Rapid Transition to Electric Vehicles and Stable Electricity Prices

The increasing consumer choice in electric vehicles, driven by competition and innovation, has led to lower prices and extended driving range. Declining battery pack prices and the emergence of cheaper alternatives like sodium ion batteries are further driving down EV prices. Technology transitions typically follow an S curve and the transition to electric vehicles may take less than a decade once roughly 5% of all new car sales are electric. The transition will have a profound impact on stable and declining electricity prices, allowing for longer-term investment decisions in under-electrified sectors such as heating and industrial processes.