Abstract:
Rapid population growth and urbanization in South Africa exert ever more pressure on energy and transportation demand. As the South African transport sector is very reliant on fossil fuels, this may lead to increased tailpipe pollution, increased imports of fuel and pressure on the fiscus. Simultaneously, the global transition to electromobility is occurring rapidly in Asia, Europe, and the United States. South Africa lags the rest of the world with electric vehicle uptake. This paper unpacks the technical and perceived barriers that may hinder the mass uptake of electric vehicles. It furthermore assesses the opportunities in South Africa for electric vehicles and the global growth thereof. The study uses a quantitative approach to address the research objectives and uses primary and secondary data sourced using snowball sampling techniques and social media platforms to gather opinion data from experts in the automobile industry, public sector and general public.
The results indicate that electric vehicle technology can lower carbon emissions, stimulate innovation, decrease the country's dependence on fossil fuel and foster economic development by lowering transport costs. Nevertheless, electric vehicle technology is associated with social, infrastructure, economic and political challenges that need to be overcome. The results further show that the higher price premium of electric vehicles cannot be offset by only lower running costs. As a result, capital subsidies, lower import tariffs and supportive transport policies are required to promote electric vehicles. The study informs consumers, automobile industries and policymakers of the implications of mass uptake of electric vehicles and the incentives required to stimulate electric vehicle update.