4 good reasons to upgrade your fleet and go electric
23 June 2020 - 5 minutes to read
There’s more than just one good reason to introduce plug-in vehicles into your fleet. You may be thinking of converting to electric for eco-friendly, legal or social reasons. Let’s look at the 4 points you should consider before opting for an electric solution.
1. Tighter legislation
Legislation in favour of eco-friendly mobility – the French example
The aim of the French Law LOM passed on 24 December 2019 is to lay down a framework for a gradual ecological transition in the automobile sector.
One of the pillars of this law is the move towards “cleaner” mobility with the ultimate goal of achieving a zero carbon footprint for overland transport by 2050 and prohibiting the sale of vehicles running on fossil fuels (diesel, petrol) by 2040.
Other European countries have already announced measures in favour of electric mobility. The Nordic countries are by far the most advanced on this issue. Norway is considering a ban on the sale of internal combustion vehicles as early as 2025. Sweden, the Netherlands and Denmark aim for 2030.
The French law has announced a speedy development of charging facilities, with the number of charging points increasing fivefold by 2022, as well as the extension of LEZ (Low Emission Zones). Furthermore, from 2022, all business fleets boasting over 100 vehicles (including car rental companies) must attain a specific quota of low-emission vehicles (less than 60g/km) when they renew their fleet.
WLTP Standard
Otherwise known as the “Worldwide Harmonised Light Vehicle Test Procedure”, WLTP is replacing the former NEDC standard, with the aim of gaining a more realistic assessment of a vehicle’s range and consumption. In other words, the testing procedure used to determine these readings are now far more stringent, thereby reflecting the real situation as accurately as possible.
This notably impacts on the range carmakers post up for their electric vehicles, which will be lower than the range calculated using the former procedure. Above all, WLTP will become the fiscal standard in France when calculating the tax penalties payable on purchasing a polluting car, company vehicle tax and regional registration taxes.
Depending on the tax system in force in your country, the tax penalties on polluting cars can quickly add up with this new European standard. For instance in France, the purchase of vehicles generating emissions upwards of 138g of CO2 per kilometre implies an ecological penalty that can reach as high as €20,000.
Tax benefits for plug-in vehicles
As a counterpoint, many European countries are also awarding tax benefits for the purchase or long-term leasing (above 24 months) of low-emission vehicles.
Ecological bonuses, conversion bonuses or tax exemptions are a few examples of incentives implemented in order to make electric mobility more widely accessible. The system in force in your country or in your region might greatly encourage the adoption of low-emission driving. Therefore, we highly advise you to have a look at the tax benefits you qualify for.
Moreover, countries such as France and Germany have recently reinforced their tax benefit system to support the low-emission automotive sector after the COVID-19 health crisis.
2. Comfort and safety for your colleagues
One of the abiding advantages of zero-emission driving is the notion of comfort. Once they get the hang of the vehicle and adopt the right reflexes, EV drivers claim they are less stressed behind the wheel. A decrease in accident risks has also been observed. In fact, EV drivers tend to be calmer and therefore less prone to dangerous driving on the road.
Furthermore, the grand myth that EV batteries represent a greater hazard in the event of an accident has been disproved. According to the engineering consultancy firm Dekra, accidents involving electric vehicles are no more dangerous than those involving vehicles powered by combustion engines.
3. Reduction in your fleet’s TCO
In addition to the tax benefits, plug-in vehicles help you make significant savings in terms of the Total Cost of Ownership, or TCO.
Firstly, the obvious cost advantage is the price of topping up your electric battery, which is much lower than filling up a vehicle powered by a combustion engine. Charging from your home plug or a wallbox will cost you around 2 euros for 100 km. This price varies from one model to the next and the rate invoiced by your electricity supplier.
To charge up away from home, a number of charging stations are available free of charge, in particular in supermarket car parks. As for charging stations where you have to pay, the cost depends on the pricing strategy of the network and/or the mobility operator you have opted for to access the charging facilities.
Maintenance costs are also much lower due to the vehicle’s simple structure and the small number of parts likely to need replacing.
Finally, each driver’s behaviour behind the wheel will also impact on costs. This is why offering training on eco-driving could represent a profitable investment over the long term. You will save on energy consumption and increase driving range!
4. Committing to CSR
But above and beyond the legal imperatives, we mustn’t forget Corporate Social Responsibility. The transition towards an electrically powered fleet is totally relevant here. However, reviewing your budget, shaking up old habits and helping your colleagues change their mindset all represent a significant investment for businesses. It is therefore essential to find the right solutions for your colleagues within a budget you can afford. That’s why it is important to communicate with your collaborators from the outset and to take stock of your own needs before assisting your colleagues through this period of change.
If converting your fleet to electric power is motivated by your CSR policy, then Chargemap Fleet may be an added asset upholding your strategy. Indeed, Chargemap undertakes to buy the equivalent of electricity used during the charging process with Chargemap Pass in renewable energies (solar and wind power). That means “green” charging is guaranteed for all your collaborators!
At some point in the near future, everyone will have to adopt a means of transport that fully respects the environment. The good news is that the array of clean vehicles available is broadening every day. Carmakers who have yet to propose a choice of hybrid and electrically powered vehicles in their catalogues are few and far between.
You want to get going with your electric mobility project but don’t know where to start? The Chargemap Fleet team is there to help you out.