Pros of an EV Fleet
Upgrading your fleet to include electric vehicles can come with a lot of benefits, from lowering operating costs to improving sustainability. Read more about the pros of adding EVs to your fleet.
Decreased Operating Costs
One of the best reasons to switch to electric vehicles? You could actually save your business money by doing so. Despite the higher upfront cost, EV fleets and equipment can actually lower operating costs in the long term. The primary reason for this is because of fuel costs. While the cost of diesel fuel fluctuates regularly, electricity prices are consistently lower and more predictable. Additionally, EVs run more efficiently than internal combustion engines, especially in stop-and-go traffic or when making frequent stops. This contributes to lower fuel costs too.
There are a few other factors that can contribute to the cost-saving benefits of electric fleets. Because they have fewer moving parts and utilize less fluids, routine maintenance costs are typically lower too. Plus, to save even more money, you can plan your fleet’s charging sessions for during off-peak hours when utility rates are lower.
Sustainability and Brand Reputation
Prioritizing eco-friendly initiatives is a smart move for any type of business, especially commercial fleets. Adding electric vehicles to your fleet not only means spending less on fuel, but also lowering your carbon emissions. Plus it will help your company to remain compliant with current and future environmental regulations and requirements.
Running your business to be more environmentally conscious has the extra benefit of improving your brand reputation as well. Businesses that use EVs and other eco-friendly equipment are more appealing in a competitive marketplace. Many customers and investors will even go out of their way to work with green businesses.
Prepare for the Future
Fleet electrification is a smart move that will prepare your business for a greener, more sustainable future. While regulations on emissions can be impacted by political changes, the overall trend is towards stricter rules. If delivery vehicle emissions standards tighten, you may have to switch to electric vehicles to avoid penalties for non-compliance. Getting ahead of this transition will put you in a stronger position compared to your competitors.
The cost of gas is also likely to keep rising, which will make owning and operating electric vehicles more cost-effective over time. By electrifying your fleet, you’re taking a proactive step to future-proof your operations, reduce your carbon footprint, and gain a competitive advantage. It’s a smart strategic move that will benefit your business in both the short and long term.
Cons of an EV Fleet
Like all big changes, there may be a few drawbacks to transitioning to an EV fleet. Read more about the potential negatives below.
High Upfront Investment
Replacing an entire fleet of vehicles can be costly for businesses. No matter the engine type, new vehicles can be expensive, and it may not feel like a necessary expense if your current vehicles are still operational. Some companies opt to transition incrementally, gradually phasing out gas-powered models in favor of electric ones. While this gradual approach has its merits, it can limit the full benefits of a complete electrification.
Fortunately, there are financial incentives and rebates available to assist fleets in their electrification efforts. At the federal level, the Commercial Clean Vehicle Credit provides valuable tax credits to support this transition. Businesses and nonprofits can claim credits of up to $40,000 per electric commercial vehicle, such as buses and semi-trucks. For lighter-duty EVs like cars, the credit is $7,000 per vehicle. Although the credit cannot exceed the amount owed in taxes, it can still provide a substantial financial boost to help offset the costs of fleet electrification.
Charging Infrastructure and Battery Range
One of the major pain points of using electric vehicles is recharging the vehicles. There are gas stations everywhere, but charging ports can be a little harder to find while on the road. The world is gradually building out electric vehicle (EV) charging infrastructure to support both commuters and commercial drivers. Businesses need to install charging stations at their facilities and along major routes to expand access and ease “range anxiety” among EV drivers.
Additionally, the battery life of heavy-duty electric trucks can vary significantly based on factors like temperature and vehicle age. This means companies must carefully manage charging schedules to avoid costly downtime on these business-critical assets.
No matter what type of vehicles you have in your fleet, our experts at Garden State Fleet Services are here to help! Contact us to learn more!
Our team is dedicated to delivering the highest level of customer service, to exceed our customer’s expectations and to keeping your fleet moving.
