The EV revolution: What does it mean for the logistics industry?

The logistics industry is always looking to advance and grow by introducing and embracing new technologies. This includes looking at how vehicles used for transportation and deliveries can be more effective and efficient including route planning, tracking software, and fuel-saving measures.

Electric vehicles (EVs) are a step further, offering an alternative solution to the traditional petrol or diesel fuel vehicles that many within the logistics industry currently use. As they become more available and the pressure grows for businesses to consider green alternatives, many will start evaluating the possibility of using EVs within their supply chain.

This piece will look at how electric vehicles sit within the logistics industry as well as the pros and cons behind them.  

How are electric vehicles used within the logistics industry?

There are many ways electric vehicles can be used within the logistics industry but one of the main uses could be for last-mile deliveries. Many cities around the UK are looking to introduce, or have already implemented, carbon emission zones that require high emission vehicles to pay to enter the city. EVs bypass these restrictions and offer a cost-effective solution to the final part of the supply chain.

Another way EVs are being used within the logistics industry is to provide added value to the brand, not only in the perception they offer but also in the savings achieved in maintenance and daily running of the vehicles. They also, in partnership with route optimisation software, can offer delivery efficiencies, taking into account charging times and maximising driving ranges.  

What are the benefits of electric vehicles?

There are a number of benefits to using electric vehicles, including:

• After the initial higher purchase price, electric vehicles are cheaper to run. Not only are fuel costs lower, but they also require less maintenance, cost little or nothing to tax, as well as pay no congestion charges within selected cities.
• EVs are better for the environment as they do not produce any tailpipe emissions, and therefore help to reduce local air pollution.
• There are government and manufacturer grants that help fund electric vehicles and charging points, making purchasing such vehicles more affordable.
• For many drivers, they find driving an electric vehicle a more pleasant experience, with a quieter engine and better handling due to the battery being on the floor giving better weight distribution.  

What are the drawbacks of electric vehicles?

As well as EVs having many benefits, there are also several drawbacks including:

• A low driving range even on a full charge means an EV has to be charged more often to cover the same mileage as a petrol or diesel vehicle.
• Higher initial purchasing cost.
• Finding a convenient charging station can be difficult and the act of charging takes longer than filling a vehicle with petrol or diesel.  

How will the introduction of electric vehicles impact the logistics industry?

For the day to day business in the logistics industry, the main impact of introducing EVs into the supply chain is factoring in changes to the delivery range and charging times. Both of these impact the schedule as although an electric vehicle can carry the same load as its fossil fuel counterpart, the vehicle may need charging on longer journeys.

Using planning software will be key in mitigating these changes and not passing the delays onto customers. As mentioned, planning software will be important to plan and optimise routes when using electric vehicles – but that planning software will also need to develop to be able to accommodate these needs. This includes calculating how far an EV can travel without needing to charge, as well as adding on convenient charging points and how long it will take to charge.

Although electric vehicles are typically used for shorter last-mile deliveries, this is likely to change and develop in the next few years as electric technology develops.  

Electric vehicle FAQs  

Are electric vehicles more sustainable?

This is a tricky question as yes, electric vehicles do not produce tailpipe emissions which makes them a lower-carbon option. However, the electricity that powers them primarily comes from burning fossil fuels. There is a similar issue with the carbon emissions produced when manufacturing EVs and their batteries. As the electricity and resources used to power and make EVs become more renewable, the more sustainable electric vehicles will be.

Are there enough public charging points to make EVs more mainstream?

Many companies who invest in EVs will also invest in private charging points but the concern over public charging points stems from those within the supply chain has to travel further than a single charge currently allows. As of March 2022, there are approximately 50,000 public charging points at over 18,500 locations in the UK. This number continues to grow but there is still a question over whether this is enough to meet the needs of individuals and companies.

Will I be forced into buying electric vehicles in the near future?

The UK Government have currently put into place plans to ban the sale of all new petrol and diesel cars and vans in 2030. This does not mean that any business owning petrol or diesel vehicles will have to give them up, but they will no longer be able to buy them new. Until 2035, anyone will be able to purchase a plug-in hybrid vehicle and after 2035, only new electric or hydrogen cars or vans will be available for purchase. This does not mean that individuals and businesses have to go and buy electric vehicles right away but it should be a consideration in the long term.  

Find out more

Whether your vehicles are powered by electricity or more traditional fuels, TouchStar can help digitalise and enhance your logistics. Our team of experts are on hand and more than happy to discuss key operational directives with you - get in touch today to find out more.