Fastned, the charging company which is building a European network of fast charging stations for electric vehicles, has exceeded its fundraising target as it expands the number of sites it operates.
Around €12 million has been raised from 1,000 subscribers in a bond issue, four times the minimum of €3 million that Fastned wanted to raise.
The issue ended in December 2019 and will pay 6% interest per year, with the proceeds financing further expansion of Fastned’s fast charging network.
The stations are located at high traffic locations along highways and in cities, where electric cars can add up to 200km of range in 15 minutes, depending on their fast charging capacity.
Fastned currently has around 114 stations operational in the Netherlands, Germany and the UK and wants to expand to the rest of Europe, with an initial focus on Belgium, Switzerland and France.
It recently received approval for 13 motorway locations in Belgium, which are part of a collaboration with the Highway and Traffic Agency to provide motorway parking in Flanders with fast charging stations.
Michiel Langezaal, chief executive officer of Fastned, said: “It's great to see that so many people are investing in the transition to a more sustainable world. With the yield of this bond round, we can expand the capacity of our network again with more stations and more faster chargers. This allows us to continue to meet the growing demand for fast charging.”
Demand for plug-in cars, ranging from pure electric vehicles to plug-in hybrids, soared 38% to 382,000 throughout Europe in the first three quarters of last year, according to industry association ACEA.
Germany overtook Norway to become the largest European market, with 75,000 plug-in sales, a rise of 48%. Norway sold nearly 62,000 plug-in vehicles and until recently was Europe’s largest market, driven by government tax breaks for choosing cleaner cars.
Other major markets include the UK (48,000), France (42,000), Netherlands (38,000) and Sweden (27,000).
In addition, demand for hybrid vehicles in Europe has also soared 43%. Hybrid vehicles can’t be plugged in, but many can travel short distances using battery power alone, while electric assistance reduces fuel consumption when the engine is in use.
A total of 665,000 hybrids were sold in the first three quarters of 2019; the market in Germany nearly doubled to 137,000 cars, followed by the UK, up 56% to 116,000, while Italy, Spain and France all sold around 75,000 units.
Amid rocketing demand in key markets, industry commentators have raised concerns about a new pricing structure from manufacturer-owned charging network Ionity.
The new scheme applies solely to ad-hoc customers – not to drivers using Ionity’s network via Connected Mobility Service Providers (MSP) such as the Audi e-tron Charging Service and Mercedes me Charge, which offer bespoke packages – and sees the previous flat rate of €8 replaced with a fee of €0.79 per kWh, effective from the end of January 2020.
Critics say the price rise makes electricity much more expensive than petrol or diesel.
Ionity chief executive officer Michael Hajesch defended the strategy, saying: “Our new pricing scheme offers a viable and transparent pricing structure in Europe. Depending on their individual needs, our customers have the freedom to choose the most appropriate scheme available.”
Ionity aims to provide a network in 24 European countries by the end of 2020.
