Funded EV charging for garden centres, zero upfront costs
Garden centres looking to introduce EV charging but facing competing demands on capital expenditure now have another option, as ElectRoad unveils a new funded charging model designed to remove one of the biggest barriers to investment.
Recognising that the cost of purchasing and installing EV charging equipment can prevent otherwise interested retailers from progressing their plans, ElectRoad has developed a new funding solution that allows garden centres to introduce charging facilities without having to purchase the equipment upfront.
Built around a simple proposition, "You provide the power. We provide the chargers", the new model sees ElectRoad fund the agreed charging equipment and associated installation package, with the investment recovered through a share of charging revenue over an initial repayment period.
Rather than committing significant capital to the charging equipment at the outset, retailers can use the income generated by the chargers to help fund their introduction. Once the agreed equipment and installation investment has been recovered, the arrangement moves to ElectRoad's standard revenue-sharing model, with provision for ownership of the equipment to transfer to the garden centre.
The retailer remains responsible for providing a suitable electricity supply to the charging location, including any necessary power infrastructure works.
Removing the barriers to investment
The development follows ongoing conversations between ElectRoad and garden centre operators, which have highlighted the challenges of balancing new commercial opportunities against existing financial commitments.
For many retailers, EV charging presents an opportunity to improve customer facilities, encourage longer visits and establish an additional revenue stream. However, even where the commercial case is attractive, the initial investment can be difficult to prioritise alongside refurbishment programmes, stock purchases, operational improvements and other business development projects.
Richard Seppings, founder of ElectRoad, explained: "One of the things that has become increasingly clear through our conversations with garden centres is that a lack of interest isn't necessarily what's holding EV charging back. Many retailers understand the opportunity and can see how charging facilities might benefit their business. The challenge is finding the capital to make it happen when there are so many other demands on their budgets.
"We've been looking at how we can address that issue rather than simply accepting that retailers will have to revisit their plans at some point in the future. The result is a funding model that removes the need to purchase the charging equipment upfront and instead allows the chargers to contribute towards their own cost through the revenue they generate.
"It's about making the opportunity more accessible and giving garden centres greater flexibility over how they invest in EV charging."
A different approach to the commercial opportunity
The introduction of the funded model represents an evolution of ElectRoad's existing commercial proposition, which has focused on helping garden centres understand the financial potential of destination charging.
Previous financial modelling by ElectRoad has demonstrated how relatively modest levels of charger utilisation could support a viable business case, with just four charging sessions a day forming the basis of an illustrative model examining charging income and potential additional in-store expenditure.
The new funding arrangement builds on this thinking, offering an alternative route for retailers that recognise the long-term opportunity but are reluctant to commit significant capital to the charging equipment.
Importantly, the model also acknowledges that EV charging is not simply about generating income from electricity sales. By encouraging motorists to stop at garden centres, charging facilities can introduce new customers to the business and create additional opportunities across retail, catering and other on-site services.
Richard added: "Garden centres have a great deal to offer EV drivers. They're destinations where people can comfortably spend time, enjoy something to eat, browse the shop or explore the wider facilities while their vehicle charges.
"That wider customer opportunity has always been an important part of the ElectRoad proposition, but we also recognise that every business has its own financial priorities. We don't want the upfront cost of the charging equipment to be the reason a retailer decides it cannot move forward.
"By introducing a funded option alongside outright purchase, we're giving operators more choice and allowing them to identify the arrangement that best suits their business."
Giving garden centres greater choice
The funded charging model will sit alongside ElectRoad's existing purchase option, enabling retailers to select an approach that reflects their investment priorities, available infrastructure and long-term commercial objectives.
Under the funded arrangement, the level of investment, initial revenue share and repayment terms will be agreed according to the requirements of each installation.
For ElectRoad, the development is part of a wider commitment to making destination charging a more practical and commercially relevant proposition for the garden retail sector.
Richard concluded: "The conversation around EV charging needs to move beyond whether garden centres should install chargers and towards how we make it commercially achievable for more businesses.
"There's no single funding approach that's going to suit every retailer, which is why we're keen to offer greater flexibility. Ultimately, we want to help garden centres make the most of the opportunity without having to put other important investments on hold."
Find out more
Garden centres interested in exploring ElectRoad's funded EV charging model, or learning more about the commercial opportunities presented by destination charging, can visit www.electroad.network.