WHILE electric vehicle (EV) adoption has seen unprecedented growth over the past year, there are still a number of challenges to be met. These include the high cost of vehicles and false perceptions around the lack of charging infrastructure; both which are an education task for us all. Here, Brian Smithers at Rexel UK talks about the benefits of EV and why more businesses should adopt the technology.
It is well documented that Britain is the first country in the world to set legally binding ‘carbon budgets’, aimed at cutting UK emissions by 34 per cent by 2020. The Department for Energy and Climate Change (DECC) has estimated that 25 per cent of the UK’s carbon emissions can be attributed to the transport industry.
And so, as an integral part of the green agenda, recent years have the level of EV adoption gain pace. In fact, figures from the Society of Motor Manufacturers and Traders (SMMT) show that 2014 saw a 50% increase on the number of electric car vehicles sold. However, it is important to remember that we still have a long way to go and there are still some misconceptions which need to be addressed before EV reaches the mainstream.
For a long time, for example, a huge issue has been ‘range anxiety’ whereby consumers have been concerned that there hasn’t been the charging infrastructure to support longer car journeys. However, this is all changing as both the Government and commercial businesses continue to plough significant investment into building a more comprehensive charging capability nationwide.
Whereas in the past the UK lacked the infrastructure to allow motorists to reliably charge their cars when required, charging points are now abundant across the country, with over 1,400 in London alone and this figure set to rise to 6,000 by 2018.
This is supported with a £9 million Government investment to boost the number of charging points for electric cars in the coming years. As such, it is something we need, as an industry, to promote in order to instil driver confidence around EV.
Conversely, the initial high cost of EVs, regardless of the long-term financial benefits, has acted as another stumbling block. However, the cost of EVs is coming down all the time and the consensus is that they will be cheaper than gas alternatives in ten years’ time.
Surely then, for the business car operator or fleet manager, the argument for EV is all but conclusive?
As EV prices come down and our national charging infrastructure grows, at Rexel our recommendation is that for fleet managers should actively lead the way; introducing EVs into their portfolio and ultimately reaping both the environmental and financial benefits on offer.
Of course, as the key point for fleet managers is the cost saving to be had. The Energy Saving Trust estimates that a full charge costs around £2 to £3 and will give a typical range of 100 miles – in comparison driving 100 miles in a petrol or diesel car costs around £12 to £18 in fuel. This equates to around six times the cost of the electric car. With most company fleets consisting of hundreds if not thousands of cars, the cost savings to be had are thus colossal.
In addition to this, EVs have the benefit of zero rate company car tax and exemption from road tax. They also don’t have to pay the London Congestion Charge and can benefit from free parking and designated spaces in many pay and display car parks, not to mention the financial acumen of a reduction in insurance and maintenance costs.
While once a distant vision, the reality is that the EV revolution is gaining pace and fast. Thus, with the final hurdles slowing being resolved it’s surely time for fleet managers to get their foot off the brakes and get up to speed.
