In order for electric vehicles (EVs) to be more readily adopted, not only do they need to cost less but the issue of the charging network has to be addressed. The liquid fuel network around the planet where you can find somewhere to refuel – in the desert or in the jungle – is the product of 100 years of development but charging stations are very recent. In fact, it’s only during this decade that the charging network has accelerated as more EVs began appearing on roads.
Ideally, governments should build the infrastructure but it is a costly exercise, so they are leaving it to the industry players to make the investments. On their part, governments typically offer incentives (like tax exemptions) to buyers to reduce the cost of purchasing an EV. So it is up to the carmakers to either build a network themselves or partner companies in the power supply business.
At CES 2023, the Consumer Electronics Show in Las Vegas this week, Mercedes-Benz has announced that it will launch a high-power charging network in key markets that include North America, Europe and China, starting with the USA and Canada this year. The aim is to have the full network in place before the end of the decade, when Mercedes-Benz intends to go all-electric wherever market conditions allow.
Available to all brands
The company believes this strategic move will significantly enhance the usability and convenience of its new generation of EVs, differentiate the Mercedes-Benz ownership experience and accelerate the EV transformation. The charging network will naturally prioritise Mercedes-Benz customers but also be available to drivers of all other brands with compatible technology in their EVs. This comprehensive initiative, alongside ongoing support for shared networks such as IONITY, also aims to drive global adoption of electric mobility.
For the first network in North America, Mercedes-Benz will collaborate with MN8 Energy, one of the largest solar energy and battery storage owners and operators in the USA, and ChargePoint, a leading EV charging network technology company. By 2027, the network should have more than 400 hubs across North America with more than 2,500 high-power chargers for quick recharging.
High power for minimum waiting time
Depending on region and location, the hubs will offer 4 to 12, and ultimately as many as 30, high-power chargers (HPC) with up to 350 kW of charging power. Intelligent charge-load management will allow each vehicle to charge at its maximum capacity, keeping waiting times to the minimum. The optimised station layout will ensure plenty of space around the vehicle as well as unhindered charging from either side. Where feasible, charging points will be covered for protection from the weather.
The locations and surroundings of the Mercedes-Benz charging hubs will be carefully selected with wider customer needs in mind. The best possible charging experience will therefore come with food outlets and restrooms situated nearby. Facilities will also be equipped with surveillance cameras and other measures to provide a safe and secure charging environment.
The setup of the stations itself is favoured by the high degree of commonality in the network and a modular, scalable site design. The company believes the global reach and prime locations of its charging network means it is also likely to become an asset in its own right. This has the potential to create additional value for the company’s shareholders.
1 billion euro investment
The total investment cost for the North American network will be just over 1 billion euros (about RM4.7 billion), deployed over the next 6 – 7 years. The capital for this will be provided by Mercedes and MN8 in a roughly 50:50 split.
“Mercedes-Benz already offers what we believe to be the finest EVs in the market. But to accelerate the electric transformation, we need to ensure that the charging experience keeps pace as well. Our customers deserve a compelling charging experience that makes electric vehicle ownership and long-distance travel effortless. We won’t take a wait-and-see approach for this to be built. That’s why we are launching a global high-end charging network. It’s designed to become another differentiator of Mercedes-Benz ownership for our customers and an asset with value creation potential for our company. We are excited to start right here in North America with strong and experienced partners like MN8 Energy and ChargePoint,” said Ola Kallenius, Chairman of the Board of Management of Mercedes-Benz Group AG.
