The UK is leading the world yet again in becoming the first major economy to pass new laws to reduce emissions to net zero by 2050 while remaining committed to growing the economy - putting clean growth at the heart of our modern Industrial Strategy.” Chris Skidmore - UK Energy and Clean Growth Minister
Today, EVs are everywhere. They are quickly becoming integrated into mainstream mobility solutions. Rolls-Royce, the iconic British automobile brand, even made headlines in recent weeks when they tested an electric-powered propeller plane. The “Spirit of Innovation” single-seater plane (which is part of the Accelerating the Electrification of Flight (ACCEL) project), smashed speed records by reaching over 556 kph (345 mph) over a 3-kilometre distance and Tesla’s anticipated launch of their Cybertruck is also starting to cause ripples in the automotive industry.
From trucks, cars, trains and trams to buses, bikes and aeroplanes, EVs are everywhere and businesses across all sectors are executing plans to integrate electric vehicles in their operational processes.
A recent report on ‘The Future of Fleet’ surveyed fleet managers in the UK and found that over half (52%) already have EVs in their fleets, and among those who do not, 54% plan to switch to them in the next five years.
The UK Government - leading the way
The full transition to electric vehicles (EVs) will be one of the most important actions to achieve the UK’s Net Zero target. By 2032 at the latest, the Climate Change Committee (CCC) has called for all new light-duty vehicles sold, including passenger vehicles, taxis, vans, motorbikes and mopeds, to be fully battery-electric vehicles. In order to reach Net Zero, all vehicles – including heavy-goods vehicles (HGVs) – must be fossil fuel-free by 2050.
There is widespread adoption of EVs, especially in developed countries. While 2040 was an aspirational target, the UK is ambitiously targeting 2030 to end the sale of all new petrol and diesel vehicles. This has caused a scramble in vehicle manufacturing companies and brings with it a whole new set of challenges for fleet owners. While meeting government compliances is obviously a priority, there are several other reasons why fleet owners should consider transitioning to EV vehicles.
As road transport accounts for slightly less than one-quarter of Europe’s total emissions, fleets are responsible for a disproportionate amount of this, therefore fleet operators are expected to take the lead in transitioning to electric vehicles.
The benefits are abundant - spanning across revenue, efficiency, performance, productivity and impact on the environment.
Major cost benefits of running an electric Fleet
Facts and reports on electric vehicles imply that there are obvious and outstanding cost benefits (as well as implications) for businesses to switch to an electric fleet.
The UK government has pledged to support the zero-emission rollout through a range of grants, tax incentives and discounts available to all fleet operators
Running an EV car compared to petrol is estimated to save £100 for every 1,000 miles. The UK Government grant of £4,500 is available towards the overall cost of a standard electric car. Also, up to £500 is available for charging point installation. Tax benefits are also available as well as savings on the fuel.
As part of an extensive infrastructure rollout, the government is investing £1.3 billion to accelerate the installation of charging points on motorways, on streets, in homes and in workplaces to help facilitate the transition of fleets
In addition, servicing and maintenance costs for EVs can be as much as 30% lower than internal combustion engines vehicles due to the fact that they have fewer moving parts that can go wrong, making them more cost-effective in the longer term.
The UK government’s proactive moves to achieve the target of 2030 is making way for massive cost benefits in switching to an EV fleet.
Tech enhancements increase productivity
EVs offer so much more than a reduction in emissions and maintenance. They are technologically far more advanced than traditional vehicles and provide data and insights that directly influence the productivity of fleet owning companies. Providing access to the latest autonomous driving, satellite tracking, route planning and several safety features to enhance the overall operational efficiency of fleets as well as developing new technological capabilities paving the way for future advancement such as wireless charging.
Extensive range of electric vehicle options
Today’s electric vehicle marketplace is more varied than ever. There are plug-in electric vehicles and hybrid versions of popular gasoline-powered cars and trucks.
Many major automotive manufacturers have shifted their focus to manufacturing EVs within the last decade. The production numbers of electric vehicles are increasing year on year as EVs are predicted to make up to two-thirds of all road vehicles by 2050. BMW, Nissan, Aston Martin, Tesla, Rivian, Renault, Audi, Volkswagen, Toyota, Mercedes and several other automobile manufacturers offer a wide range of electric vehicles to suit different fleet requirements and budgets.
But not all EVs work the same way. The type of electric vehicle you buy affects the range, fuel economy, and charging time of your fleet. And with time, more and more options will come into the market for fleet owners to select vehicles based on their business and budget.
Enhanced brand reputation
Companies who are beginning to steps towards switching to an electric fleet, can also use this as an opportunity to engage with customers in demonstrating their commitment to sustainability and their conscious efforts to based around vehicle emissions that lead to global warming. Switching to an EV fleet not only demonstrates a brand’s affinity towards environmental protection and CSR but also cements a positive perception within the public domain.
Coupled with employee satisfaction and awareness, adopting EVs will boost many valuable credentials as a forward-thinking business that is aware of its responsibilities towards the environment it operates in and the impact changes can make.
Significant impact on the environment
Over the years car and vehicle emissions have caused a significant impact on the environment, triggering global warming. The Climate Change Act 2008 requires that the UK reduce its emissions to 80% of 1990 levels. EVs have been reportedly found enabling a 40% cut in CO2 emissions, and no doubt transitioning to electric-powered vehicles will have a monumentally positive impact on the environment.
Although there is a lot of hard work and planning that goes into transitioning to an electric fleet, EVs are poised to make a hugely positive impact towards addressing climate change and improving our air quality and will strengthen the UK’s energy security by partly replacing our reliance on oil with largely homegrown energy sources.
From environmental benefits, CSR and brand perception to operational efficiency and financial savings, there’s much to gain from businesses switching to an electric fleet and future-proofing their operations.
The government has published a full report on their commitment to the zero-emissions pipeline - Transitioning to zero emission cars and vans: 2035 delivery plan which details how the UK will facilitate the transition in leading the way for Europe.
How can Prolius Fleet help?
Before making the transition to an EV fleet, the Prolius Fleet management platform can help you streamline your fleet operations from a single unified platform, providing valuable insights which will allow you to identify processes and efficiencies needed to help with the decisions when moving to electric vehicles.
Schedule a demo today and explore how we can make a difference to your fleet operations.