Electric trucks could become too pricey for City of Vernon to add to their fleet
The City of Vernon will soon decide whether to add two $75,000 electric Ford trucks to their fleet of vehicles at a cost that is much pricier than the gas-powered ones.
The city's current electric fleet includes a full-size service van, four cars, one UTV and six E-bikes.
The electric trucks have not been added yet because of a lack of availability but there are also long lead times and little leeway in the purchase price negotiations to consider, according to a report that will be presented to city council, Monday, Nov. 14.
“The Ford dealer has recently advised that there may be an opportunity to purchase up to two units of a fleet version of the Ford Lightning (electric version of the F150) in 2023 at an estimated cost of $75,000 per unit,” according to the report.
“An additional $5,000 would be required to equip the vehicle with the necessary lights and decal package. This is approximately $20,000 more than the equivalent gas-powered alternative.”
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City council would need to agree to buy the vehicles immediately and be put on a waiting list and due to high demand and limited supply, there would still be no guarantees the trucks would arrive in 2023.
It will take around eight to 10 years to recover the cost difference of the electric pick-up when compared to the equivalent gas alternative, and the dealer indicated they are expecting an increase in pricing for the models later this year, according to the report.
If the city commits to the purchase immediately there is a chance, though no assurance, that the current price will be honoured, the report reads.
“If a further price increase does occur, the purchase of these vehicles no longer makes sense from a financial perspective and administration recommends that the city not proceed with the purchase until such time that capital and operating costs make solid fiscal sense.”
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The electric pick-up trucks would be replacing vehicles nearing the end of their expected life cycle consistent with the Fleet Vehicle and Equipment Replacement Strategy, which could be in 2024 or 2025 depending on delivery.
“Administration does not recommend purchase of electric trucks, at premium pricing, until supply increases, availability is assured and acquisition is in the best interest of the taxpayer.”
If the Ford dealer is able to hold the original price of $75,000, on council’s direction, staff will commit to purchasing the two electric trucks.
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