What about disruptions from EV vehicles to the society/economy at large? Let's say we see market penetration of 50% or more with EV, even 90%. What would happen to our economy and jobs? What would change?
Obvious examples would be gas stations and their convenience stores. How about auto parts stores? Tires should be fine. Car dealerships? Guess that depends on whether they embrace or reject EVs.
How about state taxes and revenues? Gas taxes for roads would fall. Emissions testing revenue. I'm sure this would be offset by some new EV tax.
I'm just wondering how a complete or high level of transition to EVs would affect the average person, and our current economy.
One positive I can think of would be a possible decrease in hospitalization for asthma and respiratory issues from automobile exhaust. Possibly decreased cardiac disease, maybe even birth defects and childhood related illness (for those old enough to remember, childhood lead levels from leaded-gasoline). Maybe even some decrease in cancers, since gasoline and related agents have carcinogenic potential. So we may all be able to live longer and better lives with a transition to EVs.
Since we are all going to get new jobs or find new income sources, what would replace the gas stations? What would replace auto parts stores or would they just evolve?
Any other thoughts?
I am just trying to think of how our world would look as we transition to EVs, and possibly think ahead to how we could smooth out the human impact such a disruption may have on our society.
The entire world economy would be completely transformed for one thing. Oil is traded in US dollars and that is a major thing keeping the value up. With the world moving away from oil, it would hit the economies of the Middle East very hard. The countries that foresaw the end of oil like Saudi Arabia and invested in infrastructure will make it through, but some countries will implode when the market for oil goes away. On the upside, the west will largely ignore them this time.
There will still be some need for auto parts. You do have to change wiper blades and EVs can break. There are fewer moving parts to break, so there probably would be a shake out of the market and a reduction in stores.
Some states are already shifting to milk EV owners as a trade off for reduced gas tax revenue. Washington state has an EV surcharge on vehicle registrations and other states will follow suit. The states will use it as an excuse to effectively raise taxes as the new registration fees will likely be higher than what revenue the state would have gotten from the gas tax. That's the case in Washington. Other states are talking about mileage based fees. You report to the DMV how many miles you drove each year and they tax you accordingly.
The transition isn't going to be all that fast. In most countries there is a huge number of ICE cars and it's going to take a long time for all those to cycle out of use, even if there are a lot of new EVs available. And the ramp up for new EV availability will take decades to get to even 50% market share. The world currently makes about 100 million cars and light trucks. To convert all that production to EVs would require the equivalent of 200 Gigafactories. That requires a lot of capital investment and a fair bit of time to build that many factories and get production going. We're looking at a project that is probably bigger and more expensive than the US Interstate highway system and that took over 30 years to complete phase 1 (the last of the original highways laid out in the 1950s was completed in the early 1990s).
Respiratory problems from air pollution would improve as fewer cars with oil burning engines were on the road, though we might see an increase in leukemia rates from people riding or driving EVs with little shielding from the electrical noise generated by the motors. This probably isn't a problem with metal bodied cars like the Model S, but it could be a problem with cars like the i3. The i3's Am radio is disabled because the electrical noise from the motor is so bad it swamps the AM radio spectrum. It's not settled science, but there is some speculation that exposure to those levels of EM noise can raise the risk of cancers like leukemia. It is pretty well proven that industries that require being around high EM fields like aluminum smelting (which is done electrically) have higher cancer risks.
At the moment this is an unknown that we will probably be learning more about as EVs become more common. I am less concerned about the EM fields in the passenger compartment of Model S and Xs because I have seen people report that the AM radio works in their cars with maybe a bit of a buzz or hum from the electric motor. Unlike the i3 where it is unusable.
The transition will be slow enough that the shake out will be over a generation instead of all at once and it likely won't upset the economy too much. There will still be a need for oil for some time to come. Batteries powered aircraft are going to remain a curiosity for some time to come. Weight is a huge issue in aircraft and a plane carrying a big load of batteries is not going to be able to carry much else. Also battery powered aircraft can only drive propellers, and jets need to continue to burn some kind of liquid fuel. Biofuels for aircraft are possible, but the tradeoff in range is not viable for most aircraft application and they will continue to need the highest energy density fuel, which is oil based.
Also oil will continue to be necessary for long distance commercial travel until a battery is invented that can charge as fast as you can fuel a truck. Commercial vehicles only make money when they are moving and sitting for hours recharging is not economically viable. For local delivery vehicles that are idle for half the day or more, EVs can be a good option and will probably become common in some European cities in the near future.
However as the world's transportation needs switch away from oil, it will hit the oil companies hard. Some very rich people will be faced with their cash cow going away and they will likely fight back very hard. Usually by buying politicians. I expect a lot of political fighting because of it. The US will be especially torn because many of the world's largest oil companies are based here. The Seven Sisters aren't really the seven anymore, but five of them were American.
There are convenience stores around that don't have gas pumps and that sort of store will probably still be around. I never go inside the store as the places I fill up now, so that probably wouldn't be much of a big deal for me.
There will be multiple phases to the EV market evolution. In the first phase EVs are going to continue to have shorter ranges than ICE and will take a while to recharge. Oasis of entertainments will pop up around fast charging sites like superchargers to give people who are stuck charging something to do. Right now a lot of SCs are near restaurants and malls, which will continue, but there will probably be other tourist attractions.
As EVs get longer range, fewer people will be using fast chargers on the road and instead destination charging will become the big thing. Hotels and motels will start offering charging like they advertised free HBO 20+ years ago. It will be something more and more hotels offer until most of the spaces at hotels and motels will offer EV charging. The road side attractions that sprang up to entertain people at fast chargers will fall on hard times and many will fold.
As EVs become more common, a whole lot of infrastructure is going to have to be built to support EV owners who don't have garages. There will be pushes for cities to put in charging for people who can only park on the street and apartment complexes will start offering EV chargers to residents.
There will be a boom industry in building EV infrastructure. Anyone put out of work by the decline of the ICE will be able to get work, at least for a while, putting in EV infrastructure.
We also have no idea what kind of side industries will spring up because of EVs. Whenever technology changes, there are always entrepreneurs who think of things nobody ever thought of with the new technology.