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Cut fuel costs by 75% by switching to EVs, firms told

Businesses that switch to electric or plug-in hybrid vehicles could reduce their fleet ‘fuel’ costs by three quarters (75 per cent), according to a new report published today (Wednesday 23 January).

Firms which use vehicles with a daily mileage of below 80 miles per day would also find that a pure electric vehicle fleet could meet their needs on a single overnight charge-for low running costs and minimum vehicle down-time.

iMiEVs in a row

These are the main findings of a new report from 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 organisations could make by introducing plug-in vehicles such as electric and plug-in hybrid cars and vans, into their company fleets.

Case studies

Participants in the study 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 today unveiled at City Hall London at a key gathering of transport experts including Transport Secretary, Norman Baker.

At the event the 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.Energy Saving Trust logo brown

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."

Caroline Watson, from Energy Saving Trust, said: “We know that more organisations than ever are looking at electric vehicles as a long term investment for their business fleets.

“But investing in an electric or plug-in hybrid vehicle requires careful guidance as upfront costs are high. Life costs are positive so the switch is worth making. That’s why we offer a tailor-made approach as each organisation has different needs for their fleet.

“There is also an opportunity for companies to cut their infrastructure costs by taking advantage of support from Source London and other Plugged-in Places schemes before 31 March.”

Boots UK has around 1,100 owned and leased small vans and is looking at ways of reducing carbon emissions by using electric vans for its pharmacy delivery service.

Energy Saving Trust’s analysis showed that Boots UK could save on its fuel and vehicle costs by introducing electric vehicles to its fleet.

Ian Barnes, Transport Sustainability Development Manager, Boots UK, said: “We’ve been very impressed with the level of detail this study provided. It sets out clearly the savings we could make using electric vehicles and allows us to make the right decision for our fleets.”

If you want to be one of the 100 fleets to get a better understanding of how ULEVs could work for your organisation, contact Caroline Watson at the Energy Saving at

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Faye Sunderland

Filed under: Electric cars, Hybrid cars, Green credentials

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