Opinion: Why more government supported is needed as EVs become mainstream

Andy Hamilton, CEO at LKQ Euro Car Parts, on why it's time for workshops to get 'EV ready'

Opinion: Why more government supported is needed as EVs become mainstream
Photo: Bigstock

Electrification has been high on the news agenda for years now, a period when independent aftermarket businesses have had an awful lot to contend with – not least, a global pandemic.

Even in challenging times, some operators have taken the opportunity to carve out a niche for themselves by being among the first to upskill and successfully market themselves as specialist hybrid and EV repairers.

But for those generalist or more mainstream businesses – that want to stay that way – the big question has been whether and when the volume of plug-in vehicles in the aftermarket will reach the point where ‘mainstream’ and ‘EV ready’ are one and the same.

And from the SMMT’s latest used car sales data, my view is that we’ve reached it.

Used battery electric vehicle (BEVs) sales continued to soar in the second quarter of this year, growing by 81.8 percent to 30,645 units and representing 1.7 percent of the market – a new record – up from 1.0 percent last year.

Double-digit growth also continued for used plug-in hybrids (PHEVs) and hybrids (HEVs), up 11.4 percent to 18,437 units and 29.5 percent to 53,634 units respectively.

While the aftermarket will still be ICE-dominated into 2025, most workshops will have customers who have already moved into a plug-in, or who are thinking about it. The time for mainstream workshops to get EV ready is now.

When you consider that one in two drivers have changed repairer since getting an EV, and one in four would prefer to use an EV specialist, the opportunity that comes with adapting – and the risks attached to not doing – is clear.

Only 16 percent of technicians (39,000) working in the aftermarket are qualified to work on EVs – many of whom work for franchised dealers and established specialists.

We need this skillset and capability to be readily available in mainstream workshops up and down the country for the independent aftermarket to remain competitive – and so that the owners of used EVs aren’t paying over the odds to service and maintain cars that are four years old plus.

Our LKQ Academy has trained 2,000 technicians in EV and hybrid repair in the last 12 months, and we’ve committed to upskilling 1,000 more by the end of this year.

As well as developing skillsets on the workshop floor, we’re also offering a new course to help garage owners and managers to get their businesses EV ready, which includes marketing specialist service provision and other ways to maximise return on investment and profitability.

There’s a lot of talk in the news about the viability of the 2030 ban and the need for more government support if we’re to meet our targets around EV take-up.

This is a conversation I’m actively involved in and a challenge to government that our business is fully behind.

It’s true that the EV and hybrid business opportunity has arrived in the aftermarket and is only going to grow. But we need a joined-up approach to drive change at the desired pace, to ensure no-one is left behind and to make sure that the transition to electric delivers positive outcomes for all.

More government support is needed – to put the necessary infrastructure in place so that EVs are viable, and to incentivise and enable businesses of all sizes to make fleet upgrades and invest in training and equipment.

Andy Hamilton is CEO at LKQ Euro Car Parts

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