Promoting electric vehicle demand in Europe: Design of innovative electricity consumption simulator and subsidy strategies based on well-to-wheel analysis

Abstract

Decarbonization in the transport sector, especially in private mobility, is one of the main objectives of the European Union (EU) for next few years. Battery electric vehicles (BEVs) represent a promising solution for reducing pollution and GHG emissions; however, their purchase price contributes to curbing their diffusion. In this scenario, the aims of this study are to develop a flexible, simulation-based analysis for EU car fleets in terms of energy consumption and GHG emissions and, based on the simulation results, to propose an innovative system of financial subsidies. This can support governments in encouraging EU customers to prefer sustainable and green options for mobility. Different car segments have been considered; the electrical energy consumptions have been obtained through the development of an ad-hoc simulation model in Simulink®-MathWorks environment, while the Well-To-Wheel analysis has been performed to estimate GHG emissions. Based on these assumptions, four different subsidy strategies have been proposed and designed for countries of the EU-27. According to different logics, economic subsidies have been linked to GHG emissions avoided thanks to the use of BEVs. The results obtained show how BEVs’ consumption of electricity is low, even for larger vehicles, and this allows BEVs to be considered less impactful than internal combustion engine vehicles (ICEV) with respect to GHG emissions. Furthermore, results are highly variable, depending on the electricity mix of each considered country, and they show how, for the countries that use the most renewable sources, the proposed subsidies even can generate gains from consumers’ perspectives.