When it comes to electrification, “Central Europe will surprise us in the next 18 months”. So says Diamantis Economou, New Initiatives & Innovation Accelerator at Business Lease (photo). Fleets, take note – and get a trusted advisor who knows the road ahead. Like Business Lease: “A lot of customers tell us we’re exactly the kind of partner they were looking for.”
In the minds of many, the countries of Central Europe are far behind those in Western Europe when it comes to the electrification of mobility. How accurate is that picture still?
“Just a few years ago, that picture would have been 100% correct. There just wasn’t a wide choice of EV models, and the charging infrastructure wasn’t there. But that’s no longer true. There has been a big push towards ESG, also in Central Europe. So things have changed, but the picture is nuanced.”
How so?
“It’s mainly external forces that are pushing fleets in Central Europe to do something about sustainability. On the one hand, there are regulations – both at national and EU level. I call that primary drivers, but with a secondary effect. More important is the momentum coming from corporate headquarters, mainly for companies with global HQs, and to a lesser degree from local companies.”
“At an internal level, many fleets are still dealing with a lack of urgency and unsubstantiated beliefs and myths about electrification, which slow down the process even more.”
And how does Business Lease deal with that contradiction between external drivers and internal objections?
“We add value by sharing our expertise. Firstly, about the EV landscape that has radically changed. While fleets had just 5 to 10 EV models to choose from a few years ago, we now have 50. Charging infrastructure has improved enormously, especially in large cities and their hinterlands. Is the situation ideal? No. But a lot of EV use cases are now achievable.”
“And then we have a very open discussion with our clients and prospects. Very often, they have black-and-white conceptions of electrification. We explain that you don’t have to electrify 100% of your fleet. Baby steps are good!”
What are some of the problems and questions that you come across?
“Five typical issues keep coming back:
And how does Business Lease respond to those concerns?
“We have the right skills and the right tools to answer these and many other questions. And we go beyond answering questions, we manage the issue for our customers. We are their single point of contact. Here’s a comparison I often use: When you’re building a house, you can deal with 14 different suppliers yourself. Or you can save yourself the hassle, and appoint a general contractor who does all that for you. Well, Business Lease is that general contractor.”
That’s a nice big-picture analogy. Can you give some more specific examples?
“Sure. We help companies work out a transition plan for their fleets. We know that in the long run, all fleets will be zero-emission. But in the shorter term, most fleets will have a mix of powertrains. For example, salespeople doing hundreds of km per day will need to retain an ICE car, while office workers with a benefit vehicle can more easily go electric.
For this, we have a tool that analyses and assess the use of each car and recommends the perfect mix of powertrains within the fleet. Once we have agreed with the client the number of EVs and model type, then we act as the “general contractor” and take care of everything related to setting the client up - meaning arranging for the required charging infrastructure be it at the employees home or at the office, charging payment system, TCO monitoring system and all this as a one-stop-shop for the client. We call this our E-mobility Ecosystem.
Furthermore, we are very pragmatic on our approach. We fully realize that companies need to reduce their CO2 emissions almost immediately , and thus we have a program called “GoBetter” helping fleets with ICE vehicles to reduce their CO2 by providing a combination of training and non-GPS based telematics . The remaining emissions, we offer carbon credits by the reputable UN certified Gold Standard.”
That does indeed sound very comprehensive.
“We get a lot of very positive feedback from our customers. They tell us: We never realized there were solutions like this. And: You’re exactly the kind of partner we’re looking for. Fleets that want to take action on electrification and sustainability often don’t know where to start. We have the knowledge and the solutions to help them – and our solutions are often not just greener, but also more cost-efficient.”
Final question. Using your insight into the markets of Central Europe, can you share your forecast for the pace of electrification in the region?
“I’m pretty sure that Central Europe will surprise us in the next 18 months. From a position well behind, they will be leapfrogging in terms of EV penetration and technology, and get much closer to the situation in Western Europe.”
“Slovakia is currently the leader of the pack. EVs are already very popular in Poland, especially in the big urban hubs. We’ll see a dramatic increase in charging infrastructure in the Czech Republic in the next 12 to 18 months. And EV penetration is increasing surprisingly fast in Romania, faster than anywhere else. EVs may not yet be a recruiting tool in the war for talent in Central Europe, but that may change in the next 6 to 12 months already.”
“In summary, and as the examples above indicate: Now is the time to prepare your Central European fleet for electrification!”