buy electric car charging station:The price of charging
The basic question is what one kilo-Watt-hour (kWh) should cost. In this blog we will cover several aspects of this question. But first, a short side-step: what does a can of Coke cost? The answer depends of course on where and when you buy this can, whether it is cold, and which brand it is. At home from the fridge a can might cost 50 cents; on the terrace of your favourite bar it might be 5 times as much. The reason is that on the terrace you pay not only for the coke but also for the location and everything else. The same holds for electricity. Fast-charging along the highway is more expensive than at home. The reason is that you get more than just power; super-fast charging, along the highway and national coverage.
Below we will explain in depth the specific factors that determine the price of charging.
Charging at home is more expensive than you think
A lot of people take the price they pay at home for electricity as a reference point. On average, in the Netherlands this is 23 cent per kWh. In comparison, charging at a public location seems expensive. However, when you also take into account the additional investments in a home charger (that easily costs EUR 1,500) and possibly a heavier grid connection (EUR 100 per month in addition to the investments in the connection), the price per kWh is much higher than just the price of electricity..
The faster, the better
When on the road the speed of charging is especially important. You want to continue your journey as quick as possible, so the faster the better. That holds for both the speed of the charger (kW) and the time you take to get to that charger and back to the road. Charging along the highway means that you don’t have to leave the road and will waste less time. However, these A-locations along the highway are more expensive to operate.
Paying for quality
Nothing is more annoying than arriving with an empty battery to a charger that doesn’t work. It is therefore important that providers invest in systems that ensure that the chargers will always work. This costs money, not only for the purchase of qualitative chargers, but also for systems and people required to keep everything up and running. Another aspect of quality is that Fastned only supplies power from assigned sun and wind sources in the Netherlands. In this case you are sure that the CO2 emission of your electric car is zero.
The price of public charging
Charging away from home is available at public charging poles (3 to 11 kW) and at fast-chargers (50 kW). At a charging pole the price is around 30 cent per kWh, though the real costs are closer to EUR 1 (calculation based on publications by Stichting E-Laad). Charging poles in the Netherlands are heavily subsidised by local governments. This was key to kick-start the electric driving revolution but it is not realistic to expect that the community will continue to support this in the future on a much larger scale. At some point we will have to make the transition to a commercial charging price. This will should not pose a problem when electric cars and the charging infrastructure itself will become cheaper.
The market for electric driving is still in its development phase. Subsidies for the development of charging infrastructure are dispersed (per city) and concentrate on the placement and maintenance of charging poles. Fastned pleads for subsidisation per kWh to ensure that the entire offering of charging infrastructure is stimulated and not only slow charging poles. Through this alternative form of subsidisation the market can determine the ratio of slow vs fast charging. Another advantage: the subsidy per kWh can – in case electric cars are becoming cheaper and the market develops further – be lowered annually.
It’s in the mix
The price of charging will eventually be a sum of charging at different locations at different speeds and different prices. Whenever possible, you will charge at home or on the street for a low (subsidised) rate. Once in a while you will go on a longer trip and you will charge your battery as fast as possible on-the-go for a higher (competitive) price. The kilowatts might be more expensive there (NB, this depends on the subscription, charging behaviour and possibly subsidisation) but you are free to go wherever you want with your electric car.
The price of Fastned
Finally, a couple of comments on the price of charging at Fastned. Fastned is the first company that is seriously investing in a network of fast-charging stations in the Netherlands. Within two years, you will be able to fast-charge everywhere in the Netherlands, and the electric driver will be just as free as every other driver. This requires an investment of tens of millions of Euros. Fastned does not receive any subsidies and charges a commercial rate. The price per kWh is at par with existing providers of fast-charging services. When you opt for a Fastned flat-fee subscription, it is probably much cheaper.
The goal of Fastned is to be a profitable business (in the long run). This is important as we aim to finance further expansion of the network and to offer investors a return on their investment. The beauty is that everyone can share this profit by becoming co-owner of Fastned. As an investor in Fastned you will be able to charge at your own stations and possibly even earn back your charging costs with the return on this investment.