Charge Point Operators have a lot to think about when determining where to place a charging station, particularly as many EV customers are new to the practice of charging on the road. This post identifies eight considerations.
The availability of accessible, reliable charging is essential to broadening the adoption of electric vehicles (EVs). They are wondering, “Where do I charge when I’m on the road? How do a plan a long trip? What kind of charger will be at the next location?”
For Charge Point Operators, selecting the best locations to install EV chargers is critical for maximizing usage, profitability, and satisfying customers.
Eight Factors for Good Charge Point Site Selection
There are eight key factors for CPOs to consider when choosing where to install their next EV charge point, ensuring that CPO investments meet the needs of both EV drivers and their business. These factors highlight the complexity of making the right decisions in the early phases of EV adoption.
1. Who is the Target Market?
Before selecting a site, it’s essential to understand the needs and behaviors of the target market. Consider the following:
- Demographics: Are you targeting urban dwellers, suburban commuters, or long-distance travelers? Different demographics have varying charging needs and habits.
- EV Adoption Rates: Focus on areas with high or rapidly growing EV adoption rates. These locations are more likely to generate consistent usage for the charge points.
- Vehicle Types: Consider the types of EVs prevalent in the area. Larger vehicles may require faster chargers, while smaller urban EVs might only need Level 2 chargers.
2. Traffic and Visibility
This may be the most obvious consideration. Where is there high traffic and visibility to ensure customers are using the EV chargers frequently. When evaluating potential sites, assess:
- Traffic Volume: High-traffic areas such as shopping centers, highways, and busy urban streets are ideal for EV charging stations. The more people passing by, the greater the potential for usage.
- Proximity to Major Routes: Install chargers near major highways or busy corridors where long-distance travelers are likely to need charging. This is particularly important for fast chargers.
- Visibility: Chargers should be easy to spot from the road or parking areas. Signage and branding can also help attract drivers to the location.
3. Convenience and Amenities
Since charging may take more than the 5-10 minutes drivers are used to gassing up, the location should offer other services, or be adjacent to convenience stores and other services. Consider the following factors:
- Proximity to Destinations: Choose sites near popular destinations like shopping malls, restaurants, hotels, and office complexes. This allows drivers to charge their vehicles while running errands or attending meetings.
- Parking Availability: Ensure that there is ample parking space around the charging station. Dedicated EV parking spots are essential to prevent conflicts with non-EV drivers.
- Amenities: Locations with restrooms, food options, and free Wi-Fi can enhance the customer experience, encouraging drivers to choose one charge point over others.
4. Power Supply and Grid Capacity
The availability of a robust power supply is a critical consideration when installing EV charge points. Key aspects to evaluate include:
- Electrical Infrastructure: Assess the existing electrical infrastructure at the site. Installing high-power chargers may require significant upgrades to the grid, which can increase costs and timelines.
- Grid Capacity: Ensure that the local grid can handle the additional load from the EV chargers. Work with utility companies to understand the grid’s capacity and any potential limitations.
- Renewable Energy Sources: If possible, choose locations that can integrate renewable energy sources such as solar panels. This can reduce operational costs and appeal to environmentally conscious consumers.
5. Regulatory and Zoning Considerations
You may find the ideal location and then run into the trouble with local authorities, if you haven’t considered the regulatory landscape. Be sure to:
- Check Zoning Laws: Verify that the site is zoned for commercial use and allows for the installation of EV charging stations. Some areas may have restrictions on signage, parking, or power usage.
- Permits and Approvals: Obtain all necessary permits from local authorities. The permitting process can vary by location, so it’s important to understand the requirements early in the planning phase.
- Compliance with Standards: Ensure that chargers meet all relevant safety and accessibility standards, including those set by the Americans with Disabilities Act (ADA).
6. Cost and Return on Investment (ROI)
The ROI is more than a simple calculation on the margins of the charging fee. The financial viability of a site includes many factors, such as:
- Installation Costs: Consider the costs of site preparation, equipment, electrical work, and permits. Remote or complex sites may be more expensive to develop.
- Operating Costs: Estimate ongoing costs such as electricity, maintenance, and leasing fees. Locations with lower energy costs or available incentives can improve ROI.
- Revenue Potential: Analyze the revenue potential based on expected usage rates, charging fees, and any additional services offered at the site. High-traffic and high-demand areas are likely to generate higher returns.
7. Futureproofing and Scalability
As EV adoption grows, so too will the demand for charging infrastructure, as well as the ubiquity of options for EV drivers. When selecting a site, consider:
- Scalability: Choose sites that have the potential for expansion. This could mean room for additional chargers, higher capacity transformers, or space for future technology upgrades.
- Technological Advancements: Stay informed about emerging charging technologies such as ultra-fast chargers or wireless charging. Select sites that can accommodate these technologies as they become more widespread.
- Long-Term Contracts: Secure long-term leases or ownership of the property to protect the investment and ensure the longevity of the site.
8. Environmental and Community Impact
If a CPO wants its charging business to be a good neighbor, it must consider the broader impact of the charging station on the environment and local community:
- Environmental Benefits: Highlight the environmental benefits of the charging station, such as reducing greenhouse gas emissions. Sites that are perceived as environmentally friendly can attract more customers and support local sustainability goals.
- Community Engagement: Engage with the local community to gain support for the project. This can include offering discounts to residents, partnering with local businesses, or supporting community events.
- Mitigating Local Concerns: Address any potential concerns from the community, such as increased traffic or noise, by implementing thoughtful design and operational practices.
Conclusion
For CPOs, selecting the right site for each EV charge point is a multifaceted decision that requires careful consideration of market demand, location, infrastructure, costs, and future growth. By thoroughly evaluating these factors, charge point operators can maximize the success of their installations, provide valuable services to EV drivers, and contribute to the expansion of sustainable transportation infrastructure. With strategic site selection, charging stations can play a pivotal role in the growing EV ecosystem, driving both customer satisfaction and business profitability.