EV charging station infrastructure costs
Pollution has always been the primary concern when using fossil fuels in vehicles. Range is the new challenge for electric and hybrid vehicles, and solving this challenge presents an excellent business opportunity. However, not many businesses understand how to tap into this opportunity and what this investment entails. This article discusses EV charging station
infrastructure costs and how your business can save on those costs to make healthy returns.
Electric vehicles: The new solution
There is greater demand for electric vehicles as more people realise the need to preserve our environment by minimising reliance on the finite fossil fuel resources. The least one can do is use a hybrid vehicle, which signals the transition from internal combustion engines to fully electric vehicles. While electric vehicles are more environmentally friendly than traditional internal combustion engine cars, they can only store so much charge. The government has plans to ensure there are enough charging stations in the country, with a projection of installing 280,000 charge points by 2030.
However, there were only 32,663 charge points by last month. This shortage presents a business opportunity that you need to tap into while minimising the associated costs. Let us first look at what should motivate you to consider this investment.
Benefits of installing EV charging stations for your business
You, your employees, and some of your customers probably have electric or hybrid vehicles. Therefore, you all face the same range problem. Public charging points may offer a temporary solution before you get home, but they need you to move away from the premises for a while. Rapid chargers may top up your vehicle’s battery in less than 30 minutes, but those are 30 minutes spent away from your business, thus a lost business opportunity and a bite off employee productive time. Installing EV charging stations on your premises offers these benefits:
Get more people to visit your business premises
Since more people drive electric vehicles, offering them a charging station keeps them for longer in your business. For example, if your restaurant has a charging station where customers can top up their EVs as they have their meals, more customers will visit you. The charging station thus gives you an edge over your competition in your region. In addition, having one of these EV chargers for business ensures your location is visible on the map. Therefore, you’ll be easily found by new customers, giving you a chance to convert them into regular visitors.
Minimize your environmental impact as you maximise your profits
Your business will enjoy tax benefits when you install EV charging stations. These benefits subsidise and reimburse you for incurring EV charging station infrastructure costs, and for their subsequent costs, with the potential of claiming 100% of the costs incurred.
The government’s motivation to incentivise the installation of EV charging stations is to accelerate the switch to electric vehicles. Therefore, you’ll be playing your part as a business with your positive environmental impact at a reduced cost.
Future-proof the business
The government has incentives for businesses to invest in green energy in a bid to meet environmental preservation goals, one of which is the complete shift to zero emissions vehicles by 2030. While it may at present not be a policy, it is not farfetched to imagine that businesses will soon be expected to provide their employees and customers with charging stations. Therefore, installing EV charging stations now ensures you enjoy those incentives as you future-proof your business.
Boost your benefits package
Employees appreciate efforts to make their time at work as comfortable as possible, and workplace EV charging stations enable them to top up their cars’ batteries for the ride home. Those who don’t have electric vehicles yet will feel reassured enough to consider such a purchase, knowing you have solved one of the biggest EV challenges.
EV charging station infrastructure costs
These benefits are only available when you install EV charging stations on your premises. The cost of installing a charging station depends on the charging station make and model, the charging speeds, the layout of your premises in terms of its electricity grid mapping, the expertise of the installation service, and maintenance charges. On average, expect to spend anywhere between £1,000 and £2,500 on one charging unit, plus installation services and associated costs.
How to manage EV charging station infrastructure costs
While those cost estimates are high and can get higher during the actual installation, there are ways to minimise the costs and even make some profits.
The government, through its Office for Zero Emissions Vehicles initiative, offers grants to businesses and individuals installing EV charging stations on their premises. These grants will minimise the initial installation costs, thus enabling your business to handle such a significant investment.
What’s the ROI?
EV charging payments from customers
You’ll also bill your customers when they use your EV charging stations. The best approach is to offer free charging for regular charging vehicles and charge a small fee for rapid charging. Regular charging takes more than double the time of rapid charging, and investing in such charging stations costs you less. Rapid chargers cost more, thus the need to charge for them.
A way to manage EV charging installation costs is ensuring your employees don’t have to leave the premises early to charge their vehicles or worry whether they have enough power to get them where they need to after work. Offering free charging is not only a considerate perk, but it also keeps them focused on their duties, thus increasing their productivity. This is an often overlooked benefit of installing EV charging stations.
Increased customer spend
As customers wait for their vehicles to top up, they’ll be compelled to keep spending money on your business. In addition, having their attention gives you a chance to advertise more, handle any complaints they have, and develop closer ties with them, further increasing the chances of them spending more.
EV charging stations in your premises improve business performance, attract more customers and give you a chance to market to them more, contributes to the government’s plans for environmental preservation, and give you recognition as a future-focused business. All these benefits are only possible if you choose the right EV charging stations for your business, have them professionally and sustainably installed, and keep the installation and maintenance costs manageable. Get in touch today for an ROI estimate. We’ll also advise how to make the most of this opportunity.
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