August 3, 2023
Which EV Charging Station Is Best for Your Commercial Property?
7 Min. Read
As electric vehicle (EV) adoption continues to rise, commercial property owners face the challenge of selecting the ideal EV charging stations to meet their tenants’ needs. Selecting the most useful charging station involves understanding the best fit for your property, charging speeds and power requirements, and your potential ROI.
Level 2 EV charging stations offer quicker ROI for most properties due to lower costs and steady use, while Level 3 EV charging stations can yield higher revenues in high-traffic areas despite complexity.
Based on your business type, property, and customer base, integrating both Level 2 and Level 3 charging stations could optimize your commercial property’s EV charging setup. This strategy supports diverse charging preferences, catering to both customers and employees at your location.
In the below article we’ll cover the key factors to consider when researching the best EV charging solution for your commercial property.
Comparing EV Charging Station Speeds and Power Requirements
Level 1 chargers are not usually suited for regularly used vehicles due to their slow charging speeds, typically only providing 2-5 miles of range per hour. As a result, while Level 1 charging is highly accessible due to the ability to utilize a standard 120 volt electrical outlet, it is generally deemed insufficient to meet the needs of commercial property tenants and visitors, as well as most residential use, due to the slow charging rate and overall inefficiency.
Alternatively, a Level 2 charging station operates at 240 volts and offers a charging rate of 20-40 miles of range per hour. These stations are well-suited for commercial and multifamily properties where drivers desire overnight or all-day charging, allowing EVs to recharge within a reasonable timeframe.
On the other hand, a Level 3 charging station, also known as DC Fast Charger or DCFC, provides power at 480 volts or higher, enabling a significantly faster charging experience. These stations can charge an EV at 60-250 miles of range per hour, depending on the specific charger and vehicle compatibility. This makes Level 3 charging ideal for high-traffic locations or situations where users require a quick charge to continue their journey promptly.
Level 2 and 3 charging stations offer distinct capabilities and benefits, making it essential to understand their differences to make informed decisions for your property.
Comparing Level 2 vs. DC Fast Charging Stations
When considering power requirements and infrastructure, it’s important to note that DCFC charging stations demand substantial electrical infrastructure upgrades and may not be supported in all areas.
The higher voltage and power demands of DCFC chargers necessitate robust electrical systems and may require significant modifications or enhancements to the existing electrical setup. This can involve additional costs and coordination with licensed electrical professionals to ensure the infrastructure can support the increased power requirements and may also require additional permitting.
In contrast, licensed electrical contractors can install Level 2 charging stations with less costly modifications to the existing electrical systems in commercial properties. Since Level 2 chargers operate at a lower voltage than DCFC chargers, they are more compatible with standard electrical installations.
This means that, in many cases, the electrical infrastructure of a commercial property can more easily accommodate Level 2 charging stations without requiring extensive upgrades to the electrical infrastructure.
| Level 2 (AC) | DC Fast (Level 3) | |
|---|---|---|
| Average Dwell Time | 2–8 hours | 20–60 minutes |
| Installation Complexity | Low to moderate (requires 240V circuit; often uses existing panels with minimal upgrades) | High (needs 480V+ three-phase power; major grid upgrades, trenching, and permits often required) |
| Usage Assumption | Lower rates but higher utilization. | Higher rates but shorter sessions. |
| Average Annual Revenues | $20,000–$30,000* | $40,000–$100,000+** |
| Available Rebates & Tax Incentives | A 30% federal tax credit is available up to $100,000/port (via the 30C tax credit). Rebates worth up to $4,000–$12,000 available from select state and utility programs. | Same federal 30% credit (up to $100,000/port). State/utility: Rebates worth up to $10,000+ available from select state and utility programs. |
Note: Figures can vary by location, site specifics, and usage.
*Range assumes 5 sessions per day at $0.40/kWh, 20–30 kWh/session.
**Range assumes 10+ sessions per day at $0.50+/kWh, 40–60 kWh/session.
Assessing Costs and Return on Investment
Installation costs for a DCFC charging station are generally higher than installing a Level 2 charging station. The higher prices are primarily due to the increased power requirements of DCFC chargers, which necessitate more robust electrical infrastructure and specialized equipment.
The need for electrical upgrades and purchasing and installing high-powered charging equipment for DCFCs can contribute to higher upfront costs. Furthermore, DCFC charging stations will require more electricity during charging sessions.
The faster charging speeds offered by DCFC chargers require a higher power draw, resulting in increased energy consumption. As a result, operational costs, including electricity bills, may be higher for DCFC charging stations than Level 2 stations.
Generating New Revenue with Charging Stations
However, it’s essential to consider the potential revenue generation of Level 3 charging stations. Faster charging speeds attract more users looking for quick charging sessions, making Level 3 stations preferable for high-traffic locations and short-term parking scenarios.
With more users utilizing the charging infrastructure and potentially paying for charging sessions, Level 3 stations can generate a higher revenue than Level 2 stations.
Determining Your Commercial Charging ROI
To evaluate the return on investment (ROI) of EV charging, commercial property owners must consider multiple factors, including installation costs, operational costs, charging demand, and potential revenue opportunities. The specific circumstances of each property, such as location, tenant profiles, and local charging infrastructure availability, play a crucial role in determining the ROI for Level 3 charging stations.
Level 2 charging stations also have their advantages in lower installation costs and potentially lower operational costs. While they may generate less revenue due to slower charging speeds, Level 2 stations are still highly suitable for properties where tenants and visitors spend extended periods, such as office buildings or long-term parking facilities.
Ultimately, the decision between Level 2 and Level 3 charging stations should be based on a comprehensive cost analysis, considering installation expenses, operational costs, revenue potential, and the specific needs and characteristics of the commercial property.
How To Determine The Best EV Charging Stations for Your Commercial Property
Determining the best EV charging stations for your commercial property requires a careful assessment of the specific needs and characteristics of the property.
When deciding on multifamily EV charging solutions where tenants and visitors spend several hours (offices, buildings, and long-term parking facilities), Level 2 charging stations are often the most suitable choice.
These stations provide a steady and reliable charging solution, allowing EVs to recharge over an extended period. With Level 2 chargers offering a charging rate of 20-40 miles of range per hour, they are well-suited for situations where users have longer dwell times at the property.
On the other hand, Level 3 charging stations are better suited for high-traffic and short-term locations. These locations include shopping centers, restaurants, or highway rest stops, where users require a quick charge to continue their journeys promptly.
The significantly faster charging speeds provided by Level 3 chargers, with rates ranging from 60-250 miles of range per hour, cater to the needs of users who seek efficient and rapid charging options.
Combining Level 2 and Level 3 Chargers
Depending on your business, property, and clientele, a combination of Level 2 and Level 3 charging stations may provide the best commercial property solutions for your location. This approach allows property owners to accommodate various charging needs and preferences within a single place and can appeal to customers and employees alike.
By offering a combination of charging options, commercial properties can cater to long-term visitors who require overnight or extended charging and short-term visitors looking for fast and convenient charging sessions. Customers will also likely want to utilize both options based on their preference for charging speeds. Offering charging stations that meet their needs benefits you and your customers.
Finding An EV Charging Solution That Works for Your Business
Choosing the appropriate EV charging stations for your commercial property requires careful consideration of charging speeds, power requirements, costs, and the specific needs of your tenants and visitors. By understanding the differences between Level 2 and Level 3 stations, assessing costs and return on investment, and determining the best fit for your property, you can ensure that your commercial property is equipped with the right EV charging solutions.
Commercial EV Charging Installations Trusted by Top Businesses
At Qmerit, we simplify the transition to electric mobility by providing expert EV charging installation services.
As the largest network of certified EV charger installers in North America, Qmerit is the most trusted EV charger installation partner recommended by automakers, EV charger manufacturers, utilities, businesses, and homeowners alike.
Whether you’re upgrading to Level 2 charging at home or implementing commercial charging solutions, Qmerit is your go-to partner for a future-ready electrification strategy that ensures seamless, code-compliant installations tailored to your needs.
But don’t just take our word for it. Rated #1 in customer satisfaction, Qmerit’s experienced network of certified electricians has installed more than 770,000 EV charging stations in homes and businesses across the U.S. and Canada!
Give us a call at (888) 272-0090 or visit our commercial EV charging page to find out why we’re North America’s most trusted EV charger installation service provider and make the switch to smarter, faster, and safer EV charging today!
