Advantages of EVs for your business
- Monday, August 7, 2023
- Posted By The Growth Company
By now, we are all coming to accept that electric cars are the future, not least because all new petrol and diesel cars will be banned in the UK by 2030 but because they’re helping to reduce carbon emissions up and down the country. Currently, around 25% of UK carbon emissions are caused by cars and transport, which if we’re to meet net zero targets needs to change.
However, the thought of saving the planet, while important, doesn’t create the business case for transitioning to electric vehicles. So, what’s in it for businesses like yours in Greater Manchester?
Whether you have a fleet of vehicles or just a small number of company cars we’re exploring some of the positives that come with businesses transitioning to EVs.
While petrol and diesel cars are undeniably cheaper to buy initially, EVs are much cheaper to run, making them worth the investment in the long run. Firstly, EVs have a huge benefit in that they are exempt from road tax, which creates a significant annual saving for businesses with many cars. They’re also cheaper to run in comparison to petrol and diesel cars including maintenance and charging costs. Plus, businesses can make the most of off-peak charging times between 12 am and 5 am to ensure even further cost savings.
Under the government’s Energy Price Guarantee, the average dual fuel unit price for electricity on standard variable tariffs with direct debit is limited to 34p per kWh. For an electric car averaging just over 3 miles per kWh, this is equal to a cost of 11p per mile.
With fuel at £1.50 per litre, a petrol car averaging around 45 miles per gallon will cost 15p per mile – and would only become cheaper to run if prices fell below £1 per litre. On average, an EV will travel 100 miles at a cost of around £4 in electricity usage.
To encourage the take-up and to make the shift far easier for business owners in a challenging economic climate, The UK Government is offering a range of grants and incentives for electric vehicles.
From reduced tax to Government Grants and a whole host of green finance options available, there are many financial incentives to help your business make the business case for EVs and help you prepare for the inevitable transition even sooner.
To make it easier to digest, we’ve created a round-up of the financial support available for businesses across Greater Manchester.
The biggest advantage of using electric vehicles is that it can reduce your organisation’s carbon footprint significantly. Electric cars are quiet, fuel-efficient and non-polluting compared to their petrol and diesel counterparts. As they produce less emissions, switching to EVs is a guaranteed way to reduce your company’s carbon footprint whether that’s through company cars, electrifying your fleet or encouraging staff to switch to EVs through various incentives. According to average driving behaviour and CO2 emissions of petrol and diesel vehicles per distance driven, EVBox calculated that by electrifying your workplace fleet you could reduce up to about 10,000 kg of CO2 emissions per employee every year. For a bit more perspective, EDF Energy states that in over a year, just one electric car on the roads can save an average of 1.5 million grams of CO2 which is the equivalent of four return flights from London to Barcelona.
It’s important to remember that electric cars are a lot greener if the energy they use is created from renewable sources. So if your business invests in renewable technologies and connects EV chargers to the power generated on-site, your carbon footprint will decrease even more.
More and more workplaces are installing EV chargers on their premises, not only to make their businesses greener but also to make their employees’ lives easier as the demand for charging locations rises. As the demand for EVs grows, employers can support their employees by providing charging stations at work, so vehicles can be charged during the time employees are sitting at their desks. In doing this, employers are encouraging low-carbon commutes and providing an additional benefit to employees which could help retention rates and encourage loyalty.
The availability of charging points is one of the biggest drawbacks for EVs, so if your workplace can provide a solution, you’re helping your employees take a weight off their minds and simplifying the entire transition for them.
Through salary sacrifice schemes you can also help make EVs more affordable for employees by saving them up to 40% on the vehicle. This helps your employees to be ahead of the game when it comes to new technologies and will encourage the takeup of sustainable transport. The more you encourage EV use from employees, the lower your carbon footprint will be.
Employees and talent are becoming more passionate about finding employers that share their values, especially when it comes to environmental issues. Now, it's becoming commonplace for candidates to want to know about environmental policies before accepting a job, in hopes that they can find a company with similar mindsets to their own.
Electrifying your fleet or encouraging EV use across your workforce is a surefire way to demonstrate a business’s commitment to environmental issues and create not just a positive PR story but also the opportunity to turn intentions into visible actions. Demonstrating your commitment to the environment will help to attract top talent in a competitive market.
We all know that the government is phasing out petrol and diesel vehicles, starting with banning the sale of new vehicles from 2030. In being an early adopter of EVs and EV charging infrastructure, your business can be ahead of the curve and gain a competitive advantage. Making the switch and encouraging take-up before you’re forced into adopting EVs will help you get used to the logistics of charging early on. Plus, it will mean you have the correct infrastructure installed before demand soars and waiting lists rise. The most successful businesses are always thinking one step ahead of the rest. As the switch to EVs is inevitable within our lifetime, isn’t it better to set the wheels in motion sooner rather than later?
Bee Net Zero is helping businesses from across Greater Manchester to understand the logistics around the adoption of EVs from installing charging points on your premises to promoting salary sacrifice schemes to your employees. As we all prepare for the biggest change in how we drive in generations, the partnership’s collective support and guidance hope that Greater Manchester businesses can lead the way when it comes to electric vehicles.
To learn more about switching to EVs and how the Bee Net Zero partnership can help, visit our EV campaign page.