Fleets can do more to go green
25 May 2010
Fleet operators should be doing more to ‘green’ their fleets because green cars are usually the most cost effective to run and make the biggest savings in whole life costs. That’s the view from Fleet Alliance following a review of the uptake of its free Green Fleet Review process with the Energy Saving Trust (EST).
Fleet Alliance is offering a free Green Fleet Review to fleets of all sizes in conjunction with the EST, but is finding uptake slower than expected – a fact which puzzles managing director Martin Brown.
“Generally, cars with the cleanest emissions are the most cost effective to run because of our emissions-based taxation systems that govern company cars. So going green makes sense, not just for the environment, but for the corporate purse string.
“However, we find companies are to some extent shying away from the process or are not carrying green commitments through,” he said.
Fleet Alliance’s findings are in line with the EST’s own. The Government agency, which is charged with helping companies introduce green initiatives to conserve energy consumption, recently carried out a survey of organisations, including companies, charities and public sector bodies.
It found that the public sector was making the most ground to implement a green fleet, with 56% of public sector fleets reporting that green issues are central to their fleet policies.
However, although some 60% of fleet managers surveyed said that reducing the environmental impact of their fleet was very important, only 27% had policies in place to do something about it – creating a ‘green gap’ of 33%.
Philip Sellwood, chief executive of the EST said businesses could save substantial sums in going green. “It really is time for businesses to bridge the green gap, cut carbon emissions and save cash. Per car per year companies can save £1,000. Imagine what that could be for a whole fleet.”
Fleet Alliance has in place a free Green Fleet Review initiative, in conjunction with the EST, which demonstrates to businesses how they can cut their carbon footprint and save money by adopting a green fleet approach.
It shows there are real cost savings to be made. Following changes to tax legislation, companies that buy their cars outright can offset 20% of their cost against taxable profits or, if they lease them, can deduct the full cost of their monthly lease rentals from taxable profits, provided the cars emit less than 160g/km.
The review process looks at the financial implications of increasing the percentage of cars on the fleet below the critical 160g/km barrier, not just for the company but at the tax position for individual drivers, too.
The Green Fleet Review also examines the ‘grey fleet’ position by looking at those employee-owned vehicles regularly used on company business and identifying the worst polluters, as non-company owned vehicles are typically four times more polluting than those that are company owned.
“While we are still seeing reasonable numbers of companies take up the free green fleet review offer, far more are missing a trick and not considering the greenest options for their fleet,” added Martin Brown.
25 May 2010
Fleet operators should be doing more to ‘green’ their fleets because green cars are usually the most cost effective to run and make the biggest savings in whole life costs. That’s the view from Fleet Alliance following a review of the uptake of its free Green Fleet Review process with the Energy Saving Trust (EST).
Fleet Alliance is offering a free Green Fleet Review to fleets of all sizes in conjunction with the EST, but is finding uptake slower than expected – a fact which puzzles managing director Martin Brown.
“Generally, cars with the cleanest emissions are the most cost effective to run because of our emissions-based taxation systems that govern company cars. So going green makes sense, not just for the environment, but for the corporate purse string.
“However, we find companies are to some extent shying away from the process or are not carrying green commitments through,” he said.
Fleet Alliance’s findings are in line with the EST’s own. The Government agency, which is charged with helping companies introduce green initiatives to conserve energy consumption, recently carried out a survey of organisations, including companies, charities and public sector bodies.
It found that the public sector was making the most ground to implement a green fleet, with 56% of public sector fleets reporting that green issues are central to their fleet policies.
However, although some 60% of fleet managers surveyed said that reducing the environmental impact of their fleet was very important, only 27% had policies in place to do something about it – creating a ‘green gap’ of 33%.
Philip Sellwood, chief executive of the EST said businesses could save substantial sums in going green. “It really is time for businesses to bridge the green gap, cut carbon emissions and save cash. Per car per year companies can save £1,000. Imagine what that could be for a whole fleet.”
Fleet Alliance has in place a free Green Fleet Review initiative, in conjunction with the EST, which demonstrates to businesses how they can cut their carbon footprint and save money by adopting a green fleet approach.
It shows there are real cost savings to be made. Following changes to tax legislation, companies that buy their cars outright can offset 20% of their cost against taxable profits or, if they lease them, can deduct the full cost of their monthly lease rentals from taxable profits, provided the cars emit less than 160g/km.
The review process looks at the financial implications of increasing the percentage of cars on the fleet below the critical 160g/km barrier, not just for the company but at the tax position for individual drivers, too.
The Green Fleet Review also examines the ‘grey fleet’ position by looking at those employee-owned vehicles regularly used on company business and identifying the worst polluters, as non-company owned vehicles are typically four times more polluting than those that are company owned.
“While we are still seeing reasonable numbers of companies take up the free green fleet review offer, far more are missing a trick and not considering the greenest options for their fleet,” added Martin Brown.
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