SME interview: What’s the business case for making the switch to EV?
Small business owner Paul Hagan explains why economical value and sustainable benefits convinced him to make the switch to electric for his fleet
Churchill Construction is an all-purpose construction company that operates out of Basildon in Essex, and specialises in roofing and cladding across the Home Counties. Three years ago, they decided to make the switch to an electric fleet and haven’t looked back. We talked to company director and head of communications, Paul Hagan, about why he made the decision and how it’s impacted on his business.
For Hagan, the motivation to make the switch was multi-faceted. Government-funded financial incentives such as the Plug-In Van Grant (PIVG) played a part. “You can still get £2,500 off any van under 2.5 tonnes and £5,000 off vans over 2.5 tonnes, which is quite a lot. I think it’s going to run until March 2025.” Between now and March 2025, businesses can benefit from the PiVG grant available on New Vauxhall Vivaro Electric ( £5000) and new Vauxhall Combo Electric (£2500). “And there’s also no road tax on electric vehicles until 2025 which is pretty good if you’ve got a fleet of vans.” In addition to the grants and savings on road tax, he also cites cost-cutting benefits including the exemption from Ultra Low Emission Zones and the widely available free parking for EVs.
A desire to do his bit for the environment was also a factor, with other motivations for moving away from internal combustion engine vans including the lower carbon emissions of electric vehicles, improving the air quality locally and the reduction in noise. More than anything else, though, Hagan was keen to make the switch to electric so he could attract new business to the company. Hagan’s teams are often installing solar panels or air source heat pumps and he was conscious he needed vehicles that were in line with these sustainable products.
Since he made the switch, he’s found the new fleet has met all his business needs. Charging hasn’t been a problem: some of the team charge their vans at the company’s central hub, others do it overnight at their houses, taking advantage of the cheap tariffs at night. And in terms of range, the electric vans have been more than up to the task. He’s also found running his new fleet incredibly cost effective compared to petrol and diesel-guzzling internal combustion engine vans. Even with electricity tariffs having gone up in the last 18 months it was still cheaper than petrol. “For a fully charged electric vehicle, you’re looking at 15 to 20 quid compared to double that at the pump so it’s still half the price.”
If Hagan’s experience is anything to go by, the message is clear. Cheaper to run, better for the environment and a serious competitive advantage, all-electric fleets are the future for businesses large and small.