On the art of distinguishing good from bad locations for fast charging hubs
In our latest issue of "Behind the Scenes" we talk to Ludwig Hohenlohe, CEO of the market intelligence platform CHARGING RADAR, and Dr. Andreas Pfeiffer, owner of the consulting company greenventors. The focus is on the question of how to identify the best locations for fast charging infrastructure and how to make targeted investments there.
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Choosing the right location is crucial for the success of charging infrastructure and thus the investments made, some of which are considerable. Can you explain to us why the location rating is so important?
Dr. Pfeiffer: The suitability of a location goes far beyond the pure traffic situation. While proximity to major roads and hubs is of course important, we also need to consider other location factors. These include, for example, local EV demand, proximity to retail stores or recreational facilities, and overall transportation accessibility of the site.
Mr. Hohenlohe: Exactly, and from our side we are looking at how data can help us to evaluate these locations. At CHARGING RADAR we focus on the real ACTUAL use of existing charging infrastructures. Our data shows the current performance of a location in terms of charging frequency and duration. In combination with greenventors, we can link this data with other location factors to get a comprehensive picture of what makes a location successful.
In addition to the traffic situation, the availability of nearby amenities, the security of the location and the existing infrastructure are also crucial. Technology and data are essential, but the human perspective brings a depth and understanding that machines often cannot provide. Dr. Andreas Pfeiffer
What other location factors do you think are particularly important?
Dr. Pfeiffer: In addition to the transport location, the availability of nearby amenities, the safety of the location and the existing infrastructure are also decisive factors for the later success of an HPC location. For example, a location near a mall or restaurant may have a higher frequency of charging because drivers may spend time while charging. From our point of view, a realistic assessment of the success potential of locations depends not only on the information available but also on the expertise of a human appraiser.
Why is it so important to involve a human expert in the location decision?
Dr. Pfeiffer: Technology and data are essential, but the human perspective brings a depth and understanding that machines often cannot provide. An expert can consider subtle factors and relationships that are not always apparent in pure data. Ultimately, he understands much better what "we humans" like or don't like about a location because he can "experience" it himself.
Places with high frequency and short charging times, on the other hand, are highly attractive for a fast charging location. Ludwig Hohenlohe
What data does CHARGING RADAR collect and how can this help to evaluate the profitability of a location?
Mr. Hohenlohe: We collect a variety of data, including charging frequency, duration, time and many others. This data gives us a clear insight into the use of a charging location. For example: a location with long charging times and low charging frequency could indicate that many commuters use it. This in turn could affect the economics of the site, as very long charging sessions with low charging power could mean less revenue per charging session. On the other hand, places with high frequency and short charging times are highly attractive for a fast charging location.
Can you give us a concrete example of how this data is used in practice?
Mr. Hohenlohe: Sure! Let's say we have a site that has an average charging frequency of 10 charges per day and an average charging time of 30 minutes. From this data we can derive how many kWh are sold per day. If we then consider the average price per kWh, we can get an estimate of the daily and monthly revenue of that location. This gives the site operators a clear idea of the profitability of the site.
It seemed only logical that CHARGING RADAR and greenventors would come together to make something good even better. Ludwig Hohenlohe
What inspired you both to pool your expertise and resources and work together on this project?
Mr. Hohenlohe: With CHARGING RADAR, we are already helping many charging infrastructure operators to track market developments, identify factors influencing their business and thus make fact-based decisions.
Many factors play a role in the location decision for new locations, which is why we are pleased to support customers in this complex task together with greenventors. We have known and valued each other since the early days of electric mobility. It only seemed logical that we would come together to make something good even better.
In this phase of scaling emobility, it is of crucial importance to advance topics together. Dr. Andreas Pfeiffer
Dr. Pfeiffer: Exactly, our collaboration at Hubject in 2012 laid the foundation for what we are bringing together today. In this phase of scaling emobility, it is of crucial importance to advance topics together. And the correct placement of fast charging stations is definitely at the top of this list!
It's amazing to see two industry veterans who have known each other since the early days of emobility using their shared vision and experience to continue to shape the e-mobility landscape. Their shared history and drive to advance emobility is an inspiring example of how collaboration can pave the way for innovation.
If you are active in or planning to enter the electric mobility industry, now is the right time to benefit from this combined expertise. Feel free to get in touch with Mr. Hohenlohe or Dr. Pfeiffer to find out how you can optimize your investments and help shape the next generation of electric mobility.