Are Car Charging Stations Profitable?
Here Are Car Charging Stations Profitable?
Car charging stations are more or less the same as gas stations, just like gas stations provide the required kind of gas for the vehicle, charging stations will provide the juice to the cars running on batteries.
These car charging stations have a lot to go in back so first of all we will see, what are these car charging stations and what is the requirement for them. Then we will see how they work followed by the benefits and harms of these car charging stations after which we will conclude and answer the main question.
What are car charging stations and what is the requirement for them?
Car charging stations are just like gas stations that provide electric vehicles with juice to go on. As we all know the electric car market is on a roll these days, people are getting more concerned about nature each passing day. With the increase of pollution, it was getting hard for everyone in the world but now since we have a replacement for gas engine-based cars, we are moving towards it.
As the need for gas stations, there is also a demand for car charging stations but the infrastructure is not that great as of now so it gets in the way of sales of cars as someone has a long-running on daily basis cannot use battery-based cars for those purposes because the batteries are not large enough to power the car for such a long distance.
That’s where charging stations come in, electric cars have different methods of charging such as portable chargers, home-based charging stations which provide the power of approx 15 amperes and takes a long time whereas these charging station have chargers that are fast chargers and can juice up the battery at a very fast speed and making it good to get back on track.
How do these charging station work?
These car charging stations have fast chargers or DC chargers installed to fast charge cars that use them. These stations are set up with a large number of chargers which people can use whenever they need to juice up their car.
The working of these charging station depends upon the consumer who wants to use it, if someone needs to charge their car they coma at the station us the charger and then pay the amount charged for using the charger to the organization or person who owns the particular charger.
Benefits of car charging station.
- The charging stations provide electric vehicle holders to charge their cars on the go. If someone has a long distance to go, they can stop at a charging station to charge their car in case their car ran out of battery.
- The fast charger at these charging stations would charge his car and he can leave as soon as he gets the required amount of battery capacity is reached.
- It reduces the issue that electric vehicle owners have while going for a long distance as there are fewer chargers available as of now, they can go for long trips without thinking of charging issues as earlier.
- New car buyers who are buying for the first time when they won’t have any range issue, they will also consider electric vehicle over gas-powered vehicles.
Disadvantages of car charging stations.
- The car charging stations use dc chargers which give fast charging and as a result, it degrades the battery in other words the more people use these fast chargers the faster their battery degrades.
- The battery of cars that are charged at home lasts longer as compared to the battery of cars charged at charging station.
- As the battery gets worn out faster the battery pack will need to be replaced with another new battery pack which will lead to a higher maintenance cost initially increasing the overall cost of the car in long term.
Types of electric vehicles: – BEVs, PHEVs, HEVs, and FCEVs.
Are car charging station profitable?
Coming back to our main question we can say that yes and no both can be the potential answer to this question.
Yes because the more people go on long tours they will have to use these charging station to charge their car in order to complete their journey which will initially make the organization more money. A factor that decides whether it will be profitable or not is the number of chargers available in the charging station, the greater the number of chargers the more people can charge at a time earning more profit.
No, because people owning electric vehicles mostly have a secondary car for long trips which is basically a gas-based car. These people tend to use their electric cars in the city for short distances like going to the office or basically to distances from where they do not need to charge their card for returning, because of this very reason they do not use the chargers available at charging stations which initially does not give the organization any profit from these car charging stations.
The installation charge of these charging station is also high as these fast chargers are costly compared to portable or home chargers.
People try to charge their cars at home as the battery lasts longer initially reducing the maintenance cost in long run. As of now the people who go for long routes either stay at a hotel at night and find a hotel which allows them to charge overnight and hence they do not need to go to any charging station and they can go on with their journey without stopping at some point.
The charging cost at these charging stations is far higher compared to home charging which is also the reason why people try to avoid charging at these charging stations and prefer to charge at their homes.
If we talk of the future the charging stations are going to be profitable as the sales of electric cars are increasing day by day. People are looking for charging stations all over the streets so that they can go on long routes with their electric cars without hesitating.
In some years when electric cars will get more and more popular the demand for these charging stations will increase compared to now. People who travel in the city only are not going to use these charging stations as there will be no need for them to use these stations.