11 million electric vehicles forecast to hit UK roads by 2040 creating a £150 billion opportunity for utilities, Accenture finds
May 9, 2019
May 9, 2019
LONDON: 9th May 2019 – With 1 million Electric Vehicles (EVs) forecast to hit UK roads by 2025 and 11 million by 2040 as consumers increasingly purchase EVs over conventional vehicles, utilities companies are presented with a £150 billion eMobility opportunity, according to new research from Accenture (NYSE: ACN).
The Utilities: Lead the Charge in eMobility report from Accenture Strategy found that utilities stand to make significant competitive gains by bundling services for EV owners. Besides a £130 billion opportunity from providing low-margin electricity for EVs in the UK, utilities can add £15 billion of higher-margin new eMobility services such as remote charging apps, integrated home-EV energy management, payment processing and financing for EV purchases. By combining these services on a single platform, utilities can optimise system performance and help improve the overall EV customer experience.
"Companies that can help make EV ownership easy and affordable for consumers will accelerate adoption and improve competitiveness across their industries. UK consumers are increasingly making purchasing decisions based on a company's purpose and their commitment to important principles such as improving the environment, which will aid adoption,” said Justin Keeble, managing director, Accenture Strategy. “Utilities are uniquely positioned to play a significant role in the eMobility market by providing differentiated and meaningful customer experiences, while making critical ecosystem partnerships."
According to an additional study by Accenture Strategy surveying 500 consumers in the UK, environmental reasons are the main purchasing driver of EVs today, followed by the cost-saving opportunities they offer. Sixty percent of future EV owners in the UK would switch to an EV to save money in the long term. However, while battery technology continues to advance and new leasing options arise, purchasing costs of EVs and access to charging—such as domestic energy systems or public charging stations—remain a barrier to ownership. For example, 87 percent of UK consumers who intend to be future EV owners plan to charge their vehicles primarily from their homes, but only 46 percent have their own garage.
Utilities can capitalise on this opportunity if they take key actions that will accelerate EV adoption and claim their industry role as the market driver, including:
For more information about the report, visit: https://www.accenture.com/eMobility.
The Accenture Strategy Utilities: Lead the Charge in eMobility report is based on geographic level value scenario modeling and a survey of 6,000 consumers, conducted between August and October of 2018, in France, Germany, Italy, the Netherlands, Norway, Spain, Sweden, the United Kingdom and the United States.
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Lucy Davies
Accenture Strategy Media Relations
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Matt Corser
Accenture Resources Media Relations
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matthew.corser@accenture.com