Understanding the Electric Vehicle Landscape to 2020 - IEA

Global EV Outlook DATA & ANALYSIS 19
NATIONAL POLICY INITIATIVES
EVI data show where mass EV deployment is occurring.
A look at the policy support and market dynamics in
those locations yields important insights into the level
of global deployment efforts [ Table 1 ].
In most cases, strong government support on both the
demand and supply sides have contributed to rising
market penetration. Well-designed financial incentives
for consumers at the national and local levels are lowering
upfront costs for EVs and EVSE, quickening sales and
infrastructure deployment in a number of global markets.
Such incentives are not only of benefit to early adopters,
but give car manufacturers and other consumers confidence
in market development.
A mix of non-financial incentives is also bearing fruit.
EV access to restricted roadways is spurring uptake,
especially in California, the United States’ largest vehicle
market. Utilities are demonstrating support through
time-of-use rates. Local governments are pursuing fleet
acquisitions and partnering with the private sector on local
mobility initiatives. Car sharing, for example, is proving a
natural fit with EVs since it allows drivers to reap the benefits
of electrified transport without having to face the higher
upfront cost.
On the supply side, RD&D on batteries, fuel cells, and
vehicle systems are having a positive impact on the market.
Battery development costs have dropped significantly,
thereby reducing the largest cost barrier to mass-market
EV deployment.
Pilot cities are learning not only from their initial experiences,
but also from each other. By doing so, cities seeking to
transform local markets do not have to bear all the costs
of a first-mover, but can learn from other early leaders.
Policymakers are promoting inter-city and international
forums to share feedback from early market introduction.
Smart Electric Drive Charging Station — Frankfurt, Germany, September 2011