According to a BNEF report, humanity will need approximately 290 million more electric vehicle (EV) charging points by 2040 to keep up with the growing global EV fleet. Many of those charge points will generate revenue for owners and improve business where they’re installed—EV drivers often shop and snack while their cars charge up.
Whether you’re in real estate, hospitality, retail, or food service, you’re probably thinking about EV chargers. Installing and maintaining them, however, can be expensive and complicated. Thankfully, there are ways to reduce total cost of ownership (TCO) for high-speed EV charging points.
This article outlines the fundamentals of deploying an EV charge point and ways you can save money throughout the process. It covers:
Later we’ll dive deeper into ways to build and deploy charging systems, exploring technical details, regulatory issues, and cost-saving strategies.
You might be tempted to rush into installing a charger in your business’ parking lot or your apartment building’s parking garage, but there are many things to think about before you break ground.
The Tritium team can help you research your site before you make a purchase. We have experts around the world who know local regulations, have relationships with utility companies, and can even help estimate traffic in and around your charge site. Contact us to schedule a consultation.
After site planning, you’ll need to choose your charging hardware. You may be tempted to purchase the most affordable charger, but entry level chargers can end up costing you more over time. That cheap charger may not be able to handle tomorrow’s EVs or present more issues, and you’ll be upgrading before you know it.
When shopping for chargers, look for modularity, scalability, and upgradability. Even if you’re starting small, choose a charger or chargers that can grow to meet future demand. Tritium’s RTM and PKM lines of chargers can be upgraded over time to deliver more power to more EVs, which means you can start small and develop your charging site over time.
Tritium PKM chargers can also share charging infrastructure. DC fast chargers need high-power electronics to turn the alternating current (AC) from the power grid into direct current (DC). This equipment is housed in a power cabinet, and most DC fast chargers need dedicated power cabinets to run. A PKM charger can share a single power cabinet with up to three other PKM chargers, reducing the overall cost of the charging system and making it easier to expand your charge point when you need to.
Chargers should also be able to weather the elements. Look for chargers that are sealed and rated for rain, wind, and dust. All Tritium charging stations are IP65 rated, meaning they meet strict standards for water and dust resistance.
Additionally, electric vehicles use a variety of connectors. Pioneering EVs like the Nissan Leaf used CHAdeMo (“CHArge de MOve” which Japanese EV organizations translate as “charge for moving”). Now most EVs use Combined Charging Standard (CCS1 or CCS2) connectors. Europe has standardized CCS2 charge connectors, while the US uses CCS1.
Also look for modern features like Plug and Charge integration, a communication protocol that lets drivers simply plug their EVs in for a charge without having to enter billing information—billing info is stored in the car itself. Standard payment processing should also be available for vehicles without Plug and Charge capabilities.
There’s a lot to learn about DC charger technology before you make a purchase. Working with an expert can make the process much easier and safer.
There are many government, energy company, and non-profit incentives for EV charging infrastructure, ranging from tax credits to rebates to grants. These programs were created to speed up the transition from internal combustion cars to EVs and to help EV owners who might not have access to a charger at home.
And there are many programs and incentives like this across the globe.
These are just a few of the countries and groups that are helping to meet government targets to phase out internal combustion cars and build out EV charging infrastructure. The best way to find incentives in your area is to talk to an expert. At Tritium we can help you find EV charger incentives for your region.
Most people think of EV chargers as appliances—you plug them in and they just work. But DC fast chargers handle a tremendous amount of power and generate a lot of heat. Over many charges, components can be at risk of failure and will need to be replaced. Chargers will need regular scheduled maintenance just like any other machine. Keep this in mind when choosing your equipment. Is it easy to repair? Can repairs be done in the field? Maintenance costs can add up over time and it pays to choose a charger that is designed to be easily maintained.
Fast chargers also run complicated software that interfaces with multiple networks, including utilities networks, payment processing networks, and charging point operator networks. That software requires updates and maintenance just like your PC. What kind of software support does the manufacturer offer? Think long term. Tritium software not only handles car charging, but also works with payment processing and utilities networks. We have dedicated software engineers who work to keep up with the latest developments in EVs, battery tech, and networks.
There is a wide range of positive economic and environmental aspects of the expected growth in the deployment of EV charging infrastructure worldwide. As the world shifts towards electrification, there are many options and programs available to assist operators with cost-effective deployments of DC fast-charging solutions. Choosing a qualified partner can be the best way to ensure you get the ultimate return on your investment.
Electric trucks and vans are quiet, reliable, and clean. They make our cities quieter, cleaner, and healthier. That’s why US federal, state, and even city governments have created multiple incentive programs for businesses to make the switch. Many states offer tax credits for electric delivery vehicles, and the $1.2 trillion Bipartisan Infrastructure Law includes $5 billion to help states build extensive EV charging infrastructure. Whether you’re a business or state or local government agency, now is the perfect time to take advantage of incentives to build your electric fleet—and you can rest assured that the public charging infrastructure will be there to support it.
Before you electrify your fleet, you’ll need a plan to determine what kind of charging infrastructure you need.
First, start with site design. Every business will have different vehicles, site configurations, drivers, and needs. Ask the following questions:
These questions and others will form a brief to help you truly understand what your goals are.
Once you’ve determined your site design, look at charging hardware. With a good understanding of how you’ll use your vehicles, you should have an idea of the types of charging speed you’ll need. If your vehicles will be charging up for several hours, you won’t need ultrafast DC chargers. If they need to make frequent trips, like rideshare services, ultrafast charging may be necessary.
Lastly, look at ways to reduce capital expenditure. There are many funding programs through governments, utilities, air pollution control districts, and more to help you save on fleet electrification. Also focus on total cost of ownership. Consider site construction costs, maintenance, upkeep, etc.
We’ll review several types of incentives in this article:
An EV tax credit is an incentive to encourage businesses and organizations to purchase or lease electric vehicles. Fleet owners typically lease their vehicles but can still take advantage of tax breaks.
Fleet EV incentives are available through:
The Inflation Reduction Act (IRA) is a bill that provides nearly $370 billion for climate change initiatives to help reduce carbon emissions by roughly 40 percent by 2030. It provides significant tax breaks for businesses who purchase new medium and heavy-duty electric vehicles and new chargers.
The Clean Commercial Vehicle Credit lets business claim up to 30% of the purchase price (up to $40,000) of a new medium or heavy-duty commercial EV that weighs more than 14,000 pounds, which is vehicles that fall into classes 4 and above.
There are hundreds of incentives available for fleet owners in the US. Every state has multiple programs to help transition fleets to electric power, and some power companies also offer help. At first glance it can be confusing, but there are many resources to help you sort it out. If you need more help finding incentives in your area, reach out to one of our experts.
Alternative Fuels Data Center
The Alternative Fuels Data Center (AFDC) has made finding state laws and incentives for EVs and alternative-fuel vehicles simple. Just visit the site and click on your state to see a list of available incentives. The site is kept up to date and has all the latest news about rebates, tax breaks, and grants.
California is leading the charge with 168 programs, Washington comes in second with 67, and New York third with 56 (at the time of publication). But all states in the nation are offering something to help transition to electric commercial vehicles. Alabama is offering grants for charging stations and medium/heavy duty electric vehicles. Illinois is offering grants to cover up to 80% of the cost for the installing and maintaining direct current (DC) fast chargers, like Tritium’s PKM150. Colorado is offering similar grants that fund 80% of the cost of many EV charging stations, including up to $50,000 for a 100kW or higher charger.
Those are just a few of the grants and programs available for businesses looking to electrify their fleets. Dive into the AFDC site to find programs for your area and contact one of our experts if you have questions about DC fast chargers or charging infrastructure.
Environmental Protection Agency (EPA) SmartWay Heavy-Duty Truck Electrification Resources
The EPA has compiled an exhaustive list of resources for US businesses or organizations looking to electrify their fleets. The organization has included links to incentive programs along with total cost of ownership (TCO) calculators so you can determine how much you’ll save by going electric. Here are some highlights.
The EPAs site has a wealth of information about transitioning your fleet to EVs.
Inflation Reduction Act Alternative Fueling Credit
The Alternative Fueling Credit is a general business tax credit for any company or organization that installs DC fast charging stations. It will offset up to 30% of the total costs of purchase and installation of charging equipment, up to $100,000 per charger. The credit cannot be used to offset expenses related to permitting and inspection. The tax credit can be used anywhere in the US and can be applied after receiving other EV grants or rebates but can only to the charger costs not covered by those grants or rebates. Resellers may claim this credit even if they’re selling charging equipment to a tax-exempt organization (nonprofit), government organization, or foreign entity (state or local government/tribes), but they must disclose in writing the amount of the credit. Tritium chargers, including the RTM and PKM150, qualify for the Alternative Fueling Credit.
Some US power companies offer incentives for businesses electrifying their fleets. California’s Pacific Gas and Electric Company (PG&E) offers a $9,000 rebate for transit buses and trucks that weigh over 33,000 pounds. They also offer $4,000 rebates for local delivery trucks. The company also offers up to a $42,000 rebate for 150kW and above chargers. The company will also help with site design and permitting, construction and activation, and maintenance and upgrades. There are some requirements, including:
View PG&E’s EV Fleet Program page for more information.
Many other electric companies offer services to help you transition your fleet to electric. Check with your local power company to see what programs are available.
Finding the right incentives to transition your fleet to electric can be a complicated process. And if you don’t find all the available incentives in your area, you’ll miss out on significant savings. To make sure you take advantage of all the incentives and programs you can, contact one of our experts. We can help you find those incentives, plan your charging site, and choose the proper chargers for your needs.
Switching to EV commercial vehicles and investing in EV charging infrastructure can save money and reduce Scope 1, Scope 2, and even Scope 3 greenhouse gas emissions.
The first step to reducing greenhouse gas (GHG) emissions is measuring how much greenhouse gases we currently emit. In the US, the Environmental Protection Agency (EPA) developed the Greenhouse Gas Reporting Program (GHGRP) in 2009 to do just that. Since then, it has surveyed major GHG emitters, including thousands of industrial facilities and suppliers of fossil fuels and other gases. US policymakers, environmental groups, the media, and scientists use the data to analyze and project global warming. Unless your company is a major industrial manufacturer or fossil fuel provider, you won’t have to participate in the GHGRP.
Still, you may be looking for ways to reduce your organization’s carbon footprint. The GHGRP program offers guidance for doing just that. This article explores the GHGRP and the ways you can reduce your organization’s carbon footprint—including transitioning from fossil fuel vehicles to electric vehicles.
If a facility emits more than 25,000 metric tons of CO2 per year, it must record and report those emissions to the EPA through the GHGRP. About 7,600 facilities currently report to the GHGRP. Combined, they emit 3 billion metric tons of CO2 per year, which is about 50 percent of total US GHG emissions. The EPA tracks another 1,000 fossil fuel suppliers. The EPA estimates that the GHGRP collects data on 85-90 percent of all US GHG emissions. The EPA has a list of industrial operations covered by the GHRP here. The EPA tracks total US GHG emissions in the US Greenhouse Gas Inventory.
According to the EPA, most office-based businesses, small businesses, and public institutions are relatively low GHG emitters. Most of their GHG emissions will come from electricity and vehicle usage. Small manufacturers will also have emissions related to refrigerants and other waste gases. The EPA has three categories for emissions:
Scope 1: Direct emissions from onsite combustion and mobile sources
Scope 2: Indirect emissions from purchased electricity and steam
Scope 3: Optional emissions–examples include product transport, employee business travel, and employed commuting.
The EPA offers guidance for identifying and measuring Scope 1 and Scope 2 emissions. Again, Scope 1 emissions include emissions from directly burning fossil fuels and other things like wood, yard waste, paper, etc. Scope 1 emissions also include any natural gas that may leak from pipes or tanks. Finally, Scope 1 emissions include emissions from any vehicles owned by the organization.
You can eliminate Scope 1 vehicle emissions by switching to electric vehicles (EVs). EVs emit no CO2 and can be charged with power generated with renewable energy sources like solar, wind, and geothermal. There are many other advantages to transitioning your fleet to electric. Electric vans, trucks, and cars can have a lower total cost of ownership (TCO) than their fossil fuel-powered counterparts. According to a recent study by US electric power utility PG&E, a fleet of 20 medium-duty diesel-powered delivery vans will cost approximately $4.14 million over 10 years of ownership. The TCO for an electric fleet of 20 medium-duty delivery vans over 10 years is just $2.76 million. EV fleets also give organizations the opportunity to control transportation energy/fuel costs more tightly. It’s easier to estimate the cost of electricity than it is to estimate the fluctuating price of oil and diesel fuel.
EVs are much less expensive to own and operate over time thanks to the low cost of electricity and mechanical maintenance when compared to diesel vehicles makes. There are also many tax and other government incentives for commercial EVs and EV charging infrastructure. In the US, there are significant tax breaks and funding available to businesses that want to electrify their fleet. The recently passed US Inflation Reduction Act (IRA) provides nearly $370 billion to help combat climate change. Incentives include:
The National Electric Vehicle Infrastructure (NEVI) formula program also provides $5 billion for DC fast charging sites. These funds are available now and some states have already started rolling out their NEVI programs.
Scope 2 emissions are generated by electricity production. If your organization purchases electricity generated by burning coal, Scope 2 emissions will be higher than if it purchases electricity from renewable energy sources. Many organizations don’t have a lot of choice when it comes to purchasing electricity—they usually must use electricity from whichever energy sources are available. But some utility companies offer the option to purchase all or a percentage of your electricity from renewable sources like solar or wind. Contact your local utility to determine if your organization can purchase energy from renewable sources. The EPA also offers advice for how to decrease Scope 2 emissions.
Scope 3 emissions come from any activities or assets not owned by your organization but are nonetheless the result of your organization’s activities. They include things like materials or product deliveries, business travel, and even employee commuting. Scope 3 emissions are also called value chain emissions and they often account for the majority of an organization’s GHG emissions.
The EPA has split Scope 3 emissions into 15 categories:
The EPA has more information about these categories and how to account for them here.
There are many ways that EVs can reduce Scope 3 emissions. Installing DC fast chargers at your office or facility can encourage employees to make the switch to electric, further reducing Scope 3 emissions. Organizations can also work with partners and suppliers to offer incentives to electrify delivery and other commercial vehicles. For example, a company may not own and operate the delivery vehicles for its product, but it can install DC fast chargers at distribution centers to encourage transport partners to electrify their fleets. Again, electricity prices can be more stable than diesel fuel prices, which lets organizations and their transportation partners plan more effectively.
To learn more about how EV commercial vehicles and DC fast charging infrastructure can save your organization money and cut GHG emissions, contact one of our experts today.
The Inflation Reduction Act (IRA) is a law that provides nearly $370 billion in climate change investments to help reduce carbon emissions by 40 percent by 2030. It provides significant tax breaks for businesses that purchase new medium and heavy-duty electric vehicles (EVs) and new chargers.
The IRA tax credits will start after December 31, 2022, and end after December 31, 2032. Businesses can use the credits after receiving other grants or rebates like NEVI funding. These credits, along with many other grants and programs, make electrifying your fleet in the US more affordable than ever.
The Clean Commercial Vehicle Credit lets businesses claim up to 30 percent of the difference between the cost of a clean vehicle and its gas-powered counterpart (up to $40,000) for a medium or heavy-duty commercial EV that weighs more than 14,000 pounds. If a vehicle weighs less than 14,000 pounds, business can claim up to $7,500 per vehicle. There are no income limits on eligibility for the tax credit and the vehicles businesses purchase don’t have to be made or assembled in North America. Businesses cannot sell the tax credits to anyone or any company (like a dealer) for cash.
The Alternative Fuel Vehicle Refueling Property Credit is a general business tax credit for any company that installs EV chargers, including direct current (DC) fast charging stations. It will offset up to 30 percent of the total costs of purchase and installation of charging equipment, up to $100,000 per charger. Businesses cannot use the credit to offset expenses related to permitting and inspection.
Companies can only use the Alternative Fuel Vehicle Refueling Property Credit for chargers installed in a census area where the poverty rate is at least 20 percent or where the median family income in the area is equal to or less than 80 percent of the statewide median family income.
Businesses can apply the tax credit after receiving other EV grants or rebates, but only to the charger costs not covered by those grants or rebates. Resellers may claim this credit even if they’re selling charging equipment to a tax-exempt organization (nonprofit), government organization, or foreign entity (state or local government/tribes), but they must disclose in writing the amount of the credit. Tritium chargers, including the RT50, RTM75, PKM150, and RT175-S, qualify for the Alternative Refueling Credit.
This is a 10-year extension of the well-known $7,500 Clean Vehicle Credit, but it has been revised. Now it is split into two parts:
There is an income limit for the new Clean Vehicle Credit of $150,000 per year for an individual and $300,000 per year for a household, and the credit will be applied at dealerships during purchase. There are also limits on vehicle price: SUVs, pickups, and vans are limited to $80,000 and all other vehicles are limited to $55,000.
Last, but not least, the law will eliminate the cap on the number of vehicles that can be sold per automaker. The limit was 200,000 EVs per manufacturer, which made Tesla, General Motors, and Toyota EVs ineligible to receive the tax credit. Now you’ll be able to apply the Clean Vehicle Credit to EVs from those automakers.
This is another new tax credit for people who purchase used EVs. It’s worth $4,000 or 30 percent of the vehicle sale price (whichever is lower), and the credit will be applied at dealerships during purchase. There is a $75,000-per-year income limit for individuals and a $150,000-per-year income limit per household. The used EVs purchased must weigh less than 14,000 pounds and have a sale price of less than $25,000. The used EV must be at least two years old when you purchase the vehicle. For example, if you purchase a used EV in 2023, it must be a 2021 or earlier model year. It can be used for fuel cell vehicles and plug-in hybrids and the vehicles are not subject to the same sourcing requirements as new EVs.
There are many more US government incentives, grants, and programs to help you transition to EVs. Contact Tritium today to learn more about how to take advantage of them.