LocalCharge: EV Chargers fast deployment for Municipalities with grid-friendly charging algorithms.
Project Idea Metadata
- Project Idea Name: LocalCharge: EV Chargers fast deployment for Municipalities with grid-friendly charging algorithms.
- Date: 4/4/2024 1:33:24 PM
- Administrators:
Project Idea Description
Context
By 2035, Switzerland is expected to accommodate 2.8 million electric vehicles, requiring approximately 2 million charging stations throughout the country. Of these vehicles, potentially up to a million won't have access to charging facilities at home or work, underscoring the critical need for robust public charging networks (SFOE). LocalCharge presents a groundbreaking solution to the challenges municipalities face in developing EV charging infrastructure. By pivoting from traditional public land dependency to incorporating private properties and businesses, LocalCharge not only circumvents the high costs and construction complexities but also accelerates the expansion of accessible charging networks. This project is designed to serve as a cornerstone for municipalities, enabling a swift and efficient transition towards electric mobility, enhancing grid management, and fostering a sense of community participation in the energy transition.
Challenges Addressed
Municipalities face the dual pressures of high costs and public expectations in their quest to support the energy transition. Currently, they are limited to installing EV chargers on public lands, which not only incurs prohibitive costs—approximately 30K CHF per charger—but also requires extensive construction work. Established charging network operators are naturally inclined to install charging stations in high-traffic areas to maximize the use and revenue of their assets. Consequently, they have little interest in deploying a charging network in large, low-traffic areas. As the public increasingly demands that municipalities support the energy transition, these local governments are expected to set an example and take decisive actions to facilitate this shift. Meanwhile, although private charging station owners—such as small businesses and homeowners—are more common in medium- and low-density areas, they have no incentive to share their assets and are generally unwilling to do so since they do not benefit from it.
Strategic Solution
The establishment and management of a charging network encompass a complex ecosystem of stakeholders and processes, all facilitated by our LocalCharge platform and app. In our vision, a citizen interested in installing a charging station at their residence initiates a request through their municipality's access to the LocalCharge platform. This request undergoes review and is then forwarded to an accredited reseller, responsible for conducting on-site inspections and grid connection validation. Upon approval, the charging station is installed by the reseller, with costs shared between the municipality and the future owner.
Once installed, any community car owner can reserve slots at this charging station via the LocalCharge app. Charging fees are processed through the app, while electricity costs are directly billed to the homeowner by the Distribution System Operator (DSO). Periodically, reimbursements for external car owners' charging sessions are issued to the charging station owner. Moreover, homeowners who generate their own electricity enjoy higher profit margins, incentivizing local energy production.
LocalCharge enables an innovative community model that encourages private property owners and local businesses to participate in the municipal EV charging network. By facilitating the access to grants and partnering with a principal vendor, the solution simplifies and reduces installation costs significantly, allowing for the deployment of up to six chargers for the cost previously attributed to a single unit on public land. Property owners benefit from a professional-grade charging solution at a fraction of the cost. They agree to share their chargers with community members, receiving compensation for the electricity supplied, thereby creating a win-win scenario. This setup encourages community engagement, ensuring that charging infrastructure grows in tandem with demand. Finally, the solution makes smart management of the charging stations in the community possible, hence maximizing utilization of the existing infrastructure and local energy production, and reducing the need for massive investments in the power grid.
Benefits for Stakeholders
- Municipalities gain a cost-effective, scalable solution for EV charger deployment on their territory. This strategy aligns with sustainable urban development goals and the broader agenda for energy transition. Grants can be offered by feeding periodically a fund that supports energy transition.
- Citizens enjoy increased access to charging stations close to home, contributing to the convenience and feasibility of EV ownership. The system's flexibility allows for preferred charger subscriptions and booking, making EV charging more accessible and user-friendly.
- Charging station owners enjoy a premium charger at a minimal expense, with a greatly simplified and streamlined process, ensuring a seamless journey from station order to installation. Their efforts in charger availability are rewarded, ultimately enabling cost-free driving. As a cherry on top, they get an enhanced ROI on photovoltaic systems.
- Grid Operators potentially benefit from the flexibility of the aggregated control of charging stations
Business model
Value Proposition:
- LocalCharge empowers municipalities to efficiently plan, fund, validate, and manage electric vehicle (EV) charging infrastructure. The platform integrates booking management and billing for charging sessions, simplifying the overall process and enhancing user experience. By adopting LocalCharge, municipalities can set an example in sustainable energy practices, fostering a collaborative ecosystem where every stakeholder’s contribution is acknowledged and valued.
Key Functions:
- Planning, Funding, and Validation of Charging Stations: Streamlines the deployment and management of charging infrastructure.
- Booking Management: Provides a seamless experience for users to find and reserve charging spots.
- Billing for Charging Sessions: Facilitates transparent and efficient billing processes.
Revenue Streams:
- Subscription Fees: Recurring subscriptions from municipalities and citizens.
- Transaction Margins: Earnings per kilowatt-hour (kWh) charged during each session.
Cost Structure:
- Platform Operation: Includes Charge Point Operator (CPO) services, cloud infrastructure costs, and ongoing development and maintenance of the platform.
Partnerships and Collaboration:
- LocalCharge actively seeks partnerships with like-minded organizations, municipal authorities, and industry stakeholders committed to sustainable development. This collaborative approach aims to create a community-driven platform that is not only used but co-owned and shaped by its users and sponsors. These alliances are essential to scaling the platform and driving its commercialization, ensuring LocalCharge becomes a sustainable and replicable model for national adoption.
Mission:
- To foster a community-centric solution that supports municipalities in leading the energy transition, enhancing urban sustainability, and building smarter cities through collective action
Path to vision
With CHF 25'000, we would use the funds to finance the development of a prototype or proof of concept for the LocalCharge solution by a partner organization (DSO or EV Charger operator). In particular, we would focus on marketing material, to be used to support our pitch. This could involve designing and building a small-scale charging station network to demonstrate the feasibility and functionality of the concept. In turn, this prototype could be used to approach DSOs and municipalities to organize a pilot project, and bootstrap a larger funding round.
Short term actions:
- Develop a prototype to test and proof the concept with interested partners
- Develop marketing material to raise interest for potential shareholders
- Find and convince a first municipality and motivated citizens, willing to test and challenge our concept
Mid-term actions
- Draft a legal contract for users and partners with a specialist
- Develop an MVP for Booking/Rewarding/Paying
- Leverage the pilot to convince a sponsor to back the development of the MVP
- Build partnerships with Charging Station Operators and Charging Station Suppliers
- Development of V1 to scale to 10 municipalities
- Find a distribution channel to enable the scaling of the solution
- Consolidate the product with documentation, tutorials, etc.
- Find subsequent funding to support scalability, economies of scale, hiring additional staff
Long-term
- Development of V2 to scale to 100 municipalities
Team
LocalCharge is an innovative initiative developed by Softcom, a Swiss software company based in Fribourg. As an SME dedicated to quality, Softcom actively supports Switzerland's energy transition. Our team for this challenge includes French- and German-speaking consultants with extensive industry networks, especially among Distribution System Operators (DSOs), software developers working with charging station network operators, and market experts who understand the industry's strategic direction and evolution. We emphasize collaboration with local businesses and universities to drive innovation, with the goal of becoming a proactive leader in the market, particularly in the energy sector.
LocalCharge revolutionizes municipal electric vehicle (EV) infrastructure by leveraging private properties and local businesses to quickly deploy chargers while reducing installation costs. This approach addresses the dual challenges of infrastructural limitations and high costs of public land use, providing a community-centric model. LocalCharge facilitates broader access to chargers and supports the grid with a more distributed and manageable load, paving the way for a sustainable and electrified future.