Learn How Plug-in Vehicles Can Work For You

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A fleet manager’s guideto plug-in vehicleslearn howplug-in vehiclescan work for you

Energy Saving TrustA fleet manager’s guideto plug-in vehiclesContentsTypes of plug-in vehiclesThe business case for plug-in vehiclesCharging modes and typesPracticalities of running plug-in vehiclesPlugged-in Fleets InitiativeGet a plug-in fleet reviewAppendix02030405070910IntroductionEnergy Saving Trust has produced thisimpartial guide to plug-in vehicles, to helpSMEs consider whether an electric car orvan might be suitable for their fleet.After several years of slow development, the market for plug-in vehiclesin the UK is growing rapidly. Most mainstream manufacturers now haveat least one electric vehicle in their range or in development, withexciting new vehicles from BMW, Ford and Volkswagen anticipated tobe on sale in 2013. However, there is so much information availableabout plug-in vehicles that it can be difficult to separate facts andfigures from myths and misconceptions.This guide provides straightforward answers to some of the mostcommonly asked questions about EVs such as: How do you recharge an electric vehicle? How long does it take? How far will they go on one charge? And perhaps, most importantly, how much do they cost to run?We will also outline the various charging types and modes, and providefinancial examples from organisations we have engaged with on theirplug-in vehicle journeys.For tailored, one-to-one advice on how plug-in vehicles could workin your business, including a full analysis of your existing vehicles,email us at:01pifi@est.org.uk

Energy Saving TrustA fleet manager’s guideto plug-in vehiclesTypes of plug-in vehiclesThere are three categories of plug-in vehicles:1. Pure or fullyelectric vehicles(Pure-EVs) arepowered 100 percent by electricity,which is storedin a battery inthe vehicle. A pure-EV will typicallycover up to 100 miles ona single charge.2. Plug-in hybrid3. Extended-rangeelectric vehicleselectric vehicles(PHEVs) combine(E-REVs) arepetrol or dieselpowered by anengines with aelectric motor thatbattery and electrictakes energy frommotor. They can bea battery. If theplugged into thebattery becomesmains electricity todepleted, a petrolprovide a substantialengine generatesdriving range onelectricity to powerelectric-only power.the electric motor. A PHEV will have an electriconly range of 10 to 30 milesand a total range comparablewith that of a standard petrolor diesel car, typically over500 miles. An E-REV will typically coveraround 50 miles on electriconly power, then a further300 miles powered byelectricity generated by theinternal combustion engine.The range of a plug-in vehicle will vary dependingon the technology involved, the load placed onthe battery by ancillary equipment such as airconditioning, and driving style.02

Energy Saving TrustA fleet manager’s guideto plug-in vehiclesThe business case for plug-in vehiclesFinancialAlthough PIVs generally cost more thantheir petrol or diesel equivalents to buyor lease, it is crucial to look at the vehicle’stotal lifecycle costs. Applying a wholelife cost (WLC) analysis often showsthat a plug-in vehicle is cheaper than aconventional vehicle on a pence per milebasis. Electric cars cost around 2 to 3to fully charge, for a typical range of 100miles. An equivalent petrol or diesel carcosts 12 to 18 to drive 100 miles –in other words, six times the cost of theelectric car. Fuel prices are expected tocontinue rising, and if electricity, petroland diesel prices all rise by the samepercentage, the saving per mile travelledwill increase.In addition, there are currently a number offinancial incentives in place to support theuptake of plug-in vehicles:03 The plug-in car grant provides 25 percent towards the purchase price, up toa maximum of 5,000. The plug-in vangrant provides 20 per cent towards thepurchase price, up to a maximum of 8,000. A list of eligible vehicles canbe found here. All types of plug-in vehicle are currentlyexempt from VED (Vehicle Excise Duty). For company car and van drivers whoare permitted private use of the vehicle,there is zero ‘benefit in kind’ tax topay on fully electric vehicles, untilApril 2015. Similarly, companies havezero Class 1A National InsuranceContributions to pay until that date. Businesses buying plug-in vehicles canwrite down 100 per cent of the purchaseprice against their corporationtax liability. All plug-in vehicles currentlyavailable attract a 100 per centLondon Congestion Charge discount. Grants may be available for theinstallation of infrastructure. Some manufacturers have pricingplans, which help you to offset thehigher purchase or lease cost of thevehicle, for example by buying thecar or van, and then leasing thebattery for a monthly fee.EnvironmentalIn addition to saving organisationsmoney, electric vehicles have a wealthof environmental benefits.Pure EVs, PHEVs and E-REVs (when drivenon electric power) emit zero ‘tailpipe’carbon dioxide emissions. Clearly, thevehicles are only as green as the electricitysupply. However, plug-in vehicles chargingfrom the UK’s National Grid emitconsiderably less carbon dioxide per miletravelled than petrol or diesel models.Even considering the emissions associatedwith manufacture, electric cars and vansare less environmentally damaging thaninternal combustion models, and can helpyou meet your CSR objectives.Driving using electric power does notproduce local air pollutants such asnitrogen dioxide and particulate matter,which increase rates of heart and lungdisease, cancer and asthma. Finally,plug-in vehicles produce less noise thanconventional vehicles, bringing furtherbenefits to urban areas.

Energy Saving TrustA fleet manager’s guideto plug-in vehiclesCharging modes and typesThe charging mode refers to the wayyou charge your vehicle (i.e. the level ofcommunication between the charginginfrastructure and the vehicle), ratherthan the type of plug and socket in use.Additionally, there are four types ofdedicated charging plugs and sockets.The four charging modes and plug typesare explained in the Appendix of this guide,but the key points to note are: Mode 1 charging - plugging directlyinto a standard household socket should not be used. A plug-in vehicle is most likely to besupplied with a cable with a three-pinplug for mode 2 charging, or a cablewith a type 2 infrastructure connectorfor mode 3 charging. To ensure you cancharge at most places, we recommendcarrying one of each. The best practice approach is to usemode 3 charging with a tethered cablefor workplace and home charging. Thepresence of a Residual Current Device(RCD) and communications technologyin the dedicated outlet, plus the abilityto use a faster rate of charging, ensuresthat charging is safe and is completedas quickly as possible. If multiple vehicles from differentmanufacturers are to be charged at theworkplace then we recommend installinga type 2 infrastructure socket rather thana type 2 tethered cable. This will allowvehicles with a type 1 vehicle inlet(e.g. the Leaf or Ampera) to be charged. Public recharging outlets usually involveeither mode 3, type 2 charging, or DC04rapid charging with a tethered cable.There are however, some ‘legacy’3 pin plug (BS 1363) posts in use. Overnight, off-peak charging maximisesthe financial and environmental benefitsof running a plug-in vehicle.Home and work recharging will besupplemented by the expanding publicrecharging infrastructure, details ofwhich can be found at the Electric VehicleNetwork website, the Newride websiteand by searching Zap-Map.The Government is investing heavilyin developing the public recharginginfrastructure. The first round of thePlugged-in Places programme made 30m of funding available to contributetowards a national target of deploying8,500 chargepoints. In February 2013,an additional 37m funding packagewas announced for home and on-streetcharging, and for new charge points atrailway stations and on public sector estate.This forms part of the Government’s 400mcommitment to increase the uptake ofultra-low emission vehicles.

Energy Saving TrustA fleet manager’s guideto plug-in vehiclesPracticalities of running plug-in vehiclesThe long-term life of an EV battery depends onthe type of battery and the mileage covered. Itis expected that most batteries will last at leasteight years (SMMT, 2011) before any reductionin performance is significant for the user.Most manufacturers offer a battery warranty,which will cover the cost of a replacement ifperformance deteriorates noticeably.One question often asked about runningan electric vehicle is: does repeated fastcharging damage the battery? The argumentruns that repeated rapid charging maydamage the lithium-ion battery. Testscarried out by the Massachusetts Instituteof Technology (MIT) found that after 1,500rapid charge-discharge cycles (equivalentto rapid charging five times a week, everyweek for almost six years), battery capacityhad declined by less than 10 per cent. Thiscompares favourably with manufacturers’predictions that, under normal use,batteries will reduce to 70 to 80 per centof capacity after 10 years.Range anxiety is one of the biggest barriersto EV adoption. This is the fear people haveabout the distance an EV can drive and theconcern that the range may not be enoughto reach their destination. However, ifthe correct vehicle is chosen and usedappropriately, plug-in vehicles can meetthe needs of the majority of journeys.Typically, Pure-EVs are best suited to eithershort journeys, within the vehicle’s range,or regular journeys where recharginginfrastructure is known to be available.Where more mixed or varied use is likely,a PHEV or E-REV may be more appropriate.Under normal use, batteries will reduce to70 to 80 per cent of capacity after 10 years.05

Energy Saving TrustA fleet manager’s guideto plug-in vehiclesDriving a plug-in vehicleModern electric vehicles have strong andsmooth acceleration from rest and easilykeep pace with other traffic. Electric carsare almost silent, and because there’s noclutch or gears, they are ideal to drive incities. The driving style, including use ofancillary equipment, can have a significantimpact on range. Trials by the EnergySaving Trust found that, after training,drivers reduced energy consumption by16 per cent, increasing range by 20 percent. For more information, read our guideto ecodriving or find out more about ourelectric vehicle driver training programme.Finally, for businesses, route schedulingshould be utilised to ensure that EVs areintroduced into the fleet on appropriateduty cycles, building in opportunitycharging as appropriate.When it comes to servicing andmaintenance, pure-EVs have significantadvantages compared to internalcombustion equivalents (including plug-inhybrids). There are fewer fluids to change,and fewer moving parts, so servicing costsare reduced. Regenerative braking, anenergy recovery mechanism that convertssome of the vehicle’s kinetic energy intoelectrical energy and stores it in the battery,reduces wear and tear on the standardfriction brakes.SafetyPlug-in vehicles are subject to thesame safety tests and legislation asconventional vehicles. Models testedrecently by Euro NCAP have received fourand five star ratings, illustrating that theirsafety performance is comparable withpetrol and diesel vehicles. Overall, thereis no evidence to suggest that driving orrecharging a plug-in vehicle is any moredangerous than an equivalent petrol ordiesel model. Additionally, Europeanlegislation will mandate a minimum level ofsound for plug-in vehicles, to reduce risk topedestrians and other vulnerable road users.Driving style and use of ancillaryequipment can have a significantimpact on plug-in vehicle range.06

Energy Saving TrustA fleet manager’s guideto plug-in vehiclesPlugged-in Fleets InitiativeThe Plugged-in Fleets Initiative (PIFI) involvedexperts from the Energy Saving Trust undertakingdetailed analysis of twenty organisations toidentify how plug-in vehicles could be integratedinto their fleets and what the costs would be.The findings have been published in ournew report Plugged-in Fleets Initiative:Charging Forward, which contains uniqueinsights from our analysis of public andprivate sector organisations across England.Whole life costcomparisonsAnalysing the costs of plug-in vehiclesshould follow a whole life cost (WLC)approach, and this formed a key partof the PIFI assessments. Below are threeanonymised examples taken from clientreports, comparing a pure-electric car,an E-REV and a conventionally fuelled carfor use as a pool vehicle; an E-REV and aconventional company car; and an electricversus a diesel van. These illustrate thevarious areas of the fleet where an EVmay prove to be a worthwhile investment.While these examples are a useful guide,we recommend that you carry out yourown comparisons, using quotes for thelease or purchase cost of the vehicles.EV vs. internal combustion engine (ICE) pool car3 years 45,000 milesFord FiestaPeugeot iOnVauxhall AmperaLife cost (ex. fuel)* 8,617 8,604 21,147Life fuel cost 3,810 1,118 2,111Life total cost 12,427 9,722 23,258Pence per mile cost27.621.651.7For this private sector fleet, we comparedthe Ford Fiesta, which is often employedas a pool car, with the Pure-EV Peugeot iOnand the Vauxhall Ampera E-REV.07This shows that although the Amperawould appear to be a suitable pool caroperationally (offering a much larger rangethan a pure-EV), the cost of the vehicle isnot compensated for by lower fuel costsover three years. However, the iOn issuitable for journeys up to around 100 milesper day (or more depending on recharginginfrastructure) and has a considerably lowerlifecycle cost than the similar sized Fiesta.

Energy Saving TrustA fleet manager’s guideto plug-in vehiclesE-REV vs. ICE company car4 years 60,000 miles*BMW 320d Modern AutomaticVauxhall Ampera positivLife cost (ex. fuel) 25,344 24,398Life fuel cost 3,929 4,261Life total cost 29,273 28,659Pence per mile cost48.847.8*60,000 lifecycle miles, of which 40,000 are business and 20,000 personalIn this example, we compared the VauxhallAmpera to the BMW 320d as a potentialcompany car offering. Although comparinga Vauxhall with a BMW may not initiallyappear like-for-like, this type of vehicletends to attract early adopters who areattracted to the advanced technology inthese cars.In addition to reducing costs for thecompany, the Ampera is cost effective forthe driver; Benefit in Kind tax savings arean average of 951 per year over thetimescale in consideration.EV vs. ICE van5 years 50,000 milesRenault Kangoo Ml19 dCi 75Renault Kangoo Z.E.Life cost (ex. fuel)* 25,094 22,823Life fuel cost 5,749 1,440Life total cost 30,843 24,263Pence per mile cost61.748.5*Includes five weekly trips into the London Congestion Charge zone at 9 eachIn the third and final example, we advisedthis fleet that considerable cost savingscould be achieved by switching from adiesel to a plug-in Renault Kangoo van.08In this instance, the 100 per centdiscount on the London Congestion Chargeapplicable to plug-in vehicles, tips thebalance in favour of the Z.E. model.

Energy Saving TrustA fleet manager’s guideto plug-in vehiclesGet a plug-in fleet reviewEnergy Saving Trust offers organisations thechance to receive a free plugged-in fleet review.This in-depth review of your fleet will explorethe suitability and business case for adoptingplug-in vehicles.You can now apply for a plugged-infleet review with one of our transportexperts and will receive a tailoredreport outlining: where and how ultra-low emissionvehicles could work within your fleet comparative whole life cost analysis infrastructure advice.Support is also available if you want toimplement any of the recommendationsfrom your report to help cut your fleet’scosts and carbon emissions.Download the application form to getstarted or find out more.09

Energy Saving TrustA fleet manager’s guideto plug-in vehiclesAppendixAppendix: charging modes and connector types10Charging modes:Plug types: Mode 1 (slow) charging uses thestandard electricity supply (typically13 A, single-phase) and a non-dedicatedoutlet such as a household socket.The absence of a residual current device(RCD) means that this mode of chargingshould not be used. Mode 2 (slow) charging comprisesthe use of a specialist cable, includingan RCD, plugged into a non-dedicatedoutlet, typically a household or bluecommando socket. This mode ofcharging does not facilitatecommunication between theelectrical supply and the vehicle. Mode 3 (slow or fast) charging iscompatible with single or three-phasepower supply and features a dedicatedcharging outlet with a built-in RCD.The dedicated outlet facilitatescommunication between theinfrastructure and the vehicle, so thatsafety checks are automatically carriedout, (e.g. to ensure that the vehicle isswitched off) and to determine thecharging rate to be supplied. In thefuture, this mode of charging will helpto incorporate plug-in vehicles into asmart grid to manage overall demand.Mode 3 charging takes from one to eighthours to recharge a vehicle, dependingon the electricity supply and the ratethat the vehicle can be charged. Mode 4 (rapid) charging consists ofan off-board DC charger, which canuse a power supply up to 125 A forexpedited charging, together with atethered cable. The safety device andcommunications technology are housedwithin the dedicated outlet. Such outletstypically deliver an 80 per cent chargein 20 minutes. Type 1 is compatible with a single-phasesupply, and is characterised by five pins.Type 1 sockets are found primarily in theUSA and Japan, but are not widespreadin Europe. Most Japanese and Americanvehicles are built with a type 1 socketon the car and are supplied with a cableattached to a three-pin plug. In orderto use type 2 public recharginginfrastructure, a driver of a Nissan Leafor Vauxhall Ampera, for example, willneed to purchase and carry a cable toconnect type 2 infrastructure to a type1 vehicle inlet. Type 2 is compatible with up to a 70 Asingle-phase or 63 A three-phase supply,and is characterised by seven pins onthe plug. Most UK public charginginfrastructure, including chargepointsinstalled under the Plugged-in Placesscheme, use type 2 connectivity. Type 3 is compatible with a 32 A singlephase or three-phase supply, and canhave either five or seven pins and ashutter, and is used by manufacturersin countries where a shutter is requiredto comply with legislation (e.g. France). Type 4 is currently the CHAdeMO plugand socket combination, and is used forDC rapid charging. Additionally, at thetime of writing there is a EuropeanCommission proposal to standardisethe Combined Charging System as theDC rapid charge connector. For more technical informationon EV charging, please refer to theBEAMA guide to electricvehicle infrastructure.

Energy Saving Trust21 Dartmouth StreetLondon, SW1H 9BPAdvice line: 0845 602 1425Email: /fleetTE814 Energy Saving TrustMarch 2013

For tailored, one-to-one advice on how plug-in vehicles could work in your business, including a full analysis of your existing vehicles, email us at: pifi@est.org.uk Contents Types of plug-in vehicles 02 The business case for plug-in vehicles 03 Charging modes and types 04 Practicalities of running plug-in vehicles 05

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