BNEF: Sales of electric cars to 3 million by 2021

According to Bloomberg New Energy Finance´s (BNEF)  new study the electric car markets will grow faster than earlier expected. The forecast shows EV sales worldwide growing steadily in the next few years, from the record 700,000 seen last year to 3 million by 2021. 

The general finding is that EVs will not just have lower lifetime costs, but will also be cheaper to buy than internal combustion engine cars in most countries by 2025-29. This is because of tumbling battery prises.

Electric vehicles will make up the majority of new car sales worldwide by 2040, and account for 33% of all the light-duty vehicles on the road, according to the study.

It also confirms the recent announcements from car manufacturers related to electric cars. For example Volvo released their commitment to electric cars a couple of weeks ago saying that they will focus on hybrid or totally electric cars from 2019 onwards. The first totally electric Volvo-cars will be build in China, but later on also in Europe and  the US.

robots Tesla

Picture: Robots in Tesla factory. The new Tesla Model 3 was ready from the production line in California on Monday this week.

By 2040, EVs will be displacing 8 million barrels of transport fuel per day and adding 5% to global electricity consumption.

According to the study, since 2010, lithium-ion battery prices have fallen 73% per kWh. Manufacturing improvements and more than a doubling in battery energy density are set to cause a further fall of more than 70% by 2030.

Business Tech

TaskForce: Four key areas related to climate change and financial disclosures

Financial Stability Board and its working group, the Task Force, has published its recommendations for companies related to climate change and financial disclosures. This working group was established in December 2015  to set a voluntary, consistent disclosure for companies.

The 32 industry members of the Task Force, who are drawn from a wide range of industries and countries from around the globe, finalised the recommendations after extensive public engagement and consultation, including public consultation on a draft of the recommendations in December 2016.

The TCFD developed four recommendations on climate-related financial disclosures that are applicable to organisations across sectors and jurisdictions. The recommendations are structured around four thematic areas:

  • Governance: The organisation’s governance around climate-related risks and opportunities
  • Strategy: The actual and potential impacts of climate-related risks and opportunities on the organisation’s businesses, strategy, and financial planning
  • Risk Management: The processes used by the organisation to identify, assess and manage climate-related risks
  • Metrics and Targets: The metrics and targets used to assess and manage relevant climate-related risks and opportunities

In a joint statement, the TaskForce leaders say: “We encourage other business leaders to join us in this united effort to improve disclosure across sectors and regions. The Task Force’s recommendations will catalyze more consistent, comparable, and reliable disclosure of climate-related information that will facilitate more informed business and investment decision-making. These disclosures are an important step forward in enabling market forces to drive efficient allocation of capital and support a smooth transition to a low-carbon economy.” This private-sector TaskForce was chaired by Michael R. Bloomberg.

The signatories include for example companies like Aviva, Bank of America, Barclays, BNP Paribas, Borsa Italiana, London Stock Exchange, Calpers, Citigroup, Deloitte, EY, KPMG, PWC, ING Group, Moody´s, S&P and UBS Group.

The recommendations are backed by over 100 companies with market capitalisations of over 3,3 trillion US dollars and financial firms responsible for assets of more than 24 trillion US dollars.

The Financial Stability Board promotes international financial stability; it does so by coordinating national financial authorities and international standard-setting bodies as they work toward developing strong regulatory, supervisory and other financial sector policies.

Business Finance

BoE: Climate change and the systemic risk

IMG_0869The Bank of England (BoE) has published (16th June) its updated analysis of the climate change and systemic risk. According to the bank´s bulletin the central bank is focusing on the physical and transition risk sides of the climate change. This means for example that the central bank is entering more deeper co-operation with insurance companies and also reviewing climate-related risks in the UK banking sector.

The central bank is supporting the market transition to low-carbon economy with different co-operations in global and local markets. The bank is saying that a successful transition to a lower cardon future will require the engagement of wide range of actors, including central banks and financial regulatos.

According to the study, the next fifteen years will be critical while the global economy is undertaking a deep structural transformation. This would mean that around 90 trillion US dollars will be likely to be invested in infrastructure in the world´s urban, land use and energy systems until 2030. This estimate is based on Global Commission on the Economy and Climate organization.

But also the International Energy Agency (IEA) has estimated that 26 trillion US dollars of additional investments is needed in renewables and energy efficiency between 2015 and 2040 to achieve the 2* Celcius Paris climate agreeement target.

Green Finance barriers

Green Finance and Green Bonds are seen as new financial tools to help the transition to low carbon economy.  According to the Bank of England, there are still some barriers to be solved in order to scale up the green finance.

One obstacle is  the lack of integration of environmental impact in the investment process, which will lead to sub-optimal allocation of capital. The others include for example maturity mismatch between short-term and long-term needs, lack of clarity of green definitions, lack of relevant disclosure information of environmental issues and the level of understanding of the financial implications of environmental risks.

According to the BoE, G20 leaders and TaskForce will discuss Climate Change issues and this low-carbon transition in their meeting in Hamburg, July 7.-8. 2017.

Business Finance

Volvo XC90- too big to drive? No.

I had the pleasure to testdrive this SUV-luxury car, Volvo XC90. You know, the first thoughts when you see the car: how to drive this tractor? Well, I was surprised in everything.

First, the design and engineering. Volvo XC90 (VOLVB:SS)  is a car for outdoors, gardening and sports lovers. It has pleanty of space to take your items with you. And most important: the car is so brilliant with safety and engineering & hybrid solutions that you are amazed. Wheter your journey is in the city or in the countryside, this car is taking all needed actions and informing you when needed. And the designers have done their best in the quality and design inside the car with luxury materials like crystal and leather.

The so called City Safety recognises other cars, pedestrians, bicycles and large animals like mooses in the dark, and brakes automatically if needed. Pilot Assist helps you to keep the car in the middle of the road during long-distance driving. And Driver Alert informs you when a coffee break is needed. All these functions are based on the Volvo´s target for 2020: no injuries in a Volvo car.

Second, energy. This test car was also a plug-in-hybrid, which allows you to drive with electric power for about 35-40 kilometres. I first thought that you notice this kind of switch, but no. The driving was easy with both and you do not even notice the change during the drive.

Otherwise the average consumption is less than in average in the same size of other cars due to the electric power. According to the Volvo´s technical information, the consumption would be in this kind of a car: 2,1 litres per 100 kilometres due to the integrated system and the Co2 would be 49 g per kilometer.

Third, solutions for Drivers. The central operating panel is a touch panel (like in Tesla´s cars) and it allows you to integrate your iPhone or Android-phone to the service desk. This allows you for example to use Apple CarPlay with your own music, messages, podcasts, audiobooks from your own mobile phone. It is working well, altough the panel is having quite a many fingerprints, so maybe in the next series, they might use some kind of new material in this?

Finally, yes, this car is not too big for ladies, this car is using hybrid efficiently and this car has high-tech solutions for safety.  The overall experience of driving is very good and the usability of functions is also very good.

Technical details:

Volvo XC90 T8 Twin Engine AWD, plug-in-hybrid

Petrol/electric, automatic gear, four-wheel drive

Kilometres with electric power: 35-40 km

 

 

 

Lifestyle

Hyperloop One offering 9 potential routes in Europe

Hyperloop One is offering 9 potential routes in Europe for more efficient, greener and on-demand transportation. The company unveiled its plans in a conference in Amsterdam yesterday.

According to the company press release,  these nine potential European routes will connect over 75 million people in 44 cities, spanning 5000 kilometers and connecting the entire continent.

The proposed routes would greatly reduce passanger and cargo transport times across some of the continent´s most heavily trafficked regions. The routes include: Germany, Estonia-Finland, Spain-Morocco, Corsica-Sardinia, the Netherlands, Poland, UK Scotland-Wales, UK Northern Arc and UK North-South Connector.

With Hyperloop One, passangers and cargo are loaded into a pod and accelerated gradually via electric propulsion through a low-pressure tube. With this magnetic levitation the pod glides at airline speed for long distances, curbing emissions and fuel consumption at the same time.

Business Tech

The start of the Sailing Season

The start of the Sailing Season and the new Rolex.  Rolex Yacht-Master 40 is a new Oyster Perpetual with everose gold and black gloss finish dial. This nautical luxury watch has multicolour sapphires, green tsavorities and one diamond.

And because of its nature, it is waterproof to 100 metres. The co-operation with Rolex and Sailing stretch back to the 1950s.

The second model of the Yacht Master series is the Yacht-Master ii. This professional regatta watch was created in 2007. It features an exclusive function developed by Rolex: a programmable countdown with a mechanical memory that can be synchronized on the fly. A function that is required for precise timing during the crucial starting sequence of a regatta.

Design Lifestyle