If you’re on the fence about investing in EV chargers for your business, this comprehensive guide aims to assist you with conducting a cost-benefit analysis to aid your decision-making process.
This comprehensive guide aims to assist you with conducting a cost-benefit analysis to aid your decision-making process.
Installing your EV infrastructure and chargers
When it comes to installing EV chargers at your business, the anticipated cost typically ranges between £2,000 and £3,000 + VAT. While this initial cost may seem daunting, various grants can help offset expenses.
For example, securing a £350 per socket through the Government's Workplace Charging Scheme (WCS) grant can significantly reduce installation costs. Suppose the total cost for implementing EV chargers amounts to £2,000 + VAT. In that case, you can potentially achieve a return on investment within 3 to 6 years, making the initial outlay worthwhile in the long term.
The type of grants you can use to fund EV charger installations
The Office for Zero-Emission Vehicles (OZEV) offers a Workplace Charging Scheme (WCS). This grant covers up to 75% of the total costs of the purchase and installation of EV chargers, capped at a maximum of £350 per socket or 40 sockets across all sites per applicant.
This grant can be used in conjunction with the EV infrastructure grant for staff and fleet, which helps fund both the installation of EV chargers and their infrastructure. The scheme allows for up to £850 to be used for each private parking space that the charging infrastructure and charger are required for, up to the value of £15,000 per building.
Whether you’ll monetise your EV chargers
After the initial outlay of costs when installing your EV chargers, you can set a clear return on your investment and earn extra revenue by setting fees for EV drivers using your chargers.
There are many factors to consider when setting prices, like your location; the type of chargers you have installed (7kw, 22kw or 50kw); how many chargers you have installed; and, most importantly, your competition - what others charge in the local area. See our blog post on pricing models and considerations for more help.
Cost-benefit analysis for fleet users installing EV chargers at home
Providing home charging facilities for fleet users offers a cost-effective alternative compared to relying solely on public EV chargers, which typically incur higher costs.
Zapmap states that the average price to use a public EV charger in March 2024 was 56p/kWh on slow/fast chargers (<50kW) and 81p/kWh for rapid/ultra-rapid chargers (50kW+).
Using an average efficiency EV, Zapmap says this equates to 17p per mile (ppm) and 24p per mile respectively. In comparison, a standard home tariff from E.On is 25p/kWh, roughly 8p per mile.
Contact our team to find out more about EV charger installations and how you can create a monetisation strategy to work alongside.
Graham Rowlands, Managing Director at Devitech
We know there’s so much to take in, so we’re here to help you every step of the way. To start your EV charging journey, book a site assessment via the button below.