Driven by internal sustainability goals and incentivized by taxation, fleets have become the driving force behind the transition to electric vehicles in the UK. Complete electric vehicles accounted for more than 70% of new commercial lease deliveries and almost all cars sacrificed in the second quarter of 2024, according to the BVRLA, while the autumn budget confirmed that tax benefits for these vehicles would remain in place. in force until at least 2030. It’s often a strong business case for making change, but the human element is essential.

Ahead of the first Sustainable Mobility Week, Fleet News and Ayvens worked together to find out how 252 decision-makers from some of the UK’s largest fleets (over 250 vehicles) are working towards a more sustainable operation. While electrification can help reduce transportation-related emissions, which are typically one of the largest contributors within a fleet operating company, stakeholder buy-in can be difficult to achieve.

Proving a Business Case

More than a third (35%) of respondents said resistance from management and drivers had impacted their electric vehicle plans. However, companies that have already started electrifying their fleet were more likely to report improved employee retention and engagement as a result of their net zero emissions policy (56%) than the overall sample.

Policymakers recognize the need for broader changes. Nearly half (48%) of electric vehicle fleets said they had introduced route planning, driver training and changes to vehicle maintenance strategies to reduce energy consumption, up from 40%. of all respondents. Most (92%) of survey respondents also agreed that sustainability-focused driver training could improve fleet efficiency. This share was even higher among commercial and heavy goods vehicle fleet operators, at 96% in both cases.

Some of the traditional barriers at the management level are eroding. Batteries, which constitute the most expensive element of an electric vehicle, fell by 82% between 2013 and 2023 according to the latest figures from BloombergNEF, while improving energy density makes it possible to extend the autonomy of more compact vehicles. When you add in the low company car tax, 100% capital deductions and van subsidies, only 29% of respondents said their pace of electrification was held back by vehicle costs .

Driver frustrations

However, Aaron Powell, director of fleet and logistics at SpeedyHire, says driver experience can differ between vehicle types. With a goal of net zero CO2 by 2040, the company switched its truck fleet to hydrotreated vegetable oil (HVO), introduced an EV-only company car choice list, and began rolling out Ford e-Transit electric vans last year.

“When they build charging stations – and we’ve had this debate for two years – the spaces are too small for commercial vehicles. Our vans take up two spaces if you enter a gas station, the spaces are just suitable for a car. If you put a few vans in there, it takes up the whole bank,” he says.

“New charging infrastructure needs to be geared more towards commercial vehicles, and that costs a lot of money on the road. Drivers can charge wherever they want, and the biggest frustration is having to have so many apps on their phone. We give our drivers a commercial fuel card, but this still does not apply to all charging stations. All fuel card providers should come together.

“We have a lot of engineers taking their larger vans home. They love the vehicle, but finding a place to charge in the morning, before leaving, is their biggest complaint right now.

Machine learning

Pressure to report and improve environmental performance amplifies the need for better data. A third (34%) of respondents use fleet management software or telematics to reduce their emissions, and findings suggest this informs better decision-making.

This demographic was more likely to have introduced driver training or made route management improvements (45%) than the full sample (40%) and was more positive about the potential impact of this training. Nearly half (48%) strongly agree that training improves fleet efficiency, compared to 36% overall.

Decision makers are also using new technologies to inform changes within their fleet. Artificial intelligence (AI) can quickly aggregate and analyze large volumes of fleet data, helping to spot trends and optimize routes, maintenance schedules, loading and even driver behavior. Almost all respondents (98%) believe that AI will be an important tool for reducing CO2 emissions, while 31% are already using it.

Of note, individual fleet decision-makers were much more likely to rate AI as “very important” to their decarbonization strategy (74%) than those who share this responsibility with other stakeholders (37% ). They were also more likely to already use it (33% vs. 27%) to help meet their environmental commitments.

Like most emerging technologies, early adopters faced challenges. Four in ten (40%) respondents said the tools are too difficult to use, while 32% have faced resistance from customers and external stakeholders and 30% expressed concerns about privacy and security data. Fleets already using AI were slightly less likely to cite usability difficulties (39%), but significantly more likely to report resistance from external stakeholders (46%) and concerns about cybersecurity ( 40%).

The survey also reflects concerns about the effects on the workforce. Nearly a quarter (23%) of respondents said they were concerned that the introduction of AI could lead to job losses, and this proportion was much higher among sole decision-makers (25%) than among those who work with other stakeholders (16%). The expertise of fleet managers is essential for this sustainable development strategy. While 37% of individual decision-makers say they feel “completely in control” of their company’s decarbonization process, this share drops to just 16% if decisions are made jointly. This is a human aspect that no company should neglect.