In 2021, one out of every ten cars sold in China will be a new energy vehicle.

When “replacing oil with electricity” has become a trend, the transportation industry has maintained the era of fuel oil for hundreds of years, but it is also undergoing subversive changes.

Under the changing situation, there is not much time left for traditional oil companies to “break the circle”.

Total Energy launches new company

Among the oil companies breaking through the siege of new energy vehicles, the international giant Total Energy has found a suitable breakthrough: charging piles.

Recently, Total Energy joined hands with the new energy power generation giant China Three Gorges Corporation to establish a company specializing in electric travel: Three Gorges Total Energy Charging Service Co.Ltd.

The company is jointly invested and established by Total Energy, Three Gorges Capital and Three Gorges Power, a subsidiary of China Three Gorges, with a shareholding ratio of 50:50.

According to the plan, the company will focus on developing electric vehicle high-power charging infrastructure and services in Hubei Province, and install and operate more than 11,000 high-power charging piles by 2025.

In fact, this is not the first time that Total Energy has set foot in the charging pile business in China.

As early as September 2020, Total Energy launched its first independent charging station in Wuhan, starting a new journey into China’s electrification market.

charging point

Total Energy’s first independent charging station in Wuhan

In addition to deploying the Chinese market, Total Energy’s charging pile business also involves important cities in many countries such as the Netherlands, Belgium, France, the United Kingdom and Singapore.

In 2020, Total Energy acquired the largest electric vehicle charging company in London and has mastered many local charging pile resources. Prior to this, she also acquired a well-known French leader in smart charging solutions and established an independent electric travel business unit.

The priority layout allows Total Energy to accumulate enough confidence for development and seize a place in the future electrification era.

In addition to Total Energy, many oil giants in transition are also eyeing the charging pile business.

In recent years, bp, Shell and other companies have acquired a number of well-known charging service providers and established joint ventures to develop charging pile business on a global scale.

It can be said that betting on charging piles has almost become a breakthrough for leading oil companies.

Behind the popularity of charging piles in the oil circle, the transportation industry is undergoing a major change unseen in a century. And this may be the root cause of the transformation of oil companies.

who moved the oil cheese

The automobile industry has been developed for more than 200 years, and the use of petroleum as fuel has dominated most of the time. But in recent years, banning the sale of fuel vehicles has been put on the agenda.

At present, many countries or regions such as the European Union, China, Japan and South Korea have proposed a “schedule for banning the sale” of fuel vehicles. Under the pressure of policies, car companies represented by Audi and Volvo have also released plans to stop production of fuel vehicles.

Based on this, we can preliminarily judge that in the next ten to twenty years, the global ban on the sale of fuel vehicles will move from a slogan to a reality.

The ban on the sale of fuel vehicles is essentially not the car, but the way the car uses energy.

By prohibiting the sale of fuel vehicles, the proportion of petroleum consumption in transportation energy consumption will decrease, and it will be replaced by alternative fuels mainly based on electric energy.

electric car

Of course, this by no means means that oil will be abandoned in future transportation energy use. But it is undeniable that with the massive use of electric energy, the cheese of oil is being carved up.

In a word, the automobile industry is gradually stepping out of the fuel era and ushering in a major change centered on electrification.

So, what are the underlying reasons for this round of electric transformation?

First, the requirement for global carbon neutrality fundamentally drives the rise of the electrification era.

Data show that the carbon emissions of road traffic with automobiles as the main body account for about 20% of the total global carbon emissions. In the context of carbon neutrality, excessive carbon emissions will undoubtedly limit the development of the traditional automobile industry, and electrification will become the future of travel. the only way.

The development of electric vehicle technology is a more direct reason for promoting the electrification process.

In recent years, the comprehensive performance of electric vehicles has been continuously improved, while the cost has dropped rapidly. The mileage, safety, charging convenience and other issues that users are worried about are gradually being overcome.

It is estimated that by around 2025, the comprehensive cost performance of electric vehicles is expected to exceed that of fuel vehicles, and the critical point of the transition to electrification in the transportation field is approaching.

In the process of global electrification, the performance of the Chinese market can be described as outstanding.

Taking new energy vehicles as an example, according to data from the my country Association of Automobile Manufacturers, sales of new energy vehicles in China will reach 3.52 million in 2021, maintaining a strong growth momentum for many years in a row.

More than that, the current number of pure electric vehicles is 6.4 million, accounting for only 1.6% of the total number of motor vehicles in my country.

According to forecasts, the number of electric vehicles in my country will reach 80 million by 2030, and the market penetration rate in 2050 is expected to reach more than 90%.

The huge consumption capacity and growth potential of China’s electrification market has attracted global attention, which is why Total Energy chose to establish a joint venture in China.