Operating an electric vehicle (EV) fleet brings new technological, operational and safety risks to manage. Yet, we have found that fleets often begin transitioning their vehicles to electric without appropriate risk management.
Understanding Battery Degradation
One of the most overlooked risks in EV fleet management is battery degradation. Over time, EV batteries gradually lose capacity, meaning vehicles cannot travel as far on a single charge.
Most modern lithium-ion batteries lose around 1-2% of their capacity per year on average depending on usage patterns, charging behavior, and climate conditions. For fleet operators, this has real-world implications: vehicles may need charging more frequently, route planning can be affected, and long-term costs increase if batteries degrade faster than expected.
Proactive battery health monitoring, predictive analytics, and optimized charging strategies are essential to maximize battery life and manage total cost of ownership effectively. To support this, our EV fleet management software helps track battery performance in real time and provides insights for smarter energy use.
Why EV Fleet Management Is Important
Effective fleet management is essential to ensure operational continuity, protect employee safety, and manage costs.
By addressing risks such as battery degradation, charging failures, and regulatory compliance, businesses can not only maintain fleet reliability but also strengthen their sustainability credentials and customer confidence.
For practical advice on getting started, see our top tips for transitioning fleets to EV.
Common EV fleet risks
Read more for some common risks that we see emerging for electric fleets, and how we help manage them to ensure operational continuity.
1. Charging failure
Our customers’ biggest concern is their vehicles not charging properly. This often occurs due to user error when plugging in chargers or charging infrastructure faults. Our solution provides proactive user alerts when any charger is detected as faulty, and our operational experts will be on-hand to solve any issues and ensure your fleet operating as planned.
2. Limited charger availability
Limited charging infrastructure means that chargers may not always be available when vehicles return back to the depot. This risks vehicles not being charged sufficiently ahead of their shifts. Our solution includes a centralised view of all fleet operations to easily identify when chargers are available, and advanced charging functionality to prioritise charging based on which vehicles need it most. Our load balancing functionality also enables us to maximise use of your available power, which is essential if energy supply is restricted. This ensures your fleet is always charged to fulfil requirements, even with limited infrastructure.
3. Health and safety
Running an electric fleet involves constant energy management. Improper management or problems with equipment can result in tripped fuses or electric shocks. This could lead to serious health and safety issues. By managing all charging within energy constraints and providing proactive risk management, our solution priorities safe and reliable charging above all.
4. EV fleet insurance challenges
Switching to an EV fleet comes with its own insurance challenges. With limited claims history for EVs, insurers are still getting to grips with the vehicle type, which often means higher premiums.
Traditional insurance policies might not cover specific risks associated with EVs, such as battery damage or voltage hazards. Moreover, not every garage is equipped to handle EVs — some models need specialised body shops that are less readily available, which leads to longer repair times and higher costs.
This also affects the availability and cost of courtesy cars, as finding EV replacements isn’t always easy.
Overcoming the risks of EV fleet transition
Making the switch to an EV fleet is a milestone moment for any organisation, but it’s important to approach it with the right strategy to ensure it runs smoothly. Here are some tips to help navigate your transition:
Create a robust risk management plan
- Pinpoint the specific risks your fleet might face and put plans in place to tackle them.
- Include EV fleet insurance to cover unique issues like battery damage and voltage hazards.
Invest in reliable charging Stations
- Ensure you have enough chargers to meet your fleet’s needs and avoid any charging failures.
- Use load balancing to get the most out of your available electrical energy and prevent overloads.
Choose the right insurance
- Opt for tailored EV fleet insurance that covers the bespoke risks associated with EVs.
- Partner with insurers who understand EV repairs and can offer the right coverage for your needs.
Train your team thoroughly
- Provide comprehensive training for drivers and maintenance staff on how to operate EVs properly.
- Teach your team how to spot and deal with voltage hazards to keep everyone safe.
Work with certified service providers
- Ensure your EVs are serviced by authorised garages or specialised body shops to maintain their warranty and performance.
- Build relationships with service providers who know how to manage the specific requirements of EVs.
Watch out for battery health
- Use systems to monitor battery performance and schedule maintenance or replacements before big issues arise.
- Proactive battery management can help your vehicles last longer and reduce unexpected downtimes.
Plan for growth
- Keep updated on the latest EV technologies and infrastructure developments to support your fleet’s growth.
- Make sure your charging facilities and electrical systems can expand as your fleet grows.
Use advanced fleet management software
- Use technology to get a clear view of your fleet operations, including charger availability and vehicle status.
- Software can help you prioritise charging, manage electrical energy usage and boost overall fleet performance in real-time.
Stay informed on regulations
- Keep up with the latest laws and incentives related to EV fleets and sustainability.
- Compliance with local regulations ensures a hassle-free transition and avoids any legal bumps along the way.
Navigating regulatory compliance in EV fleet management
Regulation is a critical consideration in EV fleet management. With the UK Government confirming the 2035 ban on the sale of new petrol and diesel cars and vans, businesses must prepare now for the phase-out of ICE vehicles.
In addition, operators face tightening restrictions through Low Emission Zones (LEZs) and Ultra Low Emission Zones (ULEZs) in cities across the country, which can increase costs significantly for non-compliant vehicles.
Beyond the UK, EU directives and international frameworks are also shaping how fleets must operate. Failing to keep pace with these requirements can lead to financial penalties and reputational risks.
By embedding compliance checks and reporting into your fleet management system, you not only ensure regulatory readiness but also demonstrate leadership in sustainability and good governance.
Our approach
At Hitachi ZeroCarbon, we believe a people-first approach is key to de-risk fleet electrification and EV fleet management.
Our solution is more than just a technology platform, it provides hands-on support from our EV and operations experts. We proactively manage risks and offer 24/7 support to ensure operational continuity – allowing you to focus on delivering exceptional service to your customers.
We’re dedicated to managing electrical energy efficiently, which helps your fleet run safely and reduces the risk of voltage hazards and other electrical issues. By tapping into our expertise and advanced technology, we make sure your EV fleet stays reliable and secure.
Get in touch to find out how we can support your fleet electrification and depot decarbonisation.