EV mythbusting: Fleets

By
Rob Asselman
October 18, 2024
7
 min read
Share this post

In the next in our series plugging you into the facts about electric vehicle charging, batteries, affordability and more, we take a look at the business case for electrifying your fleet.

At Chargefox, we’re thrilled that we’ve moved beyond the need to convince businesses that they should include electric cars in their fleets, if not gradually convert entirely to EVs. Australia’s leading businesses, destinations, car manufacturers, fleet operators, rental car companies and governments now use Chargefox to manage their EVs and their chargers.

But we also know that behind their smiles, many would-be EV fleet managers are secretly thinking: “That all sounds great, but I’m the one who has to deal with different expense claims depending on the type of fuel. I’m concerned about charger availability. And I’ve heard hydrogen might be the way to go anyway.”

Here at Chargefox, we’re all about helping Australian businesses overcome perceived roadblocks to electrifying their fleets. Companies often purchase hundreds of vehicles at a time, they fuel the second-hand car market, and many use larger, higher-emissions vehicles. That means they can play a huge role in Australia’s move to low-emission transport.

With limits on vehicle fleet emissions to be introduced in January 2025 as part of federal legislation, there’s even more incentive for fleet managers to jump on board. So let’s run a fact check over some of those preconceptions.

There’s too much admin involved in a mixed fleet

Sure, the admin behind the transition used to be a barrier for some fleet managers. They felt overwhelmed by the time and resources required to manage driver reimbursements, process and pay invoices from multiple suppliers. 

Product Manager at our partner Corpay, Bridget Molan, says she has heard of business customers having to get creative to manage charging for drivers without personal credit cards, providing prepaid cards or linking company credit cards to personal charging accounts. “All of this created inconvenience for the employee and the business,” she says, “and can create a negative perception of the EV driving experience.”

In 2024, it’s much easier to manage a mixed fleet.

One of the misconceptions fleet managers have about transitioning to EV is that those vehicles need to be managed or treated differently to petrol or diesel vehicles. “The reality is that they have been dealing with mixed-fuel fleets for years,” says Molan. “It’s just that until now EVs did not have access to the same tools and support as traditional fuel vehicles.” 

Corpay’s solution is FleetCard +Electric, which enables EV fleet drivers to charge at any of the 2200+ Chargefox locations using the same product others use at petrol stations. All costs are integrated into a single consolidated tax invoice across the whole fleet.

For managers, there are added bonuses to going electric. With RFIDs linked to each vehicle, all fleet vehicles and chargers can be monitored using the Chargefox app, and energy use tracked. Speaking of energy, you’ll incur much lower “fuel” and maintenance costs.

We’re waiting until there’s more charging infrastructure 
There are already thousands of chargers available across Australia, with more being added all the time.

We hear it from fleet managers who are thinking about making the switch to electric: will enough chargers be available to cover all those work trips?

That’s exactly why a key part of our service is helping with the installation of private chargers at your office, factory, depot or carpark. We’ll refer you to trusted hardware installers in your area and work closely with them throughout the process. Once your charger or chargers are up and running, they’re your ultra-convenient personal point of entry to Australia’s largest EV charging network.

What about when the fleet is out on the road? Are there enough public chargers out there to make work trips stress free? In a word, yes.

Hundreds of businesses, governments, sporting clubs, tourist destinations, energy companies and even Australia's motoring clubs (NRMA, RACV, RAA etc) make their EV chargers available to drivers exclusively through Chargefox. 

This means Chargefox offers drivers access to more than 2000 public charging plugs across Australia, and that number is growing constantly.

Check out the charging network here.

The range of commercial EVs is too narrow

Uptake of commercial EVs in Australia has lagged that of passenger vehicles, but the boom has begun. Sales of light commercial vehicles (LCVs), or vans, have soared in the past few years and if overseas figures are anything to go by, that trajectory will continue: in 2023, electric van sales in Europe surpassed those of ICE versions.

In Australia, electric LCVs come in all sizes, including small vans from Renault and Peugeot, mid-size vans including the popular Toyota HiAce, and large vans including Ford's E-Transit, which has a range of 307km, the same load area and a similar payload to the diesel version. 

Mercedes Benz already provides several electric commercial vehicle options.

Ford Australia’s General Manager, Fleet and Upfitting, Christine Wagner, put it in context for Which Car: “While the segment is still relatively small, we see it as a growing opportunity … It may seem like an obvious thing, but, anecdotally, drivers enjoy having a quiet cabin given how much time they spend in it.”

What about trucks? If you need any reassurance that commercial EVs have a big future, look to the Australian Renewable Energy Agency, which has committed $8.5 million from the Driving the Nation Fund to a new $19 million truck charging hub near Sydney Airport.

And that Australian icon, the ute? Our friends at the NRMA say utes typically cover 40 per cent more distance than the average ICE car, which means more emissions and greater fuel costs. That makes the case for electric utes ever stronger, and yes you can buy them here. LDV’s eT60 was the first to arrive in 2023, with more makes and models on the way from the likes of Ford and BYD.

The BYD Shark is due to launch in Australia on the 29th of October 2024.
We’ll just wait for hydrogen

If you’re waiting for a fleet full of hydrogen fuel cell vehicles (HFCVs), you’ll be waiting a long time.

There is no market in the world where hydrogen fuel cell vehicles have found a meaningful toe-hold. California was the only place where HFCVs were sold in any real numbers, and yet hydrogen fueling infrastructure options have significantly reduced in number due to costs and lack of demand.

There are myriad reasons why it is highly unlikely HFCVs will be an attractive or even viable option for all but the most exotic edge cases, including:

  • Fuelling infrastructure limitations: Building and maintaining hydrogen stations is expensive and requires substantial investment. Conversely, electricity is already supplied to every business and residence in Australia.
  • Hydrogen production challenges: Producing hydrogen in a clean and efficient manner, particularly using renewable energy sources, remains a challenge. Current methods often rely on fossil fuels, negating some of the environmental benefits.
  • Higher costs: HFCVs are generally more expensive to purchase and operate compared to battery electric vehicles (BEVs). This higher cost could limit their appeal to consumers.
  • Energy efficiency concerns: The process of converting hydrogen into electricity can result in energy losses, reducing their overall efficiency compared to BEVs.
  • Storage and transport: While hydrogen is a clean-burning fuel, it is also difficult to store and transport, leading to further efficiency losses through leakage and transport to its point of consumption.
  • Limited range: Current HFCVs often have a limited driving range compared to BEVs, which could be a concern for long-distance travel.
  • Battery technology advancements: Rapid advancements in battery technology are making BEVs more competitive in terms of range, charging times, and cost. This could make HFCVs less attractive to consumers.

Some suggest that hydrogen-powered vehicles are being pushed by vested interests in the fuel sector for whom a transition to people predominantly charging their EVs at home, rather than driving to their local petrol station, is an existential threat.

With all of the above It looks like we’re a long way off seeing fleets of hydrogen cars on the road. 

Share this post

Stay up to date with all the latest from Chargefox

Subscribe to get all the news including new charging location openings, app updates and lots more.

By subscribing you agree to with our Privacy Policy
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
News

Related articles

2
min read

Update on chargers owned by City of Gold Coast.

Some EV chargers owned and maintained by City of Gold Coast are inoperable and have been removed from Chargefox.
2
min read

Chargefox CEO John Sullivan to step down

CEO John Sullivan will be stepping down from his role.
10
min read

EV mythbusting: The greatest hits

In 2024 the team at Chargefox were so sick of hearing the same half-truths and misconceptions about EVs that we put together a series of articles covering some of the most common myths.
min read

A Christmas message from Franziska and Matt

Matt and Franziska from Chargefox look back at 2024 and have a message for Aussie EV drivers.
min read

Winners announced for ENGIE EV competition

Check out the winners of the competition to win 900kWh of free charging courtesy of ENGIE.
3
min read

The Driven Podcast: How much will you pay for EV fast-charging?

Miles Menegon from Chargefox was a guest on The Driven podcast discussing a research project looking into EV charging behaviour and what motivates drivers to charge.