More Sydney shoppers will soon have their groceries delivered by battery electric vehicle (BEV) trucks, thanks to an Australian-first project backed by the Australian Renewable Energy Agency (ARENA).
The project, led by global fleet electrification specialist Zenobe, aims to integrate electric vehicles into Woolworths’ grocery delivery services, the agency said in a news release.
ARENA is providing $8.5 million from its Driving the Nation Fund to support the development of a BEV truck charging hub in Mascot, NSW.
This initiative will help demonstrate the benefits of electrifying the transport sector, particularly for grocery deliveries.
“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,” said ARENA CEO Darren Miller.
“As customers become more used to having their groceries delivered, it makes sense to find renewable energy solutions to do so.”
The project includes the construction of a $19 million charging hub and the leasing of 60 BEV trucks to Woolworths for its grocery delivery fleet.
The hub, featuring 22 dual-port chargers and second-life EV batteries for stationary power storage, will also have the capacity to accommodate additional trucks for a multi-user facility.
“Transport plays a vital role in Australia’s economy and contributes to 20% of emissions,” Miller added. “ARENA is excited to fund projects like this that find solutions to the problem.”
Zenobe’s innovative business model—electric vehicles as a service (EVaaS)—will allow businesses like Woolworths to overcome barriers such as high capital costs and lack of experience in fleet electrification.
According to ARENA, the trucks will be leased to Woolworths, showcasing the viability of BEVs for last-mile deliveries.
“Green finance is key to unlocking flagship projects like this, accelerating the decarbonisation of transport,” said Nicholas Beatty, Founder and Director of Zenobe.
“Collaboration remains key, and together with ARENA and Woolworths, we are showing that the truck sector can electrify today.”
Construction on the charging hub is set to begin in September 2024, with completion expected by early 2025.
This project follows Zenobe’s earlier success in NSW, where it worked with ARENA on the $37.2 million Next Generation Electric Bus Depot in Leichhardt.
