Pros and Cons of Electric Commercial Van or Car

Electric vehicles have taken the international automotives market by storm in recent years, with a wide array of new models for a variety of different use cases. Many potential buyers who might be looking to purchase a new vehicle might be wondering about the various benefits and potential drawbacks of owning an electric commercial car, especially in today’s day and age. Some might even be business wonders who are looking to acquire an electric car for commercial use, and might be curious as to how electric vehicles might perform in a business context. Fortunately, when it comes to purchasing an electric vehicle or electric commercial van Singapore is a great place to do so, due to a variety of factors. This article will thus address some of the general boons and possible banes to owning an electric vehicle in Singapore, while touching briefly on the performance of electric vehicles for commercial and business centric usage, so as to provide readers with a better understanding of electric vehicles and their various unique characteristics. 

The various pros and cons of electric vehicles can be roughly categorised into the following points below:

Benefit – reduced environmental impact

Perhaps the biggest benefit of electric vehicles would be their reduced environmental impact and increased environmental sustainability as compared to other internal combustion engine (ICE) cars. While traditional internal combustion engine cars rely on the burning of fossil fuels for the production of fuels such as petroleum and diesel, electric vehicles rely solely on electric batteries, thereby bypassing the burning of any components or any other fossil fuels. In today’s day and age where people and businesses are becoming increasingly concerned about their environmental footprint and sustainability, switching to an electric vehicle will certainly aid in cutting down on personal and organisational emissions, helping businesses to meet their Environmental, Social and Governance (ESG) goals at the same time. 

Benefit – cheaper operational costs

Another reason why businesses and individuals might want to consider purchasing an electric vehicle as their next car or business vehicle would be the cheaper operational costs which come with electric vehicles. Since electric vehicles are purely battery operated and do not run on fuels such as petroleum or diesel, they are not affected by the substantial fluctuations in oil, petrol and diesel prices which the world has been seeing as of late. 

As finite and non-renewable resources, petrol and diesel will always be constrained by practical supply issues, which could potentially continue to drive up fuel prices. On the other hand, since electric vehicles rely on battery charging, owners of electric vehicles are not as affected by the fluctuations and frequent changes in fuel prices. Comparatively, electricity prices are much more stable and do not fluctuate as much as fuel prices, so owners of electric vehicles may stand to benefit greatly from lower operational costs in the long run, as they save substantial amounts of money by not relying on fuel prices when operating an electric vehicle.

These cost savings are made even more substantial in the context of a business, where profit margins and cost control are extremely pivotal to the continued operation of a company. This might be the biggest reason why many companies and businesses are shifting their attention to electric vehicles, and even eying the acquisition of an electric car for commercial use. For instance, the VW electric commercial van by Volkswagen is one such electric commercial car which has seen heightened interest over the past few years, due to the lower operational costs and relative versatility. 

Benefit – governmental regulations and incentives

As part of efforts to improve the country’s overall environmental sustainability and environmental impact, the Singapore government has recently come up with a series of governmental policies, regulations, and incentives to encourage both individuals and businesses alike to consider switching to electric vehicles for a cleaner and greener future. 

Some governmental regulations that have been announced or implemented are as follows:

• Up to 45% off the Additional Registration Fee (ARF), capped at $15000
• Up to $15000 incentives for electric commercial vehicles which meet certain emissions requirements
• Emission rebates for less-pollutive electric vehicles

Concern – charging infrastructure

While electric vehicles provide numerous benefits for individuals and businesses, it is also important to discuss the various teething issues which might be more prevalent now. From a practical standpoint, the technology in electric vehicles is comparatively newer and more nascent than the mechanics and technology typically found in an internal combustion engine (ICE) vehicle. As a result, the corresponding infrastructure on the road might not be as well developed for electric vehicles as compared to that of internal combustion engine vehicles. 

One potential issue when it comes to electric vehicle infrastructure is charging points – because electric vehicles are much newer to the market, the number of charging points across Singapore is always bound to lag slightly behind. The Singapore government and the Land Transport Authority in particular are working together to substantially increase the number of charging points across Singapore, and this initiative is even being brought to public housing estates all over the mainland. Eventually, the number of charging points across Singapore will certainly be more than enough to meet the number of electric vehicles on the road, but at least for the next year or so businesses and individuals will have to adapt by finding charging points which are as close to their workplaces/homes as possible and using those charging points as an interim before more convenient charging points become available and accessible. 

Concern – potential shifts in usage behaviour

Because electric vehicles function slightly differently from other traditional internal combustion engine vehicles, there are some behavioural and usage-related changes which owners and businesses might have to take note of – one such adjustment would be related to the time taken to charge an electric vehicle. Traditionally, petrol can be pumped into internal combustion engine vehicles within a few minutes, which makes for a rather fast refuelling experience. On the other hand, however, electric vehicles would generally take a longer period of time to reach peak battery capacity. 

From a user standpoint, businesses and individuals have to take this additional charging time into account when using electric chargers, marking a shift in how users should adapt the electric vehicle’s battery. However, it is noting that in most electric vehicles a full charge can last for a longer period of time than a full tank of petrol in internal combustion engine vehicles, so perhaps this is a trade off that businesses might be willing to accept if it means that charging can be done much less frequently in the long run. 

Conclusion

To sum up, when it comes to owning an electric vehicle or electric commercial van Singapore and its unique market offers many reasons to consider the purchase of electric vehicles, due to the combination of factors such as government incentives and lower operational costs. While there may be some potential teething issues in the short run such as behavioural adjustments and a temporary lack of charging points in some places, these will likely be easily overcome within the next few years, making the value proposition of an electric vehicle very strong.