Electrification as competitive advantage

Electrification is the fastest, most cost-effective way to decarbonise the transport sector and meet global climate ambitions. As the transport sector goes electric, the change runs deeper than new drivetrains: it restructures the energy system, reshapes transport behaviours, and becomes a core engine of the wider energy transition. In this structural shift, organisations that ground strategy in data, move with agility, and turn constraints into opportunities will outpace competitors on cost-to-serve, customer loyalty, and emissions reduction.

Electrification creates a strategic advantage

Electrification of transport is not a speculative bet but an inevitable transition. The momentum for electrification is strong, though not linear; its pace will vary by segment and region, shaped by market forces, policy shifts, and geopolitics.

As electrification becomes the most cost-efficient and dominant technology, companies need to build capabilities for an electric future. Those that invest in reskilling their workforce, adapt their operations, and build strong partnerships across ecosystems will help lower total cost of ownership for customers, accelerate adoption, and capture new revenue streams. Organisations that ground their strategy in data, act with agility, and turn constraints into opportunities will secure and gain a distinctive competitive edge.

From ambition to action: Strategies that deliver measurable outcomes

Implement Consulting Group turns electrification ambitions into actionable strategies and measurable results. We analyse market conditions, develop executable plans, identify new business opportunities and business models, and navigate evolving regulatory frameworks – all while focusing on capturing business value and creating real impact.

Effective decision-making requires more than data-driven insights; it demands a system perspective that connects vehicles, charging, grid constraints, power markets, and data to ensure resilient, scalable choices. We make the transformation happen by orchestrating cross-functional execution, de-risking critical milestones, building capabilities, and tracking value so that impact is realised in operations, margins, and growth – not just on paper.

Barriers to eTruck adoption – and the levers to overcome them

Electrification of heavy vehicles is advancing but adoption is currently affected by nine interconnected barriers:

• Vehicle supply: OEMs have expanded production capacity to meet sales targets, yet delivery timelines remain slightly delayed in the near term. Over a longer horizon, supply constraints ease, but near-term bottlenecks can still disrupt fleet plans. Operators have limited influence individually, which is why pooled demand and firm orders matter.
• Vehicle technology: Current battery-electric technology already covers most transport use cases, but edge cases (very long-haul, extreme payloads, harsh climates) can be challenging in the short term. Technology progress and charging standards (e.g., MCS) improve viability over time. Operators can influence outcomes by selecting fit-for-purpose specs, modular platforms, and by adapting duty cycles.
• Charging infrastructure availability: Networks are expanding rapidly, yet underdeveloped depot and corridor charging remains a severe near-term constraint. Availability, reliability, and grid connection timelines drive operational risk and cost. Long term, build-out reduces the constraint, especially where utilisation is concentrated. Operators can shape outcomes through early grid applications, co-investment, and corridor coalitions.
• Charging infrastructure technology: The recent introduction of high-power standards like Megawatt Charging System (MCS) is a positive step toward fast, efficient, and reliable charging. Near term, technology fragmentation and immature operations can be challenging; long term, standardisation lowers risk and cost. Operators can influence by standardising interfaces and working with CPOs on operability and uptime SLAs.
• Total cost of ownership (TCO): Short term, TCO often remains higher than fossil alternatives – driven by vehicle leasing costs, charging prices, and residual-value uncertainty – though specific use cases already reach TCO parity or better. Over a 3+ year horizon, TCO improves as battery costs fall, utilisation rises, and energy optimisation kicks in. Operators have strong influence by optimising routes, charging strategies, and bundling services.
• Vehicle financing: Large upfront CAPEX and uncertain residual values create near-term financing friction, particularly for smaller fleets. Over time, deeper secondary markets and better data on battery health mitigate risk. Operators can improve bankability with standardised specs, fleet-wide service agreements, telemetry-backed asset health, and pooled procurement.
• Infrastructure financing: Significant CAPEX is needed for depot and public charging; bankability hinges on predictable utilisation and offtake. Near term, permitting and grid upgrades slow progress; long term, asset-backed structures and capacity contracts unlock external capital. Operators can drive financing through SPVs, Charging Purchase Agreements, and multi-tenant site aggregation.
• Operational complexity: Integrating eTrucks requires rethinking routes, dwell times, and charging windows – 1:1 diesel replacement underperforms. Short term, this is a severe challenge; long term, operations adapted to EV capabilities improve uptime and economics. Operators have high influence via replanning, TMS/FMS upgrades, driver scheduling, and energy-aware dispatch.
• Policy uncertainty: Regional differences in incentives, standards, and fuel regulations can shift TCO parity timelines – sometimes backwards, as shown by diesel price reductions in Sweden. Over time, EU-wide standards (e.g., HDV CO2 targets) provide direction, but timing and scope still vary. Operators can reduce risk through proactive policy engagement, scenario planning, and market-by-market roadmaps.

To address the interlocking barriers slowing eTruck adoption, actors can pull a targeted set of levers. The following levers map directly to those barriers and provide practical pathways to bankable, scalable deployment.

• Joint eTruck procurement: Pool orders across shippers and carriers to secure OEM production slots, unlock volume discounts, and improve financing terms. Coordinated demand signals de-risk OEM planning, lower unit costs through scale, and reduce residual-value uncertainty – especially for smaller fleets. Operators gain leverage by standardising specs and committing volumes via coalition contracts.
• Optimising operations for electrification: Replan routes, schedules, dwell times, and charging windows instead of 1:1 diesel-to-electric swaps. Case evidence shows materially higher electrification rates and up to double-digit TCO reductions when operations are redesigned around EV capabilities, including combining 50 kW with 150 kW charging to boost utilisation. Operators should upgrade TMS/FMS, instrument fleets, and dispatch with energy-aware logic.
• Green lanes: Establish designated corridors with reliable, high-power charging, priority access, and aligned policies. Concentrated utilisation cuts downtime and range anxiety and showcases system benefits to attract investment and public support. Operators can form corridor coalitions with OEMs, utilities, CPOs, and logistics partners to co-develop sites and service levels.
• Charging aggregation: Structure charging assets into a special-purpose vehicle (SPV) and underpin revenues with long-term capacity/offtake agreements (e.g., Charging Purchase Agreements). This attracts external capital, accelerates rollout, and improves bankability through predictable utilisation and service revenues. Operators can aggregate multi-tenant demand, standardise uptime SLAs, and anchor offtake to de-risk investments.
• Policy positioning: Map and time deployments to regional incentives, standards, and grid-connection realities; engage in public–private forums to shape predictable rules and accelerate approvals. Proactive positioning reduces policy uncertainty, improves cost parity, and guides decisions on route selection, charging locations, and vehicle order timing. Operators should maintain market-by-market roadmaps and scenario plans to capture grants and avoid delays.

In short, these levers work together – aggregating demand, redesigning operations, concentrating infrastructure where it pays, structuring financing to attract capital, and aligning with policy – to convert ambition into executable, bankable scale.