As the UK moves towards a green future, trying to establish a balance between economic growth and the environment, its market faces lacunae of chips. This could lead to a setback to its commitment towards nature.
According to the Society of Motor Manufacturers and Traders (SMMT), around one in every six new cars sold in the UK in 2021 will be either a battery-electric (BEV) or a plug-in hybrid (PHEV), and overall new car registrations will increase by about 1% to 1.65 million units, up from 1.63 million in 2020.
Climate change and its subsequent effects, such as the melting of Arctic and Antarctic snow which led to rising sea levels, heating of Mother Earth which has led to many forest fires in recent times, and many others, have gained ground. Pushing nations to go for nature conservation which they earlier considered irrelevant and hoax. The UK has been active in its approach towards nature and as observed there was an increase in the sale of electric cars which would lead to a huge decrease in consumption of non-renewable resources.
According to the sources, the UK saw an increased registration of Electric cars than it has experienced in the last five years. The sales have been stressful due to recent circumstances dominated by coronavirus and subsequent measures to mitigate it. Hence this increase is seen as a very positive sign for the automobile industry, a sign of revival of the industry. But with the recent downward trend of availability of chips and subsequent shortage, again puts the industry in a fix.
Every car needs semiconductor or computerized chips. The shortage is majorly attributed to the coronavirus-led lockdown, which led to the closures of chip-making industries in South-East Asia due to the restricted supply of raw materials needed in chip making. The chips are a critical component in modern-day cars and around 3000 chips are needed in a car, as they are used for engine management and emissions controls, emergency brakes, airbags, and navigation.
The shortage led to the reallocation of the chips to the most profitable models, which helped them in meeting emission targets.
Electric cars are the future of the world and not just the UK, with the most important contribution being reduced carbon emissions. Which helped in meeting climate change commitments.
But for the success of the EVs, more grants and infrastructure investments are needed to sustain this change and to achieve the ambition of net-zero target by 2030/2035. Any delay in delivering the cars could waver the consumer base and hurt the industry’s commitments towards nature.
EVs are the future and the UK needs to sustain and if possible increase the pace to develop the next generation of EV drivers who are more aware of nature and could carry forward the commitment towards nature.