Charging companies shift towards peak and off-peak rates at fastest speeds – AA EV Recharge Report

Chargepoint operators at the fastest speeds are switching towards offering peak and off-peak tariffs, according to The AA's EV Recharge Report for September.

A few companies announced changes to their business model in September to provide EV charging flexible rates, rather than a fee applied 24/7. The decision saw some drastic movement in the price of charging with ultra-rapid peak rate costs increasing by 8p/kWh, while off-peak rapid charging fell by 10p/kWh.

Meanwhile, most flat rate charging fell by up to 2p/kWh, although flat rate fast charging rose by 3p/kWh.

In contrast, the price of fuel fell considerably during September to 135.20 pence per litre, meaning that domestic charging, all forms of slow charging and off-peak ultra-rapid charging offered cheaper motoring compared to petrol (12.02 p/mile).

AA EV Recharge Report, September 2024. Flat rates;

AA EV Recharge Report, September 2024. Peak and Off-Peak rates;

Budget offers chance to kill the ‘pavement tax' and boost infrastructure

With the Budget due tomorrow, The AA is reaffirming its calls to reduce VAT on public charging to match VAT applied on domestic electricity prices at 5%**. Four in 10 homes do not have any form of dedicated off-street parking, and the so-called ‘pavement tax' means those drivers wanting to join the electric revolution suffer from higher charging costs.

At the same time, The AA is calling for a boost to EV charging infrastructure to help kill the perception that public chargers can be hard to find. As well as cutting red tape to accelerate installations, The AA wants to see the right speed of charge in the right place. While there is considerable focus on delivering rapid and ultra-rapid chargers, The AA would like to see more neighbourhood charging schemes such as street lamp upgrades, community charging hubs and investment in rural areas.

Jack Cousens, head of roads policy for The AA, said; “In an interesting move, more operators at the fastest speeds are moving away from flat rates and switching to variable tariffs.

“While each company differs when off-peak rates come into play, it seems fairly uniform that unsocial hours trigger the best value for charging at high speeds.

“If drivers are willing to watch the 10 o'clock news in their car, then rapid charging can be as cheap as chips.

“With the Budget tomorrow, the Chancellor has the opportunity to make EV's more appealing by reducing the rate of VAT on public charging. Reducing VAT from 20% to 5% would level the playing field for the 40% of households without dedicated off-street parking, and help drivers make further savings.

“One of the main reasons drivers remain hesitant to making the switch to EVs is their perception that there are not enough public chargers. Both the Prime Minister and Chancellor have called on investment to help boost the economy. A sure-fire way to help the economy, provide jobs and futureproof personal transport is to invest in the EV sector.”

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NOTES TO EDITORS

* Average prices are the PAYG options without connection fee as at 24 September 2024. Subscriptions are available for all charge point speeds which can unlock a cheaper p/kWh, however rates vary across provider.

Calculations based on adding 80% to a Vauxhall e-Corsa, 50kW, with a WLTP range of 221 miles. Adding 80% range equates to 178 miles of range. Vauxhall e-Corsa specifications here: Corsa_PSG_3_October_2024_Library.pdf (vauxhall.co.uk)

Calculations based on Vauxhall Corsa 1.2L (75PS) Petrol with a 40 litre tank. 80% refuel = 32 litres.

Petrol: 32 litres @ 135.20 ppl = £43.26. Combined Low MPG of 51.4 = 360 miles at 12.02 p/mile.

Vauxhall Corsa specifications here: Corsa_PSG_3_October_2024_Library.pdf (vauxhall.co.uk)

** AA Motoring Manifesto 2024 | AA (theaa.com)