The Future of Service Stations

To assess the future of petrol stations, Future Auto spoke with two key executives at bp Australia and New Zealand: Paul Augé, Vice President, Mobility and Convenience, and Jeffrey Liu, General Manager, bp pulse Australia.

In general, how have Australian service stations changed over the last decade and does this reflect international trends?

Paul: As Australia continues to progress the energy transition, significant changes are taking place in service stations across the country.

The energy transition presents a huge opportunity for the fuel industry to jump headfirst into diversifying from traditional fuels to new sources of energy.

We can see these changes happening already, with the roll-out of electric vehicle (EV) charging at service stations. By providing Australians with more options to charge their vehicles when they are on-the-go, service stations are playing an important role in the transition to electrification.

Globally, bp is transforming its retail offering to ensure we continue to provide customers with the energy they need. As energy sources evolve, so are customer behaviours at service stations.

We anticipate customers will spend more time in-store while vehicles are charging, so we’re reimagining our retail offering for a superior instore experience.

By 2025, bp aims to increase its customer touchpoints to more than 15 million a day globally. Our convenience strategy is about creating something distinctive that sets us apart from other convenience offers.

What is bp pulse?

Jeffrey: bp pulse is bp’s electrification business in Australia and is an important element of our broader strategy to become a net zero company by 2050 or sooner.

As the world turns to electric, we are drawing on our global expertise to give Australians the energy to power their EVs. bp pulse operates in the United Kingdom, China, Germany, India, Spain, Portugal and the United States, and has an ambition to install 100,000 EV charge points globally.

What has bp pulse achieved to date and what are your future plans and targets?

Jeffrey: Since launching bp pulse in Australia in late 2022, we’ve now installed over 100 EV charge points across the country.

We’ve delivered more than 2.2 million kWh of energy to our customers in this time. This is enough power to drive from Melbourne to the Moon 28 times in an EV.

With rapid progress, we’re well on our way towards building the most convenient EV charging network in the country, with more charge points and charging hubs at a variety of locations across Australia. Looking ahead, we are planning to have installed 600 EV charge points in Australia by 2025.

How does home charging feature in your analysis?

Jeffrey: bp has been providing fuel to Australians for over 100 years, and we’re rolling out our charging infrastructure to ensure that everyone has access to convenient EV chargers when they need it.

Our focus is on continuing our expansion of charging infrastructure at our bp sites across the country. By doing so, we hope to reduce some of the barriers that are preventing Australians from adopting EVs, such as range anxiety.

We are working with key partners to help EV drivers charge at home, such as our initial offer with AGL Energy in 2023. Through projects like this we hope to encourage uptake for people considering an EV. change, we do too. We’re currently transforming our convenience offering to provide customers with a food offer that meets their needs.

How important is fast charging?

Jeffrey: Having access to convenient fast charging options will be critical to supporting the transition to EVs.

For more drivers to make the switch to EVs, they need to have confidence that their vehicles can be charged quickly at a range of convenient public charging stops.

While drivers will always be able to charge their vehicles at home more slowly overnight, fast charging enables drivers to get back to their journeys more quickly.

Are there any measures that bp pulse would like to see at the political level to assist the industry and/or consumers?

Jeffrey: We believe the electrification of transport is a key part of helping Australia get to net zero. We have been pleased to see all levels of government get behind EVs but there is still a way to go.

bp pulse EV charging.

Ultra-fast charging (over 150 kW) can offer a comparable experience to current refuelling and many of bp’s sites globally plan to upgrade their infrastructure to meet this speed.

If charging at a service station takes longer than filling up with petrol, how important is the mix of food, retail and convenience?

Paul: As the world changes, it’s important that we keep up with this progress to ensure that we can continue to provide customers with the energy they want, when and where they want it.

As customers make the switch to electric vehicles, we expect their retail behaviours to change too. We anticipate customers will spend more time in-store while their vehicle charges and will be looking for convenience and comfort.

For bp, it’s important that as customer needs evolve andchange, we do too. We’re currently transforming our convenience offering to provide customers with a food offer that meets their needs.

Are there any measures that bp pulse would like to see at the political level to assist the industry and/or consumers?

Jeffrey: We believe the electrification of transport is a key part of helping Australia get to net zero. We have been pleased to see all levels of government get behind EVs but there is still a way to go.

For charge point operators like bp pulse, grid connectivity remains the significant determiner for the roll-out of fast charging infrastructure. To enable Australia to continue moving forward on its EV journey, being able to anticipate demand areas for public charging and making it easier to identify whether there is adequate installed capacity and second lines of supply would be valuable. Governments could incentivise for more charging infrastructure and competition in regional Australia where demand growth is expected to be low. This would boost confidence for EV drivers visiting these areas and support regional tourism.

In other markets like Germany, bp is partnering with government to build gigahubs in metropolitan and regional locations where multiple fast charge points are co-located. It’s a solution that would enable fast and efficient charging and allow multiple drivers to charge, reducing range anxiety.

Collaboration between government and industry will be necessary to identify key areas, ensure timely planning and connection across networks is possible.

Consumer behaviour shows there is a willingness to embrace EVs, but the scale of this transition to electrification should not be underestimated. Supporting early adopters will be crucial to ensuring Australians continue to make the switch.