When the Racetrac chain of convenience stores was considering the installation of electric vehicle chargers, project lead Rushi Patel began by creating an Excel sheet and asking crucial questions. Are the financials feasible? Where is the best location to install them? What features should they include? Finding answers to these questions was key in making an economic case for expanding America’s public EV charging infrastructure. Patel, the diversified energy manager at Racetrac’s parent company Metroplex Energy, stated, “We found our guests using new types of fuels, like electrons, and we wanted to be with them as part of that journey.” However, he emphasized the importance of offering services that are profitable.
In 2021, Patel started populating his spreadsheet with data on EV adoption rates, utility prices, construction costs, and other metrics. He also took Racetrac’s executives on a tour of charging spots in Atlanta to showcase potential opportunities for improvement. Following these efforts, two years later, Racetrac set up its first Level 3 fast charger in Oxford, Alabama, and has since opened seven more across three states. Patel noted that the business model is proving to be successful. These eight chargers contribute to the 61,000 public charging stations now available nationwide.
Studies have shown that businesses benefit from installing EV chargers, with establishments in California seeing an average annual increase of $1,500 per charger. Tesla Supercharger installations also led to a 4 percent rise in business visitors, especially if the chargers were within close proximity and were the first in the area. This boost is attributed to the time it takes to charge an EV, providing customers with shopping opportunities while waiting.
Various companies, including Walmart, Kohl’s, and Starbucks, are expanding their charger networks, recognizing the economic advantages. Offering free charging as an incentive has helped attract customers, leading to increased sales. Despite challenges in coordinating utility costs with pricing strategies, operators are experimenting with different pricing models to address these issues.
While installation costs can be substantial, federal incentives are available to help offset these expenses. Racetrac received funding from the National Electric Vehicle Infrastructure program to install chargers at its stores, with plans for further expansion. Patel expressed confidence in the company’s analysis and expansion plans, emphasizing the potential benefits of investing in EV chargers for both the environment and business growth.
