Expert opinion

Expert opinion30.12.2021

Maxim Baryshev: Electric cars are convenient, silent and emission-free

What is the state and prospects for the development of the electric vehicle segment in our country, what has already been done in this direction and on what points should efforts be concentrated – this and much more in an interview of our correspondent with Maxum Baryshev, the chairmen of the Regional Councul of the National Chamber of Entrepreneurs “Atameken” in Almaty, the founder of “Uchet” group of companies.

- Maxim Anatolyevich, the issue of "greening" of our economy has become one of the most important on the agenda. As you know, today transport accounts fora significant portion of emissions and pollution, especially in large cities. You are an active protagonist of the development of the electric vehicle fleet in our country. How relevant, timely and feasible is the task of switching to electric vehicles in our country?

- My personal motivation to become "eco-friendly" was the strongest hurricane that occurred in the foothills of Medeo in 2011, which felled many trees. After this incident, I planned the construction of an eco-office and changed my car to an electric car, because I realized that the human impact on the environment was enormous and the natural disaster that occurred near Almaty was to some extent a consequence of human carelessness.

Also, an electric charging station was installed near our eco-office so that other electric vehicles could be charged. Charging is carried out from solar energy, as solar panels are installed on the roof of the office, which generate energy not only for the building, but also for charging stations. The urgency of switching to electric transport is obvious - the absence of harmful emissions from recycled fuel. I would like to draw special attention of cyclists and scooters who ride along the roads to the fact that they breathe exhaust gases that are particularly harmful to the respiratory tract. Global warming is also an important factor in my personal eco-initiative, it is not for nothing that almost 200 countries signed the Paris Agreement in 2015. And an increase in the average temperature by 1.5 degrees will lead to man-made disasters. According to the International Labor Organization, such an increase in temperature can lead to a reduction in working hours on the planet by more than 2% in 2030. It seems that the figures are insignificant, only 1.5 degrees and 2%, but for the labor market, this is a loss of US$2.4 trillion. As a result, 132 million people will be below the poverty line.

There is an urgent need to switch to electric vehicles to preserve your health. The switching to electric cars will be possible with affordable prices for the electric cars in our country. The cost of an electric car should not exceed 10 million tenge. Moreover, a state program should be developed to stimulate the switching to electric traction, and then the switching to electric transport will become quite real and feasible. Developed Western countries and China have long stimulated the transition to electric cars with state subsidies. If over the next 30 years, the number of electric cars reaches the half number of all cars, this will reduce global carbon dioxide emissions into the atmosphere by 1.5 gigatons per year, which is comparable to the emissions of the whole of Russia in 2017.

- Recently, you organized the First Kazakhstan online conference on the development of a fleet of environmentally friendly cars Kazakhstan Electro Drive and within its framework spoke on the topic of international experience in supporting the development of an electric vehicle fleet. What support measures exist in Kazakhstan today and to what extent do they correspond to international best practices? Which country is the leader in the development of this segment today?

- Since March 16, 2020, the Council of the Eurasian Economic Commission has decided to set the rate of import customs duty in the amount of 0% of the customs value of the Single Customs Tariff of the Eurasian Economic Union for certain types of motor vehicles with electric motors. The zero rate is effecive from January 1, 2021 (on the territory of the Republic of Kazakhstan) until December 31, 2021 inclusive and is applied when importing electric vehicles to the EAEU by both legal entities and individuals.

By the order of the Minister of Ecology, Geology and Natural Resources of the Republic of Kazakhstan dated May 13, 2021, the recycling fee for all vehicles (cars, trucks, buses) with electric motors, with the exception of vehicles with a hybrid power plant, is zero.

Moreover, a project was developed to make additions to the "Rules for the use of communal paid parking lots (car parks, parking lots) of the city of Almaty" to expand the list of categories of persons entitled to free use of parking spaces in paid parking lots in Almaty. The list included electric vehicles. To date, these changes have not yet been adopted. The document was in open discussion until April 12, 2021.

Such benefits and other indulgences really motivate people to purchase eco-friendly transport. For our city, the problem of ecology is one of the most important, and the akim, the President, and the citizens themselves often talk about it. It is also worth adding that in many large cities of Europe, the USA and Asia, parking companies-operators install universal paid chargers for electric vehicles at their own expense. Every 10-15 parking spaces are equipped with charging stations, which only increases the popularity of electric cars.

Also, passenger cars equipped exclusively with electric motors are not taxed on vehicles, since the transport tax is calculated from the engine volume. EV owners in Kazakhstan have such advantages.

Regarding the city of Almaty, electric vehicles are provided with free travel on the Shymkent GC, as well as free parking on the Kok-Tobe.

According to the global trend, Norway became the leader in the growth of the electric car market in 2020, overtaking other Scandinavian countries, as well as China. In general, Europe is a leader in this industry. The USA is the largest exporting country of electric cars around the world.

The measures taken in our country to stimulate the electric car market are quite effective, but we cannot limit ourselves to this list. For example, in Germany and France the purchase of electric vehicles is subsidized by the state, which makes buying a car much more affordable.

- An important issue in the development of the electric vehicle segment is the development of appropriate infrastructure. These are both electric gas stations and the necessary service for servicing electric vehicles. The lack of infrastructure development (apart from the price) is probably one of the factors pushing consumers away from electric transport today. How to change this situation? What initiatives are being implemented in this regard, including at the regional level?

- Today many owners of electric cars install charging stations right at home and charge cars at night, like cell phones. Also, at the moment, the construction of charging stations at conventional gas stations, in shopping malls and other publicly accessible locations has begun. If we take the example of European countries, there are separate parking spaces for electric vehicles. These parking lots are equipped with charging stations.

At the moment, Kazakhstan lacks a full-fledged infrastructure for charging electric vehicles not only in the city, but also on intercity routes. This infrastructure is simply necessary for full-fledged travel within the country. At a minimum, fast charging stations are needed along the routes between the cities of Nur-Sultan, Almaty, Shymkent, Turkestan and other major cities of the country.

Thus, at our Kazakhstan Electro Drive conference, the Vice-President of the Automobile Business Association of Kazakhstan Anara Makasheva spoke. She noted that Kazakhstan already has a roadmap for the development of infrastructure for electric vehicles and hybrids, suggesting a set of measures that will encourage citizens to purchase environmentally friendly transport. The roadmap will provide benefits to consumers at the EAEU level.

And Vice-Minister of Ecology, Geology and Natural Resources of the Republic of Kazakhstan Akhmetzhan Primkulov noted during his speech at Kazakhstan Electro Drive that this is a relevant and timely issue for Kazakhstan. That is why the new Environmental Code of the Republic of Kazakhstan came into force on July 1. It assumes stricter requirements on emissions and climate change. After all, according to him, the main source of emissions in Kazakhstan is vehicles operated for over 10 years. The Vice-Minister also noted that the transition of the population to electric transport is an important moment in the fight against climate ange. He added that together with the operator of the EPR, work is being carried out to install charging stations for electric vehicles in the cities of Kazakhstan in accordance with international standards. 52 ECS have already been placed in Nur-Sultan, 50 ECS - in Almaty. They are mainly located near administrative and socially significant facilities, shopping malls and in densely populated areas.

- Transport for own needs and transport for public needs are slightly different segments. A private driver, as they say, will think seven times before buying an electric car, and for him/her the issues of ecology and air pollution will probably not be in priority. For such buyer, the price, costs and procedure of registration (importation), taxation, maintenance, availability of refuelling, work in the climatic conditions of our country, fuel endurance are important. For municipalities, after all, the issues of ecology and pollution are acute -perhaps this can explain the purchase of electric buses in Nur-Sultan. How do you think is it possible to expand the possibilities of using the fleet of electric vehicles for public needs? Maybe that's where we need to start?

- At the end of the day, the maintenance of electric vehicles is much cheaper than cars with internal combustion engines. There is no need to change the oil, filters, no need to refuel. For five years of operation of my electric car, I changed only the cabin filter. This is very economical for users compared to cars with internal combustion engines. There are nuances on public transport. For example, a good example of eco¬friendly transport is a trolleybus. But due to the complexity of laying and maintaining infrastructure, trolleybuses cannot be everywhere. Electric buses and electric taxis that travel around our cities are a new eco-friendly direction in public transport. Its purpose is not to pollute the public space in the city with emissions. Convenient, noiseless, no emissions - it is these principles that should be followed to develop public transport and urban space. Public electric transport saves fuel, reduces air pollution, and will also become a living example of the popularization of EV among the population. Therefore, I think that all public transport should be converted to eco-friendly fuels.

Today electric cars in Kazakhstan are much more expensive than a regular car, which, of course, does not contribute to the popularization of this transport.

- As to the issue of infrastructure. Today, the gas stations that we see, for example, in Nur-Sultan are powered by electricity received from traditional coal generation. Moreover, purchased electric buses for public needs are charged according to the same principle. Don't you think that in case of this scenario, the whole point of switching to electric cars will be lost? Maybe we should initially lay down the principle of powering such gas stations by renewable energy sources?

- Electricity is generated from both renewable energy sources (hydroelectric, wind, solar) and non- renewable (coal, gas). Electricity generation from renewable sources is increasing in Kazakhstan every year. By 2060, Kazakhstan should reach carbon neutrality. The process of development of electric transport and the transition to renewable energy are implemented in parallel. Moreover, the cost of 1 kW of energy from renewable energy is decreasing every year. I think it will be cheaper to build renewable energy generators within 10 years than coal-fired or gas-fired power plants.

- An important component is the development of production and local content. We agree with your opinion that Tesla is unlikely to allow the production of electric vehicles of its brand in our country. Nevertheless, we are all well aware of the attempts of our automakers to produce electric vehicles. Do you think this experience is successful? What can be the competitive advantages of Kazakhstan in this area?

- Since the 1950s, deposits of nickel and cobalt were discovered in Northern and Eastern Kazakhstan. They are used in the production of batteries, in particular batteries for electric vehicles. It is quite possible that in this shallow deposit both nickel and cobalt can be mined in an open pit. This will allow the production of batteries in Kazakhstan and their disposal, including for other countries. I would like to note that it is necessary to develop the production of batteries, and not the export of raw materials, as this means higher margins, added value and jobs created, as well as foreign exchange earnings from the sale of batteries. Therefore, I think it is necessary to build a plant in Kazakhstan for the production of batteries for EV.

- The last question is about prices. If we compare electric cars and cars operated with traditional fuel, are the electric cars competitive now? Is there a tendency to reduce their cost? How much does it cost to maintain such a car? And, if it's alright with you, a personal question: what kind of car do you drive yourself?

- Today electric cars in Kazakhstan are much more expensive than a regular car, which, of course, does not contribute to the popularization of this transport. Of course, I would like their cost to be no more than 10 million tenge. To increase the attractiveness, the import customs duty rate is now equal to 0% of the customs value of the Single Customs Tariff of the Eurasian Economic Union.

The price of EV remains high and unaffordable for most of the population, because now the demand for such cars exceeds the supply and many order electric cars a year in advance. I think prices will gradually begin to decline when the mass production of EV is established by the leaders of the automotive industry, who have already started producing or developing their electric cars.

I have a Tesla Model X. I think that the maintenance of electric vehicles is much cheaper than cars with internal combustion engines. Fuel economy, no need to change the oil. As I said, for five years of operation of my car, the only thing I changed was the cabin filter.

-        Thank you for the interview!

06.05.2024
Advanced 'high-density waterless hydro' energy plant gets green light
06.05.2024
Eurostar aims to have all their trains powered by renewable energy by 2030
04.05.2024
‘World’s first’ wooden wind turbine blades installed in Germany
04.05.2024
Natron to kick off mass-production of long-life sodium-ion batteries
03.05.2024
Tajikistan intends to fully switch to renewable energy sources by 2032 - deputy PM
03.05.2024
Floating solar can power Africa’s energy goals, study finds
02.05.2024
South Korean сompanies to modernize Kazakhstan's power plants, and GRES Topar
02.05.2024
Decarbonization and sustainable development to take center stage at the 11th Annual Downstream Central Asia & Caspian Conference
30.04.2024
Renewable electricity share in Turkey nears 50%
29.04.2024
Sinn Power plans groundbreaking floating photovoltaic system in Bavaria
26.04.2024
Swiss researchers boost efficiency of vertical axis wind turbines
26.04.2024
Rapid expansion of batteries will be crucial to meet climate and energy security goals set at COP28
26.04.2024
Georgia acquires first floating solar power plant
25.04.2024
Wind turbine blades get a sustainable upgrade
25.04.2024
China restricts offshore solar PV projects to specific sea areas
24.04.2024
Biden announces $7 billion for solar energy in low-income communities
23.04.2024
Production of a solar energy storage battery has started in Vilnius
23.04.2024
Ainur Sospanova: Clear rules are needed for functioning of bilateral contracts market
23.04.2024
Process to submit applications for RES auctions to construct HPPs and WPPs has commenced in Kazakhstan
22.04.2024
JinkoSolar recognized as a Tier 1 Energy Storage Provider by BNEF