Kiyotaka Fujii, President, Better Place Japan & Head of Business Development, Asia Pacific

Why Taxis, Why Japan?

In May of this year, we demonstrated the viability of battery switch technology, which can automatically replace a depleted EV battery with a fully-charged one in less time than it takes to fill up a gas tank. Now we are taking the next step.

In partnership with Japan’s largest taxi fleet operator, Nihon Kotsu, and with an award from the Japanese government, we are moving the demonstration into the marketplace.

Specifically, as announced two weeks ago, we will be introducing electric vehicle (EV) taxis with battery switch in Tokyo.  This initiative highlights one component of our overall solution, which includes ubiquitous networks of charge spots, switch stations, and systems that optimize the driving experience and minimize environmental impact and cost.

Why taxis?

Even though taxis account for only 2% of total passenger vehicles on Japan’s roads, they are responsible for 20% of overall passenger-vehicle emissions.  Tokyo’s taxis drive an average of 280 – 300 km (175 – 185 miles) per day – approximately ten times more than a typical Japanese passenger vehicle – which also makes them expensive to operate.  Phasing in EV taxis will increase the profitability of taxi businesses by reducing fuel and maintenance costs by over 80%, or 650,000 yen (USD $7,000) per taxi per year.

Without battery switch, an electric taxi would have to stop and charge every 160 km (100 miles).  For taxi drivers, every minute waiting for the battery to recharge is a minute that they are not working and not earning money. With battery switch, a depleted battery can be replaced in minutes, minimizing downtime and maximizing revenues.

Once proven in the context of heavily-driven taxis, other drivers will be all the more comfortable buying and driving EVs. They will be reassured that EVs are reliable not just for everyday driving, but also for long-distance trips, with battery switch eliminating delays.

Why Japan?

The Japanese auto industry has a long history of innovation, and has shown leadership in anticipating the need to reduce oil dependence by advancing hybrids and, recently, pure EVs.

Further, Japan’s key government agencies are in full support of this initiative. The Ministries of Finance and Economy, Trade and Industry recognize that EV infrastructure deployment could be an important component of the “Green New Deal,” the Ministry of Transportation supports certifying electric taxis, and the Ministry of Environment sees the current project as a natural and critical next step from the battery switch demonstration they supported in May 2009.  The density of Tokyo is also ideally suited to promote the visibility of EV taxis on the streets, enabling them to speak for the environmentally conscious.

From a logistical perspective, several taxi fleet operators (including our partner Nihon Kotsu) own the fuel stations, and they are eager to implement environmentally-friendly battery switch infrastructure at these sites. In this initial project, we look forward to tapping Japan’s world-class engineering talent as we continue to perfect the implementation of the battery switch technology at these stations.

Tokyo’s 60,000 taxis comprise the largest taxi fleet in the world.  Japan’s total taxi fleet of 250,000 represents an even more attractive market.  By proving the value of electric vehicles and battery switch technology with even a small number of taxis in a pilot project, we open the door to a significant market both in Japan and abroad.

Personally, I believe taxis in Japan provide the best service in the world, and I have heard numerous visitors say the same. The well-maintained cars and well-mannered drivers are truly impressive.  Electrifying the fleet will further enhance the already high-level image of Japanese taxis and will set an example for other cities around the world.

  • This makes so much sense.

    Did you know that in the year 1899 ninety percent of the taxi's in new Your City were electric ?
  • EVHappy
    agree, best service in the world. Then again, just about any Japanese service is tough to beat. I always suffer service depression whenever I leave.

    I am wondering where the swap-station will be located and where the charge points will be placed.

    One thing about Tokyo taxi drivers is they will spend a lot of time just sitting in their vehicles with the engine running to keep the A/C working (it can get very hot and very cold in Tokyo). Imagine how clean an efficient things would be if they could just plug in, like a camper at a camp site.

    Anyway, I'm looking forward to seeing these taxis first hand and will have to take a few rides, just to hear the silence. Good luck!

    P.S. If Japan goes for BP, the world will have to follow.
  • paulappleton
    When US bailed out Chrysler in the oil shock of early 80's, their leader , Lee Iacocca coined the phrase,,,

    Lead, follow or get out of the way......

    BP and it's partners with vision are the leaders we need, accelerating the natural history of change....to EV replacement of personal vehicles.
  • Vlado
    Hello mr.Fujii and congratulations for getting the project to this stage, I imagine it was not easy.
    Great approach to convincing the public the technology and operation model are reliable while testing the technology further! The psyhological effect of ensuring people that EVs are the right way by a working taxi network is an admirable "pilot".

    There are a few questions though:
    1. How is the problem of daily range of taxis going to be solved? I understand the costs are lowered by 80% which ideally could offer the drivers some time for recharging if needed, but if they need to cover up to 300 km/daily that means either one battery station stop per day or losing time due to recharging. Are there going to be fast charging spots installed as well? How much time do you predict will be needed for recharging?

    2.Is there any way of getting information about the outlines of the business model proposed to Nihon Kotsu for the taxi network and possibly for the placement of battery-exchange stations? How many exchange stations, how many cars will you start the pilot with? I imagine getting a partner like Nihon Kotsu was not at all easy, what were the main concerns on their behalf?

    3.Is there going to be a way for people to follow the evolving of the taxi pilot over the net?

    4.Have you thought of ways to use the pilot for attracting potential local/foreign investors? BetterPlace Japan could offer free transportation to decision makers from both local and foreign countries, all they need to do when they are in Japan is use one of your cabs. This way you could further assist other BetterPlace partner countries in demonstrating the technology while actively participating in lowering the risk for Nihon Kotsu by finding customers in a way, eventhough it is ultimately promotion of BetterPlace. Perhaps you could combine info from the taxi pilot with this blog.

    There are many more questions, but lets leave it at that for now :D

    I congratulate the Japan implementation of BetterPlace, it is a show of well coordinated effort and enthusiasm as well as engineering. Hope to see it thrive soon.

    best regards
    Vladimir, Slovenija (EU)
  • Thanks for sending your comments and ideas. :-) To support the range requirements of taxis, we provide the option for battery switch as an alternative to standard charging. That way, they can stay on the go instead of waiting to charge. More public info is in a press release (see URL below). We will continue to provide updates on the project after it goes live in January. Stay tuned!

    http://www.betterplace.com/company/press-release-detail/better-place-targets-tokyo-taxis-for-battery-switch-application/
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