Emissions Unplugged: The Hidden Costs of Australia’s PHEV Market

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Emissions Unplugged: The Hidden Costs of Australia’s PHEV Market

New research into the deployment of Plug-in Hybrid Electric Vehicles (PHEVs) in Australia has come to light, with major implications for their emissions. Robin Smit, the research director of Transport Energy/Emission Research (TER), estimates that total WTW emissions from PHEVs will reach their maximum around 2032-35. Beyond that, these emissions are projected to continue a slow decline. This timing has raised significant concerns about the environmental repercussions of these vehicles. Right now, PHEVs account for approximately 5% of new light vehicle sales in Australia.

If owners don’t recharge their PHEVs consistently, we might find emissions increasing dramatically. Between 2025 and 2050, these emissions could add up to more than 100 megatonnes of CO2-equivalent. Transport and Environment recently released a shocking analysis. Their results show that PHEVs produce almost five times more CO2 than the EU’s official estimates, rendering them almost as polluting as conventional petrol vehicles. This scenario raises fundamental doubts about the suitability of PHEVs as an emissions-reducing option in Australia.

The Current State of PHEVs in Australia

In the real world, at least for now, Australians are mostly using PHEVs as a plug-in EV and charging them regularly. This trend is consistent with survey data showing that Australians have superior home charging access. This edge is due, in part, to more lower-density housing as well as a wider adoption of rooftop solar systems. Notably, PHEVs possess enough battery range to accommodate a standard day’s driving in urban areas, making them suitable for many drivers.

Additionally, the federal regulations treat PHEVs as zero-emission vehicles. This classification relies on the assumption that users will always be able to re-charge their vehicles. This brings to light a significant challenge: fleet management. As Mace Hartley explains, one major challenge business fleet managers face is getting employees to plug in company PHEVs consistently. He estimates that “maybe 20 percent of [fleet users] plug them in,” indicating a potential gap between policy assumptions and real-world practices.

“PHEVs sound awesome, but the reality is a different thing,” – Mace Hartley

To that end, the federal government has introduced tax incentives for “low-emission” vehicles. This has contributed to Australia selling over 60,000 PHEVs over just the last two years. This increases concern over what emissions problem will be created if charging practices do not pan out as hoped.

Emissions and User Behavior

Analysis indicates that improving new PHEV sales values dramatically affects the overall fleet. This effect is extremely sensitive to the frequency with which drivers go into EV mode. Indeed, as Robin Smit points out, the emissions have a hugely variable impact based on how often PHEV owners charge and for how long they charge. Though private owners will always be charging their vehicles at the same location, things get trickier for fleet users.

“[Private PHEV owners] mostly charge them, but with fleets you have to drag people kicking and screaming to recharge,” – Mace Hartley

This is a common conundrum fleet managers need to pay attention to. They find it difficult to incentivize staff to use sustainable charging practices. Hartley explained that, unlike private TNC owners, fleets might not benefit from the charging rate private owners are reporting.

Julie Delvecchio, who helps oversee data collection and analysis for Infrastructure Australia, corroborates this observation, noting that “Australians largely operate PHEVs in EV mode and charge them regularly.” This pattern doesn’t hold true for all user groups.

Comparative Analysis with Global Trends

When we place Australian PHEV usage against international standards, highlights features that fill in those gaps. It’s worth noting that Australia generally has more home charging available. At the same time, Europe provides far more public charging. This difference could affect PHEV owners’ charging behavior—for example, …

“In Europe we have much higher public charging availability,” – Thomas Earl

Earl continues to warn that Australian PHEVs could end up being more polluting than their European counterparts. This is primarily because of design disparities, like their heavier set and driving further distances.

Even a high-use Australian PHEV user who depletes their battery daily and charges it nightly can see amazing outcomes. Their emissions can be as low as one-fifth of those from a petrol or diesel vehicle. This situation highlights the power of good charging behavior.

Research from across Europe and the US paint a pretty clear picture. Company car users charge their vehicles less often as they do not have the financial incentive to reduce fuel costs.

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