NEWS

08Jun
2020

ELECTRIC DRIVING: FREE CHARGING DISCONTINUED MAY 1 THIS YEAR

ELECTRIC DRIVING: FREE CHARGING DISCONTINUED MAY 1 THIS YEAR

On May 1, Hungarian electric motoring reached a milestone: at the charging points installed by e-Mobi, you have to pay for the energy received, which means that the free charging of electric cars in Hungary will practically end.

Mobiliti: NKM Mobilitás Kft. and e-Mobi Elektromobilitás Nonprofit Kft

NKM Mobilitás Kft. bought e-Mobi Elektromobilitás Nonprofit Kft. last October. The two companies have already indicated at this time that the integration of the systems will start after the closing of the transaction, as a result of which the Mobiliti 0-24 customer service, the Mobiliti application and RFID identification will be available for e-Mobi chargers as well.

This move was a sign that e-Mobi's hitherto free charging poles will also require paying for the electricity received and the services they provide. And the company's announcement at the end of April revealed that the Mobiliti application had been updated at several points, which made it possible to introduce Mobiliti's charging services on e-Mobi's 336 chargers. As a result, as of May 1, 2020, Mobiliti customers will be able to use nearly 500 chargers in Hungary.

In parallel with the expansion of the charging network, they also updated their charging structure during the test period. Monthly fee packages are also expected in the near future, offering more affordable, personalized charging options. These will include, for example, a discounted night charge for those who do not have the opportunity to charge at home.

All this in practice means that the 336 chargers that e-Mobi had previously installed and where electric cars could be charged for free have become pay services from 1 May.

Ionity

Ionity has also introduced a new billing system at its charging points from 31 January. In practice, this has resulted in those who use the company's ultra-fast chargers in Hungary having to pay for energy on a kWh basis instead of the previous fixed fee.

This new according will be much more expensive, but at the same time fairer, as so far electric motorists with lower-powered batteries have had to pay the same as those who have charged their vehicles with larger batteries in the same place.

Elmű-Émász

From 1 August 2019, Elmű-Émász made the charging of cars at its own electric car charging points to-pay from 1 August 2019. The payment solution is otherwise completely digital, the payment is made with the bank card recorded in the eCharge+ application. The system locks a one-time amount in the bank account when you start charging, then after charging, the unused amount will be automatically released after a few days - within a maximum of one week.

For many, it may be a surprise to pay for the energy received in Hungary, with one exception, as one of the great attractions of electric driving so far was the possibility of free charging.

Previously, in Hungary, some players did not put electric charging on a business basis and gave energy to motorists for free. However, free or discounted charging is not commercially sustainable, as all companies have an interest in making a return on their investment. In the absence of significant profits, domestic market participants were not sufficiently motivated to substantially develop their charging infrastructure. Among many other factors, this also made it very difficult and slowed down the country’s transportation with electric cars.

It follows that if, with the advent of the ‘pay period’, a company sees that it can recoup its investment, generate a profit, become more commercially interested in installing and developing charging infrastructure. This is also exemplified by the fact that Mobiliti also indicated in its announcement that they will not stop with charger installations, they will be constantly working to expand the charging network again this year with a number of new chargers.

author: Miklós Kardos - ALD Head of Procurement

Source: Portfolio.hu; Levente Szandányi; April 28, 2020         

https://www.portfolio.hu/gazdasag/20200428/uj-korszak-kezdodik-nehany-nap-es-veget-er-az-elektromos-autok-ingyenes-toltese-magyarorszagon-428682