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A man in a suit is featured next to text promoting a program on utility-driven fleet electrification, hosted by Resource Innovations and written by Dave McKee, JEA Program Manager.

Powering Fleets: Utility-Driven Electrification Programs

The rumble of diesel engines has long been synonymous with the trucking and commercial fleet industries. However, a quiet revolution is gaining momentum across the United States: fleet electrification. Driven by economic benefits, environmental concerns, and technological advancements, businesses are increasingly exploring the transition from traditional internal combustion engines to battery electric vehicles (BEVs) and plug-in hybrids (PHEVs).

Navigating this shift can seem daunting, but utilities nationwide are stepping up to provide crucial support, resources, and even financial incentives to help commercial customers make the leap. Below, we’ll delve into the landscape of utility fleet electrification programs, spotlighting JEA’s comprehensive approach in Jacksonville, Florida, and touching upon the broader trends empowering businesses across various transportation sectors, including trucking.

JEA: Your Partner in Electric Fleet Conversion

For JEA commercial customers in Jacksonville, the journey to an electric fleet has never been better supported. Their dedicated Fleet Electrification Program serves as a guiding hand, offering the necessary tools and expert engineering advice to develop a comprehensive and tailored fleet conversion plan.

How Does JEA’s Electrification Program Work?

JEA actively seeks partnerships with commercial entities interested in transitioning their vehicles away from diesel and gasoline. Recognizing that a one-size-fits-all approach doesn’t work for diverse fleet operations, JEA offers a tiered system of support:

  • Service Level 1: Empowering Smaller Fleets: Ideal for businesses operating four or fewer vehicles and those requiring minimal assistance, Service Level 1 provides access to JEA’s user-friendly Total Cost of Ownership (TCO) calculator tool. This intuitive resource allows businesses to explore various EV models and generate their own initial fleet conversion cost estimates. Tutorial videos help users confidently navigate the calculator and gain valuable insights into potential savings.
  • Service Level 2: Comprehensive Planning for Larger Operations: Designed for JEA electric customers managing fleets of five or more vehicles, Service Level 2 offers a deeper level of engagement. Participants collaborate directly with JEA experts to conduct a thorough evaluation of the costs, benefits, and timelines associated with electrifying their fleet assets. This collaborative process culminates in a comprehensive Fleet Conversion Plan, providing a roadmap for a successful transition.

Regardless of the chosen service level, JEA customers gain access to dedicated support for the implementation phase. Businesses needing assistance after completing their planning can directly contact a specialized JEA team for ongoing guidance.

Incentives Offered by JEA

JEA understands that the initial transition to electric vehicles requires thoughtful planning. To address this, they offer a range of incentives and resources:

  • Complimentary Fleet Conversion Plan: Eligible Service Level 2 customers benefit from a no-cost, in-depth conversion plan tailored to their specific operations.
  • Make Ready Incentive: A significant financial boost, offering up to $15,000 or 60% of project costs (whichever is least) in make ready funding to reduce customers’ infrastructure costs associated with new or upgraded electric services.
  • Electrification Rebate Program Access: JEA customers can also tap into existing rebate programs designed to offset the costs of charging equipment.

Beyond JEA: A National Movement Towards Fleet Electrification

JEA’s commitment to fleet electrification mirrors a growing trend across the United States. Utilities in various regions are implementing similar programs to support their commercial customers in the transition to electric. These initiatives often include:

  • Technical Assistance and Consulting: Providing expert advice on vehicle selection, charging infrastructure planning, and operational considerations.
  • Infrastructure Development Support: Offering rebates, grants, or even direct investment in charging infrastructure deployment.
  • Off-Peak Charging Incentives: Encouraging charging during periods of lower energy demand to optimize grid utilization and reduce energy costs.
  • Pilot Programs and Demonstrations: Facilitating real-world testing of electric vehicles and charging solutions to build confidence and gather valuable data.

Navigating Federal Incentives for Electrification: A Key to Reducing Costs

Beyond utility-specific programs, fleet owners, including those in the trucking industry, can leverage significant federal incentives through the Inflation Reduction Act (IRA) of 2022. These include:

  • Clean Vehicle Credit: Offering tax credits for the purchase of eligible clean vehicles.
  • Commercial Clean Vehicle Credit: Providing specific tax credits for the acquisition of qualifying commercial clean vehicles.
  • Alternative Fuel Vehicle Refueling Property Credit: Supporting investments in charging infrastructure.
  • Elective Pay and Transferability: New provisions that can make these tax credits more accessible to a wider range of businesses.

Federal and state incentive programs and incentive amounts change frequently. Fleet owners that intend to utilize federal or state incentive programs need to stay informed about the latest federal and state incentives. Resources like the links provided by JEA direct fleets to the most current incentive program information.

The Road Ahead: Electrifying the Trucking Sector and Beyond

While the focus here has been on JEA’s comprehensive program and broader utility initiatives, the implications for the trucking industry are significant. As electric truck technology matures and charging infrastructure expands, these utility programs will play a vital role in facilitating the adoption of electric trucks.

Collectively, electric fleet vehicles offer compelling technological superiority over their fossil fuel counterparts, boasting smoother acceleration, reduced noise pollution, and often requiring less complex maintenance due to fewer moving parts. Beyond these performance benefits, the long-term economic advantages are substantial. By eliminating the need for gasoline or diesel and significantly reducing maintenance demands, fleet operators can realize considerable operational cost savings over the entire lifespan of their electric vehicles, making them an increasingly attractive and economically sound choice.

By sharing information and best practices across different transportation sectors we aim to empower businesses to make informed decisions about their fleet’s future. The transition to electric fleets is not just an environmental imperative, it’s an economic opportunity. Utilities like JEA are paving the way, offering the support and resources needed to power a cleaner, more efficient, and cost-effective future for transportation.

Contact JEA

Ready to explore the potential of fleet electrification for your business? Contact JEA at
JEAfleetEV@jea.com or (888) 855-0368 to learn more about their program and how they
can help you develop your personalized fleet conversion plan.

About the Author:

Dave McKee (NCSU ’86) offers a strategic perspective on the intersection of energy, water, and community development, honed through over two decades at JEA. His move to public power in the late 1990s, following experience in the petrochemical sector, reflects a commitment to resource conservation. Throughout his JEA career, spanning Environmental, Key Accounts, and Customer Programs, Dave has consistently championed impactful community initiatives. For the past five years, he has directed JEA’s electrification strategy, including the successful implementation of the Drive Electric and Fleet Electrification Programs. Dave is a vocal advocate for the strategic advantages of public power in serving community interests.