Insights / UK organisations’ barriers to electrification?

What are the barriers to electrification for UK organisations?

The benefits of electrification and of investing in charging facilities are clear. UK organisations can look beyond merely complying with government regulations to advantages including tax incentives, improved driver satisfaction, reduced emissions and fuel cost savings.

Yet over half of businesses haven’t installed any charge points to date. Our research into the state of fleet electrification in the UK studied the factors preventing organisations from taking the plunge.

Financial implications, fears relating to tech-suitability and competence, and concerns over derailing day-to-day operations were the most common barriers. Let’s take a quick look at each.

What are the barriers to electrification for UK organisations - article image

Money matters

25% of respondents cited ‘cost’ as the primary barrier to electric vehicle (EV) investment and over half listed it in their top three blockers. A third of responses featured the ‘current economic climate’ as one of the biggest obstacles.

But it isn’t just the lack of capital that’s preventing UK organisations from electrifying. Others specified the costs and uncertainty related to operating vehicles within London’s Ultra Low Emissions Zone as a worry. And a quarter of businesses mentioned ‘insufficient government support’ among their highest three barriers – though, interestingly, one in three respondents weren’t aware of the support that is available.

Technological discomfort

Among the less-common responses were concerns relating to EV affordability, availability, suitability and re-saleability, as well as fear over range and repair requirements. However, the sum of these responses showed that there are still doubts over electric vehicles themselves and whether they’re ready to satisfy business requirements.

Doubts over technical capacity and competence extended to business sites as well. Over 20% of respondents named ‘limited opportunities at our site(s)’ among their top three barriers to adoption. Others felt that their companies lacked either the in-house knowledge or capacity to manage the electrification process.

Unwanted disruption

More than a fifth of respondents felt that ‘disruption caused by the installation process’ was a leading reason not to introduce charging infrastructure. This, combined with the fact that 20% of UK businesses simply didn’t have the demand to warrant action, goes some way to explaining concerns over disturbing ‘business as usual’.

Our report, “Driving change: The state of fleet electrification in the UK”, digs deeper into the key barriers to electrification. It’s based on the results of 405 online surveys and eight in-depth interviews, and you can download your free copy here.

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