As businesses in Singapore shift toward sustainability, the push for fleet electrification is increasingly seen as a strategic necessity for staying competitive. This electric vehicle (EV) fleet transition can enhance a business’s market appeal by aligning with the rising consumer preference for more sustainable and eco-friendly business operations. Additionally, it can help prepare businesses for impending regulatory changes that favour green technologies.
However, it is important to have a comprehensive fleet electrification strategy before making the switch to ensure that the transition is cost-effective and aligns with long-term business goals.
What is Fleet Electrification?
Fleet electrification refers to replacing conventional internal combustion engine vehicles with electric commercial vehicles in a company’s fleet. It typically requires updates to infrastructure and operations to accommodate the distinct needs of electric vehicles.
Key Considerations for Fleet Electrification
1. Electric Vehicle Choice
One of the most important factors to consider in your commercial fleet electrification plan is selecting the right type of electric vehicle. For instance, electric lorries, such as the SRM T3EV, are better suited for more demanding tasks and longer routes, thanks to their 53kWh battery, which offers a range of up to 300 km per charge.
On the other hand, electric cargo vans, like the versatile DFSK EC35, are ideal for navigating busy city streets and meeting delivery requirements for a variety of businesses, including those transporting perishable goods.
Interestingly, electric vans made up 51.9% of new van registrations in early 2023, marking the first time they outnumbered traditional internal combustion engine vans in Singapore. With this shift, the range of commercial EV options is set to expand, reflecting the growing demand for electric light goods vehicles.
This trend offers businesses more choices for sustainable transportation that can better meet their specific operational needs.
2. Fuel and Maintenance Costs
Of course, the constant fuel and maintenance expenses are also something you should carefully plan for when considering fleet electrification. In Singapore, the cost of charging EVs ranges from S$0.41 to S$0.59 per kWh, which is notably lower than the average petrol price of S$2.55 per litre. This difference could translate into significant savings over time.
Additionally, since EVs have simpler mechanical systems, you’ll find that maintenance needs are generally lower—think fewer trips for oil changes or exhaust system repairs. Taking these aspects into account can help you better prepare for the financial impact of moving your fleet to electric options.
3. Route Optimisation and EV Range Considerations
Considering the range of EVs is critical, especially if your business handles longer routes or multiple daily deliveries. Therefore, it’s essential to ensure your vehicles can cover the necessary distances without frequent stops for charging.
If your operations involve extended routes, you can consider options like the DFSK electric cargo van, which offers a range of over 280 km, or the FARIZON H9E truck, with a battery range that exceeds 300 km on a single charge.
By regularly monitoring battery levels and planning routes with charging stations along the way, you can ensure that your fleet reaches its destinations efficiently.
4. Charging Infrastructure Availability and Types
Worried about your fleet running out of charge mid-route? Rest assured—there are already over 7,100 EV charging stations across Singapore, with plans to grow this to 60,000 by 2030. To help you better understand the different charger types, here’s a quick breakdown:
- Level 1 charging: Uses a standard 120-volt household outlet, making it the most basic and widely available option. It typically delivers 1.4 to 2.4 kW of power, offering about 5 km (3.1 miles) of range for every hour of charging. While this is ideal for overnight charging, it’s a slower process—taking up to 24 hours to fully charge a battery, depending on the vehicle and battery size.
- Level 2 charging: The majority of public charging points in Singapore are Level 2 AC chargers, providing a convenient solution for businesses transitioning to electric fleets. Commonly located at workplaces, fleet depots, and public charging stations, these chargers offer flexibility for daily operations. Their typical charging time of 4 to 8 hours makes them ideal for overnight charging or vehicles parked for extended periods during the workday.
- Level 3 charging (DC fast charging): Offers rapid charging capabilities, providing up to 20 miles of range per minute. A full battery charge can be achieved in under an hour, making it ideal for quick top-ups during long-distance travel.
5. Understanding Load Capacities for Delivery Operations
While the sleek design of an electric vehicle might catch your eye, what really matters for your operations is whether your EV commercial vehicles are up to the task. It’s important to assess how much weight the EV can carry as well as the amount of space it offers for cargo. Checking both weight capacity and cargo volume will help you ensure that your fleet can handle the demands of your delivery operations.
6. Identifying Organisational Changes and Training Needs
As part of your fleet electrification planning, it’s not just the vehicles that need consideration but also the team that will operate and maintain them. Preparing staff for the transition to electric vehicles is essential; therefore, providing training on EV technology and maintenance is necessary to build confidence and capability. Furthermore, fostering a culture of sustainability ensures that everyone is aligned and enthusiastic about the new changes, enhancing overall adoption and effectiveness.
7. Exploring Funding and Incentives
Lastly, leveraging available grants, subsidies, and tax credits when transitioning to an EV fleet can significantly help reduce the initial costs. Getting a handle on these financial supports is essential for planning your budget effectively, covering both the upfront investment and ongoing operational expenses. Utilising these incentives can make the shift to electric vehicles more financially sustainable.
Electrify Your Fleet with Hong Seh Evolution
Ready to electrify your fleet? Partner with Hong Seh Evolution and explore our selection of electric commercial vehicles in Singapore. From versatile electric lorries to efficient electric cargo vans, we have options to suit every need. Let us help make your fleet electrification a resounding success. Join us in embracing a greener future today.
