Rapid growth in electric vehicle (EV) sales requires significant new charging infrastructure. The onus is on real estate owners to provide these new charging stations.
EV’s now make up 6.6% market share of new vehicle registrations, with sales up 119% year on year as of March 2020.
Unlike today’s model in which drivers need to go to where fuel is supplied, EV driving residents, tenants, employees, and customers will expect EV charging capability to be available where they live, work, and shop.
Early adopters benefit from enhanced positioning opportunities and new revenue streams. Those who underestimate the impact of EV growth and delay offering EV charging may see reductions in the appeal of their property.
How can we help?
Low Carbon Alliance can assist clients to determine which systems and charging structures best suit their needs and those of the tenants concerned. Our philosophy is to ensure a single operating system is conceived before charging is rolled out across a portfolio. This will ensure efficiency in both operating and revenue management
EV charging stations are delivered as either networked or non-networked. In essence, networked chargers are connected wirelessly via the Cloud. Some charging stations include software that connects the stations to an integrated network. These networked charging solutions allow real estate owners to control energy pricing on a tenant by tenant or individual basis, assess how their stations are performing, collect data on users, and set limits on energy use.
All this can be done at either single property or portfolio level, which will be useful when reporting on CO2 emissions and supporting tenants to do the same. This enables significant upside potential for property owners seeking to minimise expenses and to better understand their tenants’ habits and behaviours, as well as provide a means to offset the cost of installation and services over the life of the station.
The installation of EV charging points will have a positive impact on ESG assessments, BREAAM and LEED Certification, in some instances, a minimum percentage of parking spaces should be EV enabled. The rule of thumb you should aim for is the percentage of new car sales that EV’s make up. Currently at 7% in the UK (June 2020).
Because EV charging infrastructure is installed separately from EV charging stations themselves, real estate owners can fit their buildings with the infrastructure needed to future-proof their investments at minimal upfront cost. Buildings with charging infrastructure can then enjoy plug-and-play capabilities with different amounts of charging stations in order to adapt to demand as they see fit.
To reduce the upfront cost of the installation of charging points some providers are able to offer credit on the charging units that can be paid for over a period of time.
As an alternative to owning and operating your own network, third-party network operators may offer free installations, particularly if a charging point is open to the public such as, in retail settings and public car parks. Licence fees or rents may be offered. Consideration needs to be given to the credibility of the provider and long-term impact of entering such agreements, and clauses to enable the landowner to terminate contracts and have equipment removed.