Electric Vehicles

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Taking the leap into electric vehicles

Companies are facing challenges and uncertainty unseen in generations. But that should not hinder them from making the switch to electric vehicles. James Court, CEO of EVA England, explains why

For fleets looking at the future, it is a less clear picture than even that of last year.

Politically and economically, there has rarely been a more complex and uncertain future, at least in the short to medium term.

Confidence is a much-used word when businesses talk to government. Consumer confidence, investor confidence, policy confidence, all things over the years I have heard CEOs often tell ministers.

There were times I thought this was a lazy request; businesses should be geared up to be relatively nimble, as well as see opportunities in shifting markets and policy landscapes.

There are two obvious categories where this is not applicable, one is government reversing long term targets that business had been forced to shift to, the other is a very sudden pulling of the rug from under them.

Changes of government are therefore to be slightly feared, all too often the devil you know is better than the one you don’t.

The UK has now seen four different PMs in the past six years. It is then not surprising that investment has slowed since 2016, yet in that time investment in renewables and electric vehicles has soared. This is the value of long-term goals and continuity of direction even with changes of government.

Looking back

We are at a familiar stage of a having a new government again. With Theresa May, we very early on saw a renewal of the commitment to the Climate Change Act, followed by a world leading announcement on the banning of internal combustion engines (ICE). This set the long-term direction of government policy, and a clear signal for both car manufacturers and fleets.

With Boris Johnson, again we got a clear early signal, with the UK being chosen to host COP26. This was backed up with the bringing forward of the ICE phase-out, a

strengthening of the UK position which underlined the policy direction for industry. Politically, we have yet to see an early commitment from Truss, although there are many, many other challenges she is facing, EVs may not have been at the top of her No matter what a UK government may do in the 18 months until the next general election, the global direction is clear to-do pile. Some might argue that during a fuel crisis perhaps it should have been, and the calls for action in this area will grow louder with every week that goes by. The most obvious area where we should see a clear recommitment is the upcoming decision on the Zero-Emission Vehicle (ZEV) Mandate, something that has been widely consulted on and the final decision was due to take place at roughly this point, if it was not for the change in leadership. The ZEV Mandate is the key policy mechanism that will help deliver the ICE phase-out by 2035. A strong signal for this policy would include ambitious yearly increases in the percentage of ZEVs sold, and a high cash-out price for underperformance by OEMS. This would demonstrate continuity and a government commitment that industry, including fleets, could take reassurance from. If the policy come out with nothing more than ‘business as usual’ targets, if the E

 cash-out price is weak and serves as no disincentive, or if, something that seemed inconceivable a few months ago, there is a rolling back in the dates for the phase-out, this would represent a move away from recent policy and would be a huge shock to those who have made the switch following government urging.

This would be a classic, and well merited, complaint to ministers about business confidence and one that strikes to the long-term planning of a company.

An unstable backdrop

Economically, the picture is borderline terrifying, with electric vehicles not being exempt. Raising interest rates adding costs to leasing, petrol prices fluctuating, and electricity costs rocketing are all going to have an impact.

In the short-term, businesses have some solace with a temporary fix on energy wholesale prices; this is a source of relief with those with existing fleets, but issues remain.

For those drivers who rely on public charging, we are yet to see or hear any concrete support. A reduction in VAT is ever more important, and a serious issue that strikes to the heart of any fairness agenda and the much-maligned levelling-up ambitions. But further to that, we must legislate to separate out business energy costs with those of charging costs.

Charge Point Operators (CPOs) are providing a front-line service akin to fuel stations. The political heat felt by politicians from the forecourts is well acknowledged, going forward CPOs are going to be increasingly in the same position and the government needs to have that firmly in mind.

For fleets, the temporary blip in energy prices must be offset by lower costs comparatively with ICE vehicles that still exist.

Even in normal times, the total cost of ownership is a difficult thing, and a foreign concept to many used to traditional finance models with ICE vehicles. With inflated electricity costs this may scare away many people making the decision. However, there are ways to control this, and to give longer price certainty. On-site renewables, or PPAs with external renewable schemes can give a stable price for electricity going forward.

If you are looking forward, it seems likely that instability in both oil and electricity may be the new norm. Away from geopolitics, petrol prices are entering into an endgame scenario, with most of the leading economies pledging to end sales of ICE vehicles in the next two decades. The investment decisions by extractors and upstream providers will already be impacted by this and will lead to unpredictable prices going forward.

Prices coming down

Technologically, the price points for EVs are coming down, and although covid may have slowed down the expected ‘tipping point’ for price parity for new EVs vs ICE, we are still going to see the price of EV models drop below ICE this decade, and that is after you factor in the lower running costs and other incentives that are currently available.

In the short term, it is looking like fleets are likely to hold on to what they have a bit longer. This is going to have impacts on second hand markets, for both ICE and EVs. Yet the long-term direction is clear, no matter what a UK government may do in the 18 months until the next general election, the global direction is clear. Companies that make the shift will be further along in their progress and business models than those who cling on to past technologies. L

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Technology is the key to meeting decarbonisation deadlines

The Algorithm People harnesses the power of advanced mathematics, machine learning and artificial intelligence to identify the right placement for electric vehicles within fleets, and to optimise every commercial vehicle so that costs and fuel usage are minimised.

Decarbonisation is unknown territory for most fleets. Decades of conventional fleet management experience cannot help professionals know which applications, contracts or journeys can use EVs and maximise return on investment.

Luckily our algorithms do exactly that. We work within all road transport sectors, including multi-stop, logistics and service fleets. We analyse journey patterns to show exactly where electric vehicles can effectively be swapped for diesel vehicles.

Our unique EV toolkit revealed that Yorkshire Water could electrify 88% of its vehicles, and that 95% would not require top-up charging. This ground-breaking analysis will help the company achieve its ambitious goal of NetZero by 2030.

Asset optimisation is another crucial step, reducing the number of assets required, mileage, air pollution and greenhouse emissions. Our optimisation tools require no lengthy consultations or financial risk. Your fleet can start today. Log into My Transport Planner and save up to 30% of your fleet costs for as little as 49p per vehicle.

And, as you start to add electric vehicles to your fleet, My Transport Planner will optimise those too, taking into account charging, range, payload and all the other relevant factors.

Our machine learning means your fleet will continue to improve efficiency as real-world data pours in.

And our artificial intelligence is enabling revolutionary logistics solutions, to reduce the need for back-to-base reloading, and to reduce the number of HGVs in city centres.

Greening our fleets is no longer optional. The Algorithm People can help ensure your green choices are informed, cost-effective and operationally advantageous.o

FURTHER INFORMATION

www.thealgorithmpeople.co.uk

Colin Ferguson, The Algorithm People

Offering real value to organisations looking to reduce vehicle emissions

Tusker has been committed to providing environmentally conscientious car schemes for the benefit of all with carbon neutral car schemes since 2010, going one step further in 2021 and becoming a net positive contributor to the environment. Whether with its employee salary sacrifice car scheme, or more traditional company fleet offering, Tusker has been helping to get more employees into new, affordable, and more environmentally friendly vehicles for more than 14 years

As a tireless advocate for electrified motoring, Tusker was a founding member of the EV 100 Group in 2020, adding its name to a growing list of companies committed to switching their owned and contracted fleets to electric vehicles and installing charging infrastructure for employees and customers by 2030. Tusker is on track to achieve these milestones ahead of time.

Through advocacy of EVs and ULEVs, the switch to EV is well underway for Tusker customers, and momentum is increasing. In 2019, just 13 per cent of its salary sacrifice vehicles were EV. Two years on and this figure has climbed to 73 per cent, and looks set to rise further in 2022, with more than 90 per cent of Tusker’s order book for this year being electrified.

Thanks to the government’s low Benefit in Kind tax rates for EV and Ultra Low Emissions Vehicles, 20 per cent and 40 per cent taxpayers can take advantage of huge monthly savings via Salary Sacrifice as well. This has helped many thousands of lower-paid employees into new, safer, and greener vehicles than they would have otherwise been able to afford.

Opportunities for employees

Offering employees the opportunity to drive a new, cleaner, greener car, is simple thanks to the way Tusker’s scheme is set up. Working with businesses across both public and private sectors, Tusker’s teams provide a seamless integration of their scheme with existing business processes to enable companies to offer this sought-after benefit to employees, at a time when added-value benefits are critical for employee attraction and retention. With over a thousand UK organisations as Tusker customers, it’s fair to say, Tusker are an experienced bunch!

Advice from in-house experts

A secondary, but equally important component to Tusker’s success at converting drivers to EVs, is its team of in-house experts, in place to provide fully independent advice to drivers.

Knowledgeable and impartial, the team ensures that all Tusker drivers are in the right vehicle for their needs. Especially important for anyone new to EVs, the team also provides expert advice on understanding battery technology, charging and vehicle ranges. The positive benefits of this fundamental switch amongst Tusker drivers – away from petrol and diesel and into electric – is also delivering remarkable benefits to the environment. In just three years, Tusker has lowered its average fleet emissions from 108g/Km, to just 37g/Km, and this average looks set to fall even further in 2022. However, Tusker does realise that while many of its drivers are now switching to EVs, there are still some for whom the switch away from internal combustion remains a step too far. For the drivers unable to change to EVs, for reasons of charging or daily mileage, Tusker is proud to offset 100 per cent of the vehicle emissions across the life of the vehicles contract.

Based on CO2 emissions, annual mileage, and contract length, Tusker calculates the exact emissions of these internal combustion vehicles, and offsets them via Verified Carbon Standards programs.

Working closely with Carbon Footprint Ltd

To ensure that its environmental efforts are more than just mere tokens and offer real value for organisations looking to reduce their carbon emissions, Tusker works closely with Carbon Footprint Ltd, a leading carbon consultancy business since 2010, supporting verified carbon offsetting programs to ensure that its actions are making a verified difference to the environment. In one instance, in 2020, the company offset 132 tonnes of CO2 via a solar farm project in the Philippines as it celebrated its 11th year as a carbon neutral business. At the same time, it became a founding partner of World EV Day. In 2022, Tusker celebrated Energy Saving Week 2022 with the announcement that it had surpassed another environmental milestone, having offset more than 250,000 tonnes of carbon emissions which now include tree planting in the UK and protecting vital trees in the Amazon rainforest. Furthermore, Tusker now offsets all of the emissions from drivers charging their electric cars, assuming a worst-case scenario for the emissions generated.

With sustainability as a core Tusker value and the results speaking for themselves, Tusker really is leading the charge when it comes to introducing EV motoring to the masses. L

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Putting businesses in the electric driving seat

Decarbonisation is now on the agenda of most organisations – public and private sector – with fleet users facing pressure to lead the charge into cleaner, greener mobility. But this is a mammoth task when vehicle supply is limited, overall fleet operating costs are spiralling, and the true effect of electric motoring – on drivers and their organisations – is an unknown

There’s another big challenge employers face in making the transition to zero. That’s winning over the hearts and minds of their drivers.

There’s no question that employees want to feel that they are working for an organisation with good sustainability credentials. A recent survey1 conducted by Europcar amongst company car drivers found that 35 per cent would consider changing jobs if they felt their employer wasn’t doing enough to be sustainable and tackle climate change. And only 32 per cent believe their employer is currently taking the right actions.

But right now the spectre of range anxiety still weighs heavy on most drivers – whether private motorists in their own vehicle or employees driving for work. And that is a major factor for employers when aiming to introduce electric to their fleets.

The government’s latest commitment to electric vehicle charge points, with a new pilot backed by £20 million of government and industry funding2, should start to make in-roads into addressing those fears. However, having charging easily accessible – street-side, at petrol and service stations and at business locations – is only half the battle. The other challenge is to give drivers confidence in the ‘how, where and when’ of electric motoring. And that requires a change in mindset for all affected.

Learning on the job

The big question is how to do this in a way that provides useful learnings, while avoiding any detrimental impact on current productivity – especially when there is so much external pressure on operating costs. Renting electric vehicles is a particularly effective way to do this. After all, a short test-drive, even if it’s for a week or more, doesn’t really deliver the insight employers and their drivers need to understand the true impact of adding electric to their fleet. What’s needed is real-world experience before making the big move.

Try before you buy

Long-Term Solutions from Europcar are enabling employers and their drivers to do this, putting electric motoring in real-world conditions. Organisations can even switch between different vehicle types to understand what’s the right fit for their operations. Plus Europcar is providing the facility for CO2 reporting to see the impact of electric motoring on an organisation’s sustainability targets.

Available for a minimum of three months with no upfront deposit and commitment free, Flex from Europcar for EV includes comprehensive vehicle handover and charging instructions support, charging cables, and a Shell Recharge card and app – providing access to over 10,000 publicly accessible charge points across the UK. It also includes access to Tesla Superchargers for Tesla rentals and the option for CO2 reporting for valuable insight into emissions reduction.

Plus, through its partnership with Shell Recharge Solutions, Europcar is offering a range of home, roadside and workplace charging solutions.

Staying compliant

Of course, as more Clean Air Zones start operating in towns and cities across the country, access to compliant vehicles will also be important to ensure that organisations do not have to pay fees and incur fines for entering these areas – as well as doing their part in improving air quality. Again, rental is helping manage this without an organisation having to make a long-term commitment to fleet right now.

One size doesn’t fit all

Europcar is adding vehicles that span the majority of business motoring use cases to give fleet managers the chance to genuinely put low and zero emission motoring to the test, all available as part of Europcar LongTerm rental solutions. The latest additions include several hundred Tesla Model 3 for long-term business rental. The LEVC van and Mercedes-Benz e-Vito have also been added to the commercial fleet with existing customers being supported in their transition to zero with access to the Mercedes-Benz eVito van for short demo test-drives.

The Europcar branch network is also rapidly being charged up for the future, with the number of charge points doubled this year. L 1 Vyper research conducted July 2022 – 500 company car drivers 2 https://www.gov.uk/government/news/ drivers-to-benefit-from-20-million-evchargepoint-boost

FURTHER INFORMATION

To find out more about how Europcar can help your organisation transition to zero, visit www. europcar.co.uk/business/electric or call 0371 384 0140.

Advertisement Feature Iconic British bike brand Raleigh on the transition to electric

Switching to an electric bike is less difficult than you think, and more rewarding than you might expect. Swapping a car or public transport for e-cycling on short journeys is a positive choice for you and the planet. The British bike brand talks about the joys of electric travel

Electric bikes are the perfect choice for short journeys and commuting and offer far more benefits than simply transitioning to an electric vehicle. Increased e-bike use benefits you, the planet and the community around you.

E-bikes make cycling feel easier, you still need to pedal but with assistance from the motor, the ride never feels too far or too challenging. On a flat road the rider may be providing most of the power but as the road goes up the e-bike takes the strain, you can control how much or how little assistance you require by switching modes. An e-bike can make you feel more confident as the motor will assist you when you are setting off, helping you to clear a junction or if you want to accelerate around a hazard.

E-bike motors in the UK are limited to 15.9mph, this doesn’t mean you can’t go faster but at that point the motor will provide no more assistance and any increase in speed comes from your own legs turning the pedals.

Ease and convenience

E-bikes remove some of the barriers to cycling, firstly by taking the physical strain but secondly by making cycling more convenient. E-bikes put less physical strain on your joints, heart and breathing making cycling possible for everyone, even people who might find a conventional bike too challenging to use regularly.

As an e-bike requires less physical effort you can comfortably ride in your work clothes and not worry about getting sweaty. You can ride an e-bike even when you feel tired, just increase the support from the motor on those sleepy Monday mornings. On an e-bike, unlike driving an EV car, you don’t get stuck in traffic jams or help to create them, removing congestion from the roads for everyone. With an e-bike there are no time tables, no waiting for your bus or train and no staring impotently at the bumper in front.

How e-bikes benefit your health

There are very well documented health benefits to e-cycling and contrary to popular myths that an e-bike is somehow ‘cheating’ e-bike users actually experience a greater boost to their health. The ease of e-cycling encourages more frequent cycling over greater distances than a conventional bike, one study reveals, and another shows even greater benefit when inactive people are given an e-bike as an alternative form of transport. Several studies have shown that cycle commuters are happier than those who arrive at work by other forms of transport. That alone sounds like a good reason to switch to an e-bike!

Raleigh have always been at the forefront of cycling and e-bikes are no exception, “ e-bikes are as revolutionary to the way we travel as the invention of the original bicycle” says Edward Pegram, head of marketing at Raleigh UK. “They make such a positive difference to individuals and communities that we see them as one of the most important bikes in our current range,” Edward adds.

As with conventional bikes, e-bikes come in a wide range of designs to suit every rider’s needs. The comfortable, upright position of the Motus with a low step through-frame makes it an easy bike for everyone to ride as there is no need to swing your leg up and over to mount or dismount. The lightweight, traditionally styled city-bike Trace makes every commute enjoyable, as well as being a convenient way to get to work. For those with a little bit more to shift, or families with young children the Stride cargo-bike has enough power to help move heavy loads with ease. It makes an excellent alternative to a family car for the school run, trips out and shopping.

The Centros is designed to make your active lifestyle even more action packed. With a battery that can take you up to 130 miles on a single charge you can ride further and discover more. With easy to click-in accessories you can set your bike up for multi-day bikepacking adventures, transporting your kit to the beach or getting off the beaten track on cross-country trails. In a style to suit everyone it is available as a hub-gear low-step model and a cross-bar version with derailleur gears.

With greener transport and e-bike use especially, it is not what we do some of the time but what we do most of the time that will make the biggest difference to the environment. In the UK in 2020, statistics from the Department of Transport revealed that 25 per cent of trips were under one mile, and 71 per cent under fuve miles. An e-bike makes a viable alternative to other forms of transport for short journeys. Just swapping to an e-bike for some of our short journeys can make a big difference to our health, well-being and road congestion as well as the environment. L

FURTHER INFORMATION

https://www.raleigh.co.uk/ gb/en/electric-bikes