The Competitive Advantage of EV
Currently there are several financial benefits available to business’s who decide to go green, such as the Plug-In Car Grant of £500 per workplace charge point and for the time being, embracing electric vehicles means that not only could your company save financially through taking advantage of the aforementioned incentives, you could also do wonders for reducing your company’s bottom line.
Although there is currently no end date set for the Government grant and voucher schemes, it is highly unlikely that they will last forever, so we strongly advise you take advantage of these great schemes while you still can!
ELECTRIC FLEET VEHICLES
If you run a distribution company or any company that utilises a significant number of vehicles, switching to EV’s could drastically reduce your transport costs, with electric vehicles costing significantly less to fuel than internal combustion engine vehicles, with it being reported that for the usual £17-£20 it would cost to fuel a diesel car for a 100 mile journey, charging an electric car for the same journey would only cost around the £2-4 mark. Not only could you save on fuel costs but EV’s are also generally cheaper to maintain with studies showing that an EV owner could typically save up to £300 a year, which could mean monumental savings for a company with a fleet of vehicles.
TAX ADVANTAGES OF ELECTRIC VEHICLES
Businesses and Commercial operators will see a massive tax saving by moving to electric vehicles. The 3 main tax advantages include;
Zero Road Tax
Zero Benefit in Kind Charge from 2020/2021
100% First Year Capital Allowances.
SUPER CHARGE COMPANY REVENUE
The benefits on offer are not solely available to companies with a large fleet of vehicles. Other companies with off road parking can benefit from the installation of electric car charging points, an upgrade which can play a significant role in improving the calibre of clients you attract and one that will also make your environmental ethics stand out to anyone who may visit your premises.
Multi-story Car Parks
Although the installation will require investment from yourself, the Governments workplace charging scheme means that you are able to claim vouchers to put towards the upfront product purchase and installation costs. With vouchers of up to £500 being available for each and every socket (20 maximum), this is a solid benefit for any company looking to install electric vehicle charging points and is available to all business forms including public sector and charitable organisations.
While EV Chargers are essential for companies with a large number of vehicles, installing electric vehicle charging points can also have huge benefits for companies in the leisure and retail sectors. With an increase in green ethics and people in general becoming more conscious of preserving the environment, having EV chargers installed at your premises can do wonders for attracting new customers. With electric vehicle charge points not yet being as common as they inevitably one day will be, having EV chargers on site can increase the amount of time a patron spends at your premises and be a great way of attracting new customers. These are two fantastic ways companies in the retail and leisure sectors, such as gyms, hotels and shopping centres, can do drastically improve their bottom line.
THE SMART APPROACH TO DEMAND MANAGEMENT
Also playing a significant role in the smart grid are EV chargers with integrated batteries which are connected to the regional distribution networks in order to support future system balancing requirements. Electric vehicle charging points with integrated batteries have the potential to export and import power from the Grid, automatically responding to frequency events or a system supply and demand imbalance, all without having any affect on charging your fleet.
This use could then be extended to support businesses with reducing their non-commodity costs, from peak demand avoidance to the extra revenue that comes from participation in demand response schemes.
While the potential benefits available through Government funding and incentive schemes are definitely attractive prospects, for EV’s to reduce your company’s bottom line, there has to be harmony between the energy and fleet manager to ensure a seamless delivery and maximum savings.
It is crucial that the cost of charging is examined before hand and it is essential that all costs, such the cost of charging up your fleet of EV vehicles is taken into consideration in all future energy forecasts, always making sure to avoid exceeding volume tolerances.
Alongside the unit cost of energy, non-commodity costs also count. Installing ten 50kW electric vehicle chargers might attract new customers and boost revenue, but it could also impact the capacity charge incurred on the energy bill, and be beyond the capabilities of the existing electrical infrastructure. There are ways to counter this – for example, making the switch to LED lights could reduce your capacity by 100kW, which would be the equivalent of two charge points.
To learn more about how EV’s can help you expand, call us now on 0141 471 7970 or complete the form below.