The ever-increasing cost of fuel is likely to drive up demand for electric vehicles in the logistics sector, according to Hiten Parmar, director at uYilo e-Mobility programme. “One of the biggest challenges companies have to manage is the cost of their operations – particularly in the logistics industry where high fuel cost is driving high operational costs,” he said. “The freight transport industry is already looking at electric solutions with most of the big players in this sector introducing several energyefficient solutions.” According to Parmar, big electric trucks on South African roads are, however, still some way off. “I do think that we are going to see last mile delivery change and that is where we will see more electric delivery vehicles play a role as they are cheaper
to operate and more cost effective.” Parmar said he believed it would become more commonplace to deliver to final destination in smaller electric vehicles from one central point. “In that space there are products and services available but when and where they will be implemented in South Africa is still a waiting game.” Consultant Carel Snyman said the biggest challenge with introducing electric vehicles into the South African market was cost. “Even though these vehicles are more efficient to run they are expensive. In South Africa the cost of these vehicles is 43% more than the price internationally because our import taxes are extremely high.” According to Snyman while charging infrastructure was
increasing – a project is under way to electrify the highway from Pretoria to Cape Town via Port Elizabeth – the cost of the actual vehicle remained excessively high. “It is not difficult to operate these vehicles in South Africa. There is also a charging station in Harrismith on the DurbanJohannesburg route. It is difficult to buy the vehicles because they are expensive.” He said attempts to have the import costs reduced had failed. “There is also very little indication from the
government as to why they are not pushing for more electric vehicles or why they are not making it easier to import these vehicles into the country.” In fact, some local automanufacturers were building electric vehicles but the units were all exported, he added. Anthony Dane, a director at Change Pathways, said policy and commitment by countries setting high emission targets were pushing the move towards electric vehicles. “There is a clear understanding of the cost benefit and the improved
environmental impact of these vehicles,” he said. “Locally, there will have to be a mindset change as the international market is driving this change regardless.” As fuel continued to increase along with the many other costs impacting the road freight sector, the move towards cost-effective vehicles was apparent around the world. “The market is driving this regardless of the local position on electric vehicles,” he said.
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It’s in last mile delivery that we’ll see more electric delivery vehicles play a role. – Hiten Parmar
