Pathway to fleet decarbonisation

It reveals the top recommendations to accelerate fleet decarbonisation for Australian businesses.

“The momentum toward electrification is not only propelled by ambitious governmental commitments to near-term carbon reduction and net-zero targets, but also by technological advancements from manufacturers, responding to rising consumer demand,” says Tulloch.

According to Tulloch, this convergence of innovation, corporate sustainability goals, and regulatory requirements is accelerating fleet electrification efforts across the globe.

Tulloch says sustainability serves as a fundamental strategic driver within the firm’s operations in both Australia and New Zealand. The company has already reached full electrification of its internal fleet across these regions.

“It’s essential that our actions genuinely reflect our commitment to decarbonisation. We’ve dedicated significant effort to developing innovative internal solutions that ensure we deliver on this promise,” he says.

“As sustainability becomes an imperative for businesses, we’re witnessing a growing recognition among Australian companies of the importance of aligning operations with environmental goals.

“The insights and recommendations provided in this regional spotlight are intended to equip and inspire local businesses to confidently navigate their journey towards electric vehicles, supporting both their financial and sustainability goals.”

Tulloch says the company operates within a global network that spans over 50 countries, providing access to valuable insights, world-leading best practices and learnings that help inform their approach to effective and efficient fleet management, including the electrification and decarbonisation of fleets.

This regional spotlight follows the release of the 2024 Global Electrification Report - Accelerating fleet decarbonisation by Element-Arval Global Alliance in collaboration with RMI.

The top recommendations for organisations to decarbonise and electrify their fleets include:

• Create a roadmap for fleet decarbonisation. Transitioning a fleet from ICE to EV is not an overnight proposition. Thorough change management planning is required to give any organisation the best chance for success. The plan should articulate the company’s vision, how to engage with each stakeholder involved, a detailed roadmap describing the “how-to” transition, updated policies, a monitoring and evaluation process, and impact assessment.
• Assess EV readiness. EV readiness plans help to outline and assess the EV-related policies, infrastructure, services, and other factors that organisations need to have in place to support a scaled rollout of EVs in their fleets.
• Apply telematics data to enable EV transition and operations. Telematics data can be an effective tool to help inform a fleet’s EV transition and operations. Analysing telematics data, such as location and route information, speed, fuel consumption, vehicle diagnostics, and vehicle utilisation can improve safety, compliance, and productivity, including smart charging during periods when Time-of-Use electricity rates are lowest.
• Kick-off with smaller-scale EV deployment. A small-scale EV deployment is a valuable opportunity to learn more about how EVs impact fleet operations in real-world conditions. It is helpful not only in providing quantifiable data (operational impact, cost visibility, and effectiveness of charging) but also in alleviating potential concerns such as range anxiety among drivers.“We believe that the insights and recommendations outlined in this Regional Spotlight can support and empower businesses to better navigate the transition to electric vehicles in line with their financial and sustainability objectives,” says Tulloch.

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