The future scope of electric vehicles – it begins now

Electric vehicles (EV) are the future of transportation. They’re a key piece of the puzzle when it comes to improving environmental sustainability, and we’re therefore seeing the shift towards EVs and new technologies gain ground. This applies to commercial vehicles, such as fleets of LCVs, just as much as passenger cars.

A GPS tracking solution can help manage electric vehicle fleets smarter and more efficiently for the sake of the environment, but also for the sake of your budget. Beyond utilising electric vehicles for a sustainable future, the EV market can also help you simplify compliance with emissions regulations and reduce your operational costs—the best of both worlds. So, it’s high time we took further steps towards electrification.

Let’s dive into the ins and outs of the future scope of electric vehicles and why it’s worth your while to electrify your fleet.

The status quo and future trajectory

Currently, electric and hybrid vehicles still represent only a small proportion of the New Zealand market. However, this landscape is poised to change dramatically—we’re on the cusp of real change. 

According to a study, “New Zealand's total EV fleet will reach 71,000 units in 2023, up from 41,189 units in 2022. By 2032, the end of our forecast period, we expect the local EV fleet to reach a high of 696,000 units and represent 15.4% of the total vehicle fleet” (1). 

This upward trend demonstrates how electric vehicles are the future of transportation in New Zealand (2). 

There are various reasons why the future scope of electric vehicles looks bright—not least the benefits they can bring to your fleet and business:

Benefits of fleet electrification

Environmental: An electric vehicle fleet reduces emissions and helps to tackle climate change. Showing a commitment to sustainability in this way has the knock-on effect of improving your brand reputation. It’s also a great way to comply with emissions regulations.

Economical: Although the purchase price may be higher for electric vehicles with new battery technology, the running costs are much lower than ICEs, making them more economical in the long run. 

Social and health: Electric vehicles produce less noise and are very comfortable to drive – for example, gear changes aren’t necessary. This helps improve the drive experience and reduce fatigue.

In addition to the advantages fast charging EVs bring to fleet managers, the measures that governments are implementing to encourage electrification further indicate that electric cars are the future.

Governmental emission reduction targets

Transport is “ one of our largest sources of greenhouse gas emissions. It is responsible for: approximately 17 percent of gross domestic emissions  39 per cent of total domestic CO2 emissions”.(3)

Like a lot of countries in the world, New Zealand is committed “to taking action against climate change and CO2 emissions”. On a broad level, the New Zealand government has set a goal “to largely decarbonise transport and set an emission reduction target for 2050”. (4)

Also, the Ministry of Transport in New Zealand stated that “pure EVs have around 60% fewer carbon dioxide emissions than petrol vehicles, and around 80% fewer carbon dioxide emissions when driven in New Zealand, as a result of our abundance of renewable electricity”. ( 5) 

The New Zealand Government recognizes the importance of electric vehicles to a sustainable future with zero emissions. 

Tax benefits and purchase incentives

The New Zealand Government recently announced “cash incentives for all retail purchases of full electric or hybrid vehicles registered in the private automobile classes”. According to the International Trade of Administration,  “these rebates are paid on all vehicles under a recommended retail price (RRP) of NZ$80,000 (US$56,000) and range from NZ$3,450 for used vehicle purchases to NZ$8,625 for all new vehicles”. (6)

Embracing the future scope of electric vehicles with Verizon Connect

Given that electric vehicles are the future of transportation, we’re committed to supporting you in managing electric vehicle fleets. Our existing fleet management solutions are already powerful tools at your disposal.

Now, we’re launching various new features to better support electric vehicle tracking and management in Reveal. These features are specially designed to help ease you into the adoption of electric vehicles in your fleet, meet your sustainability goals, and reduce costs.

The key features include:

• Fuel Type: Select “Battery Electric Vehicle” fuel type to help you distinguish your EVs from your ICEs (internal combustion engine vehicles).
• EV Icons: New icons to help you quickly identify your EVs on the Live Map, Reports, and Alerts.
• Mobile support: See your vehicles, EVs, and Asset location and status on the go with the Spotlight app.

Learn more about Verizon Connect solutions with our free Fleet Management Buyer's Guide.

Learn what sets Verizon Connect apart, and how local New Zealand businesses benefit from partnering with us for fleet management solutions.

Find out how our platform gives you the visibility you need to get more done.

Sources: 

(1-2) https://www.fitchsolutions.com/autos/new-zealand-ev-profile-shift-e-mobility-thrives-positive-impact-clean-car-discount-scheme-05-05-2023#:~:text=We%20expect%20New%20Zealand's%20total,of%20the%20total%20vehicle%20fleet

(3)(https://environment.govt.nz/assets/Emissions-reduction-plan-chapter-10-transport.pdf )

(4-5)https://www.transport.govt.nz/area-of-interest/environment-and-climate-change/electric-vehicles-programme/#:~:text=Owning%20and%20driving%20an%20EV&text=Pure%20EVs%20have%20around%2060,our%20abundance%20of%20renewable%20electricity.

(6) https://www.trade.gov/market-intelligence/new-zealands-electric-vehicle-opportunities