Fleet Electrification Global Study
Regulation and incentives are now pushing buy-in for fleet electrification
Legislation will force fleet electrification…
In October 2022, the European Union published provisional legislation under its ‘Fit for 55’ initiative that effectively bans the sale of petrol- and diesel-powered cars and LCVs in Europe by 2035, the automotive world took a major step towards an electrification.
Whilst the plan still requires ratification, it is a clear sign that the EU is forging ahead with the electric agenda and putting itself on course to become the world leader in electric drivetrain adoption for road transport.
In the US, which has been lagging behind, things are changing too. The 2021 bipartisan infrastructure law represents a $7.5 billion investment in the US for electrification, and with the Inflation Reduction Act, federal tax credits of up to $40,000 per vehicle are available for fleets.
Charging infrastructure immaturity still an issue
It Is telling that there have been parallel activities regarding charging infrastructure, in the USA with the aforementioned Bipartisan infrastructure bill and the Alternative fuel infrastructure tax credit (AFITC).
Similarly in Europe, following Norway’s lead, Germany is heavily investing in an electrified future, with €6.3 billion to be spent on building/installing charging infrastructure by 2025.
But is this enough? Our view is that the installation of charge points must be even more ambitious, if by 2035 Europe, North America and Asia Pacific wish to significantly electrify everything from cars through to the heaviest of long-haul trucks.
Is it possible to electrify now?
This raises an important consideration for Fleet Managers: “if the charging infrastructure is available, should I adopt EVs into my fleet?”
The quick response is “yes”, and this report gives both a “state of the nation” view of the situation whilst also providing a playbook of key considerations Fleet Managers must consider if they wish to electrify their fleet(s) successfully and in a sustainable manner.
The Fleet Electrification Global Study answers the following questions:
This 450+ page analysis of the global fleet electrification landscape is the reference report for how and when fleets should complete the switch to electrification.
The report includes:
- A review of the current regulatory and tax incentives to fleet electrification in the US, Europe, and China
- A granular, objective assessment of current implementation challenges, such as:
- Model availability constraints including lead times for key models
- Unclarity on the cost profile & resale value
- Charging practicalities & constraints
- Range anxiety and reliability concerns
- A detailed assessment of all total cost of ownership (TCO) components for:
- Electric cars, eLCVs, and eHGVs versus diesel equivalents
- Covering depreciation, energy taxes, insurance, financing, maintenance, consumables, tyres, and tolls
- A step-by-step guide on the process to follow to avoid failure, from the feasibility analysis to the operation of the vehicles:
- Fleet manager’s must do list
- Relevant suppliers and their duties
- Insights from case studies of how 7 leading fleets have successfully electrified
- An assessment of the solutions to accelerate electrification:
- Infrastructure solutions (charging strategies, vehicle-to-grid, etc.)
- Optimal procurement options (new / second-hand)
- Telematics-enabled solutions (suitability for conversion, battery health, etc.)
- Fleet manager & driver training solutions
- An in-depth assessment of 11 suppliers of electrification solutions including comparative tables of Leasers, Telematics Services Providers (TSPs) and Software providers
- A 2020-2030 bottom up market forecast encompassing an Excel file with outputs and charts covering:
- 4 vehicle segments, including: Cars, LCVs, HGVs and Buses
- Volume of EV registrations to 2030
- Volume of EVs in use, to 2030
- 27 countries
- 6 continents including Europe, North America, Central & Latin America, Asia, Africa and Oceania