Insights > Thinking about electrifying your fleet? Driving profits, reducing emissions: The advantages of EV adoption

Driving profits, reducing emissions: The advantages of EV adoption

With the growing number of electric vehicle models entering the market, now is the time for fleet managers and business owners to consider fleet electrification. While the upfront cost of an EV might be higher than that of a comparable internal combustion engine vehicle, the long-term benefits can provide significant lifetime savings. Let's explore the benefits of EV adoption for businesses.

Electric vehicles have fewer moving parts compared to internal combustion engine vehicles, leading to lower maintenance costs. Here’s why:

• No oil changes or transmission fluid flushes: Fully electric vehicles don’t require these common maintenance tasks.
• Fewer component replacements: There are no timing belts, spark plugs, or engine-related parts to worry about.
• Regenerative braking systems: This reduces wear and tear on brake pads, further lowering maintenance expenses.

By eliminating many common maintenance requirements, EVs can help your business save considerable money over time.

One of the most significant benefits of driving an EV is saving on fuel costs. Electric vehicles use electricity as a fuel source, which is generally cheaper than gasoline or diesel. This leads to:

• Lower operating costs: Consistently lower fuel costs make EVs more economical over their lifespan.
• Predictable expenses: Electricity prices are more stable compared to fluctuating oil prices, providing more predictable operating costs for your business.

These fuel savings contribute directly to your company’s bottom line.

Safety is paramount for any business with a fleet of vehicles. When comparing EVs to internal combustion engine vehicles, EVs are generally considered safer due to additional safety certifications:

• Rigorous testing: EVs undergo extensive safety testing and must adhere to the same stringent standards as conventional vehicles.
• Lower center of gravity: This makes them more stable and reduces the risk of rollovers.
• Advanced driver assistance systems: Many EVs come equipped with advanced safety features, enhancing driver and passenger safety.

These safety enhancements can result in fewer accidents and lower insurance costs.

The transportation sector is the largest contributor to greenhouse gas emissions, accounting for 28% of all emissions, according to the EPA. Transitioning to EVs can significantly reduce your company’s carbon footprint:

• Zero Tailpipe emissions: Battery Electric Vehicles  produce no tailpipe emissions, drastically reducing air pollution.
• Lower Overall GHG Emissions: Depending on the electricity source, EVs can reduce overall emissions by 30-90%.

Adopting EVs aligns your business with global climate goals and promotes a greener image.

Tulane University provides a compelling example of a successful EV adoption. They introduced nine new electric shuttles, making them the first university in the New Orleans area to offer fully electric campus transportation. These shuttles are expected to provide over 260,000 rides annually. Key benefits realized include:

• Projected 33% reduction in GHG emissions: Compared to the replaced vehicles, the new shuttles significantly cut emissions.
• Lower operational costs: After just six months, Tulane reports reduced operational costs.
• Enhanced rider experience: Students enjoy the new, clean, and quiet electric vehicles.

This initiative, partially supported by a $737,500 grant from the Department of Energy and in-kind contributions and incentives from Entergy, along with consultation on vehicles and chargers, has helped Tulane University move closer to its climate action goals while reducing air pollution and operational costs.

Fleet electrification is a gradual process and requires some advanced planning to be successful. Considering going electric? Here are some steps to get started:

1. Evaluate your current fleet: Assess the current vehicles in your fleet and identify which ones could be replaced with EVs.
2. Research available EV models: Look into various EV models that suit your business needs
3. Consider charging infrastructure: Plan and install the necessary charging infrastructure to support your EV fleet. Not sure where to start? Entergy will do all the legwork to set you up for fleet electrification. From assessing your site and helping you select a third-party charging station vendor to Entergy owning the equipment and managing the on-site installation, we take care of everything so it’s seamless and streamlined. We will even pay the high upfront capital costs for the charging infrastructure and installation, and you can pay us over time. ​Contact your account manager to get started.
4. Calculate total cost of ownership: Compare the cost of owning an EV versus an internal combustion engine vehicle, factoring in maintenance, fuel, and operational costs. Get a personalized report using our calculator.
5. Seek funding and incentives: Explore available funding, rebates, tax credits and incentives to help offset the initial costs of EV adoption. Entergy also offers various to get customers charged.

Electric vehicles will be a game changer for fleets and businesses. With more time on the road and less time at the pumps, fleet managers and business owners can improve their bottom line while becoming more sustainable.

Ready to make the shift to a greener future? Learn more about how EV adoption can transform your business. Sign up for our free consultation today and start reaping the benefits of electric vehicles by emailing electricfleets@entergy.com, calling 1-800-368-3749 (1-800-ENTERGY).