Record numbers of solar panels were shipped in the United States during 2021

100% Renewable Energy Transition unites solar, wind, hydropower, geothermal, and bioenergy with storage, smart grids, and sector coupling, delivering decarbonization, energy security, and lower LCOE amid post-Fukushima policy shifts and climate resilience goals.

Key Points

It is a pathway using all renewables plus storage and grids to fully decarbonize power, heat, transport, and industry.

✅ Integrates solar, wind, hydro, geothermal, and bioenergy

✅ Uses storage, smart grids, and sector coupling for reliability

✅ Requires enabling policies, finance, and rapid deployment

Renewable energy organizations representing different spheres of the renewable energy community have gathered on the occasion of the tenth anniversary of the Great East Japan Earthquake and Fukushima nuclear accident to emphasize that renewable energies are not only available in abundance, with global renewable power on course to shatter more records, but ready to deliver a renewable world.

The combination of all renewable technologies, be it bioenergy, geothermal energy, hydropower, ocean energy, solar energy or wind power, in particular in combination with storage options, can satisfy all energy needs of mankind, be it for power, heating/cooling, transportation, or industrial processes.

Renewables have seen tremendous growth rates and cost reduction over the past two decades, but there are still many barriers that need to be addressed for a faster renewable energy deployment to eventually achieve global 100% renewable energy, as outlined in an on the road to 100% renewables initiative that charts the path. It is up to political decision-makers to create the legislative and regulatory conditions so that the renewable energy community can act as fast as needed.

Such rapid switch towards renewables is not only a must in light of nuclear risks and the growing threats of climate change, but also the necessary response to the current pandemic situation. And it will allow those hundreds of millions of humans in unserved areas to get for the first time ever access to modern energy services, as noted by a new IRENA report that details how renewables can decarbonise the energy sector and improve lives.

Speakers from the renewable energy community presented today in a joint webinar that a renewable future is a realistic vision, representing:

Energy Watch Group, Global100RE Platform, Global100RE Strategy Group, International Geothermal Association, ISEP Japan, REN Alliance, World Bioenergy Association, World Wind Energy Association.

Dr. Tetsunari Iida, Director of the Institute for Sustainable Energy Policies ISEP Japan:

Ten years ago, on 11 March 2021, the Great East Japan Earthquake and Fukushima Daiichi Nuclear Power Plant accident occurred. It is a "coincidence of global history" that it now coincides with the starting point of the 100% renewable energy initiative that is accelerating around the world.

The world has changed dramatically since 311. Germany, Italy, Switzerland, Taiwan, South Korea, China and many other countries were all shocked by 311 and shifted their focus from nuclear power to renewable energy, and in the U.S. clean energy industries are setting sights on market majority to accelerate this trend. The next ten years will be the decade in which this perception will rapidly become the "new reality". 311 was the "starting point" for a structural energy shift in world history.

Hans-Josef Fell, former MP, President of the Energy Watch Group and co-initiator of the Global100RE Strategy Group:

The disasters of Fukushima and Chernobyl are urging the entire world to quickly end the use of atomic energy, and many call for a fossil fuel lockdown to catalyze a climate revolution alongside the transition. Contrary to what is often claimed, nuclear energy cannot make a contribution to climate protection, but only creates immense problems with toxic radioactivity emissions, nuclear waste, atomic bomb material and the dangers of a nuclear catastrophe. In contrast, 100% renewable energies until 2030 can help achieve climate protection and a simultaneous nuclear phase-out, according to a recently published statement by a world-leading group of energy researchers from the USA, EU and Australia.

Their research suggests that a 100% renewable energy supply, including storage systems, can provide full energy security for all of mankind by 2030 and will even be cheaper than the existing nuclear and fossil energy supply, and with over 30% of global electricity already from renewables, momentum is strong. The only requirement for implementation is the right decisions taken by decision makers both in governments and industry. All technical and economic prerequisites for a disruptive conversion of the global energy supply to 100% renewable energies are already in place.

Hon. Peter Rae AO, President of WWEA and Honorary Chairman of the REN Alliance:

40 years ago, the idea of developing nuclear power appealed to me as a non-polluting method of generating electricity. So I studied it. How to deal with waste and how to ensure it would not create a danger to life. Along came Chernobyl and other accidents. Storage of waste was leaving dangerous hiding places while some waste was alleged to be dumped at sea. I became more and more concerned. There were demonstrations that the existing methods were dangerous and required very strict construction and operational tolerances - up went the cost. Long delays and huge cost increases. I had visited nuclear power stations and talked to expert proponents in UK, France, US, Taiwan and Australia, and debates such as New Zealand's electricity future reflect similar concerns. The more I did the more certain I became that it was not the way to go. Then Fukushima put the dangers and cost beyond doubt.

Let's get on with the rollover to renewables.

Dr. Marit Brommer, Executive Director of the International Geothermal Association IGA:

The IGA is proud to work with all renewable energy associations to continuously provide a unified voice to a cleaner energy future. The Geothermal sector is proven to be a partner of choice for many locations in the world serving baseload power and clean heat to customers. We are particularly interested in the increased attention system integration gets, which underpins the importance of all renewables coming together at events such as the webinar organised by the WWEA.

Christian Rakos, President of the World Bioenergy Association:

The IPCC has emphasized the important role of sustainable bioenergy for climate protection. Recent advances in technology allow us to use feedstock from forestry, wood processing and agricultural production in an efficient and clean way. Today, bioenergy already contributes 12 - 13% to global final energy demand. Importantly, contribution from bioenergy is more than 5 times as much as nuclear energy worldwide. Together with other renewable energy technologies such as solar, wind, geothermal and hydropower, bioenergy can increase the contribution in a substantial way to meet the energy demands of all end use sectors and meet the international energy and climate goals.

Stefan Gsanger, Secretary General of the World Wind Energy Association and Co-chair of the Global100RE Platform:

The switch to a renewable energy future requires new political and economic thinking: from centralised structures with few large actors towards decentralised, participatory models with millions of communities and citizens playing an active role, not only as consumers but also as producers of energy. To make this new paradigm the predominant energy paradigm is the true challenge of the energy transformation which we as the world community are facing. If we manage this shift well and on time, billions of people across the globe, in industrialised and developing countries alike, will benefit and will face a bright future.

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IEA Electricity Market Outlook 2023-2025 projects faster demand growth as renewables and nuclear dominate supply, stabilizing power-sector carbon emissions, with Asia leading expansion despite energy crisis shocks and weather-driven volatility.

Key Points

IEA forecast for 2023-2025 electricity demand: renewables and nuclear meet growth as power-sector emissions hold steady.

✅ Asia drives >70% of demand growth

✅ Renewables and nuclear meet most new supply

✅ CO2 intensity declines; grid flexibility vital

The world’s electricity demand growth slowed only slightly in 2022, despite headwinds from the energy crisis, and is expected to accelerate in the years ahead

Renewables are set to dominate the growth of the world’s electricity supply over the next three years as, renewables eclipse coal in global generation, together with nuclear power they meet the vast majority of the increase in global demand through to 2025, making significant rises in the power sector’s carbon emissions unlikely, according to a new IEA report.

After slowing slightly last year to 2% amid the turmoil of the global energy crisis and exceptional weather conditions in some regions, the growth in world electricity demand is expected to accelerate to an average of 3% over the next three years, the IEA’s Electricity Market Report 2023 finds. Emerging and developing economies in Asia are the driving forces behind this faster pace, which is a step up from average growth of 2.4% during the years before the pandemic and above pre-pandemic levels globally.

More than 70% of the increase in global electricity demand over the next three years is expected to come from China, India and Southeast Asia, as Asia’s power use nears half of the world by mid-decade, although considerable uncertainties remain over trends in China as its economy emerges from strict Covid restrictions. China’s share of global electricity consumption is currently forecast to rise to a new record of one-third by 2025, up from one-quarter in 2015. At the same time, advanced economies are seeking to expand electricity use to displace fossil fuels in sectors such as transport, heating and industry.

“The world’s growing demand for electricity is set to accelerate, adding more than double Japan’s current electricity consumption over the next three years,” said IEA Executive Director Fatih Birol. “The good news is that renewables and nuclear power are growing quickly enough to meet almost all this additional appetite, suggesting we are close to a tipping point for power sector emissions. Governments now need to enable low-emissions sources to grow even faster and drive down emissions so that the world can ensure secure electricity supplies while reaching climate goals.”

While natural gas-fired power generation in the European Union is forecast to fall in the coming years, as wind and solar outpaced gas in 2022, based on current trends, significant growth in the Middle East is set to partly offset this decrease. Sharp spikes in natural gas prices amid the energy crisis have in turn fuelled soaring electricity prices in some markets, particularly in Europe, prompting debate in policy circles over reforms to power market design.

Meanwhile, expected declines in coal-fired generation in Europe and the Americas are likely to be matched by a rise in the Asia-Pacific region, despite increases in nuclear power deployment and restarts of plants in some countries such as Japan. This means that after reaching an all-time high in 2022, carbon dioxide (CO2) emissions from global power generation are set to remain around the same level through 2025.

The strong growth of renewables means their share of the global power generation mix is forecast to rise from 29% in 2022 to 35% in 2025, with the shares of coal- and gas-fired generation falling. As a result, the CO2 intensity of global power generation will continue to decrease in the coming years. Europe bucked this global trend last year, however. The CO2 intensity of Europe’s power generation increased as a result of higher use of coal and gas amid steep drops in output from both hydropower, due to drought, and nuclear power, due to plant closures and maintenance. This setback will be temporary, though, as Europe’s power generation emissions are expected to decrease on average by about 10% a year through 2025.

Electricity demand trends varied widely by region in 2022. India’s electricity consumption rose strongly, while China’s growth was more subdued due to its zero-Covid policy weighing heavily on economic activity. The United States recorded a robust increase in demand, driven by economic activity and higher residential use amid hotter summer weather and a colder-than-normal winter, even as electricity sales projections continue to decline according to some outlooks.

Demand in the European Union contracted due to unusually mild winter weather and a decline in electricity consumption in the industrial sector, which significantly scaled back production because of high energy prices and supply disruptions caused by Russia’s invasion of Ukraine. The 3.5% decrease in EU demand was its second largest percentage decline since the global financial crisis in 2009, with the largest being the exceptional contraction due to the COVID-19 shock in 2020.

The new IEA report notes that electricity demand and supply worldwide are becoming increasingly weather dependent, with extreme conditions a recurring theme in 2022. In addition to the drought in Europe, there were heatwaves in India, resulting in the country’s highest ever peak in power demand. Similarly, central and eastern regions of China were hit by heatwaves and drought, which caused demand for air conditioning to surge amid reduced hydropower generation in Sichuan province. The United States also saw severe winter storms in December, triggering massive power outages.

These highlight the need for faster decarbonisation and accelerated deployment of clean energy technologies, the report says. At the same time, as the clean energy transition gathers pace, the impact of weather events on electricity demand will intensify due to the increased electrification of heating, while the share of weather-dependent renewables will continue to grow in the generation mix. In such a world, increasing the flexibility of power systems, which are under growing strain across grids and markets, while ensuring security of supply and resilience of networks will be crucial.

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Germany Solar Boom is accelerating amid energy security pressures, with photovoltaic capacity surging as renewables displace gas. Policy incentives, grid upgrades, and storage, plus agrivoltaics and rooftop systems, position solar as cornerstone of decarbonization.

Key Points

Germany Solar Boom is rapid PV growth enhancing energy security, cutting emissions, and expanding domestic, low-carbon electricity.

✅ Targets 250 GW PV by 2032 to meet rising electricity demand.

✅ Rooftop, agrivoltaics, and BIPV reduce land use and grid stress.

✅ Diversifies supply chains beyond China; boosts storage and flexibility.

Europe is in crisis mode. Climate change, increasing demand for energy, the war in Ukraine and Russia's subsequent throttling of oil and gas deliveries have pushed the continent into a new era.

Germany has been trapped in a corner. The country relies heavily on cheap imported natural gas to run its industries. Some power plants also use gas to produce electricity. Finding enough substitutes quickly is nearly impossible.

Ideas to prevent a looming power crisis in Germany have ranged from reducing demand to keeping nuclear power plants online past their official closing date at the end of the year. Large wind turbines are doing their part, but many people don't want them in their backyard.

Green activists have long believed renewable energies are the answer to keeping the lights on. But building up these capabilities takes time. Now many experts once again see solar power as a shining light at the end of the tunnel, as global renewables set fresh records worldwide. Some say a solar boom is in the making.

Before the war in Ukraine put energy security at the forefront, the new German government had already pledged that renewable sources — wind and solar — would make up 80% of electricity production by 2030 instead of 42% today. By 2035, electricity generation should be carbon neutral.

It is an ambitious plan, but the country seems to be on its way. July was the third month in a row when solar power output soared to a record level, trade publication pv magazine reported, and clean energy's share reached about 50% in Germany according to recent assessments. For the month, photovoltaic (PV) systems generated 8.23 ​​terawatt hours of power, around a fifth of net electricity production. They were only behind lignite-fired power plants, which brought in nearly 22% of net production. 

Solar cells hanging on a modular solar house during the Solar Decathlon Europe in Wuppertal, Germany
Solar panels can come in many different shapes and sizes, and be used in many different ways

Last year, Germany added more than 5 gigawatts of solar power capacity, 10% more than in 2020. That took the total solar power capacity to 59 gigawatts, overtaking installed onshore wind power capacity in Germany, pv magazine said in January. Last year's solar production was about 9% of gross electricity consumption, according to Harry Wirth, who is head of photovoltaic modules and power plant research at the Fraunhofer Institute for Solar Energy Systems in Freiburg.

"For 2032, the government target is around 250 gigawatts of solar energy. According to their estimates, electricity consumption will increase to 715 terawatt hours by 2030," Wirth told DW. A different study by consultancy McKinsey says this is the lower limit. "So if we assume 730 terawatt hours for 2032, we would be at around 30% photovoltaic electricity in gross electricity consumption," he added. 

The energy expert also envisions great potential to install more solar panels without taking up valuable land. Besides adding them on top of parking garages or buildings, photovoltaic parts can be integrated into the exterior of buildings or even on the outside of e-vehicles. This would "not only produce electricity on surfaces already in use, but it would also create synergies in its own application," said Wirth.

Foreign investment in German solar
It is not just researchers that are taking note. Big businesses are stepping in too. In July, Portuguese clean energy firm EDP Renovaveis (EDPR) announced it had agreed to take a 70% interest in Germany's Kronos Solar Projects, a solar developer, for €250 million ($254 million).

The Munich-based company has a portfolio of 9.4 gigawatts of solar projects in different stages of development in Germany, France, the Netherlands and the UK, according to the press release announcing the purchase. Germany represents close to 50% of the acquired solar portfolio.

EDPR, which claims to be the fourth-largest renewable energy producer worldwide, said it generated 17.8 terawatt hours of clean energy in the first half of 2022.

Miguel Stilwell d'Andrade, chief executive of EDPR and its parent EDP, said they have great expectations from Germany in particular as "it is a key market in Europe with reinforced renewable growth targets." 

Fabian Karthaus is one of the first farmers in Germany to grow raspberries and blueberries under photovoltaic panels. His solar field near the city of Paderborn in northwestern Germany is 0.4 hectares (about 1 acre), but he would like to expand it to 10. He could then generate enough electricity for around 4,000 households — and provide more berries for supermarkets.

Germany was once a leader in solar power. For many years the country enjoyed a large share of the world's total solar capacities. A lot of that early success had to do with innovative government support. That support, however, proved too successful for some as a fall in wholesale electricity prices in Northern Europe hurt the profits of power companies, leading to calls for a change in the rules.

Updated regulations, and changes to the Renewable Energy Sources Act that reduced feed-in tariffs slowed things down. Feed-in tariffs usually grant long-term grid access and above-market price guarantees in an effort to support fledgling industries.

With less direct financial incentives, the industry was neglected leaving it open for competitors. The pace of solar infrastructure growth has also been hampered by issues of red tape, supply chain backlogs, a lack of skilled technicians and, despite solar-plus-storage now undercutting conventional power in Germany, a shortage of storage for electricity produced when it is not needed.

Now the war in Ukraine and Europe's dependency on Russia is refocusing efforts and "will strengthen the determination for an ambitious PV expansion," said Wirth. But the biggest challenge to the region's solar industry remains China.

Public buildings can play a big role, not just because of their size, but because the government is in charge of them

An overreliance on China
China took an early interest in photovoltaic technology and soon galloped past countries like the US, Japan and Germany thanks to huge state subsidies that manufacturers enjoyed. Today, it has become the place to go for all things solar, even as Europe turns to US solar equipment suppliers to diversify procurement.

A new report from the International Energy Agency puts it into numbers. "China has invested over $50 billion in new PV supply capacity — 10 times more than Europe — and created more than 300,000 manufacturing jobs across the solar PV value chain since 2011."

Today China has over 80% of all solar panel manufacturing capacity and is home to the top-10 suppliers of photovoltaic manufacturing equipment. Such a high concentration has led to some incredible realities, like the fact that "one out of every seven panels produced worldwide is manufactured by a single facility," according to the report.

These economies of scale have brought down costs, and the country can make solar components 35% cheaper than in Europe. This gives China outsized power and makes the industry susceptible to supply chain bottlenecks. To diversify the industry and get back some of this market, Europe needs to invest in innovation and make solar growth a top priority.

Germany has several high-tech photovoltaic manufacturers and research institutes. But it only has one manufacturer of solar cells specializing in high-performance heterojunction technology, says Wirth. Yet even though the European photovoltaic industry is fragmented and not what it once was, he is still counting on big demand for solar technology in the foreseeable future, with markets like Poland accelerating adoption across the region. 

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First Glasgow Electric Buses will transform the Caledonia depot with 160 charging points, zero-emission operations, grid upgrades, and rapid charging, supported by Transport Scotland funding and Alexander Dennis manufacturing for cleaner urban routes by 2023.

Key Points

Electric single-deckers at Caledonia depot with 160 chargers and upgrades, delivering zero-emission service by 2023

✅ 160 charging points; 4-hour rapid recharge capability

✅ Grid upgrades to power a fleet equal to a 10,000-person town

✅ Supported by Transport Scotland; built by Alexander Dennis

First Bus will install 160 charging points and replace half its fleet with electric buses at its Caledonia depot in Glasgow.

The programme is expected to be completed in 2023, similar to Metro Vancouver's battery-electric rollout milestones, with the first 22 buses arriving by autumn.

Charging the full fleet will use the same electricity as it takes to power a town of 10,000 people.

The scale of the project means changes are needed to the power grid, a challenge highlighted in global e-bus adoption analysis, to accommodate the extra demand.

First Glasgow managing director Andrew Jarvis told BBC Scotland: "We've got to play our part in society in changing how we all live and work. A big part of that is emissions from vehicles.

"Transport is stubbornly high in terms of emissions and bus companies need to play their part, and are playing their part, in that zero emission journey."

First Bus currently operates 337 buses out of its largest depot with another four sites across Glasgow.

The new buses will be built by Alexander Dennis at its manufacturing sites in Falkirk and Scarborough.

The transition requires a £35.6m investment by First with electric buses costing almost double the £225,000 bill for a single decker running on diesel.

But the company says maintenance and running costs, as seen in St. Albert's electric fleet results, are then much lower.

The buses can run on urban routes for 16 hours, similar to Edmonton's first e-bus performance, and be rapidly recharged in just four hours.

This is a big investment which the company wouldn't be able to achieve on its own.

Government grants only cover 75% of the difference between the price of a diesel and an electric bus, similar to support for B.C. electric school buses programmes, so it's still a good bit more expensive for them.

But they know they have to do it as a social responsibility, and large-scale initiatives like US school bus conversions show the direction of travel, and because the requirements for using Low Emissions Zones are likely to become stricter.

The SNP manifesto committed to electrifying half of Scotland's 4,000 or so buses within two years.

Some are questioning whether that's even achievable in the timescale, though TTC's large e-bus fleet offers lessons, given the electricity grid changes that would be necessary for charging.

But it's a commitment that environmental groups will certainly hold them to.

Transport Scotland is providing £28.1m of funding to First Bus as part of the Scottish government's commitment to electrify half of Scotland's buses in the first two years of the parliamentary term.

Net Zero Secretary Michael Matheson said: "It's absolute critical that we decarbonise our transport system and what we have set out are very ambitious plans of how we go about doing that.

"We've set out a target to make sure that we decarbonise as many of the bus fleets across Scotland as possible, at least half of it over the course of the next couple of years, and we'll set out our plans later on this year of how we'll drive that forward."

Transport is the single biggest source of greenhouse gas emissions in Scotland which are responsible for accelerating climate change.

In 2018 the sector was responsible for 31% of the country's net emissions.

Electric bus
First Glasgow has been trialling two electric buses since January 2020.

Driver Sally Smillie said they had gone down well with passengers because they were much quieter than diesel buses.

She added: "In the beginning it was strange for them not hearing them coming but they adapt very easily and they check now.

"It's a lot more comfortable. You're not feeling a gear change and the braking's smoother. I think they're great buses to drive."

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ONroute EV Charging Stations now live on Ontario's Highways 401 and 400, powered by Ivy Charging Network with 150 kW fast chargers, Tesla-compatible ports, Canadian Tire support, and government-backed clean transportation infrastructure.

Key Points

ONroute EV Charging Stations are Ivy-managed 150 kW fast-charging hubs along Highways 401/400, compatible with all EVs.

✅ Up to 150 kW DC fast charging; ~100 km added in about 10 minutes

✅ Compatible with all EV models, including Tesla-compatible ports

✅ Located along Highways 401/400; 2-4 chargers per ONroute site

Electric vehicle (EV) drivers can now charge at 10 ONroute locations along Highways 401 and 400, reflecting progress on the province's charging network rollout to date.

Ivy Charging Network, ONroute and their partners, Canadian Tire Corporation (CTC) and the Ministry of Transportation (MTO) announced the opening of four Charge & Go EV fast-charging stations today: Ingleside, Innisfil, Tilbury North, Woodstock

Each of Ivy's Charge & Go level 3 fast-chargers at ONroute locations will support the charging of all EV models, including charging ports for Tesla drivers.

Quick Facts

Ivy Charging Network is installing 69 level 3 fast-chargers across all ONroute locations, with the possibility of further expansion as Ontario makes it easier to build charging stations through supportive measures.

Ivy's ONroute Charge & Go locations will offer charging speeds of up-to 150 kWs, delivering up to a 100 km charge in 10 minutes.

This partnership is part of CTC's ongoing expansion of EV charging infrastructure across Canada, as utilities like BC Hydro add more stations across southern B.C.

Ivy Charging Network is a joint venture between Hydro One and Ontario Power Generation.

Natural Resources Canada, through its Electric Vehicle and Alternative Fuel Infrastructure Deployment Initiative, invested $8-million to help build the broader Ivy Charging Network, alongside other federal funding for smart chargers supporting deployments, providing access to 160 level 3 fast-chargers across Ontario including these ONroute locations.

'Our partnership with ONroute, Canadian Tire and the Ontario Ministry of Transportation will end range anxiety for EV drivers travelling on the province's major highways. These new fast-charging locations will give drivers the confidence they need on their road trips, to get them where they need to go this summer,' said Michael Kitchen, General Manager, Ivy Charging Network.

'ONroute is proud to now offer EV charging stations to our customers, in partnership with Ivy and Canadian Tire. We are focused on supporting the growth of electric cars and offering this convenience for our customers as we strive to be the recharge destination for all travelers across Ontario,' said Melanie Teed-Murch, Chief Executive Officer of ONroute.

'Together with our partners, CTC is proud to announce the opening of EV fast-charging stations at four additional ONroute locations along the 400-series highways. Our network of EV charging stations is just one of the ways CTC is supporting EV drivers of today and tomorrow to make life in Canada better, with growth similar to NB Power's public charging network underway,' said Micheline Davies, SVP, Automotive, Canadian Tire Corporation. 'We will have approximately 140 sites across the country by the end of the year, making CTC one of the largest retail networks of EV fast charging stations in Canada.'

'We're giving Canadians cleaner transportation options to get to where they need to go by making zero-emission charging and alternative-fuels refueling infrastructure more accessible, as seen with new fast-charging stations in N.B. announced recently. Investments like the ones announced today in Ontario will put Canadians in the driver's seat on the road to a net-zero future and help achieve our climate goals,' said the Honourable Jonathan Wilkinson, Minister of Natural Resources.

'Ontario is putting shovels in the ground to build critical infrastructure that will boost EV ownership, support Ontario's growing EV manufacturing industry and reduce emissions, complementing progress such as the first fast-charging network in N.L. now in place,' said Todd Smith, Minister of Energy. 'With EV fast chargers now available at ten ONroute stations along our province's business highways it's even more convenient than ever for workers and families to grab a coffee or a meal while charging their car.'

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EV Boom Aftershock highlights electric vehicles straining grid capacity as policy accelerates adoption, requiring charging infrastructure, renewable energy storage, and transition models from Tesla, NIO, Toyota, GM, Blink Charging, and Facedrive's Steer subscription.

Key Points

EV Boom Aftershock is the grid and industry strain from rapid EV adoption requiring charging and storage upgrades.

✅ Policy push: fleet electrification, 550k chargers planned

✅ Grid capacity, storage, and charging infrastructure are critical

✅ Bridge models: subscriptions, rideshare, and logistics electrification

2020 ushered in the start of the EV boom, but it could have a frightening aftershock. The world is already seeing some of the incredible triple-digit gains in EV companies like Tesla and Workhorse. And this EV wave is only expected to grow bigger in the days ahead under the Biden administration.  Mentioned in today's commentary includes:  Tesla, Inc., NIO Limited, Toyota Motor Corporation, General Motors Company, Blink Charging Co.

Just a week after inauguration, President Biden reported he plans to replace the entire government fleet with electric vehicles. That's up to 643,000 vehicles turning electric on the government's dime. But Toyota's president, Akio Toyoda, had an ominous prediction for what could lie ahead.

He stated that if EVs are adopted too quickly, we may not have the energy to support them at this point. In fact, he predicted Japan would run out of electricity by summer if they banned all gas-powered vehicles now. He even went as far as to say that if we rush the process of transitioning to EVs all at once, "the current business model of the auto industry is going to collapse."

While the buzz for electric vehicles has only grown over the last year, many often miss this key piece in making such a drastic shift in such a short period. And although it's expected to create plenty of demand for solar, wind, nuclear, and geothermal energy sources…

At this point in the game, they are still too expensive and lack the storage capacity we'd need for those to be the final solution. That's why companies bridging the gap to the EV world are thriving.

Facedrive, a company known for its "people and planet first" approach, has seen incredible success over the last year, for example. They recently acquired EV subscription company, Steer, from the largest clean energy producer in the United States. Steer's subscription model for EV cars is putting a major twist on the traditional car ownership model. So instead of everyone going out and buying their own EV, they can borrow one as-needed instead.

With Facedrive's acquisition of Steer, customers pay a simple monthly fee like with Netflix, and they get access to a fleet of EVs at their disposal.

Over the last year, big moves like this have helped Facedrive sign a number of important partnerships and deals including government agencies, A-list celebrities, and major multinational corporations. And they've even managed to grow their business throughout the United States and Canada during a time when ridesharing as an industry suffered during global lockdowns.

Smartest in the World Making Bold Predictions

While Toyota's president made a dark prediction about where we could be headed, he's not alone in being concerned. Elon Musk expressed his own concerns about the issue recently as well.

In an interview in December, he said that the world's electricity consumption would likely double once EVs become the norm. And that's only accounting for this mass adoption in electric vehicles.

The situation could become even more pressing as the rest of our lives grow increasingly digital too, sucking up more electricity in the process. With the "internet of things" creating smart cities and smart homes, the demand for electricity will only go up as everything from Peloton bikes to Nest thermostats are now connected by the internet.

With thousands of cars on the roads during morning and evening commutes, it's not hard to imagine times where we simply wouldn't have enough grid capacity to charge all EVs that need it at once.

But in the meantime, Facedrive's moves are putting them squarely in position to smooth out the transition. And in addition to the monthly membership model used with Steer, they're helping keep the number of cars on the road down through their signature ridesharing service.

Their model is simple. When customers hail a ride, they have the choice to ride in an electric vehicle or a standard gas-powered car. After they get to their destination, the Facedrive algorithm sets aside a portion of the fare to plant trees, offsetting the carbon footprint from the ride. In other words, customers ride, they plant a tree.

Through next-gen technology and partnerships, they're giving their customers the option to make a more eco-friendly choice if they choose. Plus, Facedrive has added a booming food delivery service, which has expanded at a record pace while folks were stuck at home during global lockdowns.

They're now delivering over 4,100 orders per day on average. And after growing to 19 major cities, they plan to expand to more cities throughout the U.S. and Canada soon. It's this kind of innovative thinking that has many so optimistic about the opportunities that lie ahead.

Who Will Win In The EV Boom?

Elon Musk warned that, like with the boom in smartphones, we're not likely to see the EV revolution all happen at once, and industry leaders still see mainstream hurdles ahead for broad adoption. Because just like with smartphones, you can't replace them all at once. But it's undeniable that the movement is growing at a remarkable pace, with many arguing it has reached an inflection point already in several segments today.

Even under an administration that was not supportive of climate change and green initiatives, the EV markets have soared throughout 2020, and U.S. EV sales are surging into 2024 as well across segments.

Tesla was one of the biggest market stories of the year, locking in over 700% gains on its way to becoming one of the largest companies on the S&P 500. And experts are expecting to see massive spending on the infrastructure needed for EVs under the Biden administration too.

In addition to his vow to spend more on clean energy research, President Biden also reported plans to build out 550,000 EV charging stations across the country. With the growth we've seen in this area already, it's also caused shares for companies like Plug Power to soar over 1,000% in 2020. And Facedrive has been sharing in this success too, with incredible gains of 834% over the last year.

Facedrive hasn't been the only company riding the EV wave, however.  Tesla (TSLA) was among the biggest market stories of 2020 with incredible gains of over 700%. This helped them become one of the highest-valued stocks in the United States with other Big Tech giants. It is now the most valuable car maker "of all time". It is now worth almost $800 billion.

After a much-touted Battery Day event and expectations of Musk developing a "Million Mile Battery" in the near future, Tesla recently joined the S&P 500.

Billionaire Elon Musk had his eye on this trend far before the hype started building. He released the first Tesla Roadster back in 2008, making electric vehicles cool when people were still snubbing their noses at the first-generation EVs. Since then, Tesla's stock has skyrocketed by over 14,000%. But while Tesla's EV threat to the industry is clear, the competition is heating up in China's EV market right now as rivals scale.

Nio (NIO) is Tesla's biggest competitor, dominating the Chinese EV markets. After going public in 2018, it's been on a tear, producing vehicles with record-breaking range. They recently unveiled their first electric sedan with a longer range battery, which sent shares surging in early January.

Nio's current performance is a far cry from just one year ago In fact, many shareholders were ready to write off their losses and give up on the company. But China's answer to Tesla's dominance powered on, eclipsed estimates, and most importantly, kept its balance sheet in line. And it's paid off. In a big way. The company has seen its share price soar from $3.24 at the start of 2020 to a high of $61 this month, representing a massive 1600% returns for investors who held strong. 

By NIO's fourth quarter report in October, the company announced that its sales had more-than doubled, projecting even greater sales in 2021. The EV up-and-comer has shocked investors and pulled itself back after its rumored potential bankruptcy in 2019, and if this year shows investors anything, it's that its CEO William Li is as skilled and ambitious as anyone in the business.

Toyota Motors (TM) is a massive international car producer who hasn't ignored the transition to greener transportation. In fact, the Toyota Prius was one of the first hybrids to hit the road in a big way. While the legacy hybrid vehicle has been the butt of many jokes throughout the years, the car has been a major success, and more importantly, it helped spur the adoption of greener vehicles for years to come.

And just because its Prius hasn't exactly aged as well as some green competitors, Toyota hasn't left the green power race yet. Just a few days ago, actually, the giant automaker announced that three new electric vehicles will be coming to United States markets soon.

Toyota has a major hold over U.S. markets at the moment. In fact, it maintains a 75% share of total fuel cell vehicles and a 64% share in hybrid and plug-in vehicles. And now it's looking to capture a greater share of electric vehicles, as well.

General Motors (GM) is one of the legacy automakers benefiting from a shift from gas-powered to EV technology. Even with the downfall of Detroit, GM has persisted, and that's due in large part to its ability to adapt. In fact, GM's dive into alternative fuels began way back in 1966 when it produced the world's first ever hydrogen-powered van for testing. And it has not stopped innovating, either.

With the news of GM's new business unit, BrightDrop, they plan to sell electric vans and services to commercial delivery companies, disrupting the market for delivery logistics. This is a huge move as delivery sales have absolutely exploded during the COVID-19 pandemic, and are projected to grow even further over the coming years.

And in January 2021, the giant automaker announced that it will discontinue production of all gas-powered vehicles, including hybrids, by 2035. This is a key factor in its commitment to become carbon-net zero by 2040.  The move will likely sit well with shareholders which are increasingly pushing for companies to clean up their act.

Blink Charging (BLNK) is building an EV charging network that may be small right now, but it's got explosive growth potential that is as big as the EV market itself. This stock is on a major tear and all that cash flowing into it right now gives Blink the superpower to acquire and expand. 

A wave of new deals, including a collaboration with EnerSys and another with Envoy Technologies to deploy electric vehicles and charging stations adds further support to the bullish case for Blink.

Michael D. Farkas, Founder, CEO and Executive Chairman of Blink noted, "This is an exciting collaboration with EnerSys because it combines the industry-leading technologies of our two companies to provide user-friendly, high powered, next-generation charging alternatives. We are continuously innovating our product offerings to provide more efficient and convenient charging options to the growing community of EV drivers."

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