A fleet has slashed average car and van emissions by almost 25% after renewing almost all of its 427 vehicles this year after taking on board best practice advice from TR Fleet.
Findel plc has seen average carbon dioxide (CO2) emissions on its 262-strong car fleet tumble from 164 g/km to 125 g/km and those on its 165-strong van fleet fall from 228 g/km to 190 g/km.
Additionally, the company is benefiting from significant financial savings - and so are drivers - and cash flow advantages after switching to vehicle leasing from outright purchase.
Almost all the vehicles have been renewed this year with vehicles selected on a whole life cost basis, whilst also ensuring they are fit-for-purpose.
The all-diesel company car fleet is now dominated by BMW 320 models equipped with the manufacturer’s Efficient Dynamics carbon-reducing package and Vauxhall Insignia EcoFLEX models. Additionally, the BMW 5 Series is prevalent among senior management.
Meanwhile, the van fleet is composed of Euro 5 emission compliant models with Mercedes-Benz Sprinters and Ford Transits to the fore.
Group fleet manager Roz Byrom said: “The car fleet was previously a mix of petrol and diesel models and some of our vans were up to seven years old.
“We appointed TR Fleet as our fleet management experts and the company used its experience and marketplace knowledge to devise a new vehicle policy that would meet the company’s environmental credentials and deliver financial savings.”
The lower a vehicle’s emissions the better its fuel economy, so Findel is benefiting from improved MPG and lower fuel bills. Meanwhile, company car drivers are seeing lower benefit-in-kind tax bills, which translates into reduced National Insurance contributions for Findel which also sees savings in Vehicle Excise Duty and capital allowances.
Ms Byrom said: “The company car policy that we have introduced this year has been a win-win for the company and drivers alike in terms of financial savings and carbon footprint reduction. Additionally, the company has seen a significant reduction in maintenance costs as older vehicles are defleeted, while contract hire gives the business major cash flow benefits as we don’t have significant sums of money tied up in depreciating assets.”
A part of the new policy sees the introduction of an emissions cap set at 160 g/km for senior management grades and 140 g/km for other vehicles. However, that will reduce on an annual sliding scale and next year will fall to 140 g/km and 120 g/km respectively.
Ms Byrom said: “We actively encourage drivers to choose the lowest emission company cars available to them with the incentive being that the lower the CO2 figure the lower their benefit-in-kind tax bill.”
The Findel fleet now operates on a four-year/80,000-mile replacement cycle with vehicles on non-maintenance contract hire agreements.
TR Fleet managing director Julie Boyd said: “We take a procurement-led, consultancy approach to managing all aspects of a company’s vehicle fleet to deliver maximum value for money.
“We ask our panel of vehicle leasing providers to quote for each vehicle and then select the provider based on the most competitive quote. Our focus is 100% on delivering client value for money and that is exactly what we are doing for Findel.”