Green assets to drive future fleet investment

It shows that 56% of UK fleets are already operating, or plan to operate, at least one alternative fuel to traditional petrol and diesel models, up from 50% in 2015.

The commitment varies depending on the choice of alternative fuels.

For mild hybrids, 22% of fleets have introduced them, with 27% planning to do so within three years. For plug-in hybrids, 15% have introduced them and 22% plan to do so within three years, while 10% now run electric vehicles and nearly a quarter (22%) plan to introduce them.

Hydrogen vehicles lag behind, with 2% of fleets saying they have introduced them, while 18% say they would plan to within three years.

Shaun Sadlier, head of Arval’s Corporate Vehicle Observatory in the UK, said: “It is obvious that the twin dominance of petrol and diesel that has characterised the company car and van sector for many years is being challenged by credible alternatives.

“Modern fleets are moving towards a portfolio of drivetrain technologies and are rapidly becoming conversant in which choices work most effectively in different types of applications.”

He said the industry is seeing a “push and pull effect” in action, with vehicles becoming more useable, price competitive and desirable, while concerns over diesel and air quality are also encouraging a shift.

However, in the UK there is wide variance in the adoption of alternative fuels between smaller and larger companies.

While 78% of larger fleets (more than 50 vehicles) are either using them already or plan to, the penetration drops to 66% of medium fleets (10-49 vehicles) and 44% of smaller fleets (1-9 vehicles).

Sadlier said: “There is undeniably a big difference between small and large fleets and it could be that, as an industry, fleet needs to better educate operators of all businesses on the advantages of these new drivetrains.

“Otherwise, there is a possibility that smaller businesses could miss out on the benefits that they bring.”

Which of these fuels do you plan to add to your fleet within the next three years?