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Oct 25, 2024

ChargePoint Pitches Affordable Level 2 EV Charger For Fleets

Fleet vehicles are often parked for hours overnight, making them a good fit for the leisurely pace of a Level 2 EV charger. Still, fleet managers need some convincing if they are going to make the

Fleet vehicles are often parked for hours overnight, making them a good fit for the leisurely pace of a Level 2 EV charger. Still, fleet managers need some convincing if they are going to make the switch from conventional vehicles to EVs. The US EV charging station firm ChargePoint has gotten the message, and it aims to motivate fleet managers with a new commercial-scale Level 2 charger for just $699.

Actually, the energy transition think tank RMI has gone ahead and done some of ChargePoint’s work for it. On October 22, RMI (formerly known as the Rocky Mountain Institute) ran the numbers on total cost of ownership for electric fleet vehicles compared to conventional vehicles, using the DRVE tool created by the organizations Atlas Public Policy and the Electrification Coalition.

The RMI analysis covered five common types of fleets: private security, patrol cars, construction contractors, paratransit, and a large delivery company.

“The DRVE tool allowed us to adjust various factors in each of our five scenarios, including different electricity, gasoline, and diesel fuel costs, whether the installation and maintenance of charging stations would be included in the TCO [Total Cost of Ownership], and if public DCFC [DC Fast Charging] stations were used in lieu of level 2 depot charging,” RMI explains.

RMI found that in most cases, electric fleets came out looking good. “Across a range of scenarios, it’s cheaper to own and operate light- and medium-duty electric vehicles than gas-powered vehicles, making a strong business case that now is the time for private and government-owned fleets to make the switch,” the organization concluded.

The sticky wicket for some fleets, though, is the cost of installing an EV charger. Electric fleets achieved TCO parity or outright savings in all five scenarios when the cost of an EV charger was not included. When RMI included the cost of a Level 2 EV charger, four of the five scenarios still achieved savings or parity. However, the delivery scenario missed the mark.

The RMI analysis should help convince most light-duty fleet owners to at least consider electrification, and ChargePoint aims to seal the deal by introducing the new CPF50 Level 2 EV charger at the relatively low price point of $699.

That’s not the very least expensive Level 2 EV charger on the market, but it is within reasonable range of $400, which is where EnergySage pegs the starting cost of a commercial Level 2 charger. Fully installed, a commercial Level 2 charger can cost up to $5,000 and more according to EnergySage, which puts ChargePoint’s $699 price tag in an even better light.

To support the bottom line case for its Level 2 EV charger, ChargePoint also notes that fleet managers can deploy its software with the CPF50 chargers to push the TCO for electric vehicles down below expectations.

“Fleet operators are able to optimize their total cost of ownership (TCO) by bundling ChargePoint’s fleet management software which includes real time-visibility of vehicle readiness, power usage and station status; energy management tools to maximize fuel savings; control station access; and simplify complexity and station management with ease using an all-in-one solution,” the company explains.

ChargePoint also notes that its software platform enables fleet managers to control multiple CPF50 chargers, which can result in additional savings related to power sharing. Conserving battery health compared to relying on public Level 3 fast charging stations is another TCO consideration as well.

ChargePoint’s focus on the commercial Level 2 EV charger market is consistent with RMI’s analysis, which makes a compelling TCO case for light-duty fleets to electrify.

Level 2 chargers can also fit the bill for trucks and other large vehicles with bigger battery packs, especially if an overnight charge fits into the fleet schedule. Though, RMI cautions that fleet managers will need an assist from tax credits and other forms of support.

RMI deployed a Kenworth K270 electric truck for its large delivery business scenario and found that “costs can be prohibitive even after including the 45W tax credits.”

“Accelerating large medium-duty and heavy-duty electrification at the state level will likely require purchase incentives in addition to charger installation incentives,” RMI concluded.

Goldman Sachs is among the analysts anticipating a steep drop in the cost of EV batteries within the next two years, which could have a significant impact on the TCO calculation for trucks and other heavy-duty vehicles. Another factor influencing TCO is the potential for partnering with utilities on incentives related to bidirectional charging capability.

In the meantime, ChargePoint is among the charging station stakeholders anticipating that more electric trucks will be hitting the highways soon, TCO or not. Last spring, the company launched its new Megawatt Charging Station in support of the electric truck trend.

“In the realm of heavy-duty vehicles, ChargePoint expects Megawatt charging will reshape the feasibility of electrified long-haul transport,” ChargePoint explains.

“Chargers capable of delivering energy up to 20 times the speed of existing DC chargers for passenger vehicles will ensure a long-haul truck can recharge in less than an hour, taking on energy at a rate that could power a professional sports venue like Yankee Stadium on a game day,” they elaborate.

Anticipating the potential bottom line benefits of bidirectional charging for fleet managers, ChargePoint launched its Megawatt EV chargers with bidirectional capability. The company also announced a new collaboration with LG Electronics last June, aimed at integrating ChargePoint software with LG hardware, including EV chargers and stationary batteries.

“Future areas of collaboration may include combining ChargePoint EV charging solutions with LG energy storage systems, integration of the LG ThinQ smart home platform with ChargePoint’s award-winning Home Flex residential charger, and chargers that leverage LG’s digital-out-of-home advertising platform, among other areas under evaluation,” ChargePoint explained in a press statement.

In an interesting twist, the partnership puts both companies in a better position to compete for public projects where information security is among the key criteria. ChargePoint already has a head start on government fleet electrification. The company’s cloud software has been pre-authorized to bid on federal contracts, and it is one of three EV charger manufacturers selected by the US Post Office to kickstart its fleet electrification plan.

Keep an eye out for ChargePoint’s role in fleet electrification for the Department of Defense and other federal agencies as well. Back in 2021, ChargePoint recapped its number of partnerships, resulting in EV chargers for the US Marine Corps, the Pentagon, Federal Bureau of Investigation, and the Department of Homeland Security among others.

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Photo (cropped): ChargePoint has launched a $699 Level 2 EV charger for light duty commercial fleets, a price point that supports the case for electrification on a total cost of ownership (TCO) basis (courtesy of ChargePoint).

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