Climate-driven objectives are tying together the fates of two very different industries: vehicle manufacturers and energy utility companies. A key factor in their joint future will be close collaboration and coordination on electric vehicles. Success will require a joint leap of faith.

Electric vehicles, after all, account for less than 3% of all vehicle sales in the US. That said, vehicle manufacturers and utilities are aware of — and are influenced by — the very robust global push for environmentally friendly solutions. Because of this, vehicle manufacturers are in a tough spot. From a technological standpoint, simply converting to electric vehicles does not necessarily equate to a reduction in overall CO2 levels. In fact, some indicators suggest that next-generation technologies for internal combustion engine vehicles might be more efficient at reducing overall CO2 emissions in the near-term.