Depot Charging Costs and Constraints

    What actually drives the price, and how to budget for depot charging infrastructure without nasty surprises.

    Last updated: 25 January 2026•10 min read

    Key Takeaways

    • •Grid and civils account for 50-80% of total project cost. Charger hardware is rarely the expensive part.
    • •Get a DNO quote early. It's free to apply and tells you the real cost of power.
    • •Phase your rollout: install infrastructure capacity upfront, deploy chargers as needed.
    • •Budget 5-10% of capital cost annually for electricity, maintenance, and software.

    What Actually Drives Cost

    Most people focus on charger prices when budgeting for depot charging. That's a mistake. The charger hardware is often 20-40% of total project cost. The rest is grid, civils, and installation.

    Grid Capacity and DNO Process

    If your site needs more power than currently available, the DNO must upgrade the connection. This can involve new cables, transformers, or even substations. Costs: £10k-£500k+. Timeline: 6-18 months.

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    Civils and Trenching

    Getting cables from the supply point to the chargers means digging. Tarmac, concrete, distance, and ground conditions all affect cost. £200-£500 per metre for standard trenching is typical.

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    Charger Count and Power Mix

    More chargers = more cost, but not linearly. Bulk purchasing brings discounts. The power split matters: 7kW AC chargers cost £500-£1,500. 50kW DC chargers cost £15k-£40k.

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    Load Management and Smart Charging

    Smart charging software can reduce peak demand by 30-50%, potentially avoiding expensive grid upgrades. Software costs £10-£50/charger/month but can save tens of thousands in infrastructure.

    Cost Breakdown by Category

    Here's a realistic breakdown for a typical 20-vehicle depot charging installation:

    CategoryLow EstimateHigh EstimateNotes
    DNO/Grid upgrade£0£200,000Depends entirely on existing capacity
    Civils and groundworks£15,000£80,000Distance and ground conditions
    Charger hardware (20x 7kW)£15,000£30,000£750-£1,500 per unit
    Installation and commissioning£10,000£25,000Electrician and testing costs
    Project management£5,000£15,000Often underestimated
    Total£45,000£350,0008x variance is normal

    Notice the range. An 8x difference between low and high is not unusual. The only way to narrow it down is to get actual quotes, starting with the DNO application.

    Phasing Your Rollout

    Smart operators don't install everything at once. Here's a better approach:

    Phase 1: Future-proof the infrastructure

    Install cabling, switchgear, and civils for your full eventual capacity. This costs more upfront but avoids re-digging later. Include spare capacity in your DNO application.

    Phase 2: Deploy chargers to match vehicles

    Only install chargers as you take delivery of EVs. Charger technology improves rapidly. Delaying deployment means better hardware at lower prices.

    Phase 3: Add faster charging as needed

    Start with slower chargers where dwell time allows. Add DC fast chargers later for specific use cases (rapid turnaround, opportunity charging).

    Frequently Asked Questions

    What's a realistic budget for depot charging infrastructure?

    For a 20-30 vehicle depot, expect £150k-£500k all-in, depending on grid requirements. Smaller sites (5-10 vehicles) might manage £30k-£100k if grid capacity exists. Larger sites (100+ vehicles) can easily exceed £1m. The variance is driven almost entirely by grid and civils, not charger hardware.

    How much does a DNO upgrade actually cost?

    DNO costs are notoriously unpredictable. Minor upgrades might be £10k-£30k. Major upgrades requiring new substations or cable runs can be £100k-£500k+. The only way to know is to apply and get a formal quote, which itself takes 3-6 months.

    Should we install fewer fast chargers or more slow chargers?

    Depends on dwell time. If vehicles are parked 8+ hours overnight, 7kW chargers are more cost-effective. For shorter dwell times or multi-shift operations, faster chargers (22kW-50kW) are necessary despite higher costs. Many depots use a mix.

    What ongoing costs should we budget for?

    Electricity is the obvious one, typically 15-25p/kWh for business rates. Add £100-£500 per charger per year for maintenance contracts. Software/backend fees vary widely: £0-£50 per charger per month. Budget 5-10% of capital cost annually for operations.

    Can we phase the rollout to spread costs?

    Yes, and you should. Install infrastructure (cabling, switchgear) for future capacity, but only deploy chargers as needed. This avoids over-investing in hardware that may become obsolete, while protecting against future groundwork costs.

    What grants are available?

    In the UK, the Workplace Charging Scheme offers up to £350 per socket (max 40 sockets). Some local authorities have additional schemes. For fleets, the landscape changes frequently, so check current availability before budgeting.

    About Mark Pymm

    Mark has spent 15+ years in the EV charging industry, leading teams that have delivered over 100,000 charge point installations. He advises CPOs, fleets, installers, and investors on strategy, delivery, and go-to-market. His approach is practical, not theoretical.

    Learn more about Mark →

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