Despite the changes to the Government electric vehicle (EV) and plug-in hybrid electric vehicle (PHEV) grants released in the 2018 Autumn Budget, companies can still benefit from introducing “green” vehicles into their fleet.
This is especially true for those that are considering expanding into different locations, or those that want to improve their environmental credentials. That is why this month we wanted to share some of the key ways that your business could benefit from a greener fleet.
Improve your environmental credentials
One advantage of introducing a green fleet is that it helps to improve your environmental credentials, not just in the eyes of potential employees, but with the general public as a whole.
In the day and age of social media, businesses that operate in green, environmentally friendly ways are often seen more favourably when compared to those that do not. Consumers are becoming more in-tune with how companies operate, and this gives your business a great opportunity to embrace new technologies.
However, it does not just apply to the public, those looking for a new job may see your business as aligned with their own values, which may make your business a more attractive option compared to your competitors.
Government grants are still available
As we have already mentioned, the 2018 Autumn Budget did make some changes to the grants available on electric and plug-in hybrid electric vehicles. However, this should not put off businesses from investing in these greener technologies.
For example, businesses can still benefit from a grant of 35% for the purchase price of a vehicle, up to a maximum of £3,500. These category 1 vehicles include BMW i3 and i3s, the Tesla Model X and Tesla Model S.
At the same time, businesses looking to invest in larger commercial vehicles such as the Peugeot ePartner or the Nissan e-NV200 (cargo van) are able to get a grant of 20% of the vehicle purchase price, up to a maximum of £8,000.
Reduced vehicle maintenance costs
As with all vehicles, maintenance costs can soon add up, especially if a business is relying on older models or have to reimburse employees for maintenance on their grey fleet (personal vehicles used for business purposes).
However, green vehicles typically have lower maintenance costs than their traditional fuel counterparts, which helps a business save money throughout the year.
This is because the engines used in green fleet vehicles have substantially fewer components than petrol or diesel engines, which means they do not have to replace as often. This reduction in maintenance costs could be reinvested into other areas of the business or could be used to further increase the size of the fleet.
Greater internal innovation
As the technology surrounding green vehicles develops, so do the regulations surrounding the use of the vehicles. However, if a business sees these as an opportunity, rather than a hindrance, they are improving their ability to think of new, creative ways of working.
A report released by Deloitte stated that businesses that “are leaders in sustainability are more than 400% more likely to be considered innovative leaders.” This is because the regulations force fleet managers to think more creatively about sustainability, whilst expanding their view from just their services to their supply chain as a whole.
For more information on the grants available for green vehicles or to find out what schemes you can introduce in your business, take a look at the links below:
In summary, businesses that are serious and focused on improving their environmental credentials and investing in the future of their organisation should consider implementing a green fleet.
There will undoubtedly be more developments in green technology in the next decade, which opens up a wide range of opportunities for companies of all shapes and sizes.
To discuss anything that you have read in this article, or to find out how GKL Electric can help your business incorporate green fleet vehicles, get in touch with us today.