Last week, Electrify America announced upcoming billing changes that will take effect on August 17th this year. The company sent out an email to inform its customers about these significant modifications.
Why would EA move forward with pricing changes? Clean Energy Revolution reported back May that Electrify America’s 2022 EV Charging Report showed profitability:
In 2021, just 0.3% of EA stations reached an annual utilization rate of over 15%, which is considered the minimum threshold for profitable charging stations. However, in 2022, 16% of EA stations exceeded this threshold, a 60x increase! This is a noteworthy achievement, particularly in California, where 40% of stations hit the 15% utilization rate for the full year.
It’s essential for both occasional and regular users of the Electrify America network to understand these important changes to Electrify America’s pricing structure.
Key Pricing Changes
- Pass+ Monthly Subscriptions
The monthly fee for Pass+ subscribers will increase from $4.00 to $7.00. This means an additional cost of $36 per year, making it $84 per year compared to the previous $48/year. However, Pass+ members will still receive a 25% discount on the per-kWh or per-minute price, depending on the state they are charging in.
- Station Specific Pricing
Electrify America will shift from a uniform pricing model across the country to a station-specific pricing model that is subject to change. Users will be able to view station-specific prices through the Electrify America app. However, the company advises members to always check the station’s pricing upon arrival, as the app’s listed price may not always be accurate.
- Idle Fees
Idle fees will be implemented at most Electrify America locations nationwide. After a ten-minute grace period, customers will be charged $0.40 per minute until they unplug their vehicle from the charger. This measure is aimed at discouraging users from leaving their vehicles plugged in unnecessarily, preventing others from using the charging station.
Effects of Pricing Changes
The increase in the Pass+ subscription fee might not dissuade regular users from continuing with their subscription, as the 25% discount can still result in overall savings. However, occasional users who were comfortable with the previous $48 annual fee may reconsider their subscription due to the increased cost.
The shift to station-specific pricing is perhaps the most significant change, as Electrify America will no longer have consistent pricing across its network. Each station’s pricing will now be determined based on the electricity costs in that particular area, with a profit margin incorporated. This change was expected, considering the substantial variation in electricity costs across different regions.
The introduction of idle fees is a positive step by Electrify America to address the issue of abuse, where EVs remain plugged in and idle even after charging is complete. This prevents other users from utilizing the charging station. After a 10-minute grace period, idle fees will be applied at a rate of $0.40 per minute.
Overall, these changes reflect the evolving nature of the EV charging industry. Electrify America’s changes aim to make the pricing structure more flexible, fair, and economically viable for both the company and its customers.