With the demand for EVs (electric vehicles) growing, HeyCar reports UK EV car sales increased by 76.3 per cent in 2021. With the 2030 deadline to phase out the sale of petrol and diesel cars looming, the need for charging points within fuel station forecourts will be key for the ongoing growth of the industry.

The sector is already making some headway, with pioneering forecourts creating partnerships with EV charger developers. BP has created BP Pulse, for example, and Shell has Shell Recharge. Both are installing EV chargers at existing petrol stations with their partners, and also creating new fully electric forecourts.

It will soon become habit to always charge your car when you know you will be parked for a long time, at home or in the office, sometimes with just a 3.5kW charger (a regular mains plug). Ultra-rapid chargers will be used for longer journeys or in an emergency. These chargers can range from 8-30 ultra-rapid (150+kW), allowing drivers to rapidly charge in around 20-40 minutes.

Forecourts are along major trunk roads with high traffic volume per day. What is changing is that EV charger developers are making grid deals with electricity suppliers or investing themselves in solar farms nearby and potentially adding a private wire and battery storage on site to secure all electricity is utilised or bought in when the tariff is cheaper overnight.

While EVs are still more expensive than the comparable internal combustion engine alternative, prices are expected to reduce, both in the new and second hand markets, making EVs more affordable.

Only a small percentage of drivers also have space to park their cars off-street, with proportions varying greatly between city and rural locations. The UK Government has started a discussion to dedicate 10 per cent of all car park spaces to EV charging for new residential and office buildings. This will certainly help increase charging at home but will not keep up with growing demand, and continues to cut out those who do not have access to park at home in the first place. In addition to this, en-route vehicle charging will always be required for long journeys.

Looking ahead, we can expect to see the value of forecourt assets changing quickly: many owners of these assets may see the added value of having EV chargers on site and see the investment part of future proofing the site/securing tenants in the future and securing the grid while it is still available. For large EV forecourts (10+ ultra-rapid chargers) the cost of grid reinforcement can be prohibitive, but there are fully funded solutions from EV charger developers that will pay the landowner a rent over the lease period.

The customer experience will also play a significant role in the future of forecourts as we might expect to see a café, shop or restaurant on site for use while the vehicle is charging. For standard forecourts, the higher part of the revenue comes from the sale of food and drinks on site and not from the sale of petrol or diesel. This could mean we could see an increase in demand in retail and leisure to improve customers in-store experience.

Further information

Contact Silvia Manzoni

Why there is significant demand for EV charging points in the retail sector.