Reducing Costs for Commercial EV Charging Stations
In the dynamic landscape of electric vehicle (EV) adoption, businesses play a pivotal role in shaping the future of sustainable transportation. This guide is geared toward businesses seeking strategies to optimize cost-efficiency in electric vehicle charging stations.
Installation Cost Management for Charging Infrastructure
EV charging station installation involves a varied set of costs ranging from essential electrical upgrades to the procurement of specialized equipment. Navigating through these expenses, including electrical panel upgrades, permitting, and electric vehicle supply equipment (EVSE) costs is vital for businesses aiming to establish an efficient and cost-effective charging infrastructure.
Charging Station Equipment Costs
The heart of any EV charging station lies in the charging equipment itself. This category encompasses the purchase and installation of charging stations, each with its unique specifications and capabilities. Costs can fluctuate based on the charging station type—Level 1, Level 2, or DC fast charger (DCFC)—along with any additional features such as network connectivity and user interface. Investing in high-quality, durable equipment is essential for long-term reliability and user satisfaction. Additionally, businesses might explore options for scalable and modular solutions that allow for future expansion without incurring significant retrofitting costs.
Level 1 Charging Stations
Cost Range: $300 - $1,000 per unit
Speed: 1.3kW (~3 miles of range added per hour)
Level 1 chargers are typically the most basic and come with a standard household-style plug (120 volts).
They are sometimes suitable for overnight charging at home but are not practical for public or commercial use due to their slow charging speed.
Level 2 Charging Stations
Cost Range: $1,000 - $5,000+ per unit
Speed: 7kW (~25 miles of range added per hour)
Level 2 chargers operate at higher power levels (usually 240 volts) and provide faster charging compared to Level 1.
These are most popular for public charging stations. For businesses that utilize EVs in their daily operations, this Level may still be too slow to keep up with usage.
3. DCFC Stations
Cost Range: $20,000 - $100,000+ per unit
Speed: 50+kW (100+ miles of range added per 30 minutes)
These chargers are commonly found along highways and in commercial locations where fast charging is essential.
4. SparkCharge Mobile Charging-as-a-Service (CaaS)
Cost Range: no upfront EVSE costs
Speed: 120kW (full charge in about 30 minutes)
SparkCharge’s mobile EV CaaS programs eliminate the burden of high equipment costs. SparkCharge partners with businesses to give them turnkey access to DCFC through their platform, SparkCharge Connect.
SparkCharge Connect enables EV fleet owners and operators to book/schedule charging deliveries. Once a charge is ordered, a SparkCharge technician delivers Level 3 fast charging to any location at any time it is needed.
Electrical Infrastructure Upgrades
A significant portion of EV charging station installation costs is from electrical infrastructure upgrades. Each level of EV charging station will have its own electrical needs. Level 1 charging stations require the least amount of electrical work and charge the slowest. Level 3 (DC fast charging) charging stations typically require major electrical upgrades and construction and offer the fastest charging speeds.
Electrical upgrades needed for installation involve enhancements to the existing electrical panel to accommodate the additional load, ensuring the charging station operates seamlessly without compromising the integrity of the facility's power supply. Costs associated with trenching, conduit installation, and wiring are also considerations in this category. Depending on the facility's electrical capacity and the distance to the installation site, these upgrades can vary in complexity, influencing the overall project expenses.
For relatively simple Level 2 charging station installations, where the existing electrical infrastructure has sufficient capacity and is located close to the charging station site, the cost for electrical upgrades may range from $5,000 to $10,000. This estimate includes expenses related to upgrading the electrical panel, wiring, and other components to handle the additional load imposed by the charging station.
In cases where substantial upgrades or modifications are required, such as trenching for longer distances, transformer installations, or major electrical panel upgrades, the costs can increase significantly. In such instances, costs may range from $10,000 to $30,000 or more, depending on the complexity of the project and local factors.
For DC fast chargers (DCFC) or Level 3 charging stations, electrical upgrades are typically unavoidable. On average, the electrical upgrade costs for installing a DC fast charging station can range from $50,000 to $100,000+. This includes expenses related to upgrading the electrical system to accommodate the higher power demands of DC fast chargers.
Permitting and Regulatory Compliance
Navigating through local regulations and obtaining necessary permits is a critical step in the installation process. Costs associated with permitting can include application fees, inspections, and compliance with safety standards set by relevant authorities. Understanding and complying with these regulations not only ensures the legal operation of the charging station but also helps avoid potential fines or delays in the installation process. Engaging with local authorities early in the planning phase is advisable to streamline the permitting process and mitigate associated costs.
Charging Station Maintenance
Maintenance requirements and costs for commercial electric car charging stations can vary depending on factors such as the type of charging station, its usage, and the specific components involved. Understanding these costs enables your business to predict and plan when adding electric cars to your fleet. Here are some general considerations:
Regular Inspections:
Routine inspections are essential to identify any issues with the charging station. This may include checking for physical damage, loose connections, or signs of wear and tear. Inspections are done weekly or monthly depending on usage. Costs vary depending on how frequently and how many chargers need regular inspections, but on average it ranges from $500-$1,500 annually.
Software Updates:
Charging station software may require periodic updates to ensure optimal performance, security, and compatibility with the latest EV models. Typically, EV charging software gets updated annually (depending on the equipment). It is important to note that while software updates are taking place chargers will experience downtime.
Cleaning and Accessibility:
Keeping the charging station clean and easily accessible is important. Regular cleaning helps prevent debris or contaminants from affecting the charging process. The average price for cleaning services for chargers is about $100 per visit (price varies depending on the equipment).
Component Replacement:
Over time, certain components, such as cables, connectors, or power modules, may need replacement due to wear. The frequency of replacements depends on the usage and quality of the components. The more powerful the charging station is, the more expensive replacement parts are. For example, one of the most common parts that need to be replaced is the charging cable. A DCFC charging cable costs about $2,000+.
Emergency Repairs:
Planning for emergency repairs is important to minimize downtime. Quick response to issues such as power outages or equipment failures is critical for maintaining a reliable charging infrastructure.
How to Reduce EV Charging Station Costs?
Reducing the costs associated with owning and operating charging stations can be challenging, but innovations like mobile charging services help businesses reduce charger costs.
How does mobile EV charging reduce costs?
SparkCharge is leading the way in mobile EV charging services. Their charging-as-a-service (CaaS) programs gives businesses turnkey access to EV charging while reducing the costs of EV charging stations.
Reduced upfront costs:
SparkCharge owns and operates their DC fast charging equipment. This means you are not paying the high price tags of Level 3 electric vehicle supply equipment (EVSE).
No Maintenance Costs:
Since SparkCharge is handling the equipment, they are also taking care of all charger maintenance at no additional cost to your business. This drastically improves DCFC uptime.
Emergency EV Charging Solution:
SparkCharge operates independently from the grid which charging. This is what allows us to deliver energy to vehicles at any time and any location. It also makes us a great emergency charging option. If the power goes out and chargers are down, SparkCharge is still able to charge vehicles.
Learn more about how SparkCharge can streamline your EV charging operations and reduce costs for your business, by talking to one of our EV charging experts!