Are EV charging stations profitable
When planning to start a business or make a deal, it is reasonable to do some feasibility study. So that you can have a clear idea about whether this business is profitable or not. In its turn, when you are planning to install an EV charge point for commercial use, you want to learn this aspect about EV charging stations.
In short, yes, EV charging stations are profitable. And this is the aspect we will discuss in this post.
Benefits of having EV charging stations
In general, having installed EV charge points at your parking, you can benefit from at least three opportunities to monetise an EV charging station:
- Provide EV charging amenities
- Increase sales by attracting a larger audience
- Rent out space on your EVSE casing
Note, the last two bullet points are conditional. To clarify, sales increase is available for shops, catering businesses, etc. To rent out spacing, you need to have it of sufficient size. In contrast, providing EV charging amenities is a great opportunity in itself, available for every business, including catering.
If you manage new buildings, which must be EVSE-equipped, you can also use these charge points to set up an EV charging business. To learn more about the new requirements for EV charging infrastructure, read our post about changes in Building Regulations
EV charger profitability in a nutshell
In general, profitability is a ratio of two factors – revenue and expenses. So, let’s speak about these two factors.
Although we mentioned expenses as the second factor, it is the first to consider when planning your budget. Of course, prices for EV charging stations vary but are quite affordable. However, to make your EV charge point more profitable, it is wise to think about how to lower your expenses on EVSE purchase and installation. The most profitable option here is turning to our EV charging station franchise. For example, the franchise may save you £200-300 or even more per charge point, depending on the station, number of items, and other terms and conditions of the deal.
Now, let’s turn to the revenue you can generate with an EV charging station. First, when providing EV charging amenities, you set and adjust access, parking, and idle fees and, thus, generate about £2-5 per session. Second, as EV charging station helps you attract more customers, you can enjoy greater sales. For example, if you run a café, a short lunch, which an EV driver may have at your venue while topping up their battery, may bring you about £12-35 or even more. At last, if your station have a large casing and your venue faces great footfall, you can earn about £25-40 a month by renting out space on the casing for advertising.
To sum up, hosting an EVSE already promises trilling profitability. And taking into account the growth rate with which the EV market is currently expanding, this profitability may increase even more in the near future.