The automotive industry has been subjected to several disruptions since it began, but none have had the same degree of influence as the emergence of electric vehicles (EVs). Using EVs has obvious environmental advantages, but the EV market is also paving the way for the emergence of brand-new industries and economic areas.
The dynamic EV market witnesses new developments every single day, from producing spare components for EVs to studying and manufacturing new and superior batteries.
As a result, many developed and developing countries across the world have been driving innovation and development in EVs, and in the coming years, its acceptance is projected to rise significantly.
In the last few years, experts have anticipated that the market's expansion will inevitably lead to several technological developments that will boost EVs' overall performance. At the same time, they also anticipated that widespread production and in-depth research into batteries and other power sources would reduce the cost and increase the accessibility of these cars.
The developed nations in the west have played a major role in pushing the fast-paced growth of EVs. With all these exciting developments, people would never expect that a country like Switzerland, which is one of the biggest promoters of EVs, would put a break on its usage in the country.
This new development has made people curious about the probable reason behind this decision. Let’s dive into the full story to know more.
Why is Switzerland restricting EV usage?
According to reports, Switzerland is considering restricting EVs in the country. The Telegraph reported that authorities in the nation had devised a proposal that would limit power usage to avoid blackouts and power outages.
If it does, Switzerland will be the first nation to do so. To meet its energy needs, Switzerland is mostly dependent on hydropower; this source provides around 60% of the nation's power. Wintertime, however, sees a decline in productivity. As a result of the conflict in Ukraine, the country also imports electricity from its neighboring countries of France and Germany, both of which are also experiencing an energy crisis.
Due to the anticipated reduced availability of French nuclear power output, the Swiss Federal Electricity Commission, Elcom, said in June 2022 that the power supply for the winter would remain uncertain. Germany's circumstance is also the same. These nations would hardly be able to survive this year due to decreasing energy production brought on by different global problems. Therefore, sending electricity to Switzerland might not be feasible.
Due to a record-high number of nuclear reactor outages earlier in 2022, the French utility EDF saw its electricity output fall to a 30-year low. As a result, it is working against the clock to ensure that its fleet can operate at full capacity during the worst of the winter. Due to its poor availability of nuclear energy and the country's highly temperature-sensitive demand, France is more exposed to Europe's energy crisis than some other European countries.
Major oil and gas exporter Russia's invasion of Ukraine has caused an energy shortage and forced European nations that were heavily reliant on Russian imports to diversify their sources of supply.
To prepare for a potential blackout, Switzerland would limit building energy use and would even outlaw sporting activities, musical productions, and theatrical productions.
Switzerland intends to restrict the usage of EVs to only those journeys that are absolutely necessary if the situation gets worse. The Swiss power plan also includes measures such as escalator turnoffs and prohibition on cryptocurrency mining.
"Only necessary trips, such as those required for one's job, shopping, health visits, attendance at religious events, or court appearances, are permitted for private usage of electric cars," the report asserts. Since the legislation is intended to govern "restrictions and prohibitions on the use of electrical energy in order to ensure the country's electricity supply," it is likely that there will be a partial ban on EVs rather than blanket bans."
Conclusion
Due to the disruption of the natural gas supply brought on by the war, it is anticipated that this will only be a temporary problem. However, this illustrates how important international trade is and how a geopolitical issue in one region of the world could have an impact on other nations on other sides of the planet.
Finally, it is paradoxical that EV owners may bear the brunt of this predicament even though the world is moving toward EVs to reduce its reliance on fossil fuels.
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