30% of world’s vehicles to use renewables by 2030, says Lux | RenewEconomy

30% of world’s vehicles to use renewables by 2030, says Lux

Print Friendly, PDF & Email

Lux Research report highlights oil’s dominant position, fails to note electric cars are better vehicles in “almost every way.”

share
Print Friendly, PDF & Email

CleanTechnica

We already possess sufficient clean alternatives to take over from most fossil fuels, except the world’s economies are market driven. Clean technologies need to be competitively priced before mass adoption is possible. Some argue this will change as the true cost of fossil fuels becomes more evident. A new Lux Research report uses a more conservative approach, when it predicts 30 percent of the world’s vehicles will be using renewables by 2030.

Oil’s Dominant Position

oil position

“Oil’s dominant position in transportation fuels has proved impregnable for more than a century, but real threats abound now,” said Brent Giles, Lux Research Director and lead author of DEALING WITH THREATS TO THE TRANSPORTATION FUEL OIL INDUSTRY.

He writes, “Transportation fuels, which account for some 80% of global crude oil demand, is the lifeblood of the industry. As an extremely dense but affordable energy source, oil powers 1.2 billion vehicles globally that use 800 billion gallons of fuel per year.”

No Mention Of Terms Like “Climate Change”

You will not find terms like “climate change,” “extreme weather events,” or “environment” in this report. Nor is there any mention of the costs arising from air pollution, climate threats to plants, fish and wildlife, acid rain, ocean acidification, or water pollution.

A recent report from the Overseas Development Institute states G20 nations are paying $452 billion a year in subsidies, public financing, and state owned fossil fuel firm investments – but Lux does not mention subsidies.

There are numerous references to the threats from emissions regulations. Here are three samples:

“Advances in technology have eliminated the peak oil theory, but regulations may forcefully impose peak carbon instead.”

“Growing pressure to reduce carbon emissions is creating an uneven playing field tilted against conventional fossil fuel.”

“Government regulations have had a profound impact on the transportation fuels market. It has been the catalyst that has empowered gasoline and diesel substitutes like biofuels and electricity from an academic research project into a credible industry threat in many major markets.”

6043466591_e007ba7740_o-1038x576

Renewables Will Power 1/3 Of World’s Vehicles By 2030

I suspect the author of this report has had only a limited exposure to electric vehicles. Far from being simply an environmentally friendly alternative to “gas cars,” most owners appear to think of EVs as “just better vehicles, in almost every way.” They leave one with the impression that gas cars are destined to become museum pieces, alongside steam locomotives and horse drawn chariots. The tipping point, for mass adoption, is expected after EVs reach price compatibility

Another factor that this Lux Report does not consider is the demise of the automotive culture in many European cities. A 2012 study found that two third’s of Berlin’s population did not own cars.

“If I want to drive a car, I rent one,” a young Berlin based executive told me.

Some North American cities are also developing alternative means of transportation (walking, bicycles, mass transportation).

The LUX report is clearly written by someone whose thinking has not gone beyond the constraints of North America’s automotive culture. This makes its conclusion, that alternate fuels will power of the 1/3 world’s vehicles by 2030, even more significant:

“Even in the case of moderate adoption, biofuels would be a $220 billion industry worth a 13% share of transportation fuels in 2030. Meanwhile electric vehicles are approaching an inflection point between 2035 and 2040 where half of all cars sold will be plug-ins. All told 31% of global vehicles will be running on alternative fuels in 2030, and the drop in demand will make typical oil production in the U.K., Brazil, Canada and parts of the U.S. uneconomical.”

Top photo credit: Projected fuel sources 1982-2030 – Courtesy Lux Research; Gas Pumps by Richard Elsey via Flickr (CC BY SA, 2.0 License)

Source: Cleantechnica. Reproduced with permission.

Print Friendly, PDF & Email

4 Comments
  1. Mike Dill 4 years ago

    The only reason that this may be only 30% is due to the fact that cars are lasting 20 years. Due to the ongoing cost reductions of battery packs, In five to ten years electric cars and trucks will be cheaper to buy than the ICE models. They are already cheaper to operate. There will be no rational reason for buying an ICE by 2025. Oh, and bio-fuels will be dead by 2030 or so as short and medium range commercial aviation will be running on batteries also.

  2. trackdaze 4 years ago

    Oil is about to have its peak coal moment.

  3. ElectrikLeo 4 years ago

    The rate of adoption by disruptive technologies is always underestimated even by the ‘experts’. Not only will EVs dominate the market by 2030 but there will simply be less vehicles sold as autonomous technologies reduce the need for car ownership (why own one with all the associated costs when you can summon one from an app). This technology will disrupt the auto industry.

    The oil era to be toast by 2030 following the same trend lines that saw Kodak decline from it’s most profitable year in 1999 to bankruptcy in 2012. The demise of oil has already commenced.

    • trackdaze 4 years ago

      At the margins there will be a drop in car ownership. Counter to this will be the need for access which may see more autonomous cars produced to meet “on demand” usage expecially for peak demand periods.

      In short to meet one persons needs may require 2or3 vehicles.

      I summoned a taxi by phone (which still works better than a few apps mind you)on new years and it still hasn’t arrived.

Comments are closed.

Get up to 3 quotes from pre-vetted solar (and battery) installers.