Better Place Halts Australia, North America Rollout

The lights are being turned off at electric-vehicle infrastructure provider Better Place, forcing Renault Australia to indefinitely delay its launch of the Fluence Z.E. EV.

“This decision is inevitably linked to the decision of our infrastructure partner, Better Place, to announce an orderly wind-down of its operations in Australia,” Renault says in a statement.

“Renault Australia believes in the future of electric vehicles. It will continue working towards the introduction of Renault brand EV models in the future, such as the innovative, purpose-built Zoe.”

Better Place says it has decided to focus its operations in Denmark and Israel, where the complete infrastructure is in place and commercial operations are fully under way.

“Consultations are under way with a view to securing an orderly wind-down of its non-core activities in North America and limiting any further investment in Australia beyond its current commitments,” it says.

The company says its priority in those markets is to ensure existing relationships with key partners, customers and suppliers will be honored and Better Place retains the option to resume rollout when circumstances permit.

Better Place promises to find alternative arrangements for existing customers in those markets, allowing them to continue EV use.

It says it is making progress in Denmark and Israel, where sales of new EVs are gathering momentum, and it is working with current and potential partners on several marketing and other initiatives.

“We have demonstrated that Better Place works as a concept,” Better Place CEO Dan Cohen says. “We need to prove to our customers, suppliers and investors that we have a sustainable, scalable model. To do so we are now focusing on realizing the full potential of what we have built, and that means concentrating our resources and energy in the near term on Denmark and Israel.

“We believe in the long-term potential of both Australia and North America and are enormously encouraged by the enthusiastic response we get from all our customers. We will keep exploring solutions which will enable us to keep our long-term options with regard to those markets open.”

But for Renault Australia, the idea of leading the pack in EV development has gone flat.

It imported six of the Fluence Z.E. EVs, but the late-2012 launch schedule was postponed to allow for a later rollout of infrastructure in Australia. Now it is on indefinite hold as a result of the Better Place decision.

“We anticipate that Better Place will begin working towards an orderly wind-down of our operations here in Australia,” Better Place Australia spokeswoman Felicity Glennie-Holmes tells Fairfax Media. “Our priority will be to manage this process appropriately and fulfill our obligations to all our stakeholders.”

Better Place Australia has about 150 battery-charge sites in Melbourne, Sydney, Canberra and the Hunter Valley in New South Wales State, 190 miles (310 km) north of Sydney. It never completed plans to build battery-swap stations for the Renault Fluence Z.E.

The parent company was founded by Shai Agassi, who was ousted as CEO in September and replaced by Evan Thornley, CEO of Better Place Australia. He departed in January in a dispute with Better Place Chairman Idan Ofer assuming some of the CEO’s duties. Cohen, a Better Place executive in charge of strategic initiatives, was named interim CEO in January.