Plug-in Vehicles

The market and business case

Karl AndersFleet Consultant

Contents

• Introduction to Plug-in vehicles• Market background• Building the business case

2

Today is not about………

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Which is the odd one out?

Market Background

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EVs are not that new

• EVs around since mid-19th century

• “La Jamais Contente” broke the land speed record in 1899, first vehicle to go over 100km/h (62mph)

• Peak popularity in 1912

• ICE vehicles rapidly took over

The New York Times 13th Oct 1906

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More recent vehicle technology evolving rapidly

2004201020112012

2013

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Now available to order

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Now available to order

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Still breaking records

• New world electric land speed record– Set on the 25th June 2013– 204.185 mph

B12 69EV electric Le-Mans Prototype

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What is a Plug-in Vehicle?

• Describes a variety of technologies that use electric drive

– Pure-EV or a Battery Electric Vehicle (BEV)

– Plug-in Hybrid (PHEV)

– Extended-Range Electric Vehicle (E-REV)

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What is a Plug-in Vehicle?

• Pure Electric Vehicle (BEV)

– Battery and electric motor replace fuel tank and internal combustion engine (ICE).

– Pure-EVs rely entirely on electricity for fuel

BEV Cars

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Peugeot iOn Nissan LEAFRenault Zoe Z.E.

BEV Cars

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Volkswagene-UP

Volkswagen Golf e-Motion

Ford Focus

BEV Vans

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Renault Kangoo Z.E. Peugeot Partner Mercedes Vito

E-Cell

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What is a Plug-in Vehicle?

• Plug-in Hybrid Electric Vehicle (PHEV)

– Combined battery and an electric motor with an internal combustion engine (ICE)

– Both drive the wheels – the ICE used when the battery runs out or more power is required

PHEV

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Porsche Panamera S

E-Hybrid

Audi A3e-tron

Toyota PriusPlug-in

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What is a Plug-in Vehicle?

• Extended Range Electric Vehicle (E-REV)

– Combines battery and electric motor with ICE

– Electric motor drives the wheels – ICE is a generator when battery is depleted

E-REV

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Vauxhall Ampera Chevrolet Volt BMW i3

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How big is the typical battery?

PHEV E-REV BEV

5 kWh 15 kWh 20 kWh

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How far will it go?

PHEV E-REV BEV5 kWh 15 kWh 20 kWh

10-15 miles

30 miles 80 miles

Building the Business Case – PIFI 100

Plugged-in Fleets initiative

‒ PIFI

o 25 fleetso Final report – ‘Charging Forward’

‒ PIFI 100

o 100 opportunities available 2013/14o Bespoke profiles, NOT a single model

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PIFI 100 process flow

Identify the vehicle opportunity• Vehicle profiles / duty cycles that appear to work• Vehicles where there is an appropriate alternative

Understand the costs of all options • Carry out whole life cost analysis• Review the replacement cycles

Assess the recharging options• Understand the site requirements and costs• Review the additional charging options

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Whole Life Costs Analysis

• Costso Outright purchase or lease costs (PiCG/PiVG)o Fuelo VEDo Taxo Insurance

• How can they be cost effective?‒ “Even with the grants, aren’t they still too expensive?”‒ Balance running costs V procurement costs

Whole life cost examples (PIFI)

• Pool car comparison

‒ Scenario will also replace grey fleet mileage @ £0.45 per mile

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3yrs / 12,000 miles p/a Ford Fiesta Peugeot iOn

WLC (excl fuel) £8,282 £8,605

Life fuel cost £3,048 £894

Life Total Cost £11,330 £9,499

Pence per mile cost 31.5 26.4

Whole life cost examples (PiFI)

• Company car comparison

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5yrs / 12,000 miles p/a

Vauxhall Astra 1.6 Petrol Nissan LEAF

Life Cost (excl fuel) £19,800 £18,207

Life fuel cost £8,041 £2,551

Total Life Cost £27,841 £20,758

Pence per mile cost £0.46 £0.35

Whole life cost examples (PiFI)

• Light van comparison‒ No congestion charge

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5yrs / 12,000 miles p/a

Citroen Berlingo Hdi 90

Renault Kangoo Z.E.

Life Cost (excl fuel) £17,130 £19,948

Life fuel cost £7,848 £2,636

Total Life Cost £24,978 £22,584

Pence per mile cost £0.42 £0.38

Whole life cost examples (PIFI)

• Light van comparison‒ No congestion charge

‒ Annual fuel cost difference = £0.11 ppm

‒ Potentially viable if extended to 5yrs / 50,000?31

4yrs / 10,000 miles p/a

Ford Connect Renault Kangoo Z.E.

Life Cost (excl fuel) £12,051 £18,804

Life fuel cost £6,365 £2,009

Total Life Cost £18,416 £20,813

Pence per mile cost £0.46 £0.52

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Some of the challenges for pure EVs?

• Mileage profile‒ High daily mileage (80+ miles opportunity charging not available)‒ Low annual mileage

• Financial benefits of low operating cost not realised

• Vehicle specifications‒ Payload limits

• Recharging limitations‒ Duty cycle too intensive - No ‘down time’ to charge‒ No opportunity to charge at home - On-street parking etc.

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In summary

• Identify the vehicle opportunity• All fleets are different• Focus on vehicle / driver not whole fleet

• Understand the costs• Cost structure different to ICE• WLC specific to fleet essential

• One size doesn’t fit all

Thank you