Simon Pavey, Author at Fuel Card Services

Two arms are shown. One gives a thumbs up, the other holds a spanner.

How can service plans help save fleets money?

Posted on 28th April 2021 | by Simon Pavey

There are many tasks to juggle as a fleet manager, not least ensuring all of your vehicles are roadworthy and safe at all times.

Due to general wear and tear and the fact that most fleets cover many miles, vehicles can easily become a little rough around the edges. To preserve their condition, regular servicing is therefore essential if you are to avoid unexpected repair bills.

However, staying on top of this when you have a potentially large number of vehicles may be tricky. The answer could be to tackle servicing proactively using a fleet maintenance service plan.

Managing servicing in a proactive way

Whether you do this through a maintenance-inclusive contract with your leasing provider or a pay-as-you-go service scheme, paying a set amount per month and having servicing pre-scheduled is ideal for peace of mind.

It ensures all routine checks, maintenance and repair costs are covered and can be tailored specifically for your business. This could be the best way to reduce and even prevent breakdowns.

Here are some of the recognised benefits of a fleet service plan:

Improved safety

Many accidents on the roads are caused by maintenance problems with components like tyres and brakes. Indeed, according to the most recent figures from RoSPA, there are around 136 serious collisions a year due to illegal, defective or under-inflated tyres.

Meanwhile, Department for Transport data shows defective brakes have been the leading cause of road accidents for six years running.

Maintenance is essential for keeping fleets safe. By staying on top of these small parts through regular inspections, it is less likely that they will become a risk for drivers and potentially cause major incidents on the roads.

What’s more, improving safety could have a knock-on effect for your reputation as word gets around to customers – and potential new staff.

Less downtime for vehicles

It might seem as though all this extra time for servicing could be detrimental to productivity and therefore costly. On the contrary, it is likely to be easier to manage than having to pull vehicles off their routes unexpectedly when they break down.

According to research from Ford, each fleet vehicle spends an average of four days a year off the road for repairs, costing an average of £200 a day. One in ten businesses said they believe the cost is closer to £600 a day.

By preventing some of the incidents that take them off the road in the first place and having repairs scheduled as soon as possible, this expense could be reduced dramatically.

Add in the fact that you’re extending the life of your vehicles, avoiding towing fees and not missing business appointments due to breakdowns and the long-term savings could be significant.

Easier compliance

Police and the Driver and Vehicle Standards Agency have the power to stop commercial vehicles at any time for spot checks. These are designed to keep unsafe vehicles off the roads and can result in fixed penalties in the event of offences.

If drivers are able to access records from fleet service plans, they can demonstrate compliance with the law quickly and easily. They can also show a full service history and prove maintenance has been regularly carried out. This could mean stops take less time and penalties are all but eliminated.

Savings elsewhere

Regular servicing might prove to have additional benefits that aren’t immediately obvious. For example, the RAC points out that by upgrading tyres and regularly changing oil and filters, savings could be made on fuel by making vehicles more efficient.

Through extending the life of fleet vehicles, it may also reduce the frequency at which they need to be replaced. Avoiding this significant expense could be welcome for smaller businesses in particular.

How to implement a fleet service plan

To decide which service plan is right for you, it’s important to take a good look at each vehicle in your fleet and gather together all their service records and other documentation.

You can then work out how often you think maintenance will be needed and look for suitable products. Automatic reminders can be sent out once you’re signed up, triggered by metrics such as mileage, engine hours or fuel used.

Good service plans should include:

General tune-ups
Inspection of electrical systems
Brake checks
Steering column inspections
Changing of oil and filters
Replacement of parts such as windscreen wiper blades
Tyre replacement

… and much more.

How a software solution can help

As mentioned above, automatic reminders can be a great help when it comes to ensuring service plans are adhered to. You might therefore wish to incorporate a telematics-based software solution into your plan to do the legwork when it comes to managing fleet maintenance.

There are a variety available that can be deployed via the cloud and integrated with existing fleet management tools. For example, you could set up alerts using your fuel cards that record when drivers have purchased a certain amount of fuel and must therefore be ready for a service.

Other potential functions include:

Inventory management for required parts
Automatic invoicing and ordering of new components
Storage of vehicle service histories in a central repository

Having access to all this data could also help you to see trends in maintenance requirements that demonstrate how well a fleet is performing and whether certain vehicles may be nearing the end of their lifespan.

Of course, fleet operators should always be encouraged to report issues with their vehicles that crop up outside servicing times. However, a maintenance plan should reduce the likelihood of this and ensure more problems are pre-empted before they become a real issue.

For more information about how you could simplify your company vehicle maintenance, and to find out more about MyService.Expert, contact Fuel Card Services today.

Green fuel nozzle inserted into a silver car

Can synthetic fuels save the combustion engine?

Posted on 23rd April 2021 | by Simon Pavey

The idea that synthetic fuels could sustain the life of cars with internal combustion engines (ICE) brings hope to many car lovers.

Whilst the introduction of electric vehicles is a fantastic step forward in the goal for carbon neutrality, some can’t help but wonder what it means for those who still rely on fossil fuel burning vehicles.

What are synthetic fuels?

Synthetic fuels, or eFuels, are a liquid fuel just like the ones used today. However, they are manufactured using an environmentally friendly, carbon neutral process.

These artificial fuels are compatible with the combustion engines we use today. They can even be delivered through the same pump system.

With the government placing a ban on the sale of new petrol or diesel cars and vans in 2030, many have questioned what it means for their current vehicles.

Some people may not be ready to make the switch to electric vehicles by 2030, especially if their location means they don’t have access to charging stations.

With synthetic fuels, they may not need to make the transition. If eFuels were introduced commercially, we could see carbon neutrality in many vehicles – not just electric.

Why are synthetic fuels better for the environment?

These fuels are made with a carbon neutral process. The initial step is to extract hydrogen from water through a process called electrolysis. However, we still need carbon for liquid fuel. This can be extracted from the surrounding air, making use of the emissions that we are trying so hard to reduce.

Combining the hydrogen and the CO2 is what makes synthetic methanol. It can then be refined to create artificial petrol, diesel or kerosene.

Of course, the synthetic fuel is only as carbon neural as the process used to make it. The process is powered by green energy sources such as wind or solar power. Unfortunately, as of 2021, this is still an expensive and painstaking process.

Whilst electric vehicles are considered to be the future of transport, they falter in one aspect that synthetic fuels do not. Creating the batteries for EVs is actually less sustainable than the process of creating artificial fuel, due to the amount of lithium that is mined. Whilst EVs may not produce any environmentally damaging emissions, their creation process still needs refining before they can claim to be completely carbon neutral.

Cars running on synthetic fuel of course do have emissions, but are carbon neutral since their power source was created using recycled carbon.

Who is developing these new fuels?

Companies such as Bosch are committed to creating fuels generated from renewable energy sources to ensure carbon neutral combustion. They point out that there are 1.3 billion vehicles in the world right now. If all of them could be powered with carbon neutral fuels, the world’s environmental targets could be within reach.

Porsche have also teamed up with Siemens, as well as energy firms Enel, AME and petrol company ENAP to build a factory in Chile. The location was chosen for its wind, as this can be used to power the fuel creation process. The factory hopes to produce 550 million litres of synthetic fuel by 2026. Unfortunately, the UK uses over 46 billion litres of fuel a year, so advancements are still needed in this area.

When will eFuels become commercially viable?

According to Ansgar Christ at Bosch, eFuels will become the number one choice of fuel once its carbon neutrality is legally recognised.

The creation process will also have to be made cheaper and more efficient. The price of these fuels would be much higher than fossil fuels if released to pumps today.

However, once more refineries are built, Bosch predicted that price of eFuels could drop to £1.04 per litre by 2030, and continue to fall after that.

The future of transport likely lies with both electric vehicles and synthetic fuel. Whichever you opt for, the industry is pushing further towards carbon neutrality. Get in touch with our expert team to find out more about how you can contribute towards this goal.

Birds eye view of road showing telematics connecting the vehicles

Telematics for fleets: Debunking common black box myths

Posted on 21st April 2021 | by Simon Pavey

There are many add-ons to vehicles today that are designed to improve life for drivers. From heated windscreens to reversing cameras, we enjoy a more luxurious life on the road than our grandparents could have dreamt of.

One development that is coming ever more to the fore in our always-on, internet-connected society is telematics. Not only does this provide benefits for the casual driver, but the phenomenon could also be a real boon when it comes to fleet management too.

However, many businesses have a number of negative preconceptions about telematics. Let’s take a look at some of them and whether they might be unfounded.

What is telematics?

First: what exactly do we mean by telematics? The term itself is a compound derived from the Greek ‘tele’ (distant) and the information processing word ‘informatics’.

It was first used in a French government report in 1978 discussing the mass computerisation of society. Telematics refers to the transmission of information over long distances, but it generally now relates to vehicle technology in particular.

A telematics system is simply a piece of tech that fits within a crash-resistant box inside a vehicle. From there, it can receive wireless information, communicate with a server and display data, whether that is to drivers themselves or fleet managers.

With the advent of better connectivity and factors such as 5G, telematics is really taking off and many businesses are using it to better manage their fleet-based workforce.

Indeed, according to the recent Insurance Telematics Market report from ResearchAndMarkets.com, it is expected that the insurance telematics market alone will grow by 18.5 per cent per year between 2021 and 2026.

Myths and misconceptions

Despite this, many people remain suspicious of telematics. Let’s take a look at some common myths and try to debunk them.

1. It’s too much like Big Brother

Contrary to popular belief, telematics won’t tell tales to the police and it can’t record your conversations. Your smartphone is actually far more invasive than any black box. Fleet drivers may understandably feel concerned about monitoring, but managers should reassure them that they are protected by company policies concerning privacy whenever they’re at work.

With this in mind, meetings to showcase and demonstrate new fleet telematics systems may be a great way of preventing any ‘Big Brother’ concerns. Even better, competitions using telematics data for merit points are likely to help persuade staff that this type of tech could really be the future.

2. It will cost too much

There will of course be an upfront cost when it comes to installing telematics. However, as with most technology, it is becoming less expensive as it is more widely rolled out. In addition, although vehicles will be off the road while they are updated – and therefore not part of the fleet – installation time has fallen to less than an hour in most cases.

What’s more, telematics could actually save fleets money in the long term. Servers can send users monthly reports about the condition of every vehicle in a fleet, flagging up problems and preventing potential breakdowns.

They can also find petrol stations where fuel cards can be used for discounts; check vehicle locations to ensure drivers are within designated routes; and monitor fuel management to identify where economising could take place.

Other benefits include:

Automated pre-trip inspections
Regular expense reports to assist with tax compliance
Electronic distribution of tasks to prevent drivers needing to return to depots

According to the RAC, businesses could expect to save up to 15 per cent a year on fuel, wear and tear and accidents through using telematics.

3. We’ve already got GPS and apps. As a small business, we don’t need telematics

Telematics is so much more than simply GPS tracking, as we’ve touched on above. Whether you’ve got two employees or hundreds, having dedicated technology to better understand and improve performance could be a real boost for compliance and your finances.

Consider also the following situations:

Telematics can call for help automatically if drivers are ever in a crash
Users have an SOS function to summon assistance themselves if there is an emergency other than an accident
Time-series data can be collected to keep freight in the optimum condition, e.g. ensuring cold food stays cold
Audible warnings can be issued for hazards such as upcoming roadworks
Telematics can connect with clients and customers to boost satisfaction by showing them expected delivery times and other data
Black boxes can be activated in the event of theft to track vehicles

All of this is far more than single apps can do – all in one place.

4. It’s a distraction for drivers

Unlike smartphones and traditional sat nav devices, telematics can read and dictate things like messages and maps. Therefore, although they have more functionality, they don’t bother drivers as much with visual notifications. This could actually help to reduce stress and incentivise better driver behaviour.

Furthermore, since reports can flag up unwanted habits such as idling for too long and harsh cornering, fleet drivers may find themselves keen to concentrate more on the roads, not less.

5. It’s data overload – we can’t cope

Telematics doesn’t necessarily require a lot of resources: it can be customised for particular alerts and reports to improve efficiency. That way, you can ensure you’re only getting the information you really need, when you want it.

Simply setting aside a little time every so often to monitor it should be enough – and it could even save time and money, not cost them.

As you can see, telematics is far more than glorified GPS. It has an ever-growing list of functions that could help fleet managers in all kinds of industries, whatever their size.

If you want to know more about how to incorporate this type of tech into your operations, just get in touch with Fuelcard Services today for expert advice.

White electric car plugged into charge point

How can Fleet Managers deal with electric vehicle range limitations?

Posted on 16th April 2021 | by Simon Pavey

With the need to adopt the use of electric vehicles increasing each year, so does the need to consider how fleet management will be affected.

Fleet managers have been overseeing petrol and diesel vehicles for decades. This new type of vehicle, however, comes with a whole new list of challenges.

Why should fleets make the change to electric vehicles?

Firstly, the UK government are planning to ban the production and sale of new petrol and diesel cars and vans in 2030. As a result, we can expect to see a huge increase in the use of electric vehicles by the end of the decade.

Depending on your location, making the change to electric vehicles can have financial benefits. The Ultra Low Emission Zone in London now means that any vehicle not meeting the emissions standard will have to pay. This can be a charge of up to £100 depending on the size of your vehicle. The range of this zone is set to expand, as well as similar zones being introduced in other cities such as Birmingham and Glasgow.

A sudden transition to electric vehicles could put a strain on fleet management. Therefore, one might consider a slow changeover. Swap out your fossil fuel burning vehicles in favour of electric vehicles slowly over the next few years. This would not only mean you are prepared for the future, but will also have time to adapt to the challenges that come with managing a fleet of electric vehicles.

What should fleet managers be aware of?

At this point in time, a newer electric car might get you between 200-300 miles before it needs recharging. Older cars will of course give you less range. This anxiety about the lack of range is usually cited as the main reason for not making the transition.

When combined with the fact that there are limited charging points in the UK, this can be a real cause of worry for fleet managers.

However, both of these factors are set to improve in the coming years. Battery technology is constantly developing; we’re seeing increased capacities each year.

Furthermore, you can expect to see more charging points across the country. Companies such as Allstar are working to make recharging electric vehicles as convenient as possible with over 1500 locations in their UK network.

How can fleet managers adapt to range limitations?

The most sensible decision a fleet manager can make to prepare for the electric revolution is to acquire an electric fuel card.

With a fuel card, your fleet could be managed with great efficiency. Cards such as the Allstar One Electric offer the same benefits as a regular fuel card. This card (along with similar cards offered by BP and Shell) allows you to pay for petrol and diesel as well. For fleets making a slow transition to zero-emission vehicles, this removes any anxiety managers might have about having to keep track of two separate accounts.

You would be given access to one invoice, meaning you don’t need to keep hold of receipts. The spending of each driver in your fleet could be easily monitored.

Suppliers of electric fuel cards are continuing to add more charging stations to their network, and finding charging points for your fleet would be easier than ever with some great charging point locator apps on the market. As with fuel, it is important to plan your drivers’ journeys with charging stations in mind.

With the range limitations of electric vehicles being a primary concern, knowing that your fuel card will help you manage the charging of your fleet can alleviate a lot of stress.

What else should you know about electric vehicles?

When managing a fleet of electric vehicles, there are other aspects to consider that will affect their range.

Do your research before committing to a specific vehicle. The advertised range may be exaggerated as it was tested in ideal conditions. If the stated range of a vehicle is 200 miles on a single charge, be safe and assume it is closer to 150. As your fleet uses these vehicles, you will become more accustomed to their range capabilities and can make adjustments accordingly.

Chargers

Different charging stations will offer different types of chargers. New variants, such as the Ultra-Rapid DC charger, are able to recharge electric vehicles to 80% in 20 minutes depending on the vehicle. When planning your fleet’s route, consider which stations provide access to the quickest chargers. It might be efficient to go slightly off route to charge quickly than to stay on course and charge at a point that takes up to 2 hours to charge.

Weather conditions

When planning your fleet’s journeys, it pays to be mindful of the weather. A colder battery is more resistant to charging, so will take longer. Of course, UK weather does not make this an easy task, but allocating more charging time during the winter months is a sensible practice to get into.

Battery drainage

The rate at which an electric vehicle’s battery will drain depends on multiple factors. Ensure that your drivers are aware of how efficient driving can improve their range. Softer breaking and consistent, lower speeds will help maintain charge. Economy modes are available in some models, but this often comes at the cost of acceleration.

Conservative use of accessories such as air conditioning or heating will reduce drainage. Heating the interior of the car whilst still plugged in is a good option; the driver can maintain comfort without draining precious power.

Eventually, your fleet of electric vehicles will need their batteries replaced. They lose capacity over time just like a phone battery. Some car batteries could last for up to 10 years, but vehicles in constant use like taxis or buses would need their batteries replaced in half the time.

Armed with this information, fleet managers can combat the range limitations of their vehicles. As electric vehicle technology continues to improve, so too will they become easier to manage. To find out more about how you can improve your electric vehicle management, get in contact with our team for expert advice.

A car parks alongside a petrol pump with a variety of options

Top 4 fuel choices for your fleet – which is right for you?

Posted on 14th April 2021 | by Simon Pavey

When you’re operating a fleet, keeping costs as low as possible is a key consideration if you’re going to turn a profit. And one of the main costs for any road-based business is always fuel.

However, it’s important to remember that fuel is a controllable expense, not one that simply needs to burn through money. In order to boost efficiency, you’ll want to ensure that you’re always using the best types of fuel for your business needs.

But how will you know which is the best choice if you’re thinking of upgrading your vehicles? Let’s take a look at the four main options currently available.

Petrol

Petrol vehicles have typically been the most popular on Britain’s roads, largely because they’re the cheapest to both buy and refuel. They are also getting greener thanks to the addition of features like turbochargers and fewer cylinders.

However, they can be prone to overheating and they still emit unburned hydrocarbons, particulates and carbon monoxide from their exhausts. This meant that when emissions first began to be used as a factor in taxes paid on company cars, many businesses opted to switch to diesel.

Diesel

A high proportion of fleet owners have traditionally opted for diesel vehicles, with brands such as Transit having built reputations for solidity and reliability. They usually have a longer lifespan and can actually offer better fuel consumption than petrol engines.

Indeed, diesel vehicles can use up to 30 per cent less fuel and emit 20 per cent less carbon dioxide than their petrol counterparts. However, they unfortunately emit far more exhaust particulate matter, particularly nitrous oxide. This can penetrate the human lungs due to its respirable size.

With research linking air pollution to thousands of deaths per year in built-up areas, this is undoubtedly a concern. Diesel shouldn’t be written off just yet, though, as carmakers are fighting back. New tech such as filters and additives aim to remove the dangerous particles before they are pumped into the atmosphere.

Hybrid

Hybrid vehicles are powered using a combination of a petrol or diesel engine and an electric battery, with the battery recharged while the vehicle is driven or through braking. Plug-in hybrids can also be charged from an external power supply.

This type of vehicle is becoming ever-more popular among fleet owners, as they can cut carbon dioxide emissions by as much as a quarter compared to petrol. Meanwhile, Which? research suggests petrol-hybrids are the most reliable type of engine.

However, range can still be an issue if longer trips are required, with hybrids most suited to shorter journeys around urban areas due to battery limitations.

All-electric

With no fossil fuel-based engine at all, all-electric vehicles (EVs) are powered purely with a battery and an electric motor. That means they’re about as green as you can get – zero emissions whatsoever are emitted while driving, plus they can usually be charged up from a standard power point (although super-fast charging may require dedicated infrastructure).

Fleet owners could also enjoy the added benefits of fewer moving parts meaning lower costs in areas such as servicing in the long term.

As with hybrid vehicles, distance per battery charge can still be a drawback when it comes to EVs, but this is something that is improving all the time. Manufacturers such as Tesla now boast EVs that can comfortably last more than 200 miles, meaning most fleet drivers should be covered without having to stop for more juice.

Assessing what you’ll need

The best way to work out which of the above is best for your fleet is to take a look at your current performance, define where you want to be and then look for opportunities for improvement.

Ask yourself:

Who is travelling and how often?
How far are your fleet drivers going?
What type of environment are they travelling in?
How important are your green credentials?

This should provide insight into which vehicle and fuel choice (or combination) is best for your particular circumstances.

How fuel cards can help

If you’re keen to collect more information about the fuel your fleet is currently using, a great option could be to issue fuel cards. You may already have seen these on garage forecourts, with companies that use Shell fuel, for example, able to pay with a Shell card.

Drivers simply charge the cost of fuel to their employer’s account and the final bills are paid monthly in arrears.

They are beneficial in this case as most fuel cards will issue economy reports as part of their service, which can then be used to analyse consumption and easily see where improvements can be made.

Other benefits of fuel cards include:

Discounts on purchases
Ability to separate business and personal mileage
Reduction in administration
More secure in the event of theft
Incentive to drivers to cover fewer miles and drive more economically

Environment a bigger part of public policy

With green issues now a key focus for the government, it may be that we will all soon be required to make more environmentally-friendly choices when it comes to what we’re driving.

The Intergovernmental Panel on Climate Change estimates that there needs to be a 50 per cent reduction in global emissions compared to 1990 levels by 2050, while the UK government has set even more ambitious targets of 80 per cent.

Electrification of car and van fleets is being seen as a big part of this, although much criticism has been aimed at ministers for failing to have a true masterplan for the decarbonisation of transport.

For instance, the Committee on Climate Change said it wants to see greater incentives for commercial fleets to buy more efficient vehicles, which may include tax breaks and better charging infrastructure for HGVs.

Which fuel is best for you?

In the meantime, with petrol and diesel vehicle sales set to continue on top of the other options until 2030, the choice of fuel essentially remains down to the fleet manager.

However, by taking into account the business requirements, lifecycle costs, data monitoring and environmental concerns detailed above, you should hopefully now have a better idea about what fuel choice would be best for your fleet. Contact us to find out more about fuel types and which fuel card would work best for you.

Fuelcard