BNP Paribas Leasing Solutions, European leader in professional equipment finance, is developing financial solutions to support energy transition. After the LED offer in 2018 which significantly helped reduce electricity costs for companies and local authorities, BNP Paribas Leasing Solutions is now offering financial solutions for the installation of electric charging stations all over Europe.
The charging stations market is booming
BNP Paribas Leasing Solutions assists companies with energy transition by financing equipment which generate less pollution and consume less energy. Developing the network of electric charging stations is a major part of Europe’s transition to cleaner sources of energy. Providing enough stations to facilitate recharging is key to encouraging users to opt for cleaner, rechargeable electric or hybrid vehicles.
As of July 2019, there were 170,150 public charging stations for electric vehicles in Europe, continuously growing since 2010 when there were only 3,200 stations. In 2018, Germany housed 25,450 public charging stations. France had a similar number. With 13,000 public charging points, the UK saw its number of stations multiplied by five since 2011. And the number of stations to be installed by the private and the public sector in their own car parks will be unprecedented. So far, the market targets rechargeable electric and hybrid vehicles but in the near future electric trucks, buses and other light commercial vehicles will also join the market.
A widely accessible finance solution
BNP Paribas Leasing Solutions proposes rental contracts of 4 to 5 years. These solutions will be offered
– Indirectly via:
- manufacturers of charging stations which deal directly with companies;
- electricity fitters that propose equipment with services;
- companies that propose long-term rental packages including cars and charging stations;
- energy providers that lease charging points to their customers with a special rate for electricity;
- vehicle manufacturers or dealerships which offer cars with charging stations.
– Directly to:
- professional clients of the BNP Paribas banking network;
- clients of BNP Paribas Rental Solutions Trucks when electric trucks join the market;
- more generally, any company needing charging points for their vehicles.
Why install electric charging stations?
There are several reasons motivating companies to convert to rechargeable electric and hybrid vehicles. First and foremost, it contributes to their brand image and corporate social responsibility approach, internally as well as externally. Tenders now very often include a “responsibility” section so this can also give them a competitive edge. It also meets the expectations of employees who aspire to work for companies that are concerned about their environmental impact.
Converting to rechargeable hybrid and electric vehicles is also cost effective because they are less expensive to maintain. Furthermore, recharging with electricity costs 2 to 3 times less than a tank of fuel, depending on the type of vehicle. Given decreasing battery prices and increasing battery life, companies are more and more inclined to choose this source of energy because it is not only cleaner, but also cheaper.
Finally, regulatory pressure can also motivate companies to convert to electric vehicles. For example, vehicles which pollute and emit too much CO2 are no longer allowed in certain cities. As a result, certain haulage companies will soon be obliged to convert their fleets to stay in business. Besides, a European directive requires the creation of a parking-space quota reserved for electric vehicles. And parking management companies will also have to provide charging stations for their customers.
Why is leasing the most pertinent finance solution for the installation of charging stations?
The electric vehicle market is innovating constantly and the technology is developing very rapidly. This is particularly the case for batteries which must meet constantly higher expectations for power, autonomy and charge time. As a result, charging stations need to be increasingly smart and will need to be changed regularly to keep up with technological progress. Unlike loans, rental solutions allow companies to renew their equipment and stay at the cutting edge of technology for optimal efficiency and performance.
“All companies would like a cleaner electric vehicle fleet but rightfully so, tend to avoid investing heavily in new technology. We offer leasing solutions so companies can afford innovative equipment with less asset risk and optimal cash flow. It is our pleasure to guide them on this route to effective commercial growth and improved sustainability,” states Charlotte Dennery, CEO of BNP Paribas Leasing Solutions.
Elodie ANTOINE –+33 (0)1 41 97 11 97 – email@example.com
Jérôme GOAER – +33 (0)6 61 61 79 34 – firstname.lastname@example.org
Aline BESSELIEVRE – +33 (0)6 61 85 10 05 – email@example.com