Challenge Bibendum Booklets

Let’s drive electric!

Electric and Hybrid
Vehicles
 Challenge Bibendum
Booklets

The Challenge Bibendum booklets have been

conceived to stimulate ‘new thinking’ and dia-
logue among experts, industrialists, political
decision-makers, journalists and any other
person wishing to take part in the debate on
the future of mobility.
These documents will have nothing new for the
specialists, but, in the space of a few pages,
they will provide readers who are interested in
the subject with enough essential information
for them to grasp the issues at stake and contri-
bute to an enlightened debate.
We hope you will contribute by posting your
comments and suggestions on the Challenge
Bibendum Booklet section on our website
challengebibendum.com. We will take your
suggestions into account when we update
these booklets, which will evolve with time.
Patrick Oliva
Corporate Vice President / Advanced
Research and Sustainable Development
Michelin

Acknowledgements
We would like to thank all those who through their
insightful advice, remarks and support have contributed to
this booklet and in particular: Valérie Bouillon-Delporte,
Pascal Chevalier, Benoît Dailliez, Hervé Deguine, André
Douaud, Antoine Féral, Sylvie Gillet, Gérald Sezille and
Pierre Varenne.
 5 misconceptions about hybrid and electric vehicles 1

5
misconceptions
about hybrid
and electric vehicles
contents
1
5 misconceptions about hybrid Price
and electric vehicles 01 Electric vehicles are too ex-
pensive and will therefore be
Introduction 04 inaccessible to the general
public.
FALSE
Chapter I 07 This perception is based on the
fact that the vehicles that have
The basics of vehicle been marketed so far were rather
electrification expensive since they were pro-
duced in limited series: Without
Chapter II 15 the battery or fuel cell, an electric
car is cheaper to produce than an
What are the major internal combustion vehicle
industrial choices? (fewer parts). The production cost
of a battery-powered vehicle de-
Chapter III 19 pends on the quantity of batteries,
which is directly linked to the
In what way does going desired range and distance con-
electric favor sumption.
The generally accepted market
sustainable mobility? price for a lithium battery is 400 €/
kWh. A vehicle that consumes
Chapter IV 22 15 kWh/100 km would require a
Economic assessment 6,000 € battery for each desired
100 km range, and the recharging
5 key ideas to keep in mind 25 cost would range between 1.5 and
3 €, depending on the country. It
is thus easy to see that an electric
vehicle could be very efficient in
terms of total cost of use, pro-
vided that it is designed for low
consumption and intended for
relatively high usage, with lim-
ited range. In addition, new eco-
2 5 misconceptions about hybrid and electric vehicles
nomic models, which would
involve renting rather than buying
the battery, can be very favorable
to the consumer. Fuel cells are
still expensive, just as is hydrogen
for which no high volume ap-
plication yet exists, but this will
evolve. Non-rechargeable hybrid
vehicles are still costly as well, but
their price is expected to decrease
significantly as soon as they are
mass produced, and their lower
urban consumption should ensure
that they are fully profitable.
2 geous in terms of public health
Range/
Infrastructures
The low range of electric ve-
hicles, the long amount of time
required to recharge them and
the lack of infrastructure are
such that they cannot be re-
alistically exploited today.
FALSE
It’s true that electric vehicles gen-
erally have a significantly lower
kilometric range than traditional
internal combustion engines (ICE),
but it is perfectly possible to
achieve a 150 km range (which is
way above the average daily dis-
tance traveled by a motorist) or
more; moreover, they present
numerous advantages for limited
action ranges, typically for urban
use or local rural use.
The recharging operation, con-
ducted in normal conditions
–5 hours– takes a lot longer than
filling up the tank of an internal
combustion vehicle but the re-
quired infrastructure is a nearly
standard electric outlet. It is pos-
sible to proceed occasionally to
a quick, partial charge and it is
also possible to exchange one’s
empty battery for a full one, as
the BetterPlace system demon-
strates, an operation that only
requires the same amount of time
as refilling the tank (3 minutes on
average)! This, however, does re-
quire specific infrastructures.
Cars equipped with “Range Ex-
tenders” get around this potential
difficulty by offering the possibil-
ity of classical range by means of
a back-up ICE running on regular
fuel. Fuel-cell powered electric
vehicles are not limited in their
range either.
3 by reducing emissions in urban
pollution
From an ecological point of
view, since electric production
in many countries involves high
carbon pathways (coal-fired
power plants), and because of
batteries, an electric vehicle
would end up polluting more
than an internal combustion
engine. The future of electric
vehicles is linked to the devel-
opment of nuclear energy.
FALSE
The so-called well-to-wheel eco-
logical analysis is a means of
measuring a car’s “pollution” from
conception to end of lifetime. The
vehicle’s manufacturing, produc-
tion of electricity, emissions dur-
ing the vehicle’s use and battery
life cycle right up to the recovery
industry are all taken into account.
These objective points of com-
parison show that the ecological
potential of electric cars is intrin-
sically far superior to that of ICE
vehicles, but that at the current
time it depends heavily on the
power generation process. Resort-
ing to nuclear energy is not an
absolute must, even though nu-
clear energy can help improve
the CO2 imprint. The essential
point is that electric vehicles must
be designed to use as little en-
ergy as possible (typically less or
equal to 15 kWh/100 km). Electric
vehicles are also truly advanta-
environments.
4
safety
Battery thermal runaway, high-
voltage or hydrogen-related
hazards: electric mobility in-
creases the risk level for the
consumer, especially in case
of accidents.
FALSE
Electrochemists now know how
to eliminate the phenomena of
structure instability that were
observed in certain lithium bat-
teries’ electrodes and electrolytes.
Moreover, current technologies
of battery production, electric
system management and insula-
tion of electric components offer
a level of safety in compliance
with the most stringent interna-
tional standards. Batteries
equipped with circuit breakers
and safety controls (temperature/
discharge rate, etc.) offer a high
degree of safety. Because we are
used to them, we tend to minimize
the hazards associated with cur-
rent gasoline tanks in cars. Inci-
 5 misconceptions about hybrid and electric vehicles 3

dentally, electric batteries do not be revolutionized. For example,

create a magnetic field that can it is possible to place engines di-
attract lightning, and there is no rectly in the wheels, thereby en-
risk of electrocution when it rains. tirely freeing up the space under
As to the very design of electric the hood. Batteries can be dis-
vehicles, it can integrate a much tributed within the vehicle, on
safer architecture than many cur- the floor, between the seats in
rent vehicles in case of acci- hitherto unused spaces. Electric
dent. cars can therefore not only be
more roomy, but also more func-
5 tional and practical than their ICE
Performance counterparts. In any case, their
and status design is bound to be more in-
Heavy and poorly performing, novative and futuristic. Contrary
electric cars are also handi- to popular belief, electrifying a
capped by the weight of bat- car is not just a question of replac-
teries: the future of electric ing an ICE and fuel tank with an
vehicles will be limited to very electric engine and batteries, but
small electric vehicles. rather presents the opportunity
FALSE to completely rethink the archi-
The performance of electric cars tecture of a vehicle, according to
depends on technological choic- user needs and comfort. Time to
es. Batteries, electronic and ther- put imagination at the heart of
mal controllers can be calibrated design!
for performance, as proved by the
Porsche 911 GT3 R Hybrid, which
won the World Motorsport Expo
Award 2010. The torque of an
electric motor at low speed and
its energy efficiency are promis-
ing for electrons, as compared to
oil, in terms of straight perform-
ance. Electric or hybrid power-
trains offer a comprehensive range
of cars tailored to the needs of
users. Battery consumption is
another aspect that is taken into
account right from the design
phase of these vehicles in order
to optimize their weight. Weight
is also lessened as a result of the
reduced number of mechanical
parts that compose a 100% elec-
tric vehicle, a fact we easily over-
look in our initial judgments!
In addition, electric drive means
the architecture of vehicles can
4 Introduction
Introduction
“Clean, safe and connected”: these
three words unambiguously define
road transport of the future. To
achieve it, users, vehicle and
equipment manufacturers,
politicians and citizens the world
over are in the process of
assimilating the different transport
solutions available to match the
types of journey they make:
short-and-long haulers, intermodal
solutions… Electrically propelled
vehicles are going to come into
their own in this new offer of
mobility solutions, where no option
excludes the others.
However, numerous challenges still
have to be addressed, such as
implementing new economic
models, adapting infrastructures
and restructuring manufacturing
capacity.
This hatching revolution is crucial if
we are to meet our climate and
energy challenges. New categories
of road users have emerged at the
same time. Consumers in emerging
countries and elsewhere, eager to
access more affordable and
practical means of mobility, must
be satisfied by the industrial offer.
Today, two factors come together to justify the
energetic transformation in transport.
The fast development of certain emerging
countries (China, India, etc.) and their
need to access mobility translate into an
ever increasing number of vehicles and,
more significantly, to greater oil needs.
The world counts 800 million vehicles in 2010. Ac-
cording to certain estimates, the figure could climb
to 2 to 3 billion in 2050, for a human population
exceeding 9 billion. Oil production will not be able
to match this growth: from 85 million barrels per
day in 2010, the quantity would have to increase to
well above 100 million between now and 2050; an
impossible feat given the facts that overall produc-
tion has been almost steady for twenty years and
easily accessible oil is becoming scarce.
So we must cast away the lifestyle made possible
by the availability of cheap oil, production of which
progressed in line with our needs. The nearly ex-
clusive dependency of transport on oil is a strategic
and economic Achilles’ heel that must be cor-
rected. At the same time, the ecological context
makes it a priority to reduce greenhouse gas emis-
sions and thus fossil fuel combustion.
The ecological context mandates a
reduction in greenhouse gases (GHG).
The main greenhouse gases exist naturally in the
atmosphere (water vapor, carbon dioxide, methane,
nitrous oxide, ozone). Then there are greenhouse
gases that result from human activities and which
include, in addition to the main gases mentioned
above, fluorine gases such as CFCs. Reducing GHGs
is becoming a priority objective to combat global
warming.
Finally, the urban life style, which is already pre-
dominant, could apply to 70% of the world’s popu-
lation by 2050. Reducing urban pollution, providing
access to the broadest possible number of people
to safe and fast transportation modes and lowering
transportation costs are priorities that will only gain
in urgency.
 Introduction
Vehicle electrification:
a logical next step?
The idea of switching to electric motor vehicles is
not new. It dates back to the first half of the 19th
century (1835, Anderson), following multiple inven-
tions in the field: the first battery (1800, Volta), first
electric motor (1823, Sturgeon), first rechargeable
storage battery (1881, Faure) and exploitation of
the tremendous energy efficiency of electric mo-
tors.
After a promising start in the early 20th century,
electric motorization was supplanted by ICE mo-
torization; the decreasing cost of a liter of fuel, the
autonomy it procured, convenient usage thanks to
the development of infrastructures (roads and
service stations) got the better of electric, with the
heavy and expensive lead acid batteries of the time
that offered limited range.
Today, electric energy presents many environmen-
tal and economic advantages. It can help us wean
ourselves from our exclusive dependency on oil,
so long as the primary energy used to produce it
enables low greenhouse gas emissions. This is not
always the case, especially today, in countries where
Oil can no longer guarantee affordable road transport.
Numerous factors contribute to its price volatility, which
follows a bullish trend.
Price in dollars
1 2
100 $
OIL CRISES
90 $
80 $
70 $
60 $
50 $
40 $
30 $
20 $
10 $
1970 1980
1973 First oil crisis
1979 Second oil crisis
5
electricity is mostly produced using coal (Australia,
South Africa, China, India). As for electricity from
nuclear power stations, it may be low in carbon
emissions but raises other environmental dilem-
mas.
Penetration of electric vehicles:
an evolution already under way?
Since the early 1990s, electric vehicles have been
trying to win back their market (this was the case
of France between 1995 and 2003 with the world’s
largest experiment), as this type of motorization
had already been adopted in the industrial sector
(power lift trucks, for example). Without success.
But another way, that does not require a radical
transformation in user habits nor in infrastructure,
is showing a promising development: hybridization.
Taking into account the fall in prices and the ease
of use, will the arrival of lithium batteries convince
those users who remain skeptical?
These hybridization technologies offer usage pos-
sibilities that are perfectly adapted to an urban use.
In towns, electric motors are more energy efficient
(in the region of 90%) when it comes to driving at
3
ZERO EMISSION KYOTO PROTOCOL
VEHICULE ACT
1990 2000 2010
1997 COP3: Kyoto Protocol
1990 Zero Emission Vehicle Act March 2011: $100/barrel
6 Introduction

a low speed with lots of stopping and starting. On

highways, ICEs reach their maximum efficiency
and boast the substantial range offered by liquid
fuel. ICE-electric hybridization then begins to make
perfect sense.
Since 1997, when the Toyota Prius was launched,
hybrid vehicles have acquired credibility. With its
Toyota and Lexus brands, the Toyota Group has
sold 2.5 million hybrid models. Other constructors
followed suit, even if the market penetration rate
of these hybrid vehicles, compared to the rest of
the range, remains low. The impetus is undoubt-
edly there.
I. The basics of
vehicle
electrification
1. The key functional blocks of electrification 08

2. Different levels and/or means of electrification  09

3. Performance linked to battery choice 13

8 The basics of vehicle electrification
An electric vehicle can be defined
as a vehicle whose main motor is
electric. A vehicle is called a hybrid
if it has an electrical contribution to
traction in addition to its main ICE.
Two means of supplying energy to
an electric motor are possible
today for a road vehicle: via an
electrical storage (batteries or,
possibly ultracapacitors) or an
electric generator (fuel cells or
electric generating sets). Fuel cells
(mostly oxygen and hydrogen
powered), which are the object of
many studies, are still costly and
their reliability/durability must still
improve to be suitable for massive
usage in mobile applications.
1. The key functional
blocks of electrification
Three functional blocks make up the core of an
electric powertrain: a motor, an electronic control-
ler and an electrical power source.
A) Motors
Different electric motor technologies are available.
Current preferences favor alternating-current (as
opposed to the direct current delivered by batteries
or fuel cells), three-phase (as opposed to the usual
single-phase domestic installations), so-called
brushless motors (to limit wear caused by friction)
driven by high-power electronic controllers.
The main advantage of an electric motor is its ef-
ficiency, that is to say the quantity of energy that is
transformed into mechanical energy from the
power source:
90% efficiency and more for an electric motor;
10 (in urban conditions) to 35% efficiency for a
gasoline engine;
15 to 40% efficiency for a diesel engine.
Other advantages are its simplicity (only the rotor
moves), outstanding durability and the fact that it
runs quietly, without emitting gases or fine particles.
Lastly, electric motors are reversible and can there-
fore operate as current generators on demand. This
is the very property that is used during braking to
recover energy.
b) Electronic controllers
They are responsible for piloting the motors.
The electric/ICE coupling of hybrid vehicles neces-
sitates an advanced power control and heat control
system. Thus computer controlled electronic con-
verters transform direct current into alternating
current and adjust power according to speed.
These electronic controllers need to be cooled by
air or water. The cooling system is connected to the
battery, which can affect the vehicle’s range. New
technological solutions, such as heat exchangers,
should quickly eliminate this drawback.
 The basics of vehicle electrification
c) Electrical sources
Storage and generator systems have their respective
advantages.
Batteries
They are the best known rechargeable storage systems.
A battery is a series of interconnected electrochem-
ical accumulators (also called cells or elements of
the battery) that constitute a source of direct current
in the desired capacity and tension.
There exist multi-disciplinary research programs
into batteries. As a battery is much heavier than a
fuel tank, its limited energy storage capacity restricts
the vehicle’s range. Batteries are also held back by
their recharge time (5 to 10 hours in optimum con-
ditions), a shorter service life compared to e-motors,
and their cost which remains high. Beyond techno-
logical fine-tuning (performance and safety), bat-
Temporary storage of kinetic
energy
A KERS (Kinetic Energy Recovery System)
is capable of recovering braking energy and
regenerating it on acceleration, thus
lightening the ICE’s load. Capacitors are the
best known. But hydraulic pressure
accumulators and flywheels also exist. A
capacitor is a system that is able to rapidly
accumulate electric energy (i.e. in a few
seconds) and release it at a later stage,
almost instantaneously. Although it only
stocks a small quantity of energy at a time,
it can provide considerable power boosts,
and withstand up to a million charge-
discharge cycles. These characteristics are
well suited to heavy urban vehicles, such as
buses. Unfortunately, the price remains very
high. Endowed with strong torque as soon
as they start up, hydraulic pressure
accumulators are suitable for heavy urban
vehicles, such as large delivery trucks.
Flywheels enable energy to be stored
mechanically by accelerating a rotor to a
high speed and storing the energy from
braking and instantly redeploying it on
demand like a booster. The total efficiency
of the operation is very high (in the region
of 90%) and was used by the Williams
Formula 1 team in the 2009 season.
9
teries also face the challenge of large-scale industri-
alization and life-cycle management, including the
issue of recycling.
Finally, it is worth noting that recovery of braking
energy means the battery must never be fully charged,
which significantly reduces its performance. To
mitigate this drawback, temporary stores of kinetic
energy can be used.
Generators
In fuel cells, oxygen and hydrogen react on electrodes
(through a catalyst, usually made of platinum) to
produce electric energy with water as the only
discharge. Most often, following the example of
ICEs, fuel cells quite simply use the oxygen in the
air. As for hydrogen fuel, it can come from a tank
or be produced on-board the vehicle by reforming
hydrocarbons. A H2/O2 fuel cell does not itself emit
CO2, but the vehicle’s overall emission footprint
obviously depends on that of the hydrogen produc-
tion.
As for electric generating sets, most are made up of
an ICE that activates an alternator. They require a
fuel tank (fossil energy).
2. Different levels
and/or means
of electrification
The figure over indicates five progressive levels of
hybridization and two types of “all electric power-
train” vehicles.
To better understand these different options in
terms of what they involve for the user, we will dif-
ferentiate vehicles that can be connected to an
electricity distribution network from those that
cannot.
10
a) Non plug-in
hybrid/electric vehicles
In the following four types of vehicles, users continue to
supply their vehicles solely with fuel, with a promise of
consumption and pollution reduction.
Micro hybrids – (Pioneer series vehicle
for this technology: Citroën C3 – 2004)
Popularized in France by the launch of the Stop &
Start Citroën C3, micro-hybridization is the first
level of “hybrid” functionality. It means the engine
stops when the vehicle comes to a halt and auto-
matically restarts when the driver presses the ac-
celerator pedal. Fuel economy gains in urban use
can be up to 15%. Micro-hybridization does not
need a specific battery. A starter-generator acts as
an electrical motor to assist the ICE in restarting.
Mild hybrids – (Pioneer series vehicle
for this technology: Honda Insight – 1999)
The next electrification level up is the so-called mild
hybrid with two additional functionalities: regenera-
tive braking (Kinetic Energy Recovery System, KERS)
and boost (assisted acceleration). Upon braking, the
kinetic energy is no longer only dispersed as heat; the
electric motor works as a generator and sends some
of the energy back towards accumulators (batteries
or ultracapacitors), which are thereby recharged. In
addition, ICE efficiency at low speed being poor, the
electric engine backs it up during acceleration.
An “electrical” solution for every use
INTERNAL HYBRIDS
COMBUSTION
ENGINE
Full
Mild Hybrid
Hybrid
Stop/start
0% Degree of electrification
Source: Roland Berger Strategy Consultants, 2009
The basics of vehicle electrification
Full hybrids – (Pioneer series vehicle
for this technology: Toyota Prius – 1997)
Even more advanced, electrification of “full hybrids”
allows the vehicle to be propelled by the sole elec-
tric motor, thanks to a disconnection from the ICE:
this is the “zero-emission mode” which, to date, is
only possible over around two kilometers because
of the low capacity of the batteries used. The Toy-
ota Prius is a “parallel hybrid”: ICE and electric
motor act on the same wheels.
In series type architectures, power is transmitted
in a chain, from the ICE to the wheels: the ICE drives
an electric generator, which recharges the battery
and drives the electric motor which in turn gets the
wheels rotating. Batteries and/or ultracapacitors
back up the generator.
Fuel Cell Electric Vehicle – (Pioneer series
vehicle for this technology: Honda FCX
Clarity - 2008)
The Fuel Cell Electric Vehicle (FCEV) uses hydrogen
as fuel to produce its electric energy on-board and
autonomously.
Batteries and/or ultracapacitors can serve as back
up for the fuel cell. The user must stop at a hydrogen
station to fill up.
ELECTRIC DRIVING
Fuel Cell Battery
Vehicle Electric
Plug-In Hybrid
Vehicle
(Serial/
Plug-In Hybrid
Range ext.)
(Parallel)
100%
 The basics of vehicle electrification 11

b) plug-in hybrid/electric vehicles
The following three types of vehicles enable users
to recharge their battery on the mains:
Rechargeable hybrid (plug-in)
The rechargeable hybrid (Plug-In Hybrid Vehicle,
PHEV/PHV) is a more advanced level of electrifica-
tion than the “Full Hybrid”, in which the electric
motor and the batteries are respectively dimensioned
in power and capacity to be able to run on electric
mode for several tens of kilometers. The ICE alone,
reduced in size and power in a process of downsiz-
ing, can drive the vehicle over long distances in
optimized engine phases.
The plug-in version of the new Prius will soon be mar-
keted on a large scale. Its adaptability and its capacity
to cross town in electric mode mean that it seems well
suited to the new needs of certain users and marks a
significant progress towards the “zero emission” city.
Furthermore, systems for increasing the electrical
autonomy of “Full Hybrid” vehicles are now on sale
and can transform these current hybrids into plug-
ins. The procedure is carried out by professionals
and entails the battery being replaced by a system
comprising a charger, a battery of a greater capac-
ity and of another type (lithium-ion instead of Ni-
MH) and electronic control. It considerably in-
creases the range of the vehicle in straight electric
mode (20 km instead of the 2 km of the current
Prius, for example).

“Parallel” or “series” diagrams of non plug-in hybrids

1 HV (parallel) 2 HV (series)
1 HV (parallel) 2 HV (series)

Internal combustion
engine
Internal combustion
engine

Kinetic Energy Kinetic Energy

Recovery System Recovery System
Kinetic Energy Kinetic Energy
Recovery System Recovery System

Electric motor
Electric motor
Electric motor
Electric motor

Battery
Battery

Battery
Internal combustion
Battery engine
Internal combustion
engine

Fuel tank Fuel tank

Fuel tank Fuel tank
12 The basics of vehicle electrification

Electric vehicle with a range extender – The rechargeable 100% electric

(Pioneer series vehicle for this technology:
Chevrolet Volt – 2010)
The last level of electrification, which can be consid-
ered as the last phase before the all electric, is the
electric traction vehicle with a “range extender”
(Extended Range Electric Vehicle, EREV). It has the
architecture of a so-called “series” plug-in vehicle.
Its particularity lies in its ability to recharge its bat-
teries using a small ICE used as an on-board elec-
tric generator. This ICE does not in any case activate
directly the drive train and simply extends the ve-
hicle’s range thanks to its battery charger function.
This engine is controlled by on-board electronics.
This is the simplest form of electric vehicle and has
a “minimalist” architecture of battery/controller/
electric motor, with no auxiliary ICE or electricity
generator (except when the electric motor is used
for kinetic energy recovery). The battery is thus
recharged essentially by plugging the car into an
changing device. These models already exist in our
everyday lives: Nissan Leaf, Mitsubishi i-MiEV (and
its PSA derived models)... but also golf carts and
neighborhood cars, which have a limited use due
to their charge time and low autonomy.

Rechargeable hybrid
1 PHV 2 "RANGE EXTENDER" 3 EV
1 PHV 2 "RANGE EXTENDER" 3 EV

Kinetic Energy
Recovery System
Kinetic Energy
Recovery System

Electric motor
Electric motor

Internal combustion engine

Internal combustion engine Battery
Kinetic Energy Recovery System
Kinetic Energy Recovery System Battery
Battery
Battery
Electric motor
Electric motor
Fuel tank
Fuel tank
 The basics of vehicle electrification
New spaces
Michelin Active Wheels
Electrical drive motor
Electrical suspension motor
Spring
Brake calliper
Brake disk
No engine here
c) New architectural outlooks for
electric vehicles
The design of electric vehicles can be conceived of
differently; in particular for urban driving and the
new needs the car will have to satisfy. Thus, differ-
ent architectures are appearing, in which by instance
the electric motorization is in the wheels. By de-
centralizing certain functions, it is possible for the
space that traditionally houses the engine (under
the hood) to be used by passengers and their bags
or to be used for safety improvement. On the mod-
el of air and rail travel, traction, command and
storage functions can be distributed among the
“four corners” of all-electric vehicles. In rail trans-
port, for instance, France’s new Automotrice à
Grande Vitesse (AGV) - meant to replace the TGV
13
in the future - provides a 20% greater passenger
carriage capacity and a 30% reduction in energy
consumption thanks to its distributed power.
Designers and architects are enjoying a newfound
degree of liberty thanks to “by-wire” technology
(replacing mechanical commands by electric ones)
and distributed power set-ups.
Within the limits authorized by regulations and
bearing in mind the principles of physics that gov-
ern the stability of a motor vehicle, new concepts
have been a huge success in motor shows (Detroit,
Paris, Shanghai 2010) and, soon, in our cities.
The Michelin Active Wheel illustrates this emerging
liberty for designers and more broadly for research
in the field of wheel hub motors, brakes (Mercedes
SL, 1999), etc. A convincing example is the concept
with which Will demonstration vehicles have been
fitted since 2008 (Michelin-MIA cooperation).
3. Performance linked
to battery choice
Batteries are at the center of the main ongoing efforts
to develop electric vehicles. Expectations are in line
with the stakes as car manufacturers are currently
dependent on battery producers (even if they are
not as determining a factor for non-rechargeable
hybrids as for rechargeable vehicles).
a) Batteries chosen
according to use
Regarding battery performance, power density
(capacity to deliver power to the wheels per unit of
volume/mass) and energy density (capacity to stock
energy per unit of volume/mass) are essential. For
the user, it is therefore a compromise among per-
formance, range and cost.
Non-rechargeable hybrid vehicles demand power
essentially for their assisted acceleration and re-
generative braking functions. Rechargeable vehicles
require a good energy density to guarantee the
vehicle’s range.
Strict regulations on teratogenic or carcinogenic
elements (lead, cadmium etc) reinforce the ten-
dency towards lithium couples.
 14 The basics of vehicle electrification

b) The weight/volume Batteries have around 40 to 90 cells in series in the

versus range compromise
Even if the advent of lithium technologies will
contribute to significantly reduce the volume and
mass, battery mass will still be a constraint.
A battery weighs around 200 kg for an average-sized
all-electric vehicle taking on board 20 kWh. The
weight of batteries affects performance since en-
ergy is required to accelerate or slow a mass down.
Kinetic energy has a strong impact on the engine
calibration. But the range of a vehicle also depends
on the number of on-board battery elements, which
requires designers to make technological choices
tailored to vehicles’ functionalities and/or their
hybridization architecture.
c) Quality, cost, safety
Battery performance and reliability has been stead-
ily increasing for the last 20 years. But cars’ main
limits are still related to the level of quality and
safety required, both of which are much higher than
those of mobile telephones or IT. Indeed, the over-
all quality of a battery pack is only as good as its
weakest link.
case of the hybrid and up to 200 for all-electric.
Maximum lifespan currently varies between seven
and ten years, making a renewal in the middle of
the vehicle’s life necessary.
The “zero defect” quality weighs considerably on
the cost of batteries. Battery price is thus a key fac-
tor in the economic competitiveness of vehicles.
Large-scale electrification will therefore almost
certainly come about after the development of
economic models more focused on an economy of
functionality with batteries as a service.
The price of batteries varies according to production
volume. For this reason, industrialization, on a more
or less large scale, will itself depend on mastering
the battery’s life cycle and its recycling capacities.
We can estimate prices (in €/Wh) in the region
of:
< 0.15 €/Wh for lead batteries,
< 0.2 €/Wh for Nickel-Cadmium batteries,
< 0.6 €/Wh for Nickel-Metal Hydride batteries,
the first Li-ion batteries cost over 1 €/Wh (or more
than 20,000 € for a standard 20 kWh battery), but
could come down below 0.4 €/Wh for large vol-
umes.

d) Requirements on battery
Positioning of the various life cycle
battery technologies
Power-weight ratio (W/kg) The choice of battery has an impact on vehicle
1200
architecture and directs future technological
Li-ion
choices. It also depends on our mastering the
Ni-Zn
1000
nickel zinc
lithium-ion overall life cycle of batteries, which would include
batteries
batteries Ni-MH a second life on non-transport applications, then
nickel metal
hydride batteries finally a recovery application for precious or
800
dangerous metals.
Pb-acid
lead-acid It is essential to draw up an international legisla-
batteries
600 tive framework to regulate the whole battery life
cycle. A coherent approach is needed to ensure
400
that end-of-life battery management is not the
factor that is detrimental to the overall environ-
mental footprint.
200
Ni-Cd Na-S
nickel cadmium sodium sulfur
batteries batteries
0
0 20 40 60 80 100 120 140
Energy-weight ratio (Wh/kg)
II. What are the major
industrial choices?
1. Adapting industry to new vehicle architectures
and technologies 16

2. Adapting private and public infrastructures  16

3.. Adapting upstream energy production pathways 17

16 What are the major industrial choices?
1. Adapting industry
to new vehicle
architectures and
technologies
Electrification of vehicles raises several questions and
consequently calls for different answers. First, the
question of industrial continuity: how can we make
the most of the legacy of countries highly involved in
the automotive industry to adapt to new architectures
in line with electric technologies? Most electric vehi-
cles currently on sale have their ICE replaced by an
electric motor and batteries and electronics im-
planted in the least intrusive spaces for the user. Weight
reduction and the new layouts in the vehicle (engine
at the back, high floor, more compact motors, wheel
motors, etc.) are new challenges. They leave manu-
facturers with the task of finding more flexible instal-
lations (in keeping with slower rates of production
and a technical evolution that is not yet stable).
Electrification can also constitute an opportunity
for the involvement of new parties keen to enter
the market. We are witnessing the emergence of
new partnerships (equipment manufacturers,
mobility operators...).
battery charge infrastructures
4/8 h
home
4/8 h
office
2. Adapting private and
public infrastructures
One of the factors that will determine the success
of the distribution of electric or plug-in hybrid
vehicles is the ability of countries to get equipped
with the infrastructure needed for charging. The
question of a consensus as to the material norms
to promote and the coordination of a calendar for
implementing these new infrastructures are fun-
damental points.
Transnational discussions are already taking place,
for example, the Franco-German working group
for the normalization, standardization and testing
of technical solutions.
For consumers, it will be necessary to ensure a
quick, easy and accessible transition of their car
use, before changing to other consumer models in
which the vehicle is no longer their exclusive prop-
erty.
In this way, a recharge on the existing mains, al-
beit requiring obvious adaptations (in terms of
protection) to ensure they can be used safely, will
be favorable to electric mobility. France already has
substantial experience in this field.
5 min.
battery swap
at the exchange station
20/30 min.
fast charge
 What are the major industrial choices?
Several countries grant subsidies to local authorities
in a bid to contribute to the installation of public
charging infrastructures, both normal (3 kVA) or
fast (22 and 43 kVA). These new facilities require
specific material, or even a modification of the
grid.
A few private parties, including BetterPlace, also
propose quick battery-pack swap solutions. A pilot
facility is currently being tested in Tokyo. Israel and
Denmark should soon implement large-scale ex-
periments.
Firms are also thinking of contributing to the col-
lective effort by equipping their parking lots so as
to encourage their associates to switch to electric
mobility.
Over the longer term, “smart grids” –which use
information technologies to team up the available
electric resources at global level with local demand
– will also bring additional flexibility to users. As
we can see, there are numerous and realistic solu-
tions set to overcome the psychological barriers of
consumers regarding the possibility of recharging
their vehicle wherever required.
3. Adapting upstream
energy production
pathways
a) Geographical energy choices
The development of electric vehicles is intrinsi-
cally dependent upon energy strategies, which are
far from being universal. A detailed appraisal of the
electric car’s energy and greenhouse gas impact
will vary from country to country due to the specif-
ics of the energy production mix in place.
France, for example, derives nearly 80% of its elec-
tric energy from nuclear power stations, but also
uses thermal power plants, which produce CO2, to
regulate production. In Denmark, public authorities
favor renewable energy, particularly wind energy.
This energy source is, however, highly intermittent.
No one doubts that these countries would approve
the development of electric vehicles that run on a
smart grid. In this case the electric car would be an
17
excellent means of exploiting this green and renew-
able electricity.
Indeed, the deployment of the electric car can
promote the development of renewable energies.
As we explain in the section covering the eco-
nomic equation of the electric car, the batteries can
have a second life after being used in the vehicles,
by storing energy from small wind turbines or
photovoltaic installations, for example. The batter-
ies would therefore remedy the main drawback of
renewable energies: supply fluctuations over
time.
As for non-oil-producing countries, the rising price
of a barrel will be for them a powerful force for
change... if they decide to turn to renewable ener-
gies, to limit their thermal power plants and to
acquire additional energy independence. Certain
countries have actually already begun to revise their
position on nuclear power, now deemed maybe
“necessary” in the range of realistic economic-ec-
ological compromises. The post-Fukushima choic-
es will be of utmost importance.
b) Actual impact of electric drive
vehicles on the environment
By the way, are we really sure that electric vehicles
are less polluting?
Linking the electric mode of transportation with
the electricity production network (well-to-wheel)
allows us to observe a contrasting picture and to
establish that the answer varies according to geo-
graphical zone and energy pathways.
18
Electric vehicle CO2 emissions based on their energy consumption
and the electricity’s source
Comparison with vehicles using petroleum derivatives (dark grey line in the
center) or sugarcane ethanol in Brazil (light grey line on the left). Very significant
emission variations by average national kWh.
g CO2/km
350
300
250
200
150
100
50
0 50 100 150 200 250 300 350
Source: Michelin
The figure above illustrates that, for three different
electric consumption levels (10, 15, 25 kWh/100
km), the impact of CO2 emissions (blue curves)
evolves upwards based on the carbon content of
the electric production pathways. On the left, Nor-
way, with an excellent carbon record as electricity
is of hydraulic origin. On the right, South Africa,
where a strong predominance of coal power plants
leads to a more restrictive view of the benefits of
electricity. The benefits of electric drive are only
seen in countries with high coal-based electricity
mix if the vehicle’s energy consumption is reduced
to below 15 or even 10 kWh/100 km.
Therefore, technological choices can be neither unique
nor universal, but must be based on regional consid-
erations, since the CO2 impact itself is very region
specific with regards to electricity production.
c) Why global standards
are necessary
Unlike the idea of regionalization in energy choic-
es, that of international standards will quickly have
What are the major industrial choices?
25 kWh/100 km
15 kWh/100 km
10 kWh/100 km
400 450 500 550 600 650 700 750 800 850 900 950 1000
g CO2/kWh
to be made law. As the only guarantors of a sustained
investment in public infrastructures (exterior re-
charge terminals), in private buildings (car parks,
for example) or in people’s homes, they permit a
certain degree of universality in mobility.
Three classes of charging can be identified, in Europe
at least:
3 kVA – 16 A single-phase for slow charge (preferred
to ensure battery durability);
22 kVA – 32 A three-phase for accelerated
charge;
43 kVA – 63 A three-phase for fast charge.
Connector standards have not yet been determined
for fast and accelerated recharging. Since the nor-
mal charge involves a large network of consumers,
existing standards on domestic appliances have
been applied... complete with the differences already
established between certain countries (United States
and Great Britain, to name but two examples).
China, which shows great voluntarism in the elec-
tric domain, has clearly indicated that the next
decade will be marked by significant efforts on
norms and regulations.
III. In what way does
going electric favor
sustainable mobility?
1. Electric energy rising to the energy
challenges of tomorrow 20

2. Synergy between electric vehicles

and the new demands of urbanism 21
 20 In what way does going electric favor sustainable mobility?

Electricity offers excellent potential
responses to the need to limit the
environmental impact of transport,
re_09 in the context of a growing
population with an increasing need
for mobility.
1. Electric energy rising
to the energy challenges
of tomorrow
One of the major challenges of the years to come
is the new distribution of the planet’s energy re-
sources, a major factor of economic development
and power.
The variety of modes of converting sources of pri-
mary energy to electric energy makes electricity
indispensable. Hydroelectricity has already trans-
formed the lives of people in numerous regions of
the world (e.g. Brazil and Egypt). Nuclear power
contributes to the energy independence of several
So why not make the most of the advantages this
energy holds with respect to road transport? The
advantages would be numerous:
An almost ideal energy conversion efficiency
(> 90% at the wheel), even though the significant
loss of energy resulting from the high voltage line
transfer over large distances must be kept in
mind.
Total absence of harmful emissions (CO, NOx,
HC, SO2 etc) jeopardizing our immune system,
respiratory tracts and eyes in cities.
Considerable reduction in GHGs, a factor in cli-
matic stability when electricity is produced without
releasing CO2 emissions.
“Average” energy efficiency
according to engine/energy
100%
90%
80%
60%

countries, within the limits of certain environmen-

tal risks. Wind power has already changed the local 45%
economies of regions inefficiently supplied by large 40%

infrastructures. Photovoltaic installations are as yet 30%

a burgeoning nominal source of electricity in terms 22%
18%
of production volume but in poor regions would 20%

allow for an abundant resource to be tapped into.

As for wave energy and marine current power, they
0
remain in the early stages but look promising. All
Gasoline Diesel Hybrid Fuel Battery
the more reasons to develop electric energy and to engine engine car cell electric electric
convert, at least partially, different means of trans- car car

port to electricity (as is already the case with trains,

tramways or subways).
The switch to “clean” energies will engender sig-
nificant gains in all types of emissions, which will
exceed the potential benefits obtained by optimiza-
tions of rolling resistance, mass aerodynamics and
ICE enhancement.
Electricity represents the best equation of trans-
ported volume/speed of transfer/cost to the user
within a range of few dozen kilometers. The return
of trams to town centers is a perfect example of
this.
Is there a future for fuel cells? Undoubtedly yes,
although the prospects of a hydrogen society - still
thought possible ten years ago- is becoming less
likely in the short term. However, we will have to
remain attentive in terms of the technical, eco-
nomic and environmental benefits they may present
when compared to other technologies. Techni-
cally, fuel cells offer unquestionable advantages in
terms of improving the range of electric vehicles.
From an economic standpoint, fuel cell competi-
tiveness depends on the fluctuations of platinum
 In what way does going electric favor sustainable mobility?
and hydrogen prices. Finally, from an environmen-
tal point of view, fuel cell development will depend
on the progress of carbon-free technologies, hy-
drogen storage and distribution, and catalyst avail-
ability. Dual solutions -small batteries associated
to medium power fuel cells - are increasingly being
studied and might lead to interesting applica-
tions.
2. Synergy between
electric vehicles
and the new
demands of urbanism
The world is experiencing an urban explosion
without precedent, in particular in Africa, Asia, the
Middle East and Latin America. Indeed, it is towns
that tend to offer the best prospects in terms of
education, jobs, social and cultural life and access
to healthcare. The number of megacities with more
than 10 million inhabitants is constantly growing.
In the context of often insufficient infrastructures
and the absence of coordinated transport planning,
the ever-increasing number of vehicles on the road
compounds the already worrisome problems of
local pollution, traffic jams and noise. The expecta-
tions of city-dwellers are obviously commensurate
with the problems they encounter on a daily basis.
They make themselves felt in two areas. First, access
to a means of rapid transport, in particular to get
to work. Secondly, safety and pollution control.
The rise of electric motorization will vary greatly
according to the evolution of public and private
facilities to accommodate electric vehicles. Like the
mobile telephone at the beginning of the 1990s, the
gridding of territories will influence the speed with
which these new means of transport are adopted.
Urban use is an area of immense potential for the
electrified car since it is characterized by moderate
maximum speeds, frequent braking and stoppages,
generally short, and often repetitive, journeys, and
by transporting, for private vehicles and taxis, just
21
one to two occupants on average. Tomorrow’s city
car, as a complement to public transport, will there-
fore be more compact, designed to hold two to three
passengers, silent, non-polluting, highly perform-
ant at low speed in terms of braking and accelerat-
ing, safe and, of course, connected to all modern
information tools.
Users are looking for rapid mobility within the
limits of their budget. This will no doubt promote
the emergence of new uses such as buying user
time or transport distance and without acquiring
exclusive ownership of vehicles.
With this change towards providing a service, new
mobility operators will be in a position to formalize
an offer to the consumer with new combined serv-
ice areas (vehicles/people). Experiments are already
being carried out on the outskirts of metropolises,
in car parks used as inter-modal passenger transport
stops. Users will thus more readily get into the
habit of leaving their individual road transport
vehicle for other transport choices.
In advanced models, the logistics of distributing
merchandise (“Kanban” hubs and distribution in
town centers) will also benefit from possibilities
opened up by electrification and Intelligent Trans-
port Systems (ITS). In the most highly developed
countries, electric cars will be able to communicate
(see the booklet “Let’s drive smartly”).
But this revolution of our living environment will
depend to a great extent on local, regional and
national policies. The priorities and conceptions
of sustainable mobility are not the same in fast-
growth regions (Africa, Latin America, Asia), where
improvement of the standard of living and first-time
vehicle ownership are powerful forces for change.
Let’s not forget that China is getting ready to pro-
duce cheap micro electric vehicles for rural popu-
lations, thereby creating new and large markets.
As for heavily industrialized countries, they will
pay more attention to questions of safety, public
health, comfort and eco-citizenship. To quote two
examples: Portland, one of the USA’s “green” cities
and Stockholm, now renowned for the lack of traf-
fic hold-ups.
IV. Economic
assessment
1. The different points of view of the principal actors 23

2. The key to new economic models 24

 Economic assessment
1. The different points
of view of the principal
actors
If the technical side is today deemed complex, the
accompanying economic equation is equally so.
Any assessment has to be viewed from several
angles in order to outline the economic models
according to the actors within this enormous new
challenge.
a) Private owners
The first comparison we might make is the Total
Cost of Ownership (TCO) of an ICE vehicle against
an equivalent electric drive vehicle. The services
that develop in association with electric vehicles,
the expected behavioral changes with respect to
mobility in general, and urban mobility in particu-
lar, are radically altering traditional economic
models. By way of example, remember the similar
evolution that came with the arrival of the mobile
telephone in comparison to former patterns of
fixed-line communication.
Taking into account the Total Cost of Usage (TCU)
will enable us to make a much wider-ranging as-
sessment. For a number of city-dwellers the ques-
tion of whether to own a vehicle at all has already
been brought to the table. Then there arise other
factors that have an impact on their way of life
(working from home) and their behavior as consum-
ers (online and teleshopping), or other factors that
are often difficult to gauge in absolute terms (free-
dom of movement, stress management in transport,
the safety of goods and people).
b) Professionals
A similar revolution concerns different professionals.
Whether users or fleet managers, service operators,
or those indirectly concerned with the evolution in
mobility (for example, shopkeepers, self-employed
professionals), the emergence of new offers compli-
cates accounting calculations when it comes to
making an assessment. Past references are becoming
obsolete, while new models of interpretation and
representation have not yet emerged.
23
c) Public authorities
Politicians are also forced to take part in different
arbitrations, all influenced by the economic, geo-
political and social context. Obviously Western
decision-makers will not consider the same factors
as Asian leaders. The latter have to take into account
the expectations of the high-end market as well as
the needs of the masses. Thus, Chinese authorities
made the strategic decision to help developing small
electric vehicles and electric buses, whereas at the
same time, American and European manufacturers
focused their efforts on medium-sized ranges.
From a fiscal point of view, public authorities have
an essential role to play. Until now, tax incentives
have promoted the research and development of
prototypes. It is now time to move to the next level
and apply the classic steps (such as the “scrappage
premium,” which encourages the owners of old,
polluting vehicles to replace them with new, clean
vehicles by means of a lump sum incentive), as well
as more innovative scenarios (carbon tax being the
example that has received the most media atten-
tion).
As far as public infrastructure is concerned, the
state and local authorities are decision-makers,
without whose action no alternative transport
system could be developed at a local, regional or
national level. However, this market expectation is
currently impeded by national budget policy. Fur-
thermore, equipment standards are not com-
pletely established, the behavior of consumers is
changing and still uncertain, and the sensitivity of
taxpayers to the use of public money always reveals
risks and surprises.
Yet there is a need to act quickly, since inaction will
cost money. Experts estimate that public investment
deferred by ten years would cost 5 to 20 times more
than it would if made now. Also one can appreciate
the cost of inaction in Europe from the point of view
of the evolution of the predicted cost of a tonne of
CO2: from around 20 dollars in 2010, it is predicted
to rise to 50 dollars in 2020, then to 110/180 dollars
in 2030. From this viewpoint, investing now in in-
frastructures that permit a reduction in the produc-
tion of GHGs is undoubtedly a profitable investment
in the medium term.
24 Economic assessment

2. The key to new and awareness of environmental issues in the 21st

century are all factors that may structure the evolu-
economic models
tion of this industry.

Although we recognize certain forces behind the
development of “electrified” transport, such as
adapted taxation, it is as yet hard to predict the
degree to which other influencing factors will have
an effect. Changes in human behavior, habits and
mentality may elicit a wave of enthusiasm for elec-
tric and hybrid vehicles. The feminization of trans-
port users, the generalized ageing of the Western
population, the eruption of digital technology in
modern life, the questioning of the property instinct,
According to a study carried out by the Roland
Berger Consultants and illustrated in the figure
below, the energy transformation in powering ve-
hicles is only in its early stages. In order to give the
magnitude the figure would show that, until now,
the extra cost of the total life span of an electric
vehicle is about one third more than that of an ICE.
In the future, one may guess that mass production
and vehicle redesign should make it possible to
lower the costs and be at least equivalent.

Thermal vehicle A-1.4L cost during life cycle Electric vehicle cost during lifestyle
(16-years) (French tax-without insentives-16 years)

12 550 € 36% Energy (y.c. taxes) 16% 3200 €

+ 6000 € batteries

Parts & components

10 250 € 29% Added Value OEM 20% 11 250 €
Warranty
Distribution
Financing, taxes
and insurances
12 350 € 35% Maintenance 63% 14 750 €
Mending

Mobility services
Recycling 18 800 €

Legends : Product cost Service cost Mobility cost

10 250 € Selling price to clients 17 250 €

(excl. tax)
35 250 € 52 400 €

-180 €/months TOTAL -270 €/months

 Electric Drive
Vehicles
5 key ideas
to keep in mind

1 Hybridization enables
a systematization of the
use of Stop & Start and
regenerative braking.
These two functions are Challenge Bibendum
not structurally
expensive and their
Booklets
massive development
would bring considerable
benefits. Already published:
Let’s drive smartly! Connected vehicles
2 Specific economic and intelligent transport systems.
models suited to low Let’s drive bio! What biofuels for what
mileage usage need to uses tomorrow?
be developed. Let’s drive safely! The new stakes for
road safety.
3 Significant research More air! Reduce CO2 emissions in road
and development must transport.
still be conducted to
reduce energy The Challenge Bibendum booklets are
consumption to below available for free in English, French and
the symbolic threshold German on the website
of 15 kwh/100 km
challengebibendum.com. To be kept
(auxiliaries included) for
informed of future publications and
cars.
updates send an e-mail to
challengebibendum@fr.michelin.com
4 To reduce their
average cost, it would be
smart to investigate and
develop new
applications for battery
use.

5 Decentralized sources
of electricity need to be
promoted, in particular
renewable energies,
since the number of
possible uses of batteries
are micro economy
consistent.
Challenge Bibendum Booklets

Let’s drive electric!

Electric and Hybrid Vehicles
The introduction of an electric component in the drivetrain of a
vehicle - from the very simple stop and start to all-electric
motorization - will be the most pertinent evolution of the next
twenty years in efforts to achieve fuel savings, to diversify the
energy mix, to mitigate CO2 emissions and to improve the quality
of life in cities.
Current discussions have done little to explain the issues at stake,
be they economic, ecological or societal, concerning the inevitable
transformation to achieve an invigorating and harmonious
development for road mobility worldwide.
This Challenge Bibendum booklet covers the key aspects of the
topic.