Why Businesses Should Invest in EV Charging Solutions

2 min read

The transition to net zero is underway, and electric vehicles (EVs) are becoming increasingly popular in Canada. Since Canada announced implementing the net-zero emissions target in 2017, 384,091 new battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs) have been registered in the country, accounting for approximately 4% of all vehicle registrations. Now more than ever, it is crucial for parking facility managers and owners to invest in EV charging solutions to keep pace with this evolution. Below are four reasons why.

1. Capitalize on an additional revenue stream.

Investing in EV chargers can provide additional revenue streams for your parking operation. EV drivers tend to stay for extended periods, ranging from one hour to 12 hours, while charging their vehicles, increasing the chances of making purchases. To maximize the revenue potential, EV chargers can also serve as advertising spaces for promotions. Businesses can sell the advertising space to retailers or use it to promote their brand, enhancing the overall customer experience.

2. Gather valuable data insights for business analysis.

By collecting data from EV chargers, businesses can gain valuable insights such as average kWh usage, average energy costs, and customer activity at charging points. This data enables a better understanding of customers and the overall operation. By reviewing and analyzing this information, businesses can make informed decisions to enhance parking management strategies.

3. Reduce costs and maximize energy efficiency.

Investing in EV chargers can lead to increased cost savings. In 2019, the Government of Canada implemented a federal carbon tax to reduce carbon emissions. Businesses face increased expenses due to this carbon tax, which is a significant energy cost. By investing in EV chargers, businesses can deduct their carbon tax payments annually and participate in government incentive programs for EV charger adoption funding, such as Electric Vehicle and Alternative Fuel Infrastructure Deployment Initiative (EVAFIDI) and Zero Emission Vehicle Infrastructure Program (ZEVIP). This creates a win-win situation for businesses and the environment, promoting energy resilience.

4. Foster customer loyalty with green branding.

Being a green corporate entity can benefit your business's image and branding by emphasizing its commitment to sustainability. The Global Sustainability Study of 2021 found that 60% of customers consider sustainability a vital factor when making purchases. By showcasing your business as an eco-friendly brand, you demonstrate social responsibility and care for the environment, building a positive brand reputation and fostering customer loyalty.

Considering the ongoing transition to net zero and the increasing popularity of electronic vehicles, investing in EV charging solutions is wise for parking facility managers and owners in Canada. By embracing this shift, businesses can position themselves at the forefront of the green revolution and reap the benefits of a sustainable future.

References

Electric vehicle and Alternative Fuel Infrastructure Deployment Initiative. Natural Resources Canada. (2023a, March 1). https://natural-resources.canada.ca/energy-efficiency/transportation-alternative-fuels/electric-and-alternative-fuel-infrastructure/electric-vehicle-alternative-fuels-infrastructure-deployment-initiative/18352

Kucher, S. (2021, October). Global Sustainability Study 2021. Simon-Kucher & Partners . https://www.simon-kucher.com/sites/default/files/studies/Simon-Kucher_Global_Sustainability_Study_2021.pdf

New motor vehicle registrations: Quarterly data visualization tool. Government of Canada, Statistics Canada. (2022, September 8). https://www150.statcan.gc.ca/n1/pub/71-607-x/71-607-x2022012-eng.htm

Net-Zero Emissions by 2050. Government of Canada. (2023, January 27). https://www.canada.ca/en/services/environment/weather/climatechange/climate-plan/net-zero-emissions-2050.html

The Carbon Tax and Carbon Tax Credit in Ontario. (n.d.). https://carbonvaluechain.com/carbon-taxes/the-carbon-tax-and-carbon-tax-credit-in-ontario/#:~:text=The%20federal%20government%20issued%20a,on%20Ontario%27s%20businesses%20and%20people

The Parking & Mobility Industry’s Role in Canada’s Net Zero Emissions Commitment. Parking Industry Insights. (2023, July 4). https://www.parkingindustry.ca/parking-management/the-parking-mobility-industries-role-in-canadas-net-zero-emissions-commitment