A shift to electric vehicle adoption could have a lasting impact on industries such as traditional automotive companies, oil companies and gas stations. One company that falls under the last two categories is investing in the future of EVs.
The deal brought a leading EV charging and energy management software company into the Shell New Energies umbrella.
“With this deal, Greenlots’ technology and team become the foundation for Shell’s continued expansion of electric mobility solutions in North America,” Shell said at the time.
Greenlots Expansion: Greenlots works with partners to provide the software for EV charging. Partners include Electrify America, the charging subsidiary of Volkswagen AG (OTC:VWAGY).
“We provide the software for Electrify America,” Greenlots COO Tannaz Banisadre said in an interview with Electrek.
Banisadre said Greenlots is enabling the networks and helping to power the advance of EV charging worldwide. The Greenlots executive said it could be a few more years before we hit critical mass industry-wide.
One question for Banisadre was how Shell could utilize electric chargers at existing gas stations.
“People aren’t going to rip out functional hardware.”
Banisadre said people want to charge their vehicles at home, work or while at the store.
“They also might be on a freeway and need to use a bathroom.”
The natural extension of gas stations could be to provide electric charging and some parts of the world already offer this.
“We serve 30 million customers a day,” Banisadre said of Shell gas stations globally. “We’re one of the largest retailers in the world.”
Shell gas stations were built based on where people are coming and going, the Greenlots executive said adding the stations are well placed geographically.
Banisadre highlighted legislation passed in Germany that required an EV charger at every gas station, something which could become a growing trend.
“Shell has a target of 500,000 chargers by 2025, globally.”
Shell has launched chargers at several stations worldwide. As electric vehicle usage increases, Shell could find itself in a strong position to benefit from the existing infrastructure in place and willingness to adapt to changes in the oil and gas industries.
Related Link: Kids Pushing Parents To Buy Electric Vehicles: Study
Why It’s Important: Shell has spent billions of dollars on investing in companies and new energy initiatives that can help the company transition to a more diversified energy company.
Many, including Electrek, did not know Greenlots partnered with Electrify America, one of the leading electric vehicle charging networks.
Electrify America was rumored to be seeking a $1 billion investment earlier this year to continue building its infrastructure. The company is one of the largest DC fast charging networks in the U.S with plans for more than 3,500 chargers and 800 stations by the end of 2021.
Electrify America has deals in place to offer charging for several automotive companies including Lucid Group Inc (NASDAQ:LCID).
Greenlots was also one of the named companies to partner with General Motors Company (NYSE:GM) on its Ultium Charge 360 initiative to increase charging networks for GM customers as it works to launch 30 electric vehicles globally by the end of 2025.
Price Action: Shell shares are up 97% in the last year. Over the last five and ten years, shares have fallen 2% and 32% respectively.
Disclosure: Author is long LCID shares.