24.1.2013 EV fleets could cut fuel costs by 75%

Businesses that switch to electric or plug-in hybrid vehicles could reduce their fleet fuel costs by 75%, according to a new report published by the Energy Saving Trust this week.

These are the main findings of a new report on The Plugged-in Fleets Initiative (PIFI), which is funded by Transport for London (TfL) and Department for Transport (DfT) and delivered by the Energy Saving Trust in partnership with EDF Energy and Route Monkey.

PIFI explored the potential savings that 20 different organisations could make by introducing plug-in vehicles such as electric and plug-in hybrid cars and vans, into their company fleets. Those organisations that operate vehicles with mileage below 80 miles per day would find that a pure electric vehicle fleet would meet their needs on a single overnight charge.

Participants included Boots UK, London Fire Brigade, Network Rail, Surrey County Council, Southwark Council, Tristar, the University of Cumbria, Wm Morrisons PLC, and York City Council.

The findings were unveiled at City Hall London at a key gathering of transport experts. At the event the Transport Minister announced that the Coalition Government has agreed to provide £280,000 of additional funding to help a further 100 fleets understand where Ultra-Low Emission Vehicles (ULEVs) could work for them.

Transport Minister Norman Baker said: "Electric and plug-in hybrid vehicles are an essential part of low-carbon transport. With increasing numbers of models coming to market, and the low running costs that they offer, they will be ever more attractive to companies. It is also encouraging that infrastructure operators and suppliers are increasing the number and accessibility of charge points.

"Today's report from EST gives fleet managers valuable insight into how different vehicles can be used effectively and could lead to increased uptake of low emission vehicles across British fleets."

Nick Fairholme, TfL director responsible for Source London said: "Many of the companies taking part in this scheme operate fleets in the capital and so would have the added benefit of qualifying for a 100% discount from the Congestion Charge and access to the UK’s largest publicly accessible charging scheme, Source London, which currently has nearly 1,000 charge points."

As part of PIFI each company received guidance and a strategic plan for the introduction of electric vehicles into their fleets. Energy Saving Trust experts analysed each company's individual situation to show where electric vehicles could best be used by each participating organisation.

The upfront investment cost of buying electric cars is large, although the life cost are positive. To decide to chose electric vehicles for a fleet, an organisation must be certain that the new technology will work well in the long term, and that the high up-front costs are worth the initial investment.

The initiative had three key aims: to provide a tailored report for each participating fleet showing how electric vehicles could fit into and benefit their organisation; to offer practical advice on plug-in vehicles relevant for all business fleets and to enable fleet decision makers to purchase and use electric vehicles where they work best.

The full report can be downloaded from the Energy Saving Trust website.