Saving over £200,000 on fleet costs and improving our environmental credentials by focussing on air quality
This report concludes that a significant proportion of the One Housing Direct (OHG) fleet could be readily electrified in line with the current vehicle replacement cycle of 3-4 years, replacing the existing fleet’s Ford Custom vans with Nissan eNV200 (40kW) or equivalent. Given the increasing number of new electric vehicles (EVs) and their range, we would advise that detailed replacement specifications are written as each vehicle approaches the replacement date.
This case study shows how we took One Housing Direct on a journey to meet their budgetary and environmental objectives and improve air quality through fleet electrification.
Having understood the challenges One Housing Direct were facing we helped them to build a business case with real world data. Savings in fleet costs and improvement in air quality justified them moving to a trial to engage their drivers and prove the data.
About One Housing
One Housing Direct are the maintenance fleet for One Housing Group and operate a fleet of Light Commercial Vehicles (LCVs), primarily in London and the fleet comprises mostly of Ford Transit Custom 290 Eco-Tech. Vehicles typically operate between 6am and 8pm Monday to Friday, with drivers taking and storing their vehicles at home.
The objectives for One Housing Direct to achieve were
- To reduce fleet operational costs, particularly on vehicle tax and fuel
- To simultaneously improve the organisation’s environment credentials, with a particular focus on air quality.
Electric Blue used real world data from telematics installed in the OHG Vehicles and modelled how Electric Vehicles (EV) would have performed under the same conditions. Based on the data gathered we recommended a program of conversion to EVs.
This recommendation was based on the potential fuel and operational savings that EVs of- fer and took into consideration the current operation and duty cycle of the existing fleet as well as the performance capabilities of EVs and chargers on the market at present. Using EVs powered by renewable energy, the fleet electrification would offer a substantial reduction in overall emissions.
The report recommended that the savings in fleet costs and the improvement in air quality justify moving to Stage 2 (trial) or indeed straight to Stage 3 (roll-out) as soon as the operational programme permits. We recommended a fully managed trial, including all services, infrastructure and vehicles, provided by Electric Blue:
- Vehicles - We suggest two EVs - Nissan eNV200 or equivalent
- Duration - One month
- Location - central London based OHG engineers
- Charging Infrastructure - We will install a number of fast 7kW charger, wall mounted.
- Cost - TBC (subject to final specification), but estimated at circa £5,000
What was achieved
The total annual savings for a full fleet conversion to EV was assessed at £207,267 including fuel, service, maintenance and Road Fund Licence per annum.
The total annualised emissions saving when the full fleet is converted (as our client is undergoing a 3-4 year vehicle replacement cycle) is 184 tonnes. By using EVs powered by renewable energy, the fleet electrification prevents upstream emissions from power generation which further enhanced the positive environmental impact of this project.
Following the recommendations in the report One Housing Group are awaiting the launch of the 40kW Nissan e-NV200 in May/June 2018 to begin the Stage 2 trial. The feasibility model showed that while the 24kW battery pack would meet the needs of a reasonable portion of the fleet, delaying the trial to utilise the 40kW battery pack would significantly increase adoption.