The On-Street Residential Chargepoint Scheme is a government scheme that enables local authorities to install EV chargers into the on-street environment.

• It provides up to £7,500 to fund the on-street residential chargepoint (or up to £13,000 if there are high electric connection costs)
• It aims to provide charging infrastructure for drivers who can’t have a home charging point because they have no off-street parking.
• Funds are made available to local authorities to install the charging infrastructure.
• The scheme is funded by the Office for Zero Emissions Vehicles (OZEV) and run by the Energy Saving Trust (EST).

The On-Street Residential Chargepoint Scheme is available to Local Authorities who:

• Have explicit support of the relevant Highways Authority.
• Can prove existing demand in the area, or explain why they want to site a chargepoint on that street.
• Plan to locate EV chargers in residential areas that lack off-street parking, with pay-as-you-go/ad-hoc access and be able to provide data to OZEV for a period of 3 years.

The scheme gives local authorities access to £30m government grant funding for 2022/23.

• The funding available is for 60% of the capital costs of procuring and installing the chargepoint and an associated dedicated parking bay.
• The local authority must fund the remaining 40% or find a partner to do so.
• The Energy Saving Trust (EST) is managing the scheme and is there to offer support throughout.
• Residents can put in a request with their local authorities for on-street chargepoints.

The Open Charge Point Protocol or OCPP is a system of rules that allows EV chargepoints and charging station networks (also called a central management system) to communicate with each other. It’s similar to the relationship between mobile phones and mobile phone networks.

The key benefit of OCPP-compliant chargers is that chargepoint owners have the freedom to switch to other network providers to receive better services, pricing or security features. It makes competition possible, which encourages innovation and improvement for the benefit of the customer.

The OCPP is an open-source protocol, meaning it’s accessible free of charge. EV chargepoint makers can use it without having to establish licensing agreements or payments, making it easy to implement across the EV industry.

Security

OCPP makes sure the data transmitted between chargers and networks is encrypted and secure to keep your personal data safe.

Future-proofing

If the provider of a non-OCPP-compliant charger goes out of business, the chargepoint will stop working. With OCPP, you’d be able to switch your device to another network to continue using it.

Flexibility and choice

If you’re tied to a network, you have to accept any price rises or changes in service. OCPP gives you the flexibility to change your network and look for better options on the market.

Experience

Because OCPP enables the customer to switch to other networks, it creates competition among charging station network providers to create the most user-friendly experience at the best price.

OCPP was created by the Open Charge Alliance, a global consortium of public and private EV infrastructure leaders. It was made public in 2009 to establish a standard for compatibility across EV charging stations, with the aim of pushing forward EV adoption.

Since its first implementation, OCPP has become the industry standard, allowing providers of chargepoints and networks to communicate seamlessly. The freely available protocol is regularly improved and updated, and the most current version of the protocol is OCPP 2.0.

Part S - Non-residential new-builds (S4)

The regulations for new-build non-residential properties (i.e. commercial premises, workplaces, fleets) are more straightforward than the requirements for residential properties.

For new-builds, the regulations only apply if the building has (or will have as a result of the renovations) more than 10 parking spaces. If this is the case, the following is required:

• A minimum of one active chargepoint must be installed

• Cable routes must be installed to at least one-fifth (one in every five) of the total number of remaining spaces.

For example, if the building has 11 spaces, an active chargepoint needs to be installed to one parking space, and cable routes need to be fitted to two additional spaces.

For non-residential buildings, these requirements apply to parking spaces that are either within the building, or within the site boundary. The site boundary is defined as:

“the boundary of the land in relation to a building, in respect of which building work is being carried out, means the boundary of the land, upon which that building is situated, that is controlled or owned by the same person who owns:

• that building, or

• in the case of the erection of a new building, the land upon which building work is being carried out.”

As with residential properties, there are some exemptions depending on the number of covered and uncovered parking spaces.

All covered spaces

If all the parking spaces are covered (i.e. internal), an active chargepoint does not need to be installed. However, cable routes must still be fitted to a minimum of 20% of the total number of spaces.

For example, if there are 20 parking spaces all covered:

• No active chargepoint is required

• Cable routes must be fitted to at least 4 spaces (20% of the total)

All uncovered spaces

Where all the parking spaces are uncovered (i.e. external), the normal requirements for both active chargepoints and cable routes apply:

• One active chargepoint installed

• Cable routes fitted to 20% of the remaining total

Mixture of covered and uncovered spaces

When there are both covered and uncovered parking spaces, any active chargepoint(s) that are required should be installed to external parking spaces.

Additionally, the requirement to install cable routes only applies to spaces within a covered car park when there are not enough external spaces to meet the requirements.

For example, if a non-residential building has 2 external spaces and 10 internal spaces:

• An active chargepoint needs to be installed to 1 of the external spaces

• Cable routes need to be installed to 20% of the remaining total, which is 2. There is only one external space left, so the cable routes must be installed to this remaining external space and one internal space to satisfy the requirements.

Similar regulations apply to non-residential properties undergoing major renovations. As with new-builds, the requirements only apply to buildings that will have more than 10 parking spaces after the renovations are completed.

Also, they apply when the major renovation works includes any of the following within the site boundary:

• Substantial work to the car park

• The electrical infrastructure of the car park where one is outside the building but within the site boundary

• The electric infrastructure of the building where the car park is inside the building

However, there are some additional requirements that determine whether the regulations apply or not:

• If the cost of installing any chargepoints and/or cable routes doesn’t exceed 7% of the total cost of the renovation:

  • A minimum of one active chargepoint must be installed

  • Cable routes must be installed to at least one-fifth (one in every five) of the total number of remaining spaces.

• If the cost of installing any chargepoints and/or cable routes does exceed 7% of the total cost of the renovation:

  • No active chargepoint is required

  • Cable routes must be installed to at least one-fifth (one in every five) of the total number of remaining spaces only if the cost of installing only cable routes is less than 7% of the total cost of the works.

These regulations have similar requirements to new-builds depending on whether all the spaces are covered, uncovered, or a mixture of the two:

All covered spaces

An active chargepoint doesn’t need to be installed if all spaces are internal. However, cable routes must still be fitted to a minimum of 20% of the total number of spaces.

All uncovered spaces

The normal requirements for both active chargepoints and cable routes apply:

• One active chargepoint installed

• Cable routes fitted to 20% of the remaining total

Mixture of covered and uncovered

• The active chargepoint should be installed to an uncovered parking space

• Cable routes need to be installed to 20% of the remaining total, starting with the remaining external spaces first

Designers

For those with design responsibility, the Part S strategy is to be taken as minimum requirements rather than best practice.

Many construction projects will have design requirements that exceed the minimum requirement of Part S and individual use cases must be considered. For example, when a site has mixed user requirements the needs of multiple groups will need to be understood and catered for without disadvantaging the other.

This may be particularly important when planning the location of passive spaces for future development.

Developers

All non-residential developments must comply with the new regulations, unless applications were submitted and approved prior to the 15th June 2022.

However, doing the bare minimum to satisfy the regulations - whether installing a single active chargepoint or the cable routes required for future provision - will likely be insufficient to meet the actual charging needs of most businesses.

This is especially the case for larger sites or fleets with multiple vehicles, in which instances a single active chargepoint would be inadequate. Furthermore, this would present a major barrier to future EV adoption, especially if any cable routes installed to satisfy the regulations are not properly utilised.

Next steps

Instead of treating EV charging infrastructure as necessary to meet the requirements, Pod Point encourages developers and their clients to view the new regulations as an opportunity.

Working with Pod Point, developers will get a cost-effective charging solution and end-to-end support covering:

• A comprehensive review of all relevant planning and regulatory requirements, including the minimum requirements of each development

• A tailored chargepoint design strategy for enhanced provision beyond the minimum requirements that takes into account the end client’s actual charging needs

• A full assessment of the site, including any power supply capacity restraints, advice on chargepoint placement, and in-depth analysis of connectivity and communication requirements

• Cost-effective solutions to overcome any challenges/requirements and allow for effective scaling of infrastructure to meet future demand

• A specification covering quantities, costs, and estimated duration of works

• Live project management and sitework, including the on-site commissioning of chargepoints and onboarding of users

Our specialist team is on hand and ready to help developers with the new requirements for EV charging infrastructure, at all stages of the construction process.

Whether you're in the design phase or part-way through installation, speak to our experienced team today to receive expert advice tailored to your unique circumstances.

Sign up to our CPD training

Alternatively, if you're looking to expand your EV industry knowledge you can sign up to our 'Lunch and Learn' CPD training sessions. Whether it’s just for you or your whole team, you can get a free session with our industry leading experts where you'll learn about:

• The EV industry in general

• Planning guidance

• The anatomy of an EV and a chargepoint

• How our Array load balancing system works

Click here to book your free CPD session.

No surprises to see us lead with electrification of vehicles, but with emissions from power generation falling fast, the transport sector is the most significant contributor to both CO2 emissions as well as air pollution in the UK.

In 2017, CO2 emissions from the transport sector accounted for 34% of all CO2 emissions with passenger cars the most significant contributor. Emissions were broadly unchanged from 2016.

By switching your fleet to electric you can cut your operational emissions by up to 70%, and with grid emissions falling, this saving improves each year.

Installing charging stations at your workplace is a key enabler to operating an electric fleet, but can also encourage your staff to commute in electric cars, significantly reducing their environmental impact.

As more electric vehicles are coming to market including 4x4s, vans and longer range passenger cars, it’s getting easier and easier to substitute your existing fleet vehicles with electric versions.

While many consider recycling to be the pinnacle of “eco friendly” office practices, it is in fact the second worst option in the “waste hierarchy”. Of course, recycling is important, but when considering ways to reduce the environmental impact of your business activities and supply chain, it is best to take a holistic view.

The Waste Hierarchy

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1. Avoid and Reduce

Definitely the best approach to efficient resource use is to stop buying material that you only intend to throw out.

Best practice examples include operating a paperless office, declining unnecessary packaging or choosing suppliers who commit to minimising packaging.

2. Reuse

Next best is to reuse the materials your business obtains. At an individual level this can be committing to the use of reusable water bottles and refillable cups for take away coffees instead of disposable cups.

It can also mean implementing business-wide policies to recover valuable office supplies, rather than disposing of them. From avoiding disposable cutlery and cups in the office, to implementing reconditioning processes for faulty equipment.

3. Recycle

Recycling should be a priority for any business committed to sustainable practices. Inevitably waste is generated through packaging etc and having readily available, clearly labelled recycling bins, together with regular staff training helps optimise its effectiveness.

4. Landfill Avoidance

The most wasteful use of resources is to simply bury them in big holes in the ground when they are no longer needed. The amount of material that meets this fate should be absolutely minimised.

Choosing sustainably sourced and supplied materials for your business can significantly improve the sustainability of your overall business operations.

You can seek suppliers who meet various accreditations (e.g. Pod Point’s main suppliers operate an ISO14001 accredited Environmental Management System), but equally you can drive down your emissions by making practical choices.

For example, astute supply chain management can ensure that components sourced from overseas can be shipped, rather than flown at short notice, reducing their Carbon footprint.

This is perhaps the biggest no brainer in the world of sustainability, simply select the products that are the most efficient, not only will this make your commercial operations more sustainable, it will also save your business money.

Examples of more energy-efficient products include:

• Switching to LED lighting with motion sensors and timers.
• Ensuring effective insulation of buildings.
• Installing efficient plumbing and associated devices.

Alongside electrifying your vehicles, perhaps the coolest approach to sustainability is to invest in your own renewable energy microgeneration technologies.

As costs fall, microgeneration technologies are becoming more viable for a growing number of businesses, whilst some rather lower-tech options remain worth exploring.

Examples of these include:

• Solar photovoltaic cells
• Battery storage
• Ground / air source heat pumps
• Green roofs
• Wind turbines (viability is questionable at small scale)

The ‘Road to Zero’ is a document that outlines the government’s long-term strategy to transition to zero emission road transport (“effectively” by 2040), while reducing emissions during the transition.

It is clear that the UK government is interested in both reducing greenhouse gas emissions and positioning the UK economy to take advantage of the commercial opportunities that the energy transition will bring.

To encourage uptake of the cleanest vehicles, the government has confirmed that it will use a combination of:

• Targeted grants and subsidies for the purchase of zero emission vehicles, as well as research and development in the field.
• Fiscal incentives, both preferential taxation for the least emitting vehicles and enforcement of more punitive measures for higher emission vehicles.
• Quotas for zero emission vehicle purchasing for local and central government fleets.

To encourage the development of a fit for purpose charging infrastructure, the government will use a combination of:

• Targeted grants and subsidies for the installation of charging infrastructure, as well as research and development in the field. Including reserving the right to make significant further investments in areas of market failure.
• Fiscal incentives for those seeking to offer chargepoints.
• Reform of the planning system to include charging points in new developments, wherever appropriate.
• Enforcing the provision of “smart” chargepoints to mitigate potential grid impacts from mass adoption of electric cars.

While the government’s Road to Zero strategy is generally high-level and long term in its focus, it does reference a number of policies that are directly relevant to businesses more immediately.

We recommend that all businesses are aware of the following existing policies:

• Zero-rated “Benefit in Kind” (BiK) tax on electricity provided to employees at work.
• Preferential company car BiK rates offer considerable savings on low and zero emission plug-in vehicles over equivalent petrol and diesel cars.
• Workplace Charging Scheme offers up to £350 per socket off the installation of charging points, up to 40 sockets per business.
• Plug-in Vehicle Grants offer discounts off the list price of zero emission motorcycles and vans. For zero emission cars to be eligible, the order must be placed by dealers and logged on the system by 31st March 2023.
• Electric Vehicle Chargepoint grant allows employees to claim up to £350 off the installation of a chargepoint at their home.

Other policies that may prove relevant in the near term:

• £400m fund for the provision of charging infrastructure. This may result in some relevant offers for certain businesses.
• Zero emission vehicle fleet mandates for public sector fleets.

Lack of control over delivery

The government is not directly in control of the development of the technology that will enable us all to drive zero emission cars.

Progress in electrification is moving at a pace which makes it likely that we will get there ahead of the government’s 2040 ambitions.
 

Technology risks

Like all bodies making investments in the electrification of transport, there is a danger that these investments are undermined by a disruptive move to a new technology.

To this end the government is looking to be “technology agnostic”, but there is no mistaking their momentum towards support for electric vehicles.

Identifying correct public investment opportunities

The government has reserved the opportunity to intervene to “correct market failures”. If they do this correctly they can speed the uptake of electric vehicles and the formation of an effective electric vehicle related market.

If they intervene incorrectly they could:

• Get poor value for money for the taxpayer.
• Undermine the investability of the market.
• Inhibit the development of innovative products, services and business models.

Accounting for the loss in fuel duty

In the longer run, the government will lose a lot of tax revenue as fuel duty (the tax on petrol and diesel) receipts also trend to zero.

Rather than put an equivalent “fuel” duty on electricity, it is likely the government may look to transition to per mile road taxation, or “road pricing”. However, this remains to be confirmed.

The grant is designed to alleviate the costs of installing commercial chargepoints for state-funded education institutions. If successful, applicants can reduce the costs of purchasing and installing by up to 75%, capped at £2,500 per charging socket.

However, a maximum of 40 sockets can be installed under the grant across all sites with the exception of academy trusts, which can apply for the maximum 40 sockets for each institution within the trust. Importantly, this includes any previous applications made through the WCS, a similar scheme aimed at businesses, charities, and public authorities.

This grant is only available for state-funded schools and institutions, but independent schools may be able to get funding via the WCS. Additionally:

• The grant is only available to institutions in England, Wales, Scotland, and Northern Ireland.
• Applicants must demonstrate either an existing or future need for charging electric cars.
• There must be designated off-street parking facilities clearly associated with the school’s premises for use by customers, guests, visitors, staff, or others.
• An authorised installer must have conducted a site survey beforehand to confirm that the site can support electric car chargepoints. A minimum of 3kW per individual socket is required, and no more than one socket can be installed for each parking space.
• The institution mustn’t have already applied for a grant for the same chargepoint under any other grants or schemes, including the EV infrastructure grant for staff and fleets.
• Applicants must have prior authority to apply for the scheme on behalf of their organisation.

Additionally, if the institution intends to open their chargepoints to the public and charge them for usage, they’ll need to make sure they comply with the Public Chargepoint Regulations 2023 and its guidance.

Applicants can begin the process only once an installer has confirmed via a site survey that the site’s electric capacity can support the number of required sockets.

To apply, applicants need to complete an online application form, including their ID, SEED, or reference number, using an email address that matches the email domain of the institution.

Academy trusts applying for multiple schools or institutions within the trust must submit an application for each one.

If successful, the institution will be given a unique voucher code which they will need to give to their chosen installer. This is valid for 180 days, and the installation needs to be completed within this time.

Successful applicants must install an authorised commercial chargepoint using an authorised installer.

Each site must be able to supply a minimum power of 3kW to each individual charging socket, even when they’re all in use simultaneously, and only one socket can be installed for each parking space.

Every day, drivers across the UK are making the switch to electric cars, making it more important than ever for workplaces – including schools, colleges, and nurseries - to provide charging to accommodate them. That’s because cars are typically parked at workplaces for long periods of time, giving users (such as staff or visitors) a practical way to charge whilst they work or visit a school site.

In fact, an increasing number of employees see the ability to charge at work as a great perk, which could help with attracting and retaining staff. Plus, investing in on-site charging can demonstrate the institution’s commitment to sustainability and help them meet any Environmental, Social and Governance (ESG) obligations.

The Workplace Charging Scheme (WCS) is a government scheme for electric vehicles offered by the Office for Zero Emission Vehicles (OZEV).

• The WCS reduces the purchase and installation cost of a new workplace charging station (single socket) by 75% (capped at £350 per socket).
• A single business can claim for up to a maximum of 40 sockets (e.g. 40 single socket or 20 double socket chargepoints).
• You can only claim the WCS for new chargepoints which will be installed after the date the voucher is issued.

The WCS is available to any business, charity, or public authority with some conditions including the following:

• You must have sufficient off-street parking which is only used by staff or the fleet and which must be either on-site or a reasonable distance from the place of work.
• While you do not need to currently have electric vehicles as part of your fleet, you will need to express an existing or future need for the business.
• You must have the charging station installed by an OZEV-approved WCS installer like Pod Point.

Small accommodation businesses and charitable organisations have recently been added to the WCS grant. These may be defined as:

• Hotels and similar accommodation.
• Holiday and other short-stay accommodation.
• Camping grounds, recreational vehicle parks, and trailer parks.

For small accommodation businesses or charitable organisations there are no restrictions on who can use the designated off-street parking.

The WCS is a voucher based system.

• First you complete an online application.
• If successful, you will be emailed a voucher code which you can then present to your OZEV-approved installer (like Pod Point). Your installer will then use it to claim the grant after the installation is complete.
• The voucher code is valid for 120 days from the date of issue.

Workplace charging is ideal, because cars are parked there for long periods (e.g. employee vehicles during work hours, fleet vehicles overnight), providing a meaningful charge from low cost EV charging points.

• You can save more than £1,000 a year in commercial fleet and employee fuel costs per 10,000 miles.
• You can offer electric vehicle charging to your employees.
• You can reduce employee “benefit in kind” tax for company cars.
• A green fleet can help reduce CO2 emissions and reach sustainability goals.

Download the Workplace electric car charging whitepaper

Pod Point is an OZEV-approved installer.

To reduce the cost of your Workplace charge point, all you need to do is fill in this simple form and our team of experts will help you through the process of claiming the grant.

Alongside the WCS there is also a grant available to help small and medium sized businesses (249 employees or less) install the infrastructure they need for chargepoints, now and in the future. Both grants can be used at the same site, but not for the same charging points.

• The grant is capped at £15,000 per building, or 75% of installation costs.
• It provides up to £500 for passive and an additional £350 for active infrastructure per parking space.
• Chargepoints installed must be exclusively for staff or fleet use.
• You must install infrastructure for a minimum of 5 private off-street parking spaces, with at least one active chargepoint.
• A business can receive up to 5 grants per financial year (only one grant per site).

For more information, or if you want to claim the EV infrastructure grant for staff and fleets, get in touch with our team.

This grant is available for owners of commercially let properties, and could reduce the cost of EV charger installations by 75%, and up to £350 per charger.

In order to be eligible you must have private parking for current and future fleet and staff. 

• Up to 100 grants for commercial properties per financial year.
• One application per building, not mixing residential and commercial properties. However, you can apply for subsequent installations at the same property.

For more information, or if you want to claim the EV landlord grant get in touch with our team.

This grant is available for state-funded schools, colleges, and nurseries to get up to 75% off the costs on buying and installing electric car chargepoints. 
 

• The grant is capped at £2,500 per charging socket and a maximum of 40 sockets across all sites, including previous applications made through the Workplace Charging Scheme (WCS).
• If successful, the installation must be completed within 180 days from receipt of the voucher.
• Applicants must use an authorised EV chargepoint installer and install authorised chargers for commercial use. 

For more information please see our dedicated state-funded school grant landing page.

In 2021, the government brought forward the ban on the sale of new petrol and diesel vehicles from 2040 to 2030.

To encourage swift uptake the charging infrastructure must develop everywhere we park our cars, slightly ahead of organic demand from drivers.

The government may make some direct investments to seed the market and address any ongoing/potential areas of market failure. However, the government’s view is that most charging infrastructure will be privately funded.

To encourage this, they plan to use the new Building Regulations to ensure adequate charging infrastructure is provided in developments with suitable parking.

There were originally no UK wide regulatory or legislative requirement for EV charging provision, but several cities and local authorities had their own requirements.

The leading local policy regarding the inclusion of chargepoints in new developments was the London Plan, with other regional and local planning documents often taking their lead from it.

The London Plan

The London Plan acted as the overarching planning guidance for the 32 individual London Boroughs. Since 2011 the London Plan had provided a definition of “active” and “passive” provision of chargepoints in different development types.

• “Active” - “An actual socket connected to the electrical supply system that vehicle owners can plug their vehicle into”.
• “Passive” - “The network of cables and power supply necessary so that at a future date a socket can be added easily”.

The London Plan required any developments or major refurbishments that require planning to provide the following.

This guidance was then interpreted into each Borough’s own planning regime.

Edinburgh Design Guide

Perhaps the next most established regulations on the provision of charging infrastructure was Edinburgh City Council’s “Edinburgh Design Guide” (2017), which called for the following:

 

Also note that the Edinburgh Design Guide required rapid charging (50kW) provision for all non-residential developments with 10+ spaces. With each 50kW unit costing circa 30x the cheapest 7kW unit, this measure was controversial, particularly for smaller developments.

Remainder of the UK

While there was not a universal, or consistent approach to chargepoint provision, many local authorities had developed their own guidance which was often built on the London Plan model.

The new Building Regulations came into effect in June 2022:

• The Government has set out an adjustment period of a minimum of 6 months from the date of the laying of the regulations and the new requirements coming into force.

• Initial/ building notices or full plans submitted within this 6-month adjustment period must begin building work no later than 12 months after the Buildings Regulations come into force, otherwise the new regulations will apply.

• The outcome of the Scottish Government’s consultation on changes to Building Regulations has yet to be announced.

When considering an EV charging business model, it’s important to understand which models will be most effective for the type of visiting driver and the type of location/business where the charging stations will be installed, as well as the typical costs incurred.

Whatever approach you are looking to take, flexibility and scalability are absolutely critical for such a young and fast paced industry.

It’s key to work with a charging provider who will take the time to understand your location and make a tailored recommendation on what chargepoints and business model will be most effective.

Loss leader model

With this model, EV charging is provided free to grow market share by attracting and retaining customers, with the costs offset by the increased revenue gained through existing business activities.

A free top up charge can be the deciding factor for a driver choosing where to offer their custom and the costs of offering, for example, 7kW charging to attract these drivers can be relatively modest.

As such, your first consideration as a business should be whether you can offer charging for free to maximise the number of drivers you attract to your location, grow brand loyalty and encourage on-site spending.

Analysis: For many businesses that rely on customers arriving by car, the revenue earned from EV driving customers using their business dwarfs the costs of electricity. It can therefore be sensible to absorb these costs rather than levy a fee that may deter drivers from visiting.

Operational cost or total cost recovery

With this model, a fee is levied on drivers to use the chargepoints. This matches the operational costs and, if total cost recovery is sought, an additional margin is added to pay back hardware and installation costs.

EV drivers are increasingly acceptant of paying a fee to charge their car, though most will judge the value of the price against their home electricity rates. So long as prices are set within the window of what drivers find acceptable, it can be possible for chargepoint hosts to collect a revenue.

Analysis: In general, the more competitive the price levied, the more drivers you will attract with EV charging stations. But it is also worth considering the need state of your driver. For example, a driver on a short journey will be less willing to pay to charge than one who has done more mileage and will have a long onwards journey.

If a tariff is set, it’s imperative to make the billing method easy to understand, access and use (e.g. apps and contactless payment cards for rapid chargers).

Profit making

With this model, a higher fee is levied on drivers to use the chargepoints. This fee covers operational, hardware and installation costs and provides a profitable revenue stream on top.

Analysis: Profit making models have broadly the same constraints as the cost recovery models, albeit with preferential financials for those locations where there is no alternative for drivers to charge. However, the disincentive for drivers to opportunity charge gets more acute as the price increases.

There can also be concern over reputational damage if your business is seen to be unfairly exploiting drivers by setting too high a tariff.

Fully funded

In some circumstances, charging infrastructure providers will offer to provide and install chargepoints free of charge to a business. This can work very effectively, but it is important to take a long term view to ensure that what is offered is of mutual benefit to you and your customers.

Analysis:

Whilst the benefits of a fully funded model are clear, it is important to understand the constraints. Avoiding the risk of short term capital expenditure, may incur longer term risks.

Pricing: A third party may set expensive pricing that negatively affects customer perception of your business. It could even deter drivers from visiting your location altogether.

Chargepoint suitability: Third parties may install chargepoints that aren’t appropriate for your business. For example installing a single rapid charger at a hotel would consume a lot of the available electrical capacity, which may be better used to power multiple, lower cost 7kW chargers allowing more guests to charge simultaneously overnight.

A single rapid charger risks serving only one guest per night (unless they and other guests were prepared to wake up in the middle of the night to unplug so the next person could plug-in). With 7kW chargers, multiple guests could leave their cars plugged-in all night, waking up to full batteries.

Charging experience: It’s also worth considering that the charging point will often become the first thing a customer experiences when visiting your business. Relinquishing control of the look and feel, ease of use and pricing of this represents a cost to a business. Ensure you are comfortable with that and/or are comfortable that your branding aligns well with the chargepoint operator’s approach.

Find out how we’ve helped UK businesses provide EV charging for their customers, visitors, and employees with our case studies.

When planning the installation of charging infrastructure, it is first important to understand the likely costs. These split between:

Chargepoint hardware costs

Hardware costs vary depending on the power that chargepoints can deliver, the features that they offer and their build quality.

Chargepoint installation costs

Installation costs vary depending on:

• The power required for the chargepoints.
• How the chargepoints are to be installed (e.g. wall mounting is cheaper than concreting in bases).
• The distance between the chargepoint and the connection point.
• How the supply cable is to be fixed en route to the chargepoint (e.g. trenching through hardstanding to bury cable is much more expensive than clipping to a wall).

Grid reinforcement costs

It will always be less expensive to install charging points without having to upgrade the supply to the site. At the least expensive it can be possible to arrange for your District Network Operator (DNO) to install a larger fuse to increase capacity at a site, but the costs of increasing capacity up-stream (e.g. uprating the local substation) are usually very significant.

Ongoing electrical costs

The electrical costs are defined by whatever price you pay per kWh (these can range from about 10p-15p) multiplied by the total number of kWh going through a unit. Average costs will likely be as follows:
 

In addition to the electricity used for charging vehicles, EV chargepoints have a standby draw (powering LEDs etc). The standby draw will be much lower than power delivered for charging, but it is worth ensuring the standby draw is sensibly low (For example, the standby draw of the Pod Point Solo charger is ~0.003kW and the Pod Point Twin ~0.006kW).

Ongoing maintenance costs

To ensure the charging infrastructure remains operable, some maintenance will likely be required. Most reputable providers will offer some combination of maintenance and/or extended warranties.

With the government planning to ban the sale of new petrol and diesel vehicles by 2030, the demand for chargepoints is increasing. Providing EV charging may help your SME to boost footfall.

If you choose to offer EV charging to the public, your chargepoints will be listed on charging maps, such as Zap-Map or the Pod Point App, helping your SME stand out from others in the local area. Drivers may also explore your products and services while they charge.

If you’re a hotel or accommodation provider, you can add EV charging as an amenity on your listings, allowing prospective guests to find you through the relevant filters on booking.com and Airbnb.

Leading property agent Savills found that EV charging boosted customer dwell times by up to 50% after rolling out EV charging at 29 locations. Other findings from the rollout were that EV charging helped attract new customers and win repeat business. It also helped reduce carbon dioxide emissions from visitor travel.

If you choose to provide public charging at your SME, you’ll be offering an extra incentive for any EV-driving customers who will be all too pleased to charge while they visit your business. Whether your business is a coffee shop or local art gallery, EV drivers may choose to visit for longer while they top-up their vehicle with some extra miles.

The implications of climate change are becoming increasingly clear. Currently, transport is the UK’s most polluting sector, representing over a third (34%) of its total CO2 emissions. Transport is also the main cause of air pollution in cities, which has been described as a public health crisis costing the UK in the region of £6bn per year.

Installing EV chargepoints is a powerful carbon reduction initiative. Using back-end software, a number of metrics can be monitored and tracked, including the number of electric miles powered and carbon dioxide savings. This means progress can be measured against any carbon reduction targets, so the provision of EV charging can become an important part of a corporate sustainability strategy. Installing EV chargepoints can also help businesses comply with a number of sustainability schemes, including the Energy Savings Opportunities Scheme (ESOS), the Carbon Reduction Commitment (CRC), ISO 50001, the Carbon Trust Standard and the Building Research Establishment’s Environmental Assessment Method (BREEAM).

While you can offer free charging as a perk for guests, customers or employees in order to attract customers, you’re also able to monetise your chargepoints by setting a tariff on a per hour or per kWh basis to cover your energy costs or even generate a profit.

You have the ability to set the tariff which works for you, whether that’s no tariff at all, a flat rate, or different tariffs for employees, customers and guests. Businesses can even set specific tariffs for certain days of the week and/or time of day. If you’re unsure how to price your chargepoints, speak to our team for advice on the best fit for your needs.

Having access to workplace charging is an additional benefit for employees and can become an affordable part of a wider benefits package, if the charging is provided at no to low cost. Providing charging can also help to attract employees and clients that are particularly conscious of environmental issues, making it even more convenient for them to visit your premises.