We are on the cusp of a transportation revolution. Electric vehicles (EVs) are gaining momentum and have the potential to dramatically reshape our world.
As the Executive Director of Powering Chicago, I see firsthand how EVs are transforming cities like ours. It’s an exciting time, but to fully capitalize on the benefits of EVs, businesses need to understand the implications and prepare accordingly.
Make no mistake, the transition has begun. According to the International Energy Agency’s Global EV Outlook in 2023, electric car sales in the United States—the third largest market behind Europe and China—increased 55% in 2022, reaching a sales share of 8%. This adoption is accelerating rapidly, with analysts from S&P Global Mobility projecting electric vehicle sales in the United States could reach 40 percent of total passenger car sales by 2030.
The reasons for this growth are compelling—EVs are high-performing, environmentally-friendly, and, in most instances, cost effective. A Consumer Reports study found EV drivers tend to spend about 60 percent less each year on fuel costs compared to drivers of gas-powered cars. As more EVs hit the road, our reliance on oil will decline, improving public health and mitigating climate change.
For businesses, the transition brings immense possibilities, but also real challenges. To succeed, company leaders need to adjust their mindset and invest in the infrastructure to support an electric fleet. Here are a few key considerations:
Charging Infrastructure
To operate EVs, businesses need ample charging access. Installing this infrastructure requires planning and expertise. Partner with qualified electrical contractors who understand local permitting regulations and have electricians certified and experienced in EV charging installations.
Powering Chicago encourages Chicagoland business owners to use our Find A Contractor tool with a filter specifically for Electric Vehicle Infrastructure Training Program (EVITP) certified contractors to find a highly-trained electrical contractor for their next EV charging infrastructure project. Others across the country can use the EVITP’s similar Find a Contractor tool. A good Electric Vehicle Supply Equipment (EVSE) contractor will be able to walk you through the process and considerations, as well as serve as a consultant for what approach makes the most sense for your organization.
It’s also important to consider future growth when wiring for EVSE, as retrofits can be costly. Start with a few strategically placed level 2 chargers, then scale up as you add more EVs.
Capitalize on the Business Benefits
EVs provide operational savings, enhanced sustainability, and reputational value. Quantify these benefits to build the business case. Compared to gas vehicles, EVs have lower fueling and maintenance costs.
Something else to consider is the IRS’ Commercial Clean Vehicle Credit, which may qualify businesses and tax-exempt organizations for a credit of up to $40,000 for EVs.
Businesses’ environmental footprint, emissions, and noise pollution are slashed dramatically when they transition their fleets to EVs. For commercial vehicles, using EVs for delivery and services showcases commitment to the community. Make EVs part of your brand story.
Partner with Experts
Transitioning fleets requires expertise. Work with experienced EV charging companies who understand options, site considerations, and ownership models.
We recommend assessing electrical capacity, permitting needs, and growth plans upfront. Take advantage of available state and federal incentives and rebates, like the federal $7,500 Plug-In Electric Drive Vehicle Credit. Stay on the cutting edge by continually evaluating new EV models for their range, cargo/passenger capacity, and specialty uses.
The transition to EVs is a paradigm shift on par with the move from horses to automobiles. Success requires proactive planning, infrastructure investment and a willingness to innovate. Businesses that embrace this change will gain advantages over competitors.
Working with experts like Powering Chicago partners, we can build the foundation for a cleaner and more prosperous transportation future.
