Total Cost of Ownership Analysis of the Impact of Vehicle Usage on the Economic Viability of Electric Vehicles in India

2020 ◽  
Vol 2674 (11) ◽  
pp. 563-572
Author(s):  
Parveen Kumar ◽  
Subrata Chakrabarty
Keyword(s):  
Electric Vehicles ◽  
Internal Combustion Engines ◽  
Business Models ◽  
Economic Viability ◽  
Transport Sector ◽  
Total Cost Of Ownership ◽  
Total Cost ◽  
Electric Cars ◽  
Cost Of Ownership ◽  
The Impact

The road transport sector in India is on the cusp of a transition to battery electric vehicles (BEVs) from internal combustion engines (ICEs). Government of India (GoI) has announced several policy measures to push the adoption of electric vehicles (EVs). However, EVs involve a high capital cost but lower operating costs. Therefore, the economics of EVs vis-à-vis ICE vehicles depends on the extent of their daily use. The daily use, in turn, can vary significantly from context to context. In this paper, a model to compare the total cost of ownership (TCO) of an EV with different fuel variants (petrol, diesel, and compressed natural gas [CNG]) of their ICE counterparts is presented. It is found that, on an average, the TCO per km of electric two-wheelers (e-2Ws) and electric three-wheelers (e-3Ws) is less than their ICE counterparts at the typical average daily usage of the vehicles in Indian cities. In the case of hatchback and sedan cars, the TCO per km of electric cars (e-cars) is higher than their ICE counterparts. The TCO per km of electric bus (e-bus) is higher than diesel and CNG buses because of high initial purchase cost. Policymakers need to explore innovative business models and strategy for high vehicle utilization to improve the economic viability of EVs. Efficient planning of charging infrastructure and fast charging options will further help in accelerating the adoption of EVs in India.

Heavy Lifters, India: Towards a Circular Economy Era

2021 ◽  
pp. 097226292110435
Author(s):  
Anupama Prashar
Keyword(s):  
Operations Management ◽  
Circular Economy ◽  
Business Models ◽  
Total Cost Of Ownership ◽  
Total Cost ◽  
Planning And Control ◽  
Cost Of Ownership ◽  
Challenges And Opportunities ◽  
And Control ◽  
The Impact

The case helps students to understand the emerging concept of linear and circular economies. It facilitates to examine the implications of circular business models such as remanufacturing on operations management decisions. It also introduces them to the concept of total cost of ownership and impact of remanufacturing on reducing total cost of ownership. The cases help students to evaluate the challenges and opportunities of remanufacturing business in emerging economy like India. This case is among the first few cases on the application of circular economy principles in context of heavy-duty and off-road sector and the impact of these principles on product design and production planning and control decisions.

scholarly journals Vehicle to Grid Impacts on the Total Cost of Ownership for Electric Vehicle Drivers

2021 ◽  
Vol 12 (4) ◽  
pp. 236
Author(s):  
Dominik Huber ◽  
Quentin De Clerck ◽  
Cedric De Cauwer ◽  
Nikolaos Sapountzoglou ◽  
Thierry Coosemans ◽  
...  
Keyword(s):  
Electric Vehicles ◽  
Real Life ◽  
Total Cost Of Ownership ◽  
Total Cost ◽  
Vehicle To Grid ◽  
Life Data ◽  
Cost Of Ownership ◽  
Real Life Data ◽  
Revenue Streams ◽  
The Impact

Electric vehicles (EV) are foreseen as one major technology toward decarbonizing the mobility sector. At the same time, Vehicle to Grid (V2G) technology opens a new market for EV owners. This article identifies the impacts of providing V2G services on the Total Cost of Ownership (TCO) of EVs. Thus, we studied EVs in private, semi-public and public charging cases, considering two different V2G revenue streams. The included V2G services were: (i) local load balancing to balance the peaks and valleys of the electricity demands of buildings and (ii) an imbalance service to enhance grid stability. In this paper, the impact of these two V2G services is quantified and considered in the TCO calculations. To the authors’ knowledge, no comparable study incorporating the same V2G services exists in the literature. The TCO is calculated with real-life data for four different EVs currently available in the market. As a result, the V2G TCO ranges from €33.167 to €61.436 over an average of nine years for the Flanders region (Belgium).

scholarly journals Assessment of the Total Cost of Ownership of Electric Vehicles in Poland

Energies ◽  
2021 ◽  
Vol 14 (16) ◽  
pp. 4806
Author(s):  
Sendek-Matysiak Ewelina ◽  
Krzysztof Grysa
Keyword(s):  
Development Strategy ◽  
Electric Vehicles ◽  
Combustion Engine ◽  
Point Of View ◽  
Total Cost Of Ownership ◽  
Total Cost ◽  
Electric Cars ◽  
Automotive Market ◽  
Cost Of Ownership ◽  
The Cost

Eliminating environmental and air pollution is one of the European Union’s priority actions in the field of transport. Poland, as a member of the European Community, is also actively involved in these activities. The flagship project, the implementation of which is expected to bring tangible effects in this respect, is the “Sustainable Transport Development Strategy until 2030”. It states that in 2030 there should be 600,000 BEVs (battery electric vehicles) on Polish roads. At present, the share of such vehicles in the automotive market in Poland is small, which is a result of a number of barriers. One of them, very important considering the preferences of Poles, is the cost of buying such a car, which is currently at least 40% higher than its counterpart with a combustion engine. Meanwhile, popularizers of electric cars believe that the cost of buying such a vehicle is offset by the subsequent costs associated with its operation. Hence, this paper determines and then compares the total purchase and operating costs of cars of the same make, same model, differing in the source of propulsion, to category M1. Cars in this category represent the largest share of the automotive market in Poland—over 75%. The main objective of the analysis conducted was to determine if a current electric passenger vehicle can be competitive with an internal combustion car in everyday use. Therefore, a relationship was developed to calculate the total cost of ownership, which takes into account all the key criteria from the point of view of private vehicle use. The utilitarian value of this research may be supported by the fact that the example of Poland and its problems concerning the issue in question may serve as a source of preliminary analysis for other countries.

scholarly journals The Impact of Using the Total Cost of Ownership (TCO) Account for a Reusable Wooden Flat Pallet in Its Operational Phase on Respecting the Principles of Sustainable Development

Resources ◽  
2021 ◽  
Vol 10 (11) ◽  
pp. 116
Author(s):  
Mariusz Jedliński ◽  
Mariusz Sowa
Keyword(s):  
Sustainable Development ◽  
Supply Chains ◽  
Essential Element ◽  
Basic Research ◽  
Primary Data ◽  
Total Cost Of Ownership ◽  
Total Cost ◽  
Cost Of Ownership ◽  
Operational Life ◽  
The Impact

Despite the commonly observed trend towards mechanization and automation of operational processes, the potential benefits of wooden pallets as an essential element of the infrastructure of logistic processes are often overlooked in considerations related to sustainable development. Aspects that are mentioned more often include the very idea of the economy itself (circular economy), characteristics of logistics (green), features of the supply chain itself (sustainable) or expectations towards transport (ecological). The authors believe that the idea of total cost of ownership (TCO) in relation to wooden pallets can be a key component of holistic thinking in terms of sustainable development. In a situation where in relation to logistics, reasonable expectations for developing sustainable supply chains are made, paying attention to such a common logistic facility, namely a cargo pallet, which is given so little attention in research, is, in the opinion of the authors, absolutely justified. Therefore, the article presents an original approach to the problem of aggregation of all costs that cargo pallets generate in their operational life cycle, using the total cost of ownership (TCO) analysis methodology. The main goal of the article, however, is to show that the total cost of ownership of a pallet (not only owning it) can become an effective tool used to significantly reduce the costs of logistic activity of enterprises (as well as whole supply chains) and support the idea of sustainable development in practice. Using the primary data from questionnaire research, the focus was on considerations that were of identification character (cognitive and explanatory considerations), which are typical for basic research that aims to explain given phenomena. Thus, the presented cognitive process covers two main areas, namely: the general theory of sustainable development and the specificity of wooden pallets as carriers used in goods trading in terms of their total costs of ownership.

scholarly journals How expensive are electric vehicles? A total cost of ownership analysis.

2013 ◽  
Vol 6 (4) ◽  
pp. 996-1007 ◽  
Author(s):  
Kenneth Lebeau ◽  
Philippe Lebeau ◽  
Cathy Macharis ◽  
Joeri Van Mierlo
Keyword(s):  
Electric Vehicles ◽  
Total Cost Of Ownership ◽  
Total Cost ◽  
Cost Of Ownership

scholarly journals Comparing Total Cost of Ownership of Electric and Conventional Motorcycles in Indonesia

2021 ◽  
Vol 22 (2) ◽  
pp. 196-210
Author(s):  
Sayyidah Maulidatul Afraah ◽  
Yuniaristanto Yuniaristanto ◽  
Wahyudi Sutopo ◽  
Muhammad Hisjam
Keyword(s):  
Cost Analysis ◽  
Electric Vehicles ◽  
High Mobility ◽  
Replacement Cost ◽  
Total Cost Of Ownership ◽  
Total Cost ◽  
Cost Of Ownership ◽  
The Government

The adoption of Electric Vehicles (EV) is one of the solutions to reduce emission problems. In Indonesia, the government targets 2.1 million Electric Motorcycles (EM) ownership in 2025. One of the keys to encouraging the EV Indonesian market is vehicle cost analysis, like Total Cost of Ownership (TCO). This study developed a TCO model to compare EM with Conventional Motorcycles (CM) in Indonesia.  Data were collected from surveys and information from stakeholders. The proposed TCO model considered a battery replacement cost, which influenced the resale value of the vehicle. As a result, the TCO of EM had a more economical value than CM of 12% (IDR 3 million) on low mobility, 16% (IDR 4 million) on medium mobility, and 18% (IDR 5.5 million) on high mobility. In addition, several scenarios were also analyzed as a study to consider providing subsidies ownership motorcycles in Indonesia.

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