improve asset utilization and reduce costs by switching to electric vehicles. You can also promote the benefits of electric vehicles to increase their adoption, which has significant benefits for your company.