Why is electric vehicle uptake low in Atlantic Canada? A comparison to leading adoption provinces

Abstract

This paper investigates potential electric vehicle (EV) adoption among households in Atlantic Canada, a region lagging in terms of EV uptake. The data come from a 2015 Survey for Preferences and Attitudes of Canadians towards Electric Vehicles or SPACE, with an intent to investigate electric mobility prospects in Canada through a series of socioeconomic, attitudinal, and stated preference (SP) questions. A latent class (LC) random utility model is used to segment Atlantic respondents based on their sociodemographic and environmental attitudes, and to estimate their willingness-to-pay for different vehicular features. A separate model is estimated for leading adoption provinces (Ontario and British Columbia), and compared to the Atlantic model. Results indicate that cash incentives and the quality of battery warranty are important features shaping the choice of vehicle powertrain in the Atlantic sample. Contrary to the model obtained from the leading provinces, electric range, maintenance cost, free parking, and access to high occupancy vehicle lanes are not significant attributes in the Atlantic model. With respect to segmentation, the adoption of EVs in the Atlantic model increases with youth, education, and progressive attitudes towards the environment, while income is not a determining factor. Our results imply some support for EVs among Atlantic consumers, though at less advanced levels than the leading adoption provinces in Canada. However, the high purchase price of EVs, lack of financial incentives, and limited public charging infrastructure are seen as key reasons for low EV deployment in Atlantic Canada. The demographic profiles of the plug-in oriented group, found in this study, suggest targeted decisions regarding policy and marketing.