There is a big business behind recharges, and this Chinese brand wants to take advantage of it exclusively

The electric car ecosystem is much more than the vehicle itself. Around it are parallel businesses that are just as fundamental as the car itself. Recharging is one of them, although not many manufacturers are committed to creating their own charging network. Tesla has been demonstrating its necessity and profitability for years. Elon Musk’s company has taken advantage where others have not been able to. Its network of Superchargers generates great benefits for the company, although not all of them opt for the same network format. NIO is very particular in its commercial vision and now wants Europe to generate a lot of zeros in its income statement.

NIO has been present in Europe for years, although not in Spain. The Chinese began their commercial journey in regions favorable to electric cars, such as Norway, the Netherlands and Germany. Areas where sales are experiencing ups and downs. Germany has cut electric registrations by more than 60% so far this year following the judicial annulment of public subsidies at the end of last year. Last August, NIO sales in Europe fell by 20% until reaching a registration volume of 1,177 vehicles. Despite the German decline, regions such as Norway and the Netherlands show significant increases.

NIO expects to generate revenue from selling electricity to the grid

In the coming years NIO will expand its European presence through new brands. Onvo will be the first of them. He Onvo L60 It will be the first car to arrive generally in Europe, including Spain. It is a 100% electric SUV rival to the Tesla Model Y. Its prices have not yet been announced, but everyone assumes that it will be slightly cheaper than its main enemy and that it will be on sale from the first quarter of next year. Meanwhile, in parallel, NIO wants to expand its own charging networkin the purest Tesla style, although in a very different way.

NIO has always opted for the battery exchange system. Change stations where it is possible to recover 100% of the autonomy in 5 minutes. The car enters with a dead battery and leaves with a new, charged one. In China they already have a great presence 2,480 points in almost the entire country, although in Europe its network is still discreet. Right now there are 56 exchange stations available in the five main markets of the Old Continent. NIO wants to take advantage of the points to generate income both from recharges and from the sale of energy to the grid. It must be taken into account that battery stations are in themselves a large energy storage system.

When demand falls NIO will be able to sell excess electricity to the grid. To these benefits we must add those generated with exchanges. NIO customers who opt for the battery rental format They have two free monthly charges. Subsequently each change is 10 euros. The business will expand starting next year. “This will have a very big impact on our economy,” he commented to Automotive News Europe Kajsa Ivansson Sognefurdirector of Nio Power Europe. If it proves successful, it is possible that many brands will opt for a similar format, although that would mean a total change in the electrical approach since it is not possible to adopt the battery exchange system without modifying the structure of the vehicle.