Car Buyer Advice

Let’s talk: Pros and cons of electric commercial vehicles

Have you heard of it? The number of electric commercial vehicles (ECVs) in Singapore has increased by threefold! This is a significant win for our country, and helps accelerate the Singapore Green Plan 2030 to achieve the vision of 100% cleaner energy vehicles by 2040.

The adoption of electric vehicles is fairly visible in many emerging economies, thanks to a substantial expansion in areas such as logistics and supply chain industries. Governments all around the world are urging vehicle manufacturers to invest in developing electric vehicles to reduce carbon emissions caused by diesel fuel combustion and tackle greenhouse gas emissions.

Locally, the Singapore government has set aside $30 million for EV-related initiatives and is currently working to aggressively accelerate the Green Plan and strategically convert motor vehicles on the roads to EVs. In this article, we’ll be sharing the pros and cons of ECVs, and why it’s becoming increasingly popular to make the switch to green.

Pros

1. Cheaper running costs

Yes, it’s proven and on the news that electric vehicles cost less than half as much to drive. According to a 2018 study by Michael Sivak and Brandon Schoettle of Michigan’s Transportation Research Institute, you can net in savings by choosing EV as electricity is relatively cheaper than gasoline.
To put things in perspective, we’ll use the lowest energy consumption ECV, DFSK EC35 as an example here:

Average petrol price per litre: $2.68 (February 2022 – source)

Average annual mileage: 17,500km (2018 – source)

Energy tariff rate: 27.22 cents/kWh (Jan – March 2022 – source)

2. Lower maintenance costs

Every driver knows and dislikes the hassle of wasting time and money on maintenance. After all, you want to be efficient in your savings for your business. Electric commercial vehicles run on clean energy as compared to traditional cars that require petrol fuel. You can also expect less wear and tear, and for added convenience, you do not render an unnecessary amount of monthly trips to the workshops.

3. Government rebates and perks

To have the financial support and encouragement from your government, what more can one ask for? Thankfully, Singapore is generally very supportive toward green driving.

You can check out our article to learn more about the current tax incentives and schemes. Article: ‘Incentives of owning an Electric Vehicle in Singapore

Cons

1. Concerns about sustainability

Although the push for electricity-powered cars may seem like a better alternative to petrol cars, Singapore does not get electricity from renewable sources. Unfortunately, we still burn natural gas to generate electricity so it’s still polluting the environment. Moreover, mining for lithium, the main component in its batteries, is harmful to the environment too.

2. Lower maintenance costs

While the government is trying to expedite the deployment of 60,000 charging points at public car parks and private premises by 2030, the current EV charging infrastructure is still lacking. And with most of us in HDB flats, overnight charging is practically useless because chargers have to be shared.

Although the government is promoting the sharing system, the time taken to charge is longer than pumping up at the gas station.

Overall, EV charging points are becoming more accessible throughout the entire island. Most charging stations are conveniently located near malls or offices, and if you live on landed property, you can arrange to have a charger installed on your premises for easy access. Thinking of making the switch to green driving? Book an appointment with us today at https://sgmotoringhub.com/ to explore the various models and their benefits.

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