The advantages of offering EV charging to the public are twofold: Not only does it provide you with extra revenue, it’s also a great way to build customer loyalty.
EVBox points out that before you can start earning revenue from charging stations you need to figure out how you want to bill for the service. For example:
- EV charging based on energy consumption uses the cost of energy being used at a per kWh rate and allows you to define your own markup.
- EV charging based on time includes a flat hourly fee based on your system’s charging rate. For example, at 7.4 kW a car needs 25 kWh to recharge or 3.5 hours.
- Combined EV charging fees use both forms by adding per kWh and hourly rates. This approach helps reduce the hourly rate while ensuring drivers don’t “camp out” in a spot when their car is fully recharged.
Infrastructure: Electrical upgrades can cost thousands or tens of thousands, and you may even need to add an additional transformer if you don’t have the energy to spare. Electrician labor fees need to be calculated as well and upgrades may also involve boring, trenching, and cement work.
Equipment: Equipment costs will depend on the level of chargers being installed. A 480-volt direct current fast charge (DCFC) station can potentially cost $40,000 for a single port. Level 2, 240-volt charging stations are typically significantly cheaper, but can still cost several thousand each.
Soft Costs: You’ll want to make sure the public knows what you’re offering, and that means custom parking spot striping and signage. A business may also need protective posts around the charging stations or parking blocks. These costs are relatively cheap compared to the rest of the project, but can add up quickly if you plan to install more than one charger.
Software: In order to qualify for some financial incentives, a business owner may be required to install software that networks with their utility company. Each port may require a monthly subscription fee.
According to the EY Mobility Consumer Index, 52% of car buyers are considering an EV for their next purchase. With that level of growth, EV charging could turn your business into a charging destination and generate its own revenue and profits.