Canadians are just not as interested in electric vehicles as people around the world, a new study suggests.

EY, a company connected to Ernst & Young Global Limited, released its EY Mobility Consumer Index report, which suggests overall car purchase intent increased in Canada by six per cent, compared to 2023. However, when it comes to EV purchase intent, in Canada it dropped nearly 10 per cent below the global average. Globally, EV purchase intent increased by three per cent over 2023.

The survey suggests that 48 per cent of Canadians plan to buy cars in the coming year, but only half plan to go electric.

“We’re in the middle of a massive mobility shift and the dip in Canada’s EV demand is a wake-up call,” said Jennifer Rogers, automotive and transportation leader at EY Canada, in a news release. “It’s evident that investment has been prioritized in EV development. Now is the time to shift focus to overcome infrastructure hurdles and address consumer concerns head-on if Canada is to achieve its ambitious 2035 targets.”

Hurdles

The EY report offers a few reasons behind the waning EV interest in Canada.

More than half (57 per cent) of respondents said a primary concern is the cost of installing a home charging unit, 54 per cent cited electrical costs, and 42 per cent said long wait times at public charging stations are a concern.

Furthermore, 33 per cent of respondents are not considering an EV as their next vehicle purchase due to concerns around limited driving range, and another 30 per cent said the upfront cost is a concern as well. At 27 per cent each, respondents said the cost of battery replacement and the lack of charging stations were reasons for not buying an EV as their next vehicle.

Motivators

Survey responses offered some solutions to the problem.

Monetary incentives such as the federal government’s iZEV program and provincial EV incentives are increasingly important to people, increasing by five per cent year-over-year among respondents as a motivator for purchasing an EV.

Another EV buying motivator for some (45 per cent) are fuel costs and climate-related concerns, although this is down from 49 per cent in 2023.

The full report is available on the EY website.