Tesla Is Moving Towards Fleet Vehicles As Operating Cost Reaches Tipping Point


Tesla is moving toward fleet vehicles as operating cost reaches a tipping point for electric vehicles, led by Model 3.

Model 3 is beginning to make waves in the world of the corporate fleet.

Many fleet managers who handle the numbers are beginning to realize that the electric vehicle offers some significant advantages.

Range has long been a limiting factor for corporate fleets to go electric, but the Model 3 and various electric vehicles have made it a thing of the past.

eIQ Mobility, a data science startup that has been working with Tesla to convince fleets to go electric, has unveiled a new standard metric, the EV Design Mileage, to determine if an EV’s range can meet the requirements. daily operations of an existing ICE vehicle.

EV Design Mileage considers the following:

  • ICE vehicle daily mileage distribution (usually over the course of a year)
  • ICE vehicle idling
  • Lower battery performance in extremely hot or cold climates
  • The use of heating and air conditioning for the comfort of the passengers.

The company is using electric vehicles that they believe have sufficient range in those circumstances:

For example, 89% of eIQ passenger cars have an EV design mileage of less than 310 miles, the long-range model 3 range. Our analysis shows that 93% of eIQ passenger cars have an EV design mileage that an available EV can satisfy. This shows that almost all the vehicles in the passenger car fleet that we have studied can be electrified without changing their driving habits.

These are some of the statistics about the EVs used by eIQ Mobility:

When fleet managers discover that the range is enough, they begin calculating the numbers and discover that gas and maintenance savings make electricity a no-brainer.

With over five years of ownership, the Model 3 is often cheaper than lower segment vehicles (via Loop Venture):

To convince fleet managers, Tesla has conducted “business webinars” to show them the advantage of going electric with Tesla:

“We are hosting our fourth webinar to cover everything you need to know about Tesla and the operation of electric vehicles as part of its fleet. We will provide a brief history of Tesla, including who we are and where we come from, but most importantly, we will cover what matters for the company’s fleets and car drivers, benefits for employers and employees, as well as technology topics. , load and security. We also invite you to ask any questions you have about the operation of electric vehicles as part of your fleet so that we can ensure that the session provides you with all the answers you need. “

Tesla has even greater opportunities in some markets where they implemented significant tax benefits for electric cars used by companies.

In the UK, the corporate car tax (benefit in kind) does not apply to electric cars:

“Beginning April 6, 2020, both new and existing Tesla cars will be eligible for a 0 percent BiK rate for fiscal year 2020/21. The BiK rate will increase to 1 percent in 2021/22 and 2 percent in 2022/23, holding at 2% for 2024/24 and 2024/25. The average gasoline or diesel vehicle has a BiK rate of 20 to 37 percent. “

The automaker has been putting pressure on corporate vehicle owners in the UK who would greatly benefit from electricity.

The taking of Electrek

I think it is obvious. With Model 3, the cost of operation is so low when it pays for itself in a few years that fleet managers should definitely consider it.

We are seeing many taxi companies and police fleets go electric, but I would like to see more corporate fleets take advantage of the economy here to be electric. I think it will be an important topic in the coming year.

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