Automotive executives are predicting a sweeping transformation of the automotive sector in the next five to 10 years, according to a 2021 study by KPMG.
In particular, executives expect that 52% of new vehicle sales in the United States will be of all-electric vehicles by 2030.
They also anticipate a corresponding widespread adoption of direct-current (DC) fast chargers, or level three chargers. DC fast chargers use high-kilowatt power to replenish the battery of electric vehicles (EVs) up to 80% in about a 20-minute period. Currently, level two chargers, which use alternating current and run on 240-volt circuits, are the most common type of EV charging that businesses use.
The EV revolution will affect every aspect of a car dealership’s operations, presenting opportunities but also sparking many questions. To address car dealerships’ issues and concerns, the National Automobile Dealers Association (NADA) has selected Future Energy president Dan Young to speak at the NADA Show 2022. He will discuss the future of electrification and what EV charging will mean for your business.
Recognizing the Urgency of Electrification for Your Dealership
President Joe Biden’s EV infrastructure plan sets aside $15 billion for infrastructure improvements, which includes installation of 500,000 EV charging stations. This presents opportunities for businesses that wish to install level two and level three EV charging stations on their premises. (Level one chargers use 120-volt ports, which are standard in residential homes.)
Demand for EV Chargers
To accommodate the increasing number of EVs, the Unites States will need around 50,000 DC fast chargers and 1.2 million level two ports, estimates the National Renewable Energy Laboratory.
Upgrades to Electrical Systems
At NADA, Future Energy will be addressing the challenges in meeting this projected EV charger demand, such as the improvement to electrical infrastructure. Many utility companies are still developing plans to handle the sudden, massive demand on the grid.
As a result, it’s important for dealerships to think about incorporating EV charging now in order to get to the front of the line for a potential electrical upgrade.
Financial Incentive Availability
Future Energy also will delineate the numerous incentives available that can cover up to 100% of your cost for EV charger installation. Another reason to act now is that companies are competing for the same limited pool of funds.
Understanding Electrification Challenges for Dealerships
As the burgeoning EV market takes hold, there are few places a dealership can get comprehensive answers, or even direction on the right questions to be asking. Future Energy is in a unique position to answer these questions, coming to the table with dealership-specific experience in hand.
That’s why the NADA Show 2022 is emphasizing educational opportunities to learn about the emerging trend of electrification and its implications. For example, EV solutions are included in more than 100 workshops.
Improving Electrical Infrastructure
Future Energy has experience working with the more than 3,200 local utilities in the United States to help your dealership upgrade its electrical infrastructure. In many cases, the utility needs to run additional lines, meters, panels, and breakers, or even transformers to support the anticipated load of EV charging.
Plus, Future Energy will explain how burgeoning innovative technologies can help make your dealership energy independent.
Integrating Electrical Use into Your Business
EV charging stations connected to the local electrical grid may be subject to capacity charges that can affect your utility rate.
The management of peak load is a major challenge for dealerships. Future Energy will be addressing this challenge and how your company can use data-driven solutions to drive cost management.
Managing Inventory
A report by the consulting firm McKinsey & Company indicates that automotive original equipment manufacturers are looking to become increasingly involved with EV charging infrastructure. Yet while original equipment manufacturers may help fill the need for hardware, many aren’t familiar with the particular needs of your dealership in supporting EV inventory.
For instance, Future Energy will be talking about how EV charging solutions keep your test vehicles ready for customers. Plus, you can use data from your EV chargers for greater efficiency in tracking inventory.
Finding Financial Assistance
As competition for financial incentives increases, your dealership benefits from working with a company such as Future Energy, which identifies programs and understands the complex requirements.
Future Energy maintains a financial incentives national database (FIND) that lists every available incentive in the United States. We will discuss our FIND tool at the NADA Show, explaining how we use it to help dealerships use tax write-offs, utility rebates, and other incentives to offset costs.
Learning More about EV Charging with Future Energy
As a subject matter expert in electrification for dealerships, Future Energy will be available at several locations during the NADA Show 2022.
Stellantis Corporate Booth
Future Energy will appear in the booth of the manufacturer Stellantis, which represents 2,600 dealerships across the United States. This year, Future Energy is conducting an EV impact study™ for Stellantis, whose brands include Dodge, Chrysler, and Jeep.
The purpose of the EV impact study™ is to prepare the 2,600 Stellantis dealerships for an influx of EV inventory. Stellantis wishes to help its dealers create the necessary infrastructure to be ready for the increase in EV demand.
EV Solutions Center
Future Energy representatives will be available at the EV Solutions Center at the NADA Show. As subject matter experts, we can provide individualized answers to your dealership’s questions.
NADA Dealer Learning Lab
Also, NADA has asked Future Energy’s Dan Young to speak at the inaugural Dealer Learning Lab.
The Lab is on the floor at Booth 1911W next to the NADA Pavilion in the West Expo Hall.
The Dealer Learning Lab will feature a series of 20-minute TED-style talks to educate participants on a host of relevant topics. Because of its casual setting, attendees will be able to engage with Future Energy for more information on the future of EV charging for dealerships.
Finding Answers to EV Charging Questions at NADA with Future Energy
Future Energy experts are looking forward to explaining the comprehensive, often complex processes involved with your dealership’s transition to electric vehicles.
Sales and Showroom
Your sales associates can educate customers about EV charging through showroom displays. Behind the scenes, your EV charging solutions will keep your inventory charged and help optimize out-lot management.
Public-Facing EV Charging
Many incentive programs require you to maintain EV charging ports for the public.
Employee Benefits
You can attract and retain employees with on-premises EV chargers, which your employees will see as a benefit.
Service Department
Customers will be pleased if your technicians can return their vehicles fully charged.
Putting It All Together with Future Energy
The NADA Show 2022 will take place in Las Vegas, Nevada, beginning March 10. Come meet Future Energy at the following locations:
Dealer Learning Lab, where Future Energy president Dan Young is scheduled to speak on March 12 at 2:00 p.m.
Stellantis Corporate Booth, West Hall, Booth 1463W
EV Solutions Center, North Hall, Booth 6557N
In the meantime, contact us to learn what the future of electrification means for your dealership.
