The BloombergNEF EVO Report for 2022 indicates that the adoption of two-wheel and three-wheel EVs is progressing significantly. Moreover, the displacement of oil from these types of vehicles is approximately five times that of four-wheel passenger EVs. This progress is due to a combination of factors. First, two-wheel vehicles are generally less expensive and more efficient, making them more accessible to a wider range of consumers, particularly in developing countries where cost is a major factor in purchasing decisions. Second, two-wheel vehicles are better suited for urban transportation as they are small, nimble, and easily navigated through traffic and park in congested areas, reducing traffic congestion. Third, the infrastructure for refueling electric two-wheel vehicles is less complex and less expensive to install than for four-wheel vehicles.
Today, about 56% of the world’s population - 4.4 billion inhabitants - live in cities. According to the United Nations, this trend is expected to continue. By 2050, nearly 7 in 10 people will live in cities. With the acceleration of urbanization, the world is expected to have 43 megacities (defined as cities with more than 10 million residents) by 2030.