The chief executive of Toyota thinks that transitioning to electric vehicles might come with mega challenges 

The automobile industry has witnessed many changes this year, with the biggest being the transition from ICE cars to electric vehicles. Moreover, many efforts have been channeled to support such changes ranging from the ban on petrol and diesel cars being brought closer to the technological advancements. Nevertheless, the chief executive of Toyota, Akio Toyoda, stated that the transition to electric vehicles is a speedy move that the industry will surely regret. Toyoda explained that the transition to electric cars would usurp the electricity in the country, leaving less power for the other activities to run on in Japan. 

He pointed out that the resources required to develop the facilities to accommodate this transition would need Japan to spend a maximum of $358 billion to meet the energy demands. This move would involve developing more coal-fired power plants and natural gas to sustain the system since the renewables may at times be unreliable. 

Toyoda outlined that these electricity sources’ development would still create emissions that the government is busily trying to suppress. He advised the politicians intending to do away with the gasoline cars to evaluate this possibility while making his remarks as the chairperson of the Japan Automobile Manufacturers Association. A few weeks ago, the Japanese government had prompted its plan to implement the ban on gasoline cars’ sale in the next fifteen years. After the country, this move is witnessing Britain and the state of California pushing the ban to closer dates. Toyota is among the beneficiaries that will enjoy selling its hybrid gas-electric cars for a particular period until the ban takes a more profound dimension.

Nevertheless, Toyota has not yet developed or hinted at plans of unveiling its own purely electric vehicles to meet the market’s high demand. Toyoda expressed his praises for Tesla in developing and leading in the battery electric vehicle industry. He added that his company has a lot to learn from Elon Musk and is confident that his company can bring competition to this automotive industry giant at some point. 

Although Toyoda is campaigning against electric vehicles, his company is investing in this sector to remain relevant. The company has prepared over $13 billion to facilitate the electrification of its cars and related products. Currently, the prices of electric vehicles are high since the developers want to penetrate the market by fast expanding their businesses before they start enjoying the economies of scale and reducing the prices.