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Why Mercedes is going ‘electric only’ for its company cars — and how it can save other companies in gas and maintenance fees

It represents a blueprint for how other EV-makers can cut costs on both fuel and maintenance.

It represents a blueprint for how other EV-makers can cut costs on both fuel and maintenance.

Photo Credit: iStock

Mercedes-Benz has set a target of going fully electric by 2030, and that applies to company cars in Germany, too.

More specifically, Mercedes says that, by the end of this decade, it will “be ready to go all-electric wherever market conditions allow.” According to a report from German outlet Automobilwoche summarized by Electrek, it’s clear Mercedes is intent on implementing the strategy across its vehicle sector. 

Many company employees have already been helping out, with Electrek noting that there has been a more than four-fold increase in fully electric company fleet cars since last year, with nearly a third of total company cars fully eschewing dirty-fuel power. Another 40% of the fleet are plug-in hybrids.

A spokesperson from Mercedes told Electrek that switching to electric models is not a requirement for German employees, but that company cars remain within the brand’s target. Some 5,000 vehicles should be swapped out for fully electric models in the coming years.

“Good for MB on this move,” one commenter on Electrek’s report said. “Leadership from the top.  Now may other’s follow.”

It represents a blueprint for how other companies can cut costs on both fuel and maintenance. Electric cars are far more economical to run than standard dirty-fuel-powered models and need a lot less expensive upkeep to deliver top performance, so any company can save money on cars and vans by encouraging a switch to all-electric models.

Even New York City is requiring all government vehicles to shift to electric or zero-emission options, which Mayor Eric Adams said would save $90 million in taxpayer funds over four years. 

In an August 2021 press release, Mercedes-Benz announced its intention to be “ready as markets switch” to go all-electric for newly manufactured vehicles by the end of 2030. 

“The new strategy represents a supercharging of the company’s battery electric vehicle (BEV) plans, with plug-in hybrid and full-electric vehicles to account for 50% of global sales by 2025, up from the previous 25% target,” the company said.

It outlined its intention to provide an all-electric alternative for every new vehicle in its range by 2025, and it also noted it will expand its battery manufacturing capability and boost its charging network worldwide. 

In the pursuit of convincing more vehicle customers to go electric, Mercedes-Benz announced in July that it will be the first German original equipment manufacturer to add North American Charging Standard (NACS) ports in its electric cars in 2025.

The move will also see NACS adapters provided for cars from 2024, which is when Mercedes drivers can access Tesla’s Supercharger network for fast charging. 

“To accelerate the shift to electric vehicles, we are dedicated to elevating the entire EV-experience for our customers – including fast, convenient, and reliable charging solutions wherever their Mercedes-Benz takes them,” Ola Källenius, Mercedes-Benz Group AG’s chairman of the board of management, said.

According to research published by transportation and logistics researcher Mathilde Carlier on Statista, 34% of respondents in a March 2022 worldwide survey said the lack of charging stations was the key reason they were avoiding the purchase of an electric vehicle. 

If Mercedes-Benz increases its vehicle options and availability and provides accessible charging options, it should no doubt encourage more motorists to swap dirty-fuel-powered machines for models that produce zero tailpipe pollution while out on the road. 

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