Summary of "Permits, Power, Price: The REAL Challenges For EV Charging | Fully Charged Show Podcast with Ian Johnston, CEO Osprey"

Release Date: January 13, 2025

1. Introduction to EV Charging Landscape

The podcast episode titled "Permits, Power, Price: The REAL Challenges For EV Charging" delves into the current state and future prospects of electric vehicle (EV) charging infrastructure in the UK. Hosted by Robert Llewellyn, the episode features Ian Johnston, CEO of Osprey Charging, who provides expert insights into the rapid expansion, challenges, and strategic considerations of EV charging networks.

2. Growth of Public Charging Infrastructure

Key Points:

• The UK now boasts over 72,000 public EV chargers, a significant increase largely achieved in the past two years.
• Annual growth rates for public chargers are between 35% and 40%.
• Osprey Charging and other networks have played a pivotal role in this expansion, aiming to stay ahead of EV adoption rates.

Notable Quote:

"It's not the case anymore that there's not enough infrastructure." — Ian Johnston [01:50]

3. Misconceptions About Infrastructure Adequacy

Key Points:

• Despite the substantial growth, public perception often lags, with many believing that EV infrastructure is insufficient.
• The real challenge lies in communicating the existing progress and addressing the uneven distribution of chargers across different regions and sectors.
• Motorway networks have seen a doubling of infrastructure, and initiatives like the Levi's scheme aim to enhance on-street charging.

Notable Quote:

"We need to communicate that the infrastructure's there. How do we correct that misconception that there's not enough infrastructure?" — Ian Johnston [03:49]

4. Strategic Deployment of Charging Stations

Key Points:

• Charging locations are chosen based on user behavior and natural stopping points, such as retail parks, supermarkets, and motorway services.
• Osprey focuses on deploying ultra-rapid charging hubs that align with the dwell time of users, ensuring seamless charging experiences without necessitating additional stops.
• The quality and accessibility of chargers are emphasized, with Osprey's network being recommended by platforms like ZAPMAP for reliability and user-friendliness.

Notable Quote:

"It's about delivering the number and the quality." — Ian Johnston [53:23]

5. Economic Aspects of EV Charging

Key Points:

• Cost of Public Charging vs. Home Charging: Public charging is inherently more expensive due to higher electricity costs and additional operational expenses.
• VAT Implications: Charging at public stations incurs a 20% VAT, compared to 5% VAT on home electricity use, contributing to higher costs for EV drivers without home charging access.
• Standing and Capacity Charges: Recent changes have drastically increased these fees, from £99 to £8,600 annually for standing charges and from £9,000 to £19,000 for capacity charges, significantly impacting the overall cost structure for charging networks.

Notable Quote:

"It's not that charging businesses are profiteering from drivers. We are accommodating costs." — Ian Johnston [45:09]

6. Government Policies and the ZEV Mandate

Key Points:

• The Zero Emission Vehicle (ZEV) mandate requires manufacturers to sell a certain percentage of zero-emission vehicles, aiming for 28% by 2025 and scaling to 100% by 2030.
• Osprey emphasizes that the mandate's flexibility allows manufacturers to meet targets through various means, not strictly by selling pure battery electric vehicles (BEVs).
• Concerns exist about the lack of equivalent incentives for retail consumers, which could hinder public adoption despite manufacturer commitments.

Notable Quote:

"If the government weakens in any way the number of electric vehicles that will hit the road, then that could have a knock-on impact into the billions of pounds of investment coming into the charging sector." — Ian Johnston [26:16]

7. Overcoming Permitting and Grid Challenges

Key Points:

• The primary bottleneck for EV charging expansion is permitting and regulatory processes, not electricity availability.
• Delays in obtaining permits for roadworks, grid connections, and legal documentation impede the swift deployment of charging infrastructure.
• Innovations and collaborations with entities like National Grid are underway to streamline these processes, potentially reducing project lead times from 12 months to as little as 2-3 months.

Notable Quote:

"It's the permitting process. It's not electrons that are the problem, it's pieces of paper and processes." — Ian Johnston [18:19]

8. Financial Support Mechanisms: RTFO

Key Points:

• The Renewable Transport Fuel Obligation (RTFO) is proposed as a mechanism to subsidize public charging costs, similar to carbon credits for biofuels.
• By incorporating electricity into the RTFO, charging networks could receive credits that lower operational costs and, consequently, charging prices for consumers.
• The UK government is currently exploring this model, inspired by successful implementations in European countries like Germany and the Netherlands.

Notable Quote:

"The RTFO is an existing scheme... Every kilowatt-hour that's delivered to a customer." — Ian Johnston [40:30]

9. Future Outlook and Industry Collaboration

Key Points:

• The EV charging industry is witnessing increased collaboration among major networks to present a unified stance to the government.
• Osprey Charging, along with peers like Gridserve, BP, Shell, Tesla, and Ionity, is advocating for policy changes to address cost challenges.
• Emphasis is placed on the need for quality infrastructure that is not only abundant but also reliable and accessible to all users, including those with mobility challenges.

Notable Quote:

"We're not trying to solve technical problems of subsea cables in 2040. It's pieces of paper, it's regulation, it's legislation, it can be fixed." — Ian Johnston [52:52]

10. Conclusion and Final Thoughts

The episode underscores the rapid progress in the UK's EV charging infrastructure while highlighting significant regulatory and economic challenges that need addressing to sustain and accelerate this growth. Ian Johnston emphasizes the importance of effective communication, government collaboration, and financial mechanisms like the RTFO to make public charging affordable and accessible. The collective efforts of charging networks, manufacturers, and policymakers are crucial in overcoming these hurdles and achieving a seamless transition to a sustainable electric future.

Notable Quote:

"It's about delivering the number and the quality." — Ian Johnston [53:23]

This summary captures the essence of the podcast episode, highlighting the major discussions and insights shared by Ian Johnston regarding the state of EV charging infrastructure in the UK. It is structured to provide a comprehensive overview for those who have not listened to the episode.