A Land Lease is a low risk-low revenue Commercial Arrangement where the LA retains little control over the resulting service by leasing land it owns to a service provider.
A Land Lease is a low risk-low revenue Commercial Arrangement where the LA retains little control over the resulting service by leasing land it owns to a service provider. This is the least involved option for the LA.
The LA offers land holdings which may be suitable for EV charging and leases them to a service provider. All capital and operational costs are covered by the service provider who also retains the risk and responsibility associated with installation, maintenance, and asset utilisation.
Since a ‘Lease’ is just an interest in the property, the party leasing the land has a grant of possession of the land for a definite period and for a definite payment arrangement. Consequently, the LA has no control over the eventual EVI that is deployed.
Key Features
The division of Investment, Ownership, Control, Responsibility and Revenue between the LA and service provider are presented below for just the Land Lease arrangement. This is an extract of the full comparison between all Commercial Arrangements.
Who Invests?
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CAPEX
Supplier
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OPEX
Supplier
Who Owns what?
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Grid connection
Supplier
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Grid connection to feeder pillar
Supplier
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Feeder pillar
Supplier
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Groundworks to chargepoints
Supplier
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Chargepoints
Supplier
Who Controls what?
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Planning approvals
Supplier
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Grid connection
Supplier
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Grid connection to feeder pillar
Supplier
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Feeder pillar
Supplier
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Groundworks to chargepoints
Supplier
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Chargepoint Installation
Supplier
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Operations
Supplier
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Insurance
Supplier
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Customer service
Supplier
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Electricity purchase
Supplier
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Decommissioning
Supplier
Who owns the risk?
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Technology obsolescence
Supplier
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Regulatory change
Supplier
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Electricity prices
Supplier
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Utilisation
Supplier
Who takes revenue?
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EV charging income
Supplier
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Ground rent
Local Authority