New technology is changing the face of automotive manufacturing. How will this affect the environment?

EBVs aren’t manufactured and do not drive fully emission-free. Manufacturing involves scope 1-3 emissions, battery production raises environmental and social concerns, wire tear produces fine dust, and surface sealing contributes to biodiversity loss. This said, we cannot afford not to have a mobility transition not only because of shrinking carbon budgets but also because of peak oil risk. Once scarce, oil will be too expensive to fuel ICEs. Societies cannot do without oil, but cannot do with oil within planetary boundaries either. While CCS technologies or green fuels address aspects of the dilemma, EBVs are a major lever to address both dependencies. We don’t know how to reduce oil in other essential uses, so we must pull the EBV lever.

Extended Producer Responsibility (EPR) will be an interesting concept to watch out for electric manufacturers, depending on the policy rolled out in each country. EV manufacturers should plan ahead to ensure that their vehicles are used in safe, environmentally friendly ways by its customers: how a vehicle is charged, maintained, repaired, and its end-of-life management. Right-to-repair is a concept catching up where customers want to own vehicle repair. OEMs should provide the necessary tools, spares, and most importantly instructions and if possible training to carry out these activities in a safe, ergonomic manner, with no risks to them during the activity or later during the EV usage. Digital technologies will play a key role for EPR.

The traditional approach for automobile manufacturing has been to set up large factories with long assembly lines. A new approach tried out for electric vehicles is 'micro factories', cellular in nature. Small cells have robots to carry out specific tasks. A moving platform takes the vehicle body to these cells and robots in them for particular tasks - primarily assembly. Such a setup provides automation and flexibility for EV manufacturing. Mass customization can be practiced where each vehicle configuration is unique, depending on customer needs. Microfactories reduce the entry barrier for EV manufacturing. Large investments in factories are no longer required. They can be setup close to demand i.e. in cities, to reduce logistics costs.

Connectivity of cars is becoming a basic feature, a requirement for autonomous cars that can drive on their own without human engagement. But such cars are more of hype than reality. Whatever be the level of autonomy, amount of sensors and computing added on cars, facing the numerous situations on a road is a tough challenge. Driverless cars on urban roads will take some more time. However, industrial applications are quietly happening. It could be for material movement within a factory or for order fulfillment inside an e-commerce warehouse. Highway driving for trucks can become autonomous, given the shortage of drivers. Autonomous driving will see such niche industrial applications before they are deployed for common cars on the road.

Autonomous driving promises improvements in road usage efficiency, therefore further lowering emission pollution, road safety (when level5 technology is perfected and validated) and of course reduction in human resource needs. However, the challenge lies in facilitating a cultural shift, the basis for which is availability and affordability to provide secure connectivity, road and charging infrastructure upgrades and so on.

Prior to integrated automobile manufacturers, engines came from engine builders and bodies from coach builders. Industrial line assembly created businesses that ideated, designed, manufactured, distributed, and serviced cars and added commercial leasing or consumer finance. Quality reached highs. Even though all car parts must last for the entire useful life of the car (except for wear or specified replacement intervals), brand perception relied on the end product, not on sourcing or assembly ability (the whole of the parts). This has evolved: The modern consumer ascribes value to a mobility experience that vastly depends on third-party operating systems, apps, and infrastructure (whole in the whole). In that, embedding is the new assembly.

As to mobility emissions, it should be interesting who will account for scope 3 internet-based infrastructure embedding emissions: Software companies, car manufacturers, private or public infrastructure providers? Some internet companies have already announced their commitment to become restorative by making good for all their past scope 1 and 2 emissions, and to become regenerative by producing more green energy than they themselves consume. However, the carbon footprint of one adult entertainment website alone can exceed that of an average country, scope 3 emissions nobody wants to be accountable for. Inevitably, footprint of autonomous driving, intelligent park guidance systems etc. will need to be added to mobility emissions accounting.

New technologies are very much needed to limit the climate change to 1.5°C and to make the cosmopolitan cities even more livable considering they are receiving more and more immigration for several reasons. The vehicles are not just a transportation vehicle any more, they should not be. They are data centres, more technological ones in all aspects which they should be. It is a "must" change. Any company who do not invests in auto tech will have a hard time.