Plug Into EVS to Improve Your Company’s Bottom Line

Plug Into EVS to Improve Your Company's Bottom Line

Transportation is central to cleaning business operations, but it creates challenges for a company's sustainability goals. According to the U.S. Environmental Protection Agency (EPA), transportation was responsible for 29% of the United States' total greenhouse gas emissions in 2022, including both direct and indirect emissions.

Transitioning to electric vehicles (EVs) offers a practical and cost-effective way to reduce emissions and improve profitability, especially when it is time to replace older vehicles.

The growing case for EVs

EV adoption has surged, with almost 14 million new electric cars registered globally in 2023, bringing their total number on the roads to 40 million, according to the International Energy Agency (IEA). Improved battery technology, extended driving ranges, and government incentives have made EVs a viable choice for cleaning businesses that rely on fleets for deliveries, sales visits, and client services. Additionally, EV charging infrastructure is expanding rapidly, making the transition easier and more accessible for businesses of all sizes.

Switching to EVs enables businesses to demonstrate leadership in sustainability, a factor that is increasingly important to customers, stakeholders, and regulatory compliance. It's also a branding opportunity. Transitioning to EVs signals a commitment to reducing environmental impact, enhancing reputation, and building customer loyalty.

EVs vs. gas-powered vehicles

When considering service and sales vehicles, gas-powered sedans average 30 miles per gallon (mpg), costing about US$0.12 per mile at $3.50 per gallon, according to the U.S. Energy Information Administration (EIA). By comparison, an EV sedan averages 3.6 miles per kilowatt-hour (kWh), costing approximately $0.04 per mile at $0.15 per kWh, according to the EPA.

For a vehicle driven 20,000 miles annually, a gas vehicle will cost $2,333 per year, and an EV will cost $833 per year. That's $1,500 in annual fuel savings per vehicle, plus lower maintenance costs thanks to EVs' simpler mechanics and regenerative braking systems, which reduce wear and tear on components like brakes.

Gas-powered delivery vans typically achieve 15 mpg, costing $0.23 per mile, while electric vans average 2.3 miles per kilowatt-hour, costing approximately $0.07 per mile, according to the U.S. Department of Energy. For a van driven 25,000 miles annually, a gas van would cost $5,833 per year, and an electric van would cost $1,630 annually.

Switching to EV vans saves over $4,000 annually per vehicle, a significant benefit for distributors and manufacturers managing large fleets. Additionally, reduced downtime due to fewer mechanical issues translates to more consistent operations.

Potential policy changes

While the financial and operational benefits of EVs are clear, potential policy changes under a new federal government administration could impact adoption. However, many state-level incentives are expected to remain intact. Likewise, federal support for EV-charging infrastructure may decrease, but private investments and public-private partnerships are likely to fill the gap. The influence of Elon Musk-a prominent figure in the EV and battery industries-on future policy remains uncertain.

Despite these uncertainties, the long-term financial and environmental benefits of EVs continue to make them an attractive option for cleaning businesses.

Stephen P. Ashkin is president of The Ashkin Group, a consulting firm specializing in green cleaning and sustainability. He co-chairs ISSA's Sustainability Committee and can be reached at steve@ashkingroup.com.

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