A framework for quantitative analysis of government policy influence on electric vehicle market

There is increased government intervention worldwide towards supporting growth of the global Electric Vehicle (EV) market motivated by public interest in greenhouse gas emission reduction and energy security. Previous studies have shown a positive relationship between government investment and the growth of EV market share within the overall vehicle market. This paper describes a quantitative framework for analyzing the effect of EV-related government policies on emissions reduction that includes modeling decision making of the manufacturer, charging service operator and consumer.. Two interesting findings from applying this framework to specific urban use scenarios are reported. First, if the budget for the relevant government subsidies is increased, the focus should shift from direct support of battery EVs to building public infrastructure such as charging stations; second, government policies that affect the design of both charging services and EVs would allow the government more effective use of its investments.