Many different industries have discussed the aspects of fleet electrification, from its money-saving benefits to its reduction in time spent on maintenance. Transitioning a company’s fleet from traditional to electric vehicles may seem like a great idea, but it’s important to understand the pros and cons before getting started.
Fleet electrification is the process of changing an organization’s fleet from internal combustion engine (ICE) vehicles to electric vehicles. A fleet may include delivery vans, large trucks, buses, and company cars.
Fleet electrification requires more than simply trading in a few vehicles. Businesses must also equip vehicle depots and garages with the appropriate charging infrastructure, which can take additional time and resources.
Fleet electrification has some serious upsides. Here are just a few to consider as you decide whether the switch is worthwhile for your organization.
Although it may require a large investment upfront, fleet electrification is likely to save businesses money over time because they’ll spend much less money on gasoline.
Maintaining electric vehicles costs less than traditional vehicle maintenance. The standard cost of a typical automotive repair can range from $500-$600, but research conducted by Consumer Reports found that electric vehicles require significantly less upkeep, and they cost less to repair than gas-powered cars. Electric vehicle drivers pay about half of what traditional vehicle drivers pay for repairs and maintenance, saving an average of $4,600 over the lifespan of their vehicles.
Purchasing electric vehicles also may also offer some tax advantages depending on your location. Every region has its own stipulations. These are the ones for North America:
Although the upside of fleet electrification is substantial, the change may present some disadvantages for your organization. They may not be prohibitive in your decision-making process, but be sure to understand the following before making a commitment to convert:
Ready to get started with your organization’s conversion to an electric fleet? Here are a few first steps.
The fleet electrification process can take a few months to a few years, so it’s ideal to start calculating the costs and identifying short-term and long-term goals as soon as possible. Be sure to address questions such as “How much will fleet electrification cost?” and “What type and size of charging infrastructure will we need?”
Although electric fleet vehicles typically demand a larger upfront investment over traditional fleet vehicles, they can lead to more cost savings down the road. Make sure to crunch the numbers and understand the overall costs.
SimWell uses historical data and operational plans to help with the planning and execution process of fleet electrification. We map out your current and electrification-related processes, helping your business identify exactly what it needs, such as:
Interested in fleet electrification but unsure of how to get started? SimWell can deploy a dynamic animation view that features live metrics to identify bottlenecks, potential issues, and the success rates of different fleet electrification scenarios.
Ready to get started? Let’s talk today!