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The start point for the best source of fleet information |
We first talk about how Drax stands out against other EV service providers. Hall tells me that first and foremost, it has a proposition developed specifically for the needs of the business market. He says: "We've got real expertise in destination charging - so areas people want to drive to and charge, such as car parks. More specifically in fleet electrification, supporting businesses as they transition their petrol or diesel vehicle to an all-electric fleet.
"I think being part of the Drax Group provides several benefits above our competitors. Firstly, it gives us the financial stability and scale we need to support businesses on what can be quite a complex and long-term project. We find that customers have confidence that we as a supplier, will be there to support them through what can be a five to 10-year project.
"Secondly, sustainability at Drax is at the heart of our approach. We have the expertise to help customers, as they look to decarbonise their wider operations, whether that's tackling their Scope 1 or Scope 2 emissions. That might be through decarbonising their vehicle emissions, via our EV product. We might also then supplement that with things like our renewable power supply, and other decarbonisation solutions - meaning customers can get far more from an environmental and sustainability perspective by working with us.
"Finally, the energy expertise that we have, means that we're well-placed to support the customer in generating additional value from the recharging of their vehicles. Last winter, for example, we were the largest provider of energy flexibility through what's called the National Grid Demand Flexibility Service (DFS). That service was designed to really help support the grid in times of high demand - whilst creating revenue for our customers. We were really delighted that some of our managed EV chargers participated in that service, which is going to become even more essential as we continue to decarbonise the energy sector."
Adam goes on to tell us that Drax has a compelling end-to-end turnkey solution. He says: "It takes customers right the way from vehicle suitability assessments - so making sure the customer is moving over to the right vehicles, at the right time - through to charging hardware selection, the installation of those charge points, and finally the long-term charge point and operation maintenance contracts that underpin that service.
"We've developed trusted relationships with specialist service suppliers to provide an offering tailored to the needs of our fleet customers. So, for example, we enable the reimbursement of domestic charging costs on return-to-home fleet vehicles. Critically for our customers, they can enjoy a simple contracting structure with Drax, and we provide that service through the specialist providers that we have a relationship with. We are massive advocates of Open Charge Point Protocol (OCPP); all our solutions are OCPP-compliant, meaning we can accommodate all OCPP chargers on the market. This ensures that we can offer a variety of hardware solutions, without introducing anymore software requirements. In this innovative market, where technical development is happening at pace, we see this as a critical feature to ensure the customer has flexibility to deploy new hardware as it becomes available in the market. This is without having to change all their software provision that goes alongside it.
"Finally, we've developed an industry-leading proprietary customer portal, which is called 'My Electric Vehicles.' As far as I'm aware, it's the only portal of its kind that brings together charge point operation, electric vehicle management, and energy consumption data, into one powerful customer interface. It is something our customers tell us that they really value."
Adam explains that this is all against a backdrop where the demand for EVs is increasing all the time. He says: "The exciting thing for me is that the interest isn't just from fleet buyers but employees and people from the private sector who want to charge their vehicles at work. When you look at the data from the SMMT, for example, about how many EVs are on the road, how that's increasing dramatically, it's not a surprise to me we're seeing an increase in the demand in our services to electrify the car parks in which they visit.
"We're seeing businesses starting to ensure they meet their carbon targets, which is essential. Many of the customers we work with, like SES Water, are committed to be net zero by 2030. To meet those deadlines, they recognise the need to approach the process of decarbonising their fleets today.
"We've also done our own research into this, and it found that 48% of businesses have already installed charging infrastructure of some type, that might be one unit - but at least they've started the transition. 32% are now looking to install in the next 12 months. More interestingly for us, over 90% of the businesses we talk to indicated that they're likely to develop their existing EV infrastructure over the next five years. So, whilst demand is high today, we really do think it will increase into the future."
We both agree that the 2030 ban on new ICE-powered vehicles is a real area of discussion in the industry right now. With Adam telling me he thinks the tabloid press is perhaps adding fuel to the fire, mischaracterising the challenge that we have ahead of us. He says: "For the avoidance of doubt when talking to customers, we do make it clear that the 2030 ban applies to the sale of new ICE vehicles. Therefore, I personally think it is reasonable to assume that for several fleets in the UK, running petrol and diesel, or at the very least hybrid, will go beyond that date.
"Whichever way you look at it, the 2030 deadline is clearly a challenge for fleets, but I personally think it is a realistic ambition. However, it's critical that businesses start acting now with fleet replacement cycles averaging five years. Businesses need to start making informed decisions today to ensure transitions of their fleets are happening in the right time frame.
"The benefits of driving EVs, are well publicised - we are seeing that increased demand. We can look at the press, we can hear some of these negative stories, but fundamentally the demand from businesses and their drivers is increasing all the time because they know it's the right thing to do. Some of those benefits from financial grants and incentives, through to cheaper running and maintenance costs, and of course the environmental benefits - which are often forgotten - are pushing businesses forward towards that 2030 deadline.
"As an all-encompassing market, we all must participate. I think it's right that the whole market supports these UK businesses as we approach this deadline. That will mean that you need specialist charging infrastructure companies, like Drax, to come to market. Right the way through to the manufacturers, making sure we have enough electric vehicles in the market to meet demand.
"Drax is here to simplify the complexity, taking the pain points away from customers. The government have supported their ambitious targets with various financial incentives, grants, and policy, but having some consistency across how we operationalise that when we're deploying chargers in the field is an area of concern for customers. So how we marry up the ambition of the UK, alongside obtaining planning consent, or landlord consent, or upgrading the distribution network in which we connect to, they're all things that add complexity and time. I think anything the Government can do in terms of policy to streamline this will be essential in accelerating the transition as we go forward."
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