ABM Q4 - Flipbook - Page 17
OPINION
EV
EV transition:
An economic decision
→ Øyvind Stavland Osjord is CEO at Easee
F
or years, the EV debate
has been framed around
sustainability, regulation and
incentives. But for a growing
number of drivers, how much
a vehicle will cost to run
is becoming an overriding
concern, whether they’re
consumers or operating a fleet.
When filling a tank suddenly costs
significantly more, drivers are confronted
with the impact of changing energy
costs. Government data on 22nd
September put petrol at 172.01p/l and
diesel at 195.53p/l – their highest weekly
levels for at least a year.
At the same time, battery-electric
vehicle (BEV) registrations continue to
grow. That does not mean every driver
buying an EV is doing so because petrol
has become more expensive; both fleet
and consumer decisions are far more
complicated. But volatile fuel prices
undoubtedly sharpen the comparison
between two very different models of
vehicle ownership.
Not quite like-for-like
With electrification, owners and
operators are transitioning from buying
fuel to managing energy. With petrol
or diesel, the driver has relatively little
control over the price of the energy
they consume. With EVs, a driver able
to charge at home can increasingly
influence when, where and how
they consume energy. They can take
advantage of off-peak tariffs and
increasingly combine charging with
technologies such as rooftop solar
and domestic battery storage. Smart
charging, including optimisation with
dynamic tariffs, can automate much of
that process – scheduling consumption
for periods when electricity is cheaper
and more readily available.
Yet much of the automotive industry
still approaches EVs as though we are
simply replacing one type of car with
another. We are asking customers to
move from buying fuel to managing
energy, while too often leaving them to
navigate that new ecosystem themselves.
Charging, electricity tariffs, installation
and the wider ownership experience
increasingly influence whether the
financial case for an EV makes sense.
If someone leaves the dealership
having bought an electric car, but still
has to independently understand home
charging, find an installer, navigate tariffs
and work out when they should charge,
we have introduced unnecessary friction
into what should be a simple proposition.
Equally, we should not assume that
lower running costs automatically
remove every barrier. Upfront vehicle
prices, access to domestic charging,
public infrastructure and consumer
understanding remain significant
considerations. Drivers without driveways
or dedicated parking need equally
compelling charging options if the
economic benefits of electrification are
to be widely shared.
There is also a wider energy-system
consideration here, as millions of
EVs charging without coordination
could create considerable new peaks
in demand. Yet millions charging
intelligently can do the opposite,
scheduling consumption outside the
busiest periods, absorbing renewable
generation and making better use of
existing grid capacity.
The benefits include making EVs
cheaper to run, giving drivers greater
control over the energy that powers their
mobility, and making better use of the
energy system around them.
Manufacturers, charging providers,
energy companies, leasing businesses
and retailers must connect the vehicle
with charging, installation, tariffs and
the wider energy system. That is where
the next phase of the EV transition gets
interesting: with the car as an intelligent
part of how we use energy.
Q4 2026
AUTOMOTIVE BUSINESS
1717
