Electric Vans for SMEs: A Comprehensive Guide
As a small to medium-sized enterprise (SME), switching to electric vans can be a strategic decision that reduces your operational costs and environmental impact. While electric vans may have a higher upfront cost compared to diesel models, they offer significant savings on fuel, maintenance, and tax. Moreover, they substantially reduce your fleet’s carbon and nitrogen dioxide emissions.
Assessing the Suitability of Electric Vans for Your Business
Before making the switch, it’s crucial to understand your van’s usage patterns. Consider the distance they travel and how long they remain stationary. Some electric vans may have payload limitations, so it’s essential to assess the maximum weight you’ll need to transport. Electric vans are generally cheaper to run due to lower electricity costs compared to diesel or petrol. The higher your daily mileage, the more you’ll save. However, for distances exceeding the van’s single charge range, you’ll need to factor in charging time. You can charge your van at public EV chargepoints or at your business premises if you have a chargepoint installed.
Cost Considerations for Electric Vans
The cost of electric vans varies based on the make, model, and battery range. Generally, they are more expensive than their diesel counterparts, although purchasing a used electric van can significantly reduce the initial cost.
Charging Times and Range
Charging times differ depending on the van model, battery capacity, and type of chargepoint used. While charging costs are typically lower than refueling with diesel or petrol, rapid charging at motorway service stations can be more expensive. Most battery electric vans have a real-world range of over 200 miles on a full charge. You can take several steps to maximize your van’s range.
Financial Incentives for Electric Vans
Several financial incentives are available to support SMEs in transitioning to electric vans. For businesses operating in Scotland, interest-free loans are available to purchase new or used electric vans. The Office for Zero Emission Vehicles (OZEV) also offers a plug-in van grant that covers a portion of the purchase price for eligible vehicles.
Electric Van Loan for Scottish Businesses
- Eligible for new or used electric vans
- Repayable over six years
- Maximum loan amounts: £40,000 for new vans, £30,000 for used vans
OZEV Plug-in Van Grant
- Covers up to 35% of the purchase price
- Maximum grant: £2,500 for vans under 2.5 tonnes, £5,000 for vans between 2.5-4.2 tonnes
- Eligibility criteria include CO2 emissions below 50g/km and a minimum electric range of 60 miles
By understanding the costs, benefits, and available incentives, SMEs can make an informed decision about adopting electric vans. This transition not only reduces operational costs but also contributes to a more sustainable future.
