New partnership announcement: Horizon Energy Ventures and Drax Electric Vehicles

We’ve teamed up with Drax Electric Vehicles to provide their customers with our financing options to spread the cost of EV charging infrastructure implementation. 

 

With the UK’s ban on the manufacture and sale of internal combustion engine vehicles (ICEs) approaching, and the increasing importance of visible commitments to sustainability, organisations need to act. However, Drax Electric Vehicle’s recent research shows that less than half of UK organisations have installed any EV charge points. The most commonly cited reason for hesitancy is cost. The initial outlay required for necessary groundworks, hardware purchases, and installation is often more than organisations can cover within a single financial year. 

Enabling businesses to spread the cost and reduce risk 

Our finance solutions, offered by Drax Electric Vehicles, will take away the potentially daunting upfront cost of EV infrastructure implementation. For many organisations, the available funding models will mean the difference between making fleet electrification and/or providing destination charging facilities a reality or not. 

For organisations already preparing electrification plans, spreading the cost in this way could provide: 

• The scope for installing more charge points 

• The scope for installing charging facilities across more locations 

• The means to cover any unexpected power-upgrade works (particularly relevant for electric HGVs and buses, which require more powerful hardware to charge) 

• The opportunity to upgrade plans to include higher-specification hardware 

• The opportunity for additional investment to improve future-proofing 

Having a clear picture of monthly costs for a period of five years, for example, also gives organisations cost certainty around which they can plan other expenditures. 

Trusted partners 

We’re thrilled to be working with Drax Electric Vehicles – a specialist in end-to-end electrification. By tailoring EV-transition roadmaps to organisation-specific requirements, Drax Electric Vehicles support from assessment to implementation and beyond.

Drax Electric Vehicles’ focus on understanding sites and operations ensures the supply and installation of cost-effective, future-proofed charging solutions. They also offer a market-leading management portal to help control operations and identify optimisation opportunities.

As part of Drax, Drax Electric Vehicles offers reassurance due to their heritage and scale, providing energy, cost, and sustainability benefits as decarbonisation experts. They understand the importance of flexible funding solutions that can cover the entire cost of organisations’ EV charging investments, including design, additional connection costs, hardware, installation, barriers and bay marking, associated software, and ongoing operations and maintenance.

Naomi Nye, Head of Sales, Drax Energy Services, on our partnership and asset finance proposition:

 

 

Introducing the ‘sale and leaseback’ funding model 

Together, Horizon Energy Ventures and Drax Electric Vehicles are particularly pleased to offer the ‘sale and leaseback’ funding model, the first of its kind in the marketplace*. Suitable for organisations with charging assets already installed, it offers the potential to free up large sums of capital for investing in other business-critical activities. 

*through an EV chargepoint solutions company.

Three core funding options 

We offer three core funding options: ‘operating lease,’ ‘finance lease,’ and ‘sale and leaseback.’ All are available to Drax Electric Vehicles customers and cover direct infrastructure, infrastructure upgrades, and asset replacement costs. There’s also the potential to include operating and maintenance costs within your lease contract for the simplicity of one bill per period. 

1. ‘Operating lease’ is a solution that larger companies may seek, to use revenue expenditure on their Drax charger solution. Useful for companies that want a short-term finance contract and may want to upgrade in the near term. 
2. ‘Finance lease’ gives companies the ability to pay for their Drax charger solution over a period of time. Useful for longer term finance repayments where they see usage over a longer period. 
3. ‘Sale and leaseback’ can help companies who have already installed chargers to release capital for other purposes – repaying over a term of up to 5 years subject to equipment warranty.  

A simple process 

Explore our funding options to identify which option best suits your situation by comparing the different finance options we offer with Drax here. 

If one of the funding models suits your needs, the application and approval process is simple. Contact Drax to request details of your option(s). They’ll chat with you about your situation, your aims, and the suitability of the frameworks, providing indicative costs. Based on this, you can request a firm ‘finance agreement’ quote. They’ll pass this on to us along with their installation costs. If everything’s in order, you’ll sign the agreement and make an advance payment, and Drax will begin installation. You’ll only start making ongoing payments once your hardware is operational. 

Tangible impact 

Through this partnership, in readiness for the UK’s ban on the manufacture and sale of ICEs, your business can invest in EV charging infrastructure implementation, driving towards net zero now. 

David McCoubrie, Head of Sales, Horizon Energy Ventures on our new partnership:

 

 

To learn more about the benefits, our financing frameworks, and process, visit the Drax Electric Vehicles website here.