How to use tariffs with charging infrastructure
In 2012, the Scottish Government established a Scotland-wide public charging network, known as ChargePlace Scotland. The network is made up of sites owned by a combination of local authorities and public, private and third sector organisations. Almost all the network’s chargepoints were initially free to incentivise more people to drive electric vehicles (EVs).
As the number of EVs on the road has increased, offering free charging has become too expensive for chargepoint owners to keep up. Widespread free charging has also made it harder for private companies to compete in Scotland’s EV charging network.
Looking ahead, Transport Scotland envisions the private sector will play a key role in running the country’s EV charging network. This means both existing and future charging infrastructure must adopt tariffs that are fair, sustainable, and supportive of growth.
Tariffs need to reflect the real cost of delivering the service. They must cover the cost of a unit of electricity (kWh), as well as the operating costs associated with running a network. These operating costs include:
To keep the service sustainable, operators must set rates that cover all these expenses, plus the upfront costs of installing charging hardware. On top of that, they need to factor in a reasonable profit margin. The final rate must also include the 20% VAT paid on public charging.
A fair and sustainable tariff is essential to growing and maintaining a high-quality, customer–focused network in Scotland. This is key to supporting the shift to electric vehicles and making sure Scotland hits its climate targets.
From 24 November 2023, under the Public Charge Point Regulations 2023, all chargepoints must clearly display the maximum price of a charging session. This is shown in pence or £X.XX per kilowatt hour.
While most operators simply charge for the electricity used, some also apply a connection fee. However, Electric Vehicle Association Scotland (EVA Scotland) points out that connection fees often encourage drivers to stay plugged in for longer to get better value. This can limit chargepoint availability for others.
To address this, EVA Scotland recommends setting a minimum fee per charging session instead. This approach guarantees operators a base income each time someone plugs in but doesn’t penalise drivers who stay for a reasonable amount of time.
Operators typically set different tariffs between AC slow/fast (near-home or destination) and DC rapid/ultra-rapid (journey) charging. Tariffs on AC slow/fast charging units are usually lower, as they have lower hardware, installation and running costs.
According to the ZapMap Price Index, the average pay-as-you-go (PAYG) tariff for AC slow/fast chargers in November 2024 was 53p/kWh. Whereas, on DC rapid chargers, this was 81p/kWh. The RAC also has Charge Watch, which tracks the costs of non-subscription PAYG tariffs at public rapid and ultra-rapid chargers.
To ensure a consistent customer experience, your network should have the same standard PAYG tariff for all chargepoints of the same charging speed. Most private sector operators have a consistent nationwide tariff.
When setting up contracts with landowners, it’s important to include flexibility to adjust the standard PAYG tariff if needed. Changes may be necessary in response to external factors like fluctuations in electricity costs or changes to the VAT rate. Any adjustments should be communicated to customers with appropriate notice. For more information, you can refer to Scottish Futures Trust’s EVIF Tariff Review Protocol.
When implementing overstay policies to promote good charging behaviour, it’s important to tailor them to the power rating of the chargepoint. For example, an overstay fee after 45 minutes or an hour might be appropriate for a DC rapid charger where charging times are short. However, the same approach wouldn’t work for AC near-home or destination chargers, which take longer to deliver the same charge.
For near-home charging, drivers should be able to leave their cars plugged in overnight. In this case, you could apply an overstay fee after 12 hours or limit the fee to certain daytime hours.
At destination chargepoints, the timing of overstay fees should reflect typical parking patterns. For instance:
By aligning overstay policies with both charging speeds and location-specific parking habits, you can improve chargepoint availability while giving customers a positive experience.
If you do choose to have overstay policies, it’s essential that they reflect reasonable dwell times for each charging context. In all cases, any overstay fees and when they apply should be clearly signposted.
Using variable tariffs can make EV charging more accessible for everyone. To support this, any contracts with operators should include the flexibility to implement variable pricing structures.
According to Field Dynamics’ National Map of EV Charge Point Coverage, access to off-street parking in Scotland varies significantly. For example, only 36% of households in Edinburgh City Council have off-street parking, compared to 86% in Comhairle nan Eilean Siar. On average, around 60% of Scottish households have access to off-street parking.
Those on lower incomes may be less likely to have a driveway, meaning they are unable to take advantage of low-price domestic charging tariffs. Whether these are at the standard energy price cap of electricity or are an EV-specific overnight tariff – 24.86p/kWh* and 7.6p/kWh**. Households without off-street parking rely on the public charging network, where costs are considerably higher.
*Ofgem energy price cap (1 January to 31 March 2025)
**average of nine providers in November 2024 – ZapMap.
The ZapMap Price Index uses some example driver profiles to illustrate the charging inequity this creates. It shows that EV drivers who rely on public charging can end up paying more per mile than petrol or diesel drivers to refuel their vehicle. Whereas those who can charge mostly at home might pay just half the price per mile of petrol or diesel drivers.
To address this imbalance, you could offer discounted tariffs to certain groups, like people without private off-street parking. Local authorities could manage a database of qualifying individuals or delegate this responsibility to a chargepoint operator (CPO). Although any subsidies would need to be managed in a way that ensures the CPO remains financially viable.
There are already examples of this approach in action. For instance, Clackmannanshire Council offers a reduced tariff with a 10% discount per kWh for residents who don’t have access to off-street parking.
Operators can also offer cheaper tariff rates for car club vehicles or park-and-ride sites to encourage residents to use more sustainable transport. This means swapping private car journeys for more sustainable options like buses, trains, shared vehicles, or active travel.
An example of this approach in action is Stirling Council. It sets charging tariffs at park-and-ride sites 10p/kWh lower than elsewhere in its network. This encourages drivers to park and charge at locations like Castleview Park-and-Ride, and switch to public transport, rather than paying higher rates in the city centre.
Operators can also introduce off-peak and flexible tariffs on public chargepoints to help spread demand throughout the day. This approach reduces bottlenecks during peak times and makes better use of the charging network.
A great example comes from East Lothian Council, where residents benefit from off-peak pricing outside the 4-8pm peak window. During peak hours, destination and on-street chargepoints cost 45p/kWh, but this drops to 35p/kWh during off-peak times. Additionally, all journey chargers come with a 15p/kWh discount during off-peak periods.
By offering flexible tariffs like these, operators can balance network demand while giving drivers more affordable charging options.
