More Sydney shoppers will soon have their groceries delivered in battery electric vehicle (BEV) trucks thanks to an Australian first project supported by the Australian Renewable Energy Agency (ARENA).
ARENA is providing Zenobē, a global fleet electrification specialist, with $8.5 million (total project cost $19m) from the Driving the Nation Fund to develop a BEV truck charging hub in Sydney that will show the benefit of integrating BEVs into grocery delivery services.
Zenobē, will own and operate the site and the trucks to be leased to Woolworths under an Australian-first electric vehicle as a service business model for trucks.
ARENA CEO Darren Miller said the funding to Zenobē is part of ARENA’s work to reduce emissions in the transport sector.
“This Australian first project is showing the heavy transport sector how electrification can be integrated into their existing business models and drive down the high emissions from transporting goods our roads,” Mr Miller said.
“As customers become more used to having their groceries delivered, it makes sense to find renewable energy solutions to do so.”
“Transport plays a vital role in Australia’s economy and contributes to 20% of emissions. ARENA is excited to fund projects like this finding solutions to the problem.”
The EV project includes a brand-new $19 million charging hub and leasing of 60 BEV trucks to supermarket Woolworths for its grocery home delivery fleet. The site will also have the capacity to accommodate additional BEV trucks to create a multi-user facility.
Located in Mascot, NSW, the hub will consist of 22 dual port chargers integrated with smart charging software and a stationary battery mode from second-life EV batteries.
The project will demonstrate the viability of integrating BEVs into a grocery home delivery fleet and the EVaaS model for the last mile delivery sector.
Zenobē’s innovative business model will help businesses overcome barriers to fleet electrification including high capital costs, limited experience and expertise.
Zenobē Founder and Director, Nicholas Beatty said ARENA’s investment and support is a catalyst for innovative clean transport models.
“Green finance is key to unlocking flagship projects like this, accelerating the decarbonisation of transport. Collaboration remains key and, together with ARENA and Woolworths, we are showing that the truck sector can electrify today,” he said.
ARENA has previously worked with Zenobē on the $37.2 million ‘Next Generation Electric Bus Depot’ in Leichardt, NSW, that ARENA supported with a $5 million grant in 2021.
Zenobē expects work on the charging hub to begin in September 2024, with completion due early 2025.
