I wanted to take this opportunity to provide the context to an increase in our EV charging prices that will be charged across the Osprey network in the coming weeks.
From 9th August 2021, our price per kWh will increase from the current level of 36 pence to the new price of 40 pence. This brings us in line with the UK rapid charging market.
There are a number of factors that have led to us having to make this increase at this moment in time.
UK Energy Prices are at a ten-year high
First and foremost, the UK and global energy markets are experiencing huge price increases, which also impacts our cost of electricity for the network. The price of electricity to Osprey has increased by 38% over the last 12 months. The 11% increase in our pricing helps us to continue to operate in the face of these market forces.
You can read more about the market trends in this helpful article from the Guardian:
EV Driver demands are changing, and Osprey is responding at pace
As EV adoption increases sharply, drivers are now demanding bigger and better sites, with more chargers providing greater availability as well as large en-route sites providing high power charging. Osprey are responding to this rapidly, and in the coming months, you will see us launch the first of many 6-8 charger hubs, with units ranging from 75kW up to 175kW.
Sites with a greater number of higher-power chargers need a significantly greater power infrastructure. As a result, the cost of a typical site has now increased by as much as ten times in some cases. We are committed to building the best sites in the best locations, and the price increase will allow us to continue to invest at this early stage in the market.
Clarification on VAT rates for public EV charging
HMRC confirmed in May that a VAT rate of 20% should be applied to all public EV charging. Osprey, along with many other networks, had previously applied a VAT rate of 5% to its Account customers under the ‘de minimis’ provision.
We are no longer able to offer this VAT saving to our Account members, and our price to Account members will therefore be the same as for our PAYG customers, 40p per kWh. However, we will be bringing in a new usage bonus scheme in the future under which high usage customers will be offered a discount to the PAYG rate
We thank you for your support and look forward to the journey ahead with you.
CEO – Osprey Charging