Transantiago
07 Aug 2018 Story Air quality

Latin America and the Caribbean hop into electric mobility

Transantiago

Air pollution kills nearly 7 million people every year around the world. The situation could worsen in the coming years in Latin America and the Caribbean, where transport – a rapidly growing sector – is the main source of greenhouse emissions.

The region's vehicle fleet is expanding faster than any other in ​​the world and could triple over the next 25 years. This would result in a collapse of the cities’ road infrastructures and in a proportional increase of pollutants.

To avoid this dramatic scenario, several countries in the region are implementing innovative laws and projects to promote electric mobility and introducing clean vehicles into their public transport.

If the current fleet of buses and taxis of 22 Latin American cities were replaced with electric vehicles right now, the region could save almost US$64 billion in fuel by 2030, avoid the emission of 300 million tons of carbon dioxide equivalent, and save 36,500 people from premature death, revealed a UN Environment and International Automobile Federation (FIA Region IV) study, supported by the Spanish Agency for International Development Cooperation (AECID) and the European Union.

UN Environment, through its MOVE platform and with the support of Euroclima+ project, is assisting Argentina, Colombia and Panama with their national electric mobility strategies, and is also helping Chile and Costa Rica in their plans to expand the use of electric buses.

Costa Rica is one of the regional leaders of the transition. The Central American country wants to be the first "decarbonized" nation in the world, as its President, Carlos Alvarado, announced last May during his inauguration.

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Photo by Empresas Públicas de Medellín

The country already has an energy matrix that is almost a 100 per cent clean, which helped to reach an important record in 2017: more than 330 continued days consuming electricity only from renewable sources. But transport still depends on fossil fuels and is responsible of 68 per cent of energy sector emissions. The public sector is therefore paying greater attention to electric mobility.

Earlier this year, Costa Rica adopted a groundbreaking law in the region to encourage electric vehicles. The law creates economic incentives to the public and private sectors and introduces benefits, like better access to loans. Additionally, three electric buses will travel across the country as part of a pilot plan.

In the southern part of the continent, Chile is working to have the second largest electric buses fleet in the world, right after China, which currently has 150,000 units. The Chilean government approved a plan last year to gradually introduce 200 electric buses into the transport system of Santiago, Transantiago, and is aiming to exceed 2,000 buses by 2025.

Gianni López, a civil mechanic engineer at the Mario Molina Development and Research Center, says, at this stage, electromobility in Latin America and the Caribbean is mostly competitive in cargo and public transport vehicles.

"In the short term, the region will not have a transition like Norway’s, the world leader. The difference in prices between conventional and electric cars in our countries are still huge and can only be amortized through intensive uses,” such as buses, company fleets or cargo transport, explains López.

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Photo by Empresas Públicas de Medellín

Gonzalo Pacheco, General Manager of the Chilean company Movener, says Chile and the rest of the region need to improve after-sales and maintenance processes, as there are only a few experts in the region and the local universities still do not offer this kind of training.

However, the charging infrastructure is seen as the great challenge of Latin America and the Caribbean.

"Although electric cars can be charged at home, users suffer from the so-called 'anxiety range'. They are afraid the car will run out of energy before reaching the destination,” says Gastón Turturro, Engineering Professor at the University of Buenos Aires.

Gustavo Mañez, UN Environment Climate Change Coordinator in Latin America and the Caribbean, believes this is far from the truth. “Everyone in the region has electricity outlets at home or at work, and considering that vehicles are parked more than 90 per cent of the time during the day, they could be charged virtually anywhere at a cost almost 10 times lower than that of fossil fuels,” he explains.

Uruguay has recently taken important steps in this field: the country has built electric charging stations in 300 km of its main touristic roads, now the first ‘electrified’ route in the region. The South American country intends to cover 20 per cent of the 9,000 km of its national roadways by 2020. In addition, it has exempted commercial electric vehicles from import taxes.

Argentina has also shown determination. The Government has recently approved a decree that reduces duties on the import of electric cars from 35 to 2 per cent and has presented a law in the National Congress to encourage electric mobility, "very similar to that of Costa Rica and which will mark a precedent in the region," says Turturro.

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Photo by Empresas Públicas de Medellín

The country will also release a dozen of electric buses in Buenos Aires by the end of the year: "If we electrify the capital bus fleet, we could even have a 25 per cent reduction in emissions," adds the expert.

In Colombia, Medellín prepares the deployment of 1,500 electric taxis by 2020, 500 of which will operate this year. While in Mexico – one of the world's largest automotive producers –, two large companies, Zacua and Giant Motors, lead projects to manufacture 100 per cent national electric cars.

“Latin America has the greenest electricity matrix in the world, the fastest growing emissions of the transport sector and the highest use per capita of public transport globally. The region is uniquely positioned to take advantage of electric mobility”, adds Mañez.

The transition to electric mobility will help Latin American countries reduce emissions and fulfill their commitments under the Paris Agreement. The pact, signed in 2015 by nearly 200 countries, aims to keep the global temperature rise well below 2 degrees Celsius above pre-industrial levels by the end of the century and to pursue efforts to limit the temperature increase even further to 1.5 degrees Celsius.

UN Environment Office in Latin America and the Caribbean launched the MOVE platform in 2016 to accelerate the transition to electric mobility in the region. Since its creation, MOVE has positioned itself as a flagship community of practice in the provision of technical assistance, resource mobilization, capacity building and knowledge creation on electric mobility in the region.