Electric vehicles are still trying to prove themselves to the masses, with issues related to infrastructure, charging time, high initial costs, and resale values keeping skeptics away. But while EVs may not be ideal for everyone, there’s a good chance you’ve had a thought similar to this: “You know what would be a great application for EVs? Buses, utility vehicles, postal vehicles, and other fleets with short, predictable routes.” Well, Cox Automotive has new data showing that, indeed, fleets love EVs. Here’s why.
The news comes to us from Cox Automotive‘s story titled “Cox Automotive Study: Fleet Owners More Satisfied With EVs Than ICE Alternatives, Despite Higher Acquisition Costs, Frequency of Service and Maintenance.” In the accompanying report, figures collected in Q1 this year show that fleets are big into their new electric vehicles. Market penetration is still low, with just 14% of fleets running EVs. However, those that have jumped on board are saying they’re reaping the benefits.
The momentum eppears to be shifting towards broader acceptance. Cox reports that fleets that already have EVs are almost certainly going to get more, and even fleets without EVs say they’ve probably got EVs in their future. From Cox Automotive’s article:
Fleet operators that currently employ EV, the new study reveals, have a striking 90% likelihood of acquiring additional EVs in the next acquisition cycle. Among the total sample of fleets owners (those with and without EVs), a vast majority – 87% – expect EVs to be added to their fleets in the next five years.
If you’ve thought that EVs should offer savings for fleets, not just in fuel costs but in maintenance costs, well: Cox’s data seems to indicate just that. From Cox Automotive:
When it comes to maintenance and repairs – a cornerstone of the fleet business which values uptime and low cost of ownership – fleet operators that employ both EVs and ICE vehicles are more satisfied with their EV vehicles. The survey results indicate EVs have a slightly higher frequency of service compared to ICE vehicles, but nearly half of EV fleet owners (48%) are more satisfied with their EV products. Comparatively, 27% of owners are more satisfied with their ICE products when it comes to service; 24% see no difference in satisfaction level between ICE and EV products.
Fleets are also very aware of available incentives for electric vehicles, with 47% of those in the know believing that EV incentives for fleets are higher than those for retail customers, Cox reports.
Ultimately, EVs scored the highest for “overall satisfaction” and “total costs of ownership” in Cox Automotive’s survey. EVs also did better on “ability to complete business purpose” and “vehicle usage and capability.”
More growth is likely on the horizon, too, with Cox writing: “When asked, fleet owners forecast that the EV share of the average fleet in five years would be 43%.”
Fleets that already own EVs were more optimistic, expecting 58% share in the same time period, per Cox. That would be a monumental shift, though it’s worth remembering that fleets turn over vehicles more quickly than the broader automotive population.
It’s worth remembering that fleet operators are pragmatic. They’re driven to purchase what works, not what’s trendy.
“In many ways, electric vehicles can be an ideal solution for many fleet operations, which often have set routes of known distances, vehicles that routinely overnight in the same location, and operations that prioritize the cost of ownership,” says Zo Rahim, senior manager of Research and Market Intelligence at Cox Automotive. “The fleet business is significant in the U.S. market, and we expect the EV share of the fleet market to expand in the coming years.”
We’ve seen the data, but anecdotes exist too. South Pasadena Police Department has made waves of late with its decision to go fully electric. “Simply put, the Tesla Model Y we identified as meeting and/or exceeding our needs for patrol operations is safer, out-performs, and costs significant less to power/fuel & maintain than the gas-powered vehicles we use now,” stated the agency. “When you add the climate and health benefits of eliminating greenhouse gas (GHG) emissions on top of the economic and performance benefits, the decision to transition became a no-brainer.”
South Pasadena Police Department on Teslas: “Tesla was not only a viable option, but it was the best option. We got a much better performing car that costs significantly less to maintain. Our admin fleet in the first year had absolutely no maintenance. pic.twitter.com/qUCrdd78Xx
— Sawyer Merritt (@SawyerMerritt) July 25, 2024
Dozens of city employees got to demo some EVs today as we work to transition the city's fleet to electric⚡????
From inspectors, animal control, crime scene investigators & beyond – vehicles are used by the city every day to transport necessities. EVs will cut costs + emissions! pic.twitter.com/XoErEwPSFt
— Indy Office of Sustainability (@SustainIndy) July 24, 2024
Other great examples include Amazon’s fleet of Rivian delivery vans, or Canoo’s new mail vehicle for the USPS. Whole states are getting onboard, too; the Indianapolis Office of Sustainability is working towards that very goal. EVs are also becoming a big deal in the rental and rideshare sectors, both with individual operators and companies like Revel.
The Department of Energy is doing its part, too, supporting companies and organizations that wish to transition some or all of their fleet to electric drive. The Alternative Fuels Data Center maintains a useful starter guide for those taking the first steps into electrifying their vehicle operations.
Of course, it’s not all sunshine and roses. You don’t have to look too hard to find some examples of fleets struggling with going electric. Down in Austin, Texas, CapMetro has had to abandon plans to shift to an all-electric bus fleet. Range limitations have halted progress. The public transit operator found that its electric buses needed recharging on an 8-to-10-hour basis—creating logistical hurdles diesel buses didn’t have. As always, the golden rule is that the vehicle must be fit for purpose to succeed, electric or otherwise. Still, the agency is persevering with a mix of vehicle types going forward. [Ed Note: Rental cars, too, have had some issues with EVs. People want to fly in somewhere, drive, and not have to worry about finding chargers. EVs aren’t really ideal as rental cars just yet, especially in certain parts of the country. -DT].
Electric Bus Charging Infrastructure
-Contract with Technology International, Inc.
-Transformers and Switchboards to enable end-of-line charging
-Installation along the new #CapMetroRapid Lines and at 2910 E. 5th Street facility pic.twitter.com/pTlDsf8k7Z— CapMetro (@CapMetroATX) October 23, 2023
CapMetro has followed an ambitious acquisition scheme for electric buses, but it hasn’t been without hurdles along the way.
The simple fact is that EVs have come a long way. We’re no longer sitting at that early 2010s technology level, where ranges were small, charging was glacial, and costs were absurd. With the right infrastructure, the right incentives, and the right vehicles on the job, EVs can perform just as well, if not better, than their traditional ICE rivals. Obviously, they have to be used and supported properly. But the fact that so many fleet buyers seem to be digging them is proof that the technology is reaching a new level of maturity.
So if you thought that fleets — many of which have vehicles driving predictable, repeatable routes — are an ideal application for EVs, then it looks like your intuition was right. Now let’s get more of our postal vehicles driving electric.
Image credits: Cox Automotive, South Pasadena Police Department, CapMetro, USPS
The issue I have with this entire notion is the word “incentives”.
It’s completely skipped in any comments to this point.
That’s my money (and yours) going to any fleet that wants to go electric. Amazon – one of the more profitable companies in the US – is getting tax “incentives” to electrify their fleet.
In the US I thought the idea was to develop a product and bring it to market. If it is accepted it will succeed. Without taxpayer “incentives”.
Maybe I’m wrong…
Agreed, but let’s also kill fuel subsidies and raise the gas tax to where the law says it should be…
I’ve got something of a fleet. Guess I should go electric.
The placement and angle of that Revel logo on the rear doors is driving me bonkers. Can a designer chime in and explain why they may have made this choice? It looks so awkward to me.
One day, on a Tuesday morning, the garbage truck will pass our subdivision in a quiet matter, my dog will be chilling, not getting angry at the garbage truck like the enemy she think they are. I am hoping to see that day sooner than later.
Amen!!
When that day comes, you’ll be cursing that quiet truck for not alerting you to the fact that you’ve forgotten to put the bins out in time.
Same goes for small engines. Lawn mowers. Leaf blowers. I work from home and they are running allll day in the neighborhood.
Oh man, the electric yard stuff is such a massive upgrade as a homeowner. No fighting carbs or worrying about winterizing or oil/gas mix or how old the fuel is, just toss a battery on it and go. No ear protection needed for the mower or even the leafblower either, and I don’t have to be nearly as careful about what time of day I’m using it. The electric mower across the street is quieter than the gas mower four or five doors down, and the leafblower you basically can’t hear indoors unless a window’s open.
It drives me insane how every one else in my neighborhood of small quarter acre lots has this giant gas-powered lawn equipment. It’s so overkill I think they could probably blow the grass off their driveways and sidewalks without ever taking a step. 😛
I’ve been telling this to many of the cities I work with for years.
8 year, 100,000 mile warranty on the major powertrain (most cities replace their fleet vehicles every 8-10 years, expect police which are more like 4 year).similar cost vehiclesless maintenanceno time spent fuelingno wear and tear on the engine when idling ( a lot of these vehicle idle a lot!)brakes last so much longer. most city vehicles except the police don’t leave the city limits and rarely put more than 40-50 miles on them a day.cheaper fuel costsUsually grants are available to cover the infrastructure and sometimes part of the vehicle.It’s a big savings to city taxpayers over the life of the vehicle.
There’s always some council member who acts like an idiot and spouts off every false talking point to try to derail it.
I don’t ever get into the politics or environmental things. It’s just a dollars and cents issue to me. Every well-done study I’ve seen shows tens of thousands of dollars in savings for city fleets over the lifetime of the vehicle.
But it’s “woke” to give a shit about the environment. That’s it. That’s the argument against. Turns out conservatives are not actually fiscally driven. My city council turned down free state and federal dollars for electric vehicle chargers because of this idiocy.
Those are the kind of idiots who should be voted out ASAP (but likely won’t, if they’re an accurate representation of your voters).
It’s a 50/50 mix of Let’s Go Brandon and Pride flags so always a coin toss. I’m encouraged by all the young people running for council seats though.
Stepson is a code enforcement officer for City of Pittsburgh with a fleet Chevy Bolt. These sorts of things are perfect EV applications. Police too, except Highway Patrol duty.
Even highway patrol should go hybrid, fact is top speed is really not a factor (you can’t outrun the Motorola) and they usually have great acceleration due to electric motor boost. Hybrids just sip gas when idling, only running motor as needed while AC etc are electric.
I saw the UK equivalent of highway patrol using EV6’s on the motorways (think interstates) on my annual trip out there this year. I hope they were the EV6 GT versions they were all going the other way so I didn’t have time to see which version they were.
This country is vast, actually another point in favor of Hybrid. My 2014 Camry hybrid regularly returns almost 600 miles on a full 14.5 gallon tank. My bladder doesn’t last near that long.
Sure, but police don’t go from Dallas to NYC. Nor are they going to do 600mi in one shot.
I’m sure most have a working range similar as an Amazon delivery truck, and if they used the radio that an EV would be more than doable.
Maybe highway patrol would stop causing fires when idling on the side of the road if they want hybrid.
Oh, come on Lewin, do your job. They state that the EVs have a higher frequency of maintenance, but as an EV owner I know that’s not even remotely true. You know, and so does the editor, that as well. Please show us some critical thinking here. I’m already past my mental capacity so I need you to spoon feed me the facts.
The severity is based on responses from fleet owners. So unless those fleet owners are lying for some obscure reason (they all seem to be pro EV so lying to make EVs look bad makes no sense as a motivation) then there is just something we aren’t seeing. But way to play internet cowboy and insult the Autopian’s integrity instead of just considering that there might be information you don’t have, and then requesting that information. Good on ya!
I’d like to see the definition of maintenance. Only thing I can think of is the vehicle being down for software updates or new tires.
Dude, the article is just quoting results from the survey of fleet owners. Aggrandized-butthurt is not an appropriate response to simple reporting of data. Two seconds of thinking might result in a possible explanation for this, such as “commercial/municipal fleet vehicles have different use cases and maintenance requirements than my personal use case, how fascinating!”
I understand that. But I expect more from an automotive focused site that just copying a press release.
I own a 2020 Model Y, I’ve had 70k miles on it. I’ve had a truckload more maintenance than my hybrid before it. My 2018 FFH saw 2 oil changes in 30k miles. That is it. My MY has had something like 10-15 service visits. I love the car, it has been so much fun, but Teslas tend to have a **lot** of little issues that add up. And most other EVs are also early model year options that have similarly higher levels of growing pains. That doesn’t mean the maintenance is expensive or problematic, but it is easy to believe that it could be temporarily higher than the well established (and honestly ancient) ICE fleet equivalents.
EVs needing less maintenance has been something that should be true in theory, but even in the private sector has not been the case in real life. My guess is that “maintenance” covers a wide range of things, brakes, tires, fluid changes sure, but also dealer visits for recalls and software updates which EVs tend to have a lot more of since they mostly try to aim at the tech-first end of the market. But don’t let facts get in the way of your angry rant
Probably a lot of little first-gen issues, too. Even a first-year ICE is rarely a whole new motor or transmission, but something like the 3rd to 10th iteration with moderate upgrades, and same for all the peripheral bits etc. Tesla’s about the only one making later-gen BEVs at this point, but they’re Tesla.
You want me to lie about the survey results they got? I am not following you here.
To me, postal vehicles are the most obvious use case for EVs. They idle a *lot*, but idling means nothing to an EV. Buses too, except a city bus is not exactly a short route vehicle, so I’m skeptical. School buses would be great though, and then you’d be taking some pollution (and noise) out of specifically residential areas.
As long as the school bus can be plugged in during downtime at the depot. They probably run 2-3 hours at a time then down until school ends and overnight. I’m in the Pittsburgh exburbs and guesstimate our overall routes are 100 miles or so (busses pick up and drop off high and middle school students then run a new local route for elementary students)
Transit busses are a different animal, may be better to swap busses every X miles/hours but that is a LOT of capital expense to swallow.
Postal should be a good application in most locales.
That’s just what I was thinking about city buses. The route may be short, but they drive it all day long. If it’s a frequent bus, there might be several driving the route all at once. The idea of swapping buses frequently could end up with a *ton* of buses being necessary. Some sort of swappable battery system might be the solution there.
Some places are doing induction charging loops or overhead contacts at bus stops to top up the buses.
Even if it just adds 3-5% at each time point and <1% at each normal spot, it should be enough to not have to swap buses or batteries.
Now that you say it, when I lived in Seattle in the 90s, I had to take a bus into downtown, and they would switch to electric and use the overhead wires to go into the bus tunnel. It was cumbersome and the driver often had to get out and mess with it, but that was 30+ years ago. I feel silly for not thinking about that while reading this article.
I didn’t even think about trolley buses when making my comment.
I don’t know how the cost of running overhead wires compares to buying big enough batteries to not need the wire.
San Francisco and Vancouver also use trolley buses since electric buses handled the hills better than the old diesels that were available when they started the trolley bus lines.
We had electric buses for decades – the trolleybus, which used regular wheels and tires instead of tracks but connected to overhead wires for power. I took them a few times when I was in college; there was this jingling sound that made it seem as if the bus got its motive power directly from the change deposited for the fare. There still are some overseas and in Philadelphia, San Francisco, Seattle and Dayton (!). The routes were fixed and the wires are unsightly, and the power lines require additional maintenance, but combining wires on select routes with batteries to cover anything off those routes would ameliorate at least some of that.
And a set of wires over Interstate highways for your private EV to grab onto would not only be a clean range extender but also make self-driving a lot easier task and cut way down on all those guys changing lanes every couple of seconds. Call it the “extension cord solution.”
Unless then battery swap is automated I don’t see this happening. Even then, you can’t interrupt routes to return to maintenance depot regularly. These would need distributed strategically through the system to be effective.
I hadn’t really thought about police cars but that’s a good application for EVs too. Idling for long periods doesn’t cause any problems for EVs like it does for ICE cars. Anytime you have the combination of the below it’s going to be a good fit for EVs:
Electric school bus fleets are almost an ideal scenario. Shorter trips with long periods of idle time.
Most area delivery vehicles could easily be electric. They may be out all day, but they typically don’t drive that far.
I noticed my town bought some F-150 Lightnings for the public works guys. The rest of the fleet are mostly Nissan Frontiers. If the math makes sense, why not? Most of the time I see these guys out “inspecting” different things like fire hydrants, making sure trash pickup happened, not hauling or offroading. Could probably do it with a Bolt.
So, how does this mesh with the Hertz experience?
Fleets will likely have their own chargers installed, Pepsi and Lays do that for the Semi. Same with electric school bus fleets.
Rental fleets are a very different situation from employee-drive corporate fleets.
Yeah, while the article does touch on rentals they’re clearly focusing on things like buses and delivery vehicles which often have set routes and return back to base every day, which does not apply to rental cars.
It’s a lot easier to train fleet maintenance staff to regularly deal with EVs than to let loose a tourist/business traveler with no knowledge of either EVs or the local charging infrastructure on a rental EV.
Presumably the fleet operator would know the driver didn’t steal it.
Fuel costs were always paid by the customer anyway so any savings there won’t materialize like they would with an organization fleet.
An individual customer renting likely doesn’t have a fixed, around-town schedule so they have to deal with figuring out how to charge both during the rental and right before returning the vehicle, a user experience negative. (not to mention those stories of folks being charged for not putting gas in their electric car but like the whole “reporting as stolen” snafu, that’s a Hertz problem)
The big one is that they bought and ran a large number of Teslas where collision/body repair costs are likely head-and-shoulders above similar vehicles and I can see that easily torpedoing any savings.
I know they were Model 3’s but I think the Cybertruck’s parts availability and myriad of other issues from build, design to logistics is pretty telling of the Tesla experience.
In addition to the other points, the fleet operators probably put thought and effort into logistics and budgeting instead of buying a ton of electric cars at full inflated MSRP during peak demand and YOLOing the deployment.
Are there any details about what maintenance is higher? Is it just more tire changes? What about EVs is causing higher maintenance frequency? I was not expecting that factor to be higher for EV.
Tires are the only thing I could think of. I had a Volt for 5 years, and even with an engine, my only major maintenance was an oil change every 2 years (I drove very little on gas), and a coolant flush of all 3 loops every 5 years. Brake fluid changes still need to happen. It really should be less maintenance overall.
“Should be less” – yeah, but current (heh heh) EVs have had a good number of software issues and recalls, and that’s without figuring in Tesla’s… um, uneven craftsmanship. That will improve as the segment matures, though.
This is fleet vehicles, so the population includes a lot more heavy duty high mileage stuff like garbage trucks and transit buses, which average something like 30-40k miles a year, hauling heavy loads. Heavy duty ICE drivetrains are much more of a known quantity that have been engineering for reliability for the past century. Heavy duty EV drivetrains are pretty new, so it’s understandable there’s still some quirks being worked out.