Global EV uptake to accelerate: IEA

The number of electric cars on the world's roads could reach 125mn units by 2030, according to projections from the International Energy Agency.

Total global stock of electric cars surpassed 3mn in 2017, a 54pc year-on-year increase, amid continued government support for vehicle electrification. A number of policies exist worldwide aimed at increasing EV uptake, including public procurement programmes, low-emission vehicle mandates and financial incentives. Some countries, including the UK and France, have proposed banning diesel and gasoline-fuelled cars.

China remained the world's largest market for electric cars, holding 40pc of total global stock. Total Chinese sales of electric cars rose by 72pc year on year to 580,000 in 2017. Generous government subsidies supported this increase in consumer demand. But proposed changes to the subsidy structure, including increased support for longer-range EVs and the removal of grants for models with a range under 150km, are expected to affect sales in 2018.

Sales figures increased further in early-adopting nations such as Norway, where electric models made up 39pc of new car sales. New electric car sales in Germany and Japan doubled from their levels in 2016, while the US recorded total sales of around 280,000 units in 2017, up from around 160,000 units in 2016.

The IEA report noted expansions in the electric vehicle charging network, totalling around 3mn private chargers in homes and workplaces and 430,000 publicly accessible chargers. Private chargers are expected to outnumber electric long-distance vehicles by around 10pc by 2030.

But supply-side concerns could have an effect on the sector. Constraints on the supply of cobalt, a crucial component in rechargeable electric vehicle batteries, could significantly increase costs. Around 60pc of global cobalt supply is sourced from the Democratic Republic of Congo, with China controlling 90pc of refining capacity. Even considering changes in battery technology aimed at reducing cobalt content, demand for the metal is expected to increase by between 500pc and 1,250pc by 2030, the IEA projects.