A new report outlining actions utilities and policymakers can take to help companies accelerate the adoption and transition to EVs has been released.
The report The Road to Fleet Electrification identifies challenges fleet operators face when working to electrify vehicle fleets.
It is based on findings from a recent survey of companies that use commercial transportation, and was conducted by Navigant, commissioned by Ceres and California Trucking Association, and funded by Amazon, a member of the Ceres alliance.
The guide finds that while continuous improvements in EV technologies are producing lower costs, greater range, and faster charging, the industry still faces challenges both in the US and globally.
“It’s encouraging to see that, even in light of the current challenges presented by the COVID-19 pandemic, companies continue to plan for fleet electrification,” Ceres Corporate Electric Vehicle Alliance head and Clean Vehicles senior manager Sara Forni says.
“Given the opportunity electric vehicles provide companies to both lower greenhouse gas emissions and reduce operating costs, it’s no surprise that many are eager to electrify their fleets – and fast,” she says. “This new analysis brings attention to companies’ needs and sends a strong signal to utilities, regulators, and policymakers.”
EVs can reduce greenhouse gas (GHG) emissions, save on fuel and maintenance costs, improve passenger safety, enhance company reputation, and improve workforce recruitment and retention.
Upfront EV costs are dropping with EV battery costs decreasing by up to 80% in the last eight years, and further declines of up to 50% expected in the next decade.
That will help put the cost of many EVs below those of internal combustion engine (ICE) vehicles by 2030.
However, the transportation sector is currently the largest and fastest growing GHG-emitting sector in the US economy, and transportation decarbonisation is critical to addressing climate change there and globally, the report says.
The long-haul trucking sector is also keenly interested in tapping into the cost and emissions savings of using EVs and is eager to work with utilities to help facilitate the transition.
“As operators of commercial medium and heavy-duty vehicles, California truck drivers have a unique set of needs that must be addressed to ensure any transition to EVs is as efficient, safe and cost-effective as possible,” California Trucking Association chief executive Shawn Yadon says.
“We are confident this report will communicate the perspective of our members and the trucking industry to the electric power sector so that we can work together to accelerate the use of commercial EVs.”
To support the need for corporate fleet electrification, Ceres launched the Corporate Electric Vehicle Alliance in early 2020 alongside flagship members Amazon, AT&T, Clif Bar, Consumers Energy, DHL, Direct Energy, Genentech, IKEA North America, LeasePlan, Lime, and Siemens.
The alliance helps member companies achieve bold commitments to fleet electrification, boosting the EV market and policy landscape by signalling the breadth and scale of corporate demand for EVs to automakers and policymakers.
“As part of our commitment to The Climate Pledge, Amazon’s order of 100,000 new electric delivery vehicles from Rivian will have a significant impact in reducing our carbon footprint and help us on our path to net zero by 2040,” Amazon Logistics global fleet and products director Ross Rachey says.