Why Hotels Need to Add EV Chargers This Holiday Season

Recent Posts
California Drivers Express Concern with Lack of EV Charging Stations
ASEAN Sustainable Energy Week 2024
Russia's Increased Investment in Electric Vehicle Charging Infrastructure
The Rise of EV Charging Stations in Nigeria
The Need for Increased EV Charging Infrastructure
Chinese Enterprises Shine at the Smarter E Europe Exhibition
Why Hotels Need to Add EV Chargers This Holiday Season

The holiday season is upon us, and with it comes a significant rise in travel. According to the American Automobile Association (AAA), holiday travel is seeing a notable increase this year. Over 49 million Americans are expected to travel by car for Thanksgiving 2023, up 2.3% from 2022. For the year-end holidays, around 115.2 million people are anticipated to travel, a 2.2% increase from last year, with 90% of these travelers driving. This surge places 2023’s holiday travel as the second highest in the last twenty years, only behind 2019’s record of 119 million travelers. This rebound is a clear sign of recovery for the hospitality and travel industry post-COVID-19.

With the growing number of electric vehicles (EVs) on the road—over 4.2 million in the US alone—and sales expected to hit 2.5 million annually by 2028, the need for hotels to offer EV charging is more pressing than ever. Unlike gas-powered cars, EVs face challenges with charging infrastructure, especially outside urban centers. A report from the National Renewable Energy Laboratory (NREL) highlights that only a small fraction of Level 2 chargers and Direct Current Fast Chargers (DCFCs) are available in rural areas as of the second quarter of 2023.

This scenario presents a unique opportunity for hotels to attract EV drivers by installing EV chargers. Doing so not only meets a growing demand but also positions these hotels as forward-thinking, eco-friendly destinations. Here’s why installing EV chargers at hotels is a smart move for the holiday season and beyond.

Benefits of EV Charging Stations for Hotels

Welcoming Holiday Guests with Electric Vehicles

Hotels can draw in holiday travelers who drive electric vehicles (EVs) by setting up Electric Vehicle Supply Equipment (EVSE) at their locations. These charging stations are particularly beneficial in rural areas where they’re less common. Thanks to federal efforts like the National Electric Vehicle Infrastructure (NEVI) program, which aims to install DC fast chargers every 50 miles along key travel corridors, there’s a growing need for more charging options to facilitate interstate EV travel. Hotels that offer EVSE become attractive destinations for EV drivers looking for a place to stay within these corridors.

Even in urban areas or regions with a robust EV charging network, installing charging stations at hotels remains essential. Since most EV charging (about 80%) happens overnight, similar to home charging, offering this amenity means hotels can provide the home-like convenience travelers with EVs desire. This makes your hotel a go-to choice for those seeking the ease of overnight charging, aligning your services with the current trends in travel and accommodation preferences.

Drawing in Eco-Conscious Travelers

Installing EV chargers at your hotel not only caters to the needs of EV owners but also appeals to a broader audience of travelers who value sustainability. This trend is becoming increasingly important, as a growing number of consumers show a preference for eco-friendly options. The presence of EV charging stations serves as a visible commitment to environmental stewardship, aligning your hotel with the values of sustainability-conscious guests. According to a NielsenIQ study, 78% of U.S. consumers are leaning towards a sustainable lifestyle. Furthermore, a collaborative study by NielsenIQ and McKinsey & Company found that products with environmental, social, and governance-related claims saw a 28% growth over the past five years.

This highlights the significant advantage of EVSE; it’s more than just a statement of intent towards sustainability. It acts as concrete evidence of your hotel’s efforts to embrace and promote eco-friendly practices, enhancing your appeal to guests who prioritize these values in their choices.

Creating Additional Revenue Through EV Charging

EV chargers provide hotels with a dual benefit: they not only attract guests looking for sustainable lodging options but also open up a new avenue for generating income. In certain markets, hotel owners offer complimentary parking, but many capitalize on their parking spaces as a valuable asset. By installing networked EV charging stations, hotels or parking operators gain the capability to charge EV owners for the time spent charging or the amount of electricity used. This creates an opportunity to earn extra revenue from EV drivers who utilize other hotel services, like staying overnight, dining in the restaurant, or using conference facilities.

Moreover, hotels can adopt flexible pricing strategies to maximize this new revenue stream. For example, they could offer discounted rates for members of their loyalty programs or adjust prices based on peak and off-peak electricity usage times. This approach not only incentivizes EV charging during more cost-effective hours but also enhances the overall value proposition for guests, particularly those invested in loyalty programs.

Seeking Assistance for EVSE Installation

For hotel owners considering the installation of Electric Vehicle Supply Equipment (EVSE), financial support is available through various federal programs. One such program is the Alternative Fuels Infrastructure Tax Credit, which offers up to 30% of the installation cost, with a maximum of $100,000. This can significantly reduce the financial burden of setting up EV charging stations at your hotel.

Additionally, if your hotel is situated along a designated alternative fuel corridor, you might be eligible for funding through the National Electric Vehicle Infrastructure Formula Program (NEVI). To qualify for NEVI program funding, there are certain requirements to meet. Your application must be approved by the program administrator, and the installation must include a minimum of four Direct Current Fast Chargers (DCFCs).

These funding options present a valuable opportunity to offset the initial investment of EVSE installation. By taking advantage of these programs, hotels can more readily equip themselves with the necessary infrastructure to accommodate the increasing number of EV drivers, thereby enhancing their service offerings and appeal to a broader customer base.

Leave a Reply

Your email address will not be published. Required fields are marked *