Urban freight Electrification: Total cost of ownership comparison of medium-duty BEVs and ICEVs in Thailand

The transition to medium-duty Battery Electric Vehicles (BEVs) is challenging due to limitations in traveling distance, the scarcity of charging stations, or the charging period that may still be too lengthy. This study aims to compare the internal rate of return between medium-duty internal combustion engine vehicles (ICEVs) and BEVs in an urban area in Thailand. The scope focuses on metropolitan areas where traveling distances from truck depots are feasible. The study considered both the initial cost and running costs, including fuel, maintenance, and insurance, utilizing simulation to account for uncertain factors such as diesel and resale prices, particularly the total cost of ownership comparison between BEVs and ICEVs in Thailand. A Monte Carlo simulation was employed to account for the uncertainties associated with specific parameters. The results showed that the current situation of BEV trucks for 6-wheel 15-ton did not provide a reasonable cost compared to the investment and operating costs of the same model of ICEV truck. However, in the sensitivity analysis, if the government could support the BEV truck manufacturer or subsidize the purchase price to the user by at least 30% with a daily demand of 150 km, BEV trucks could become more attractive than ICEV trucks. In addition, if customers agree to pay more for the trip rate of 30% than the standard rate of ICEV, BEV would be more attractive than ICEV at 130 km as well.