How electric vehicle programs drive businesses forward
October 17, 2023
Paving the way towards sustainability
Fleet electrification is no longer a distant future concept but a present-day reality. As businesses strive for sustainability and cost-efficiency, the trend toward fleet electric vehicles (EVs) is undeniably on the rise. Transitioning to an electric fleet not only reduces carbon emissions, contributing to environmental goals, but can also positively impact the company's bottom line through lower fuel and maintenance costs.
The business case for fleet electrification
In an era of increasing environmental awareness, businesses are turning to sustainable solutions to meet their operational needs. Fleet electrification has emerged as a viable option for many, and here's why:
- Environmental impact: Transitioning to EVs from internal combustion engine (ICE) vehicles greatly reduces greenhouse gas emissions. EVs also produce zero tailpipe emissions, contributing to cleaner air.
- Cost-efficiency: While the initial investment may be higher, EVs have lower operating costs. They require less maintenance and have lower fuel costs compared to traditional ICE vehicles, allowing you to save money.
- Corporate reputation: Demonstrating a commitment to sustainable practices improves the public image of businesses, as consumers value environmental action. Adopting an electric fleet showcases this commitment.
- Regulatory incentives: Many federal, state, and provincial governments offer incentives such as grants, tax breaks, and subsidies to promote EV use. Transitioning to an electric fleet allows businesses to take advantage of these incentives and prepare for future carbon emissions regulations.
Essential questions for a seamless EV transition
Transitioning to an electric fleet is a major step towards achieving sustainability goals. Before you begin, there are important questions to consider:
- Sustainability goals: If your organization has defined sustainability goals, how does fleet electrification align with them? Understand how transforming your fleet contributes to reducing carbon emissions.
- Key stakeholders: Transitioning to an electric fleet requires engaging a diverse set of key stakeholders who have a vital role in influencing decisions and managing change. Who are the key stakeholders in your organization, and what is their role in the transition?
- Fleet composition and use cases: Assess your current fleet and its purpose. What types of vehicles do you have, and how are they used? This will inform the best electric vehicle and charging solutions for your needs.
- Budget considerations: Besides vehicle costs, have you budgeted for company-owned charging stations and related services? We can guide you through the financial planning and EV budgeting process. We consider the total cost of ownership (TCO) of your new EV fleet, EV charging infrastructure, and potential government incentives.
- Charging strategy: Determine if you'll sponsor home chargers, install your own depot EV chargers, or use a combination of solutions including public charging networks. Consider geographical fleet locations, vehicle types, driving patterns, and budget.
Why a pilot-first approach is critical to fleet electrification
When planning large-scale fleet electrification, a pilot-first approach is crucial. Thoughtfully designing and launching EV pilots allows businesses to develop playbooks and strategies for successful implementation. At Element, we assist clients in defining, launching, and executing these essential pilot programs, helping them navigate this transformative journey.
An EV pilot program offers businesses several key benefits:
- Feasibility assessment: Businesses can assess the viability and compatibility of EVs in their fleet operations. Test different models, analyze battery range capabilities, and evaluate EV charging infrastructure requirements.
- Performance monitoring: Monitoring pilot fleet performance provides valuable data on fleet vehicle performance, charging efficiency, and operational impact for businesses. This data-driven approach helps identify operational challenges so that course corrections can be made before scaling up.
- Stakeholder engagement: A pilot program provides a platform to engage fleet drivers, management, and external partners. Foster collaboration, encourage feedback, and build support for wider adoption.
Case studies: Real life EV pilot success stories from Element customers
Discover success stories from our customers in various industries, achieving remarkable improvements in operational efficiency, cost reduction, and environmental impact.
- Pharmaceutical Industry: A European-based company with a fleet of 5,000 units is aiming for zero tailpipe GHG emissions by 2030. Element created a comprehensive EV fleet plan based on vehicle availability, carbon emission reduction potential and total cost of ownership analysis. As a result of this plan, the client is on track to reaching their target. In the next 3 years, 18% of their fleet vehicles will become battery electric, but TCO expenses will only increase by 3%.
- Energy Sector: An energy company joined the EV100 group and aims to reduce its tailpipe GHG emissions to zero by 2030. They tested 40 electric vehicles in the US and Canada. Weekly meetings with stakeholders, vehicle utilization analysis, and leveraging Element’s EV team for charger procurement guidance made a considerable difference in their ability to plan and execute a successful pilot. The company is on track to convert 34% of their vehicles to battery electric by 2025. Additionally, they have saved 20% on costs over a span of 48 months by utilizing electric trucks instead of traditional ones.
- Technology Industry: A tech company aims to cut tailpipe GHG emissions by 100% in the next decade. Element is supporting their goal achievement by implementing an EV pilot program for their fleet. This includes identifying the best vehicle fit, optimized driver selection, and seamless driver home charging installation. Element also implemented a monthly reimbursement program for electricity costs. This led to a successful EV pilot launch and significant recognition both internally and within the industry.
Ready to jumpstart your journey towards fleet electrification?
Take the first step by initiating your own electric vehicle pilot program today. Partner with Arc by Element™ to effortlessly transition your fleet to EVs. Unlock a range of benefits, including increased efficiency, reduced emissions, and significant long-term cost savings. Contact your dedicated Element representative now or email us at [email protected].
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