10 Steps to Fleet Decarbonisation

Introduction

As the urgency to combat climate change grows, fleet operators are increasingly tasked with reducing greenhouse gas emissions. The transition to a low-carbon future is not just a regulatory requirement; it's a strategic imperative for businesses aiming to enhance their sustainability profiles. This blog outlines ten actionable steps fleets can take to decarbonise effectively.

Step 1: Assess Your Current Fleet

Understanding the current state of your fleet is the critical first step in your sustainability journey. Begin by calculating the CO₂ emissions produced by your vehicles over the previous year. This baseline assessment provides a clear picture of your fleet's carbon footprint and highlights areas for improvement.

To perform this assessment:

• Collect Detailed Vehicle Data: Gather comprehensive raw data for each vehicle in your fleet, preferably in a structured format like Excel. The granularity of the data you collect lays the groundwork for an in-depth analysis.
• Fuel Card Data: Analyze fuel card data to determine the amount of fuel purchased and calculate emissions accordingly. For instance, use the formula where 1 liter of diesel generates approximately 2.68 kg of CO2 to estimate total emissions.

It's understood that gathering complete data can be challenging (with completeness typically around 70%). Don't let this deter you; collect all the data available, and address any gaps in a subsequent data cleaning phase.

Minimum Required Data:

• Country of Vehicle Use
• Vehicle Make, Model, Type
• Powertrain
• Fuel Type
• NEDC and/or WLTP (CO₂ g/km)
• Fuel and/or Electricity Efficiency
• Distance Travelled
• Start and Expected End Date of Vehicle Use

By thoroughly assessing your current fleet, you set a solid foundation for developing effective CO₂ reduction strategies tailored to your unique operational profile.

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Step 2: Minimise Unnecessary Journeys

The most effective way to reduce emissions is to avoid business trips whenever possible. Encourage the use of virtual meeting tools like Zoom or Microsoft Teams to replace in-person meetings. By minimizing travel, fleets can significantly cut down on CO2 emissions.

Actionable Strategies:

• Establish Travel Policies: Create clear guidelines on when travel is necessary. For example, IKEA has implemented policies to avoid travel for one-day meetings and encourages digital meetings to reduce unnecessary trips[1].
• Promote Active Transport: Encourage employees to use public transport, cycling, or walking for short journeys. Research shows that buses emit 105g/km of CO2 per passenger, while trains emit only 41g/km, making them more efficient alternatives to single-occupancy vehicles[2].

[1]: IKEA Sustainability Report FY23

[2]: UK Department for Business, Energy & Industrial Strategy. Greenhouse gas reporting: conversion factors 2019.

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Step 3: Optimize Routes

Implement route optimization strategies to ensure vehicles are taking the shortest and most fuel-efficient paths. Utilizing software that considers traffic conditions and historical data can help avoid congested routes, leading to reduced fuel consumption.

Examples:

• UPS's Routing Strategy: UPS adopted a policy to avoid left turns, which often lead to idling in traffic. In 2016, this optimization saved the company 10 million gallons of fuel, reducing CO2 emissions by 100,000 tonnes[3].
• Telematics Integration: Use telematics data to analyze driver routes and adjust based on real-time traffic conditions. This approach can lead to significant time and fuel savings, as demonstrated by Ford's City Data Solutions, which helped reduce driving time by 30 hours per week for a delivery van.

[3]:AI Case Study UPS saves over 10 million gallons of fuel and up to $400m in costs annually with advanced telematics and analysis

[4]: Everything About Telematics Systems An In-Depth Guide

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Step 4: Transition to Electric Vehicles

Electrification is a cornerstone of fleet decarbonisation. Begin integrating electric vehicles into your fleet by identifying vehicles that have low mileage and can be easily replaced with EVs.

Implementation Steps:

• Assess Charging Infrastructure: Ensure that your fleet has access to adequate charging infrastructure to support this transition. Companies like IKEA have committed to providing charging stations at all their store locations.
• Pilot Programs: Start with a small number of EVs to assess performance and operational impact. For instance, Vodafone plans to introduce EVs in response to growing interest and infrastructure readiness[5].

[5]: “Investigate every opportunity” to reach Net Zero Vodafone Electrification

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Step 5: Implement Eco-Driving Training

Driver behavior significantly impacts fuel consumption. Provide training on eco-driving techniques to encourage fuel-efficient driving practices. This can include gentle acceleration, maintaining steady speeds, and reducing idling time.

Training Examples:

• Lightfoot's Coaching Program: Lightfoot provides an in-cab coaching device that offers real-time feedback to drivers, fostering smoother driving habits and reducing CO2 emissions by up to 15%[6].
• Gamification: Use gamification strategies to motivate drivers. For example, Geotab provides feedback on driving behavior, allowing drivers to improve their scores and adopt more eco-friendly practices[7].

[6]: Level up your fleet with Lightfoot

[7]: How gamification helps passenger transport fleets become safer and greener

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Step 6: Set CO2 Emission Caps

Establishing maximum CO2 thresholds for vehicle choices sends a strong signal of corporate intent towards sustainability. These caps should apply not only to company cars but also to any cash allowances for personal vehicles.

Implementation:

• Policy Development: Develop a policy that limits CO2 emissions based on vehicle type and operational needs. For example, a fleet could set a cap that prohibits the purchase of any vehicle exceeding a specific CO2 emission level.
• Communicate Benefits: Clearly communicate the benefits of these caps to employees, including potential cost savings and environmental impact.

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Step 7: Monitor and Maintain Vehicles

Regular maintenance is essential for ensuring vehicles operate efficiently. Implement a systematic approach to servicing and maintaining vehicles, ensuring that they are in optimal condition to reduce emissions.

Actions to Take:

• Scheduled Maintenance: Establish a maintenance schedule that includes regular checks on tire pressure, oil changes, and filter replacements. Properly inflated tires can improve fuel efficiency by 0.6% on average—up to 3% in some cases[8].
• Utilize Telematics: Implement telematics systems to monitor vehicle performance in real-time. This data can help identify maintenance needs before they become critical, thus reducing downtime and emissions.

[8]: Keeping your vehicle in shape

Step 8: Explore Alternative Fuels

While transitioning to electric vehicles is vital, exploring alternative fuels can also contribute to emissions reduction. Consider biodiesel, renewable natural gas, or hydrogen fuel cells as potential options for fleet operations.

Implementation Examples:

• Biofuels: Engage with suppliers who offer biofuels made from sustainable sources. For instance, using biodiesel can help reduce emissions significantly compared to traditional fossil fuels.
• Hydrogen Fuel Cells: Investigate the feasibility of hydrogen fuel cells,  particularly for heavy-duty vehicles, where electric options may not yet be practical.

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Step 9: Engage Stakeholders

Engaging all stakeholders—from management to drivers—is crucial for the success of sustainability initiatives. Create a culture of sustainability by communicating the benefits of decarbonisation and encouraging feedback.

Strategies for Engagement:

• Regular Meetings: Hold regular meetings to discuss sustainability goals and progress, ensuring all stakeholders are aligned and informed.
• Feedback Mechanisms: Implement systems for drivers and employees to provide feedback on sustainability initiatives and suggest improvements.

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Step 10: Continuously Review and Adapt Strategies

Decarbonisation is not a one-time effort; it requires ongoing evaluation and adaptation. Regularly review your fleet's emissions data and assess the effectiveness of your strategies.

Continuous Improvement Examples:

• Data Analysis Tools: Utilize tools to analyze emissions data and identify trends. This can help fleet managers spot rogue vehicles or drivers contributing disproportionately to emissions.
• Benchmarking: Compare your fleet's performance against industry standards and best practices to identify areas for improvement.

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Conclusion

Decarbonising a fleet is a multifaceted process that requires careful planning and execution. By following these ten steps, fleet managers can make significant strides towards reducing emissions and enhancing sustainability. The transition to a low-carbon future is both a challenge and an opportunity to innovate and improve fleet operations.

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