Batteries are destined to change the future in many ways. One of those ways is by completely disrupting the fossil fuels industry by replacing gasoline powered vehicle with electric vehicles. What is one of the key limiting factors on battery production? Cost. The cost of battery production has dropped significantly in recent years, but it is still expensive to produce batteries. Not to mention, the energy contained in batteries is still substantially less than that of gasoline or other fossil fuels. Therefore, significant obstacles must still be overcome. Even with these obstacles, batteries will someday replace the need for fossil fuels in many applications. Electric cars have recently changed from a niche novelty into a mainstream reality. The main reason for this is because of the decrease in cost and availability of batteries. What was once a very expensive component to produce is now much less expensive. Experts at Bloomberg Energy Finance predict that batteries must reach approximately $100 per kilowatt hour to produce. Current battery production costs are somewhere around double that, and at the rate that production costs have dropped, this goal should be attainable by the year 2025. Additionally, demand for electric vehicles continues to increase. A report from Bloomberg states that worldwide demand for electric vehicles will continue to increase rapidly in the next 30 years. By the year 2040, nearly half of new car sales are forecast to be electric vehicles, up significantly from the roughly 3 percent of sales that electric vehicles currently make up. Aside from transportation uses, batteries will also continue to enhance and improve the world’s power grid. Technologies such as wind power will be able to take advantage of improving battery technology by using batteries to store energy and release it into the power grid when electricity demand is high but wind production is low. This will benefit many types of renewable energy technology as the world’s energy consumption continues to rise.
-taken from www.bloomberg.com