Electric vehicles: Australia’s unexpected boom industry

The perception over recent years has been that Australia is not suited to electric vehicles (EVs) due to their perceived range limitations and the long distances we have in Australia. As a result, the adoption of domestic EVs here has fallen behind that of other countries.

However, the reality is Australia’s EV manufacturing industry is booming, because this market is incredibly well-suited to EVs. Firstly, our renewable energy capacity (mainly solar) is growing at a world-leading pace, with the ability to provide a cheap and easily deployable recharging network. Moreover, a lot of major Australian industries lend themselves to EV deployment.

For example, the use of EVs such as utes or trucks in the mining industry makes absolute sense. It is significantly safer (especially in underground conditions), but the vehicles are also cheaper to maintain, with fewer mechanical parts subject to wear in harsh conditions. Many mines in Australia are remote and already have plans to begin operating their own micro-grids, renewable energy plant and storage batteries for their needs. The same applies to both forestry and farming equipment.

As a result, we’re seeing Australian start-ups booming in the electrification space, with the growing need for specialised vehicles in mining (SafeScape), farming, construction and forestry (DC Equipment), and even aviation (MagniX).

So, what is it about Australia that has led to this boom?

• Engineering experience: Following the departure of the automotive OEMs a few years ago, Australia now has a pool of very experienced automotive engineers who have decided to innovate and create their own start-ups, rather than relocating internationally.
• Renewable energy research: For years Australia has hosted the world’s largest solar EV race, leading to significant innovation in the market. For example, the first solar-powered luxury sedan, from a company called Lightyear, had its infancy in the Darwin-to-Adelaide Bridgestone World Solar Challenge.
• Industry/university collaboration: Universities such as UTS or UNSW have been collaborating with businesses to drive electrification research and innovation, which means local innovations in EVs came years ahead of those from mainstream EV manufacturers. As far back as 2013, I had the opportunity to drive the first battery-powered electric Holden Commodore, developed by Melbourne-based start-up EV Engineering.
• Overlap with motorsports: We are seeing automotive suppliers such as MOTEC increasingly transitioning their motorsport racing experience across to the EV industry.
• Funding and investment: We shouldn’t underestimate the importance of funding in supporting the industry. The Australian Renewable Energy Agency (ARENA) has been supporting EV innovation with the investment of a $200m-plus fund targeting charging technologies and infrastructure.

One example of an Australian business making waves in the EV industry is Lumen Freedom.

The McLaren Speedtail Hyper-GT is the British auto manufacturer’s fastest road car ever. Near the end of testing, a prototype of the sleek gas-electric hybrid sports car hit 403kph at the Johnny Bohmer Proving Grounds, NASA’s runway in Florida. Specs for the 2020 production model say that it can go from 0 to 300kph in 13 seconds. To charge the lightweight battery whenever the aerodynamic three-seat vehicle isn’t in use, McLaren partnered with Lumen Freedom to use the Australian company’s Wireless Electric Vehicle Charging (WEVC) system. The Speedtail is the first vehicle in the world to incorporate it.

Although inductive (or wireless) charging is becoming more common for phones, smartwatches and other small devices, Lumen Freedom’s wireless system for the Speedtail represents a unique solution for EVs, according to the comapany’s General Manager Rod Wilson and software team lead Radek Pesina. For Lumen Freedom, the Speedtail project is just the start. Its production-ready system has the potential to transform automotive design, transportation and even the power grid.

So what does the future hold for the Australian EV industry?

Moving forward, I expect to see an ‘OEM-isation’ of the EV industry. We will start to see the industry moving from large players, such as Tesla, doing everything itself (because as one of the pioneers of the industry, it had to invest in its own R&D – especially in battery development) to a more traditional model, in which the traditional large manufacturers assemble components from specialised suppliers.

We’ll continue to see growth in Australian start-ups innovating in areas such as battery techonology, battery management, motors, controllers, wireless charging plates, solar charging roofs and so on. We will also see, as volume rises and technology improves, the EV industry diversifying from high-volume passenger cars to specialised industry-focused vehicles or even “restomod” electrification of existing vehicles. For example, more and more small suppliers, including in Australia, provide crate electrification conversion to either classic cars or industry-specialised vehicles.

Australia has a unique pool of engineers and researchers who can combine experience and expertise in electrification, automotive and industry. I don’t think we will see a major car manufacturer coming back to Australia soon, but we can certainly expect a thriving EV supply chain and specialised EV industries here thanks to our engineering excellence, our unique needs and our immense potential.

Stephane Marouani is Country Manager – ANZ at MathWorks

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