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ACE Electric Vehicles pushes ahead with plans for $295m SA factory

Commercial production of electric cars at a planned $295m factory in Adelaide’s north are step closer after a deal to develop self-drive technology along with the vehicles.

An electric vehicle manufacturer planning a $295m factory in Adelaide’s north has signed a new deal to develop autonomous driving technology.

The memorandum of understanding between ACE Electric Vehicles and SenSen Networks will involve development of SenSen’s existing camera and sensor technology into an autonomous driving platform capable of being added to ACE EV’s electric vehicle system.

Development and testing on ACE’s prototype commercial van, Cargo, will be completed at SenSen’s Melbourne office.

ACE Electric Vehicles’ Cargo prototype.
ACE Electric Vehicles’ Cargo prototype.

The prototype, made of carbon fibre composite and with a range of 200km, was unveiled at the Tonsley innovation precinct last year.

ACE EV managing director Greg McGarvie said the agreement with SenSen was another step towards commercial production in Adelaide.

“Not only does the ACE vehicle bring back vehicle manufacturing and energy solutions to Australia, but as a world leader in AI and sensor technology, SenSen will provide its expertise to making our vehicles autonomous – a first for Australia,” he said.

Last year ACE EV signed a deal with Wingfield company Aldom to make its electric vehicles under contract.

Mr McGarvie said a site in Edinburgh Parks in Adelaide’s north had been identified as the potential centre of a $295m electric vehicle factory and $20m research and design studio.

“We’re shovel ready – we’re fundraising overseas but we just haven’t got the funds at the moment,” he said.

“We’re looking to raise $5m initially and that will get us started with a vehicle-to-grid trial.

“The trial would be for 18 months and in that 18 months what we’ll be doing, assuming we’ve got the capital, is fitting out the factory, upgrading it to a capacity of 24,000 units a year and putting the vehicles through ADR (Australian Design Rules) testing and getting our ANCAP ratings.

ACE Electric Vehicles managing director Gregory McGarvie with Aldom managing director Mark Haig. Picture: Tait Schmaal
ACE Electric Vehicles managing director Gregory McGarvie with Aldom managing director Mark Haig. Picture: Tait Schmaal

“The projections are that by 2025 the project could create at least 350 direct jobs and the indirect jobs that flow out of that which might be another 2400 indirect jobs.”

ACE EV sent its proposal to the state government in recent weeks, seeking financial assistance including access to government-owned land.

South Australian Senator Rex Patrick, a supporter of ACE’s plans to develop an electric vehicle industry in South Australia, said it was time for government to back the technology.

“This is a serious opportunity for the return of vehicle manufacturing to SA and one that should be embraced by both the federal and state governments,” he said.

“As we work towards a post COVID-19 future, all levels of government should be looking at increasing our manufacturing capability – EVs can play a big part in this.”

A state government spokesman said “there have been discussions between the Department for Energy and Mining and ACE Electric Vehicles about their interest in manufacturing electric vehicles in South Australia”.

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Original URL: https://www.adelaidenow.com.au/business/ace-electric-vehicles-pushes-ahead-with-plans-for-295m-sa-factory/news-story/ba1d16dfbe7d4bf500c3832fe1d5fe18