New Study Predicts Approximately 4.1 Million EV Charging Stations By 2017
With strong demand for green cars, the use of Government backed incentives, and evolving technology, the boom for electric and plug-in hybrids has just begun. To analyze the future based on present figures, a new study from Frost and Sullivan, that was released last week, states that the charging infrastructure of America will be around 4.1 million stations strong by 2017.
Based on current trends, Frost and Sullivan predict that by 2017 around 71% of the charging stations will be Level 1, or stations using a regular household socket, which can produce a full charge in around 8-10 hours. The others, or around 27% according to Frost and Sullivan, will be level 2 chargers which produce a full charge in about 2-4 hours. The reason for almost three times more level one stations is because that charging method does not require installation of new hardware and is a cheaper solution today.
According to the research, Frost and Sullivan predict that the charging infrastructure will grow at a compound annual growth rate of 128.12% until 2017, due to the currency of the ‘green’ concept and volatile oil prices. With ever developing technology in all industries that use and create batteries, the potential low cost benefits of future solutions will help automotive manufacturers produce even more vehicles based on demand and therefore create more charging stations.
“Participants are introducing various strategies such as providing EV charging facilities in restaurants, leisure places and malls as a value-added service to customer,” Frost and Sullivan Research Associate Prajyot Sathe Said. Sathe continued, “They also adopt various business models such as subscription and par-per-use to attract more buyers and make the most out of the market’s potential.”
The biggest issues to verify the estimated compound annual growth rate of the charging infrastructure is based on the research and development within the EV community over the next two to three years, according to Frost and Sullivan. As the market is still young, various factors will play into future business models and R&D projects which could either stall growth or create an even larger annual rate.
To learn more about this study, take a look at the press release from Frost and Sullivan.