urbaniqe’s post financing solution for fleet electrification projects accelerates the spread of electric vehicles, therefore mitigating the emissions originated from road transportation.
For this segment making up 15% of the total global GHG emissions, we believe it is a good place to start taking climate action.
We’ll see the real, quantified impact of these projects after each carbon credit generation period, but now we can take a look at our estimated numbers.
Internal combustion engine vehicles being replaced by fleet electrification have an average emission of 16.5 kg CO2e / 100 km1, while the battery electric vehicles replacing them have a carbon footprint that depends on the carbon intensity of the local electricity used for recharging them.
In the EU in 2022, the average carbon intensity of electricity generation was 275 g CO2e / kWh2, while the average energy consumption per 100 km for electric cars was 18.8 kWh3.
It follows that the average carbon footprint of electric vehicles in the EU is 5.2 kg CO2e / 100 km.
With fleet electrification, the difference between the two powertrains appears as a decrease in carbon emissions, meaning that every 100 kilometers, there is a carbon gain of 11.3 kg CO2e as the average carbon benefit of the technology transition, which will further increase per capita over the next 10 years with the expected continuous decrease in carbon intensity of electricity generated in the EU ("Fit for 55").
The 10-year business plan of urbaniqe until 2033 includes the green financing of 150,000 vehicle replacements (ICE to BEV) in EU countries, resulting in an annual reduction of ca. 267,000t CO2e carbon emissions in 2033 (an average of ~1.8t per vehicle per year).
In summary, over the next 10 years, the figures average as follows: post financing from the carbon market of ~63,000 electric vehicles, and consequently an average annual carbon footprint reduction of ~130,000t CO2e. Therefore, the positive effect of fleet electrification realized through the green financing solution provided by urbaniqe, and most importantly by the green investors themselves, will result in a total reduction of 1,300,000t CO2e carbon emissions over 10 years.
Sources:
1 https://www.gov.uk/government/publications/greenhouse-gas-reporting-conversion-factors-2023
2 https://app.electricitymaps.com/map
3 https://ev-database.org/cheatsheet/energy-consumption-electric-car
Cover image:
Eelco Böhtlingk, Unsplash