Take Charge: Considerations When Installing EV Charging Stations on Commercial Property

As demand for electric vehicle (EV) charging stations continues to rise, commercial property owners are increasingly being approached by vendors offering to install these stations at no upfront cost. The appeal is obvious: an easy way to enhance property amenities and cater to the growing number of EV drivers. To sweeten the deal, vendors often provide preprinted agreements, eliminating the need for property owners to spend time and money on legal fees.

While installing EV charging stations can be a smart move for property owners, it's important to consider a few key factors and risks before committing. By doing some due diligence and negotiating with vendors, property owners can help ensure they're setting themselves up for success by having the right protections in place.

Keep in mind a few considerations when exploring the addition of EV charging stations to a property:

• Fire Risks: Like any electrical equipment, EV charging stations carry a risk of malfunction that could lead to a fire. While the likelihood of this happening is low, the potential impact is significant. Fires at charging stations can be difficult to control, as the require special equipment from fire departments. To mitigate this risk, property owners should confirm that vendors have a solid maintenance plan in place and their insurance coverage includes fire-related incidents at charging stations.
• Public Access Considerations: Some local regulations may require EV charging stations to be accessible to the public, even if the charging stations are located on private property. If the property owner intends to limit access to tenants only, they may need to navigate these regulations carefully to avoid any conflicts. Understanding local requirements will help ensure the installation aligns with legal obligations and the property owner's intentions.
• Use Monitoring and Tenant Satisfaction: If charging stations are marketed as a valuable amenity for tenants, it's important to establish clear rules and expectations regarding their use. For example, tenants may become frustrated if vehicles are left parked at charging stations after they're fully charged, preventing others from using the space. Owners should develop and enforce fair usage policies to avoid conflicts and maintain tenant satisfaction.
• Ongoing Maintenance and Service: While many vendors offer to take care of the maintenance of EV charging stations, it's crucial to review the details of these agreements. Some contracts may lack provisions for timely repairs or penalties for failure to maintain the stations. Property owners should ensure that charging stations are regularly serviced and malfunctioning units are repaired quickly to minimize any inconvenience to tenants or visitors.
• Data Privacy: Many EV charging stations collect user data, which could include personal information such as payment details. Ensuring the security of this data is critical, as any breach could lead to privacy concerns and potential liability. Property owners should work with vendors who have robust data security measures in place and ensure that these measures align with their own privacy standards.

This list covers just a few of the potential risks that property owners should consider when installing EV charging stations. Although it's not intended to discourage the installation of these valuable amenities, it's a reminder that careful planning, proper risk management and clear agreements with vendors are essential to ensure that the benefits outweigh any potential challenges. By taking the time to assess these risks and address them thoughtfully, property owners can confidently enhance their properties with EV charging stations and meet the evolving needs of tenants and the community.