Electrifying your fleet can deliver several benefits, including lower operational costs, improved efficiency and reduced carbon emissions. However, transitioning your fuel-powered fleet to electric can be daunting and time-consuming. To help you get started, here are seven steps to include when developing a comprehensive fleet electrification plan.
1. Define your goals and objectives
Whether you're electrifying your fleet to meet sustainability goals, reduce costs or optimize your fleet's efficiency, it's critical to define your goals and objectives. Get stakeholder buy-in early on, as building consensus around fleet electrification can mitigate costly and time-consuming delays down the road. Consider engaging the following stakeholders: executive leadership, facilities management, finance, legal and procurement.
2. Assess your current fleet
Analyze your current fleet to determine if you can eliminate underutilized or uneconomical vehicles. Then, considering the frequency, routes and distances each type of vehicle travels, determine which of your fleet vehicles are best suited for electrification. Older vehicles or those slated for replacement may be ideal candidates for early electrification.
3. Understand total cost of ownership
Although EVs may have a higher upfront cost than gas and diesel vehicles, their total cost of ownership (TCO) is typically lower. EVs are more energy-efficient, have lower maintenance costs and electricity prices are more stable than those of gasoline or diesel.
Passenger vehicles may be top of mind when electrifying fleets, but also consider light-, medium- and heavy-duty trucks. Technology for these types of EVs is rapidly advancing, increasing range and performance, faster charging and lowering the total cost of ownership.
4. Implement a phased selection and rollout plan
Make sure you select the right EVs for your business and your environment. If you have cold winters, a battery thermal management system will extend the life of the EV’s battery and minimize charging times.
Most organizations will opt for a phased approach to electrification. Start small to evaluate real-world performance, infrastructure needs and operational changes. Refine the plan as necessary as you expand your electric fleet.
5. Develop a charging strategy
As you evaluate which vehicles to electrify and when, you must also develop an EV charging strategy.
While smaller fleets may be able to rely on public infrastructure or home charging, depot charging is the better option for most fleets. A depot-based solution gives you access to chargers when needed, maximizing uptime. Public chargers may not be readily available. A recent study found that nearly a quarter of public chargers surveyed were non-functional due to various technical problems.
Depot charging also streamlines EV monitoring and management, providing real-time data that can be leveraged to improve operational efficiencies. It's often the most cost-effective solution, especially if you engage a Charging-as-a-Service (CaaS) company to install and maintain your charging equipment. CaaS providers often cover 100% of the capital costs for installation and charge a monthly fee. Public charging, which utilizes pay-per-use models, can lead to higher-than-expected charging costs, especially during peak demand periods.
Federal tax credits are also available to help pay for the cost of installing EV charging equipment.
6. Train drivers
EVs are more energy-efficient than gasoline-powered vehicles, but acceleration rates, braking, speed, route and schedule compliance and other driver habits can impact overall efficiency. Use fleet intelligence data to train and upskill drivers, maximizing the efficient operation of EVs.
7. Monitor, analyze and optimize
Collect telematics (gathering information on location, driver behavior and performance for central analysis and action), vehicle and charger data to optimize your electric fleet, adjusting routes, charging schedules and operational procedures as necessary.
With careful planning and implementation, you can realize the benefits of fleet electrification, one step at a time.