BP’s EV Charging Arm Makes Strategic Changes, Exclusive Details Revealed
BP (BP.L) has significantly changed its electric vehicle (EV) charging business, BP Pulse, including cutting over 10% of its global workforce and withdrawing from several markets. These changes reflect CEO Murray Auchincloss’s efforts to prioritize the company’s most profitable segments amid investor skepticism about its shift towards low-carbon energy.
BP Pulse has narrowed its focus to four key markets—the United States, Britain, Germany, and China—where it anticipates the most rapid growth in the EV market. Additionally, it has identified Australia, New Zealand, and France as growth countries. As a result of this strategic shift, over 100 jobs were eliminated, representing more than 10% of the division’s global workforce of 900. However, many affected employees have been reassigned to other divisions within BP.
These changes come amidst a broader trend of automakers tightening their budgets due to the slower-than-expected adoption of EVs. While EV charging remains a core growth engine for BP, the company has adjusted its strategy to align with market realities. Despite the workforce reduction and market withdrawals, BP maintains its commitment to its EV ambitions, aiming to expand its charging network to 100,000 points globally by 2030.
BP Pulse has also shifted its focus away from specific initiatives, such as the home EV charging business, which was shut down last May. Instead, the company now concentrates primarily on fast-charging hubs. Auchincloss noted that BP initially expected commercial fleets to lead the transition to EVs, but this trend did not materialize as anticipated, partly due to government policy shifts.
Looking ahead, BP expects its EV charging and convenience store operations to generate returns exceeding 15% and create $1.5 billion in earnings before interest, taxes, depreciation, and amortization by 2025. Despite the recent adjustments, these projections underscore the company’s ongoing commitment to its EV strategy.
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