Fuel management: 5 ways to cut costs using telematics
Learn how GPS tracking can help reduce fuel costs...
Read moreAs state and federal regulations continue to expand, sustainable fleet management and carbon emissions are under an industry microscope. Fleet owners may be feeling the pressure to modernize their fleets and embrace green fleet management.
Shrinking your carbon footprint, reducing the likelihood of regulatory penalties, can be achieved without a complete fleet overhaul. Investing in a telematics solution is a simple, more affordable alternative to changing out fleet vehicles. Telematics technology supports revamped operating procedures that can improve sustainable fleet management.
1. Increased fuel efficiency
The U.S. Department of Transportation's National Highway Traffic Safety Administration (NHTSA) and the U.S. Environmental Protection Agency (EPA) have set the stringency of corporate average fuel economy (CAFE) and carbon dioxide emissions. Effective July 1, 2022, the final rule establishes standards that would require an industry-wide fleet average of approximately 49 mpg for passenger cars and light trucks in the model year 2026, by increasing fuel efficiency by 8% annually for model years 2024 and 2025, and 10% annually for model year 2026.1
Reducing your fuel consumption is one of the easiest ways to achieve fleet sustainability goals and help meet evolving regulations. It’s also an easy way to cut fuel costs and positively impact your bottom line. Given that fuel is often a significant operating expense for fleet-dependent organizations, using telematics technology to increase fuel efficiency can help make a real impact.
Understanding driver behavior and coaching drivers to reduce excessive speeding and harsh acceleration can also go a long way in improving your overall miles per gallon.
2. Optimized routing
Another key area that fleet management technology helps companies realize sustainable fleet management is with the ability to optimize driving routes for workers. Managers can determine fast, cost-effective routes between job sites based on traffic patterns and other available data, so fuel use is reduced and workers spend less downtime between job locations.
In the event of a new or unexpected job popping up, you can route the nearest worker to that location to conserve fuel use. You can also enable drivers to take advantage of GPS navigation tools to help keep them from getting lost and streamline delivery scheduling, so that less time is spent consuming fuel and giving off greenhouse gas emissions while on the road.
3. Reduced idle time
“Each year, U.S. passenger cars, light-duty trucks, and medium- and heavy-duty vehicles consume more than six billion gallons of diesel fuel and gasoline — without even moving.”2 Much of this is due to idling, as idling a truck can use up to a half gallon of fuel per hour.3
Time spent idling not only means workers aren’t contributing to the profitability of operations; it means fleet vehicles are consuming fuel unnecessarily, which certainly falls short of many green fleet management initiatives.
With telematics technology, you can set alerts for any unnecessary idling beyond a specific time threshold you define as appropriate. This helps reduce idling among fleet vehicles, other fuel costs previously mentioned and, in some states, the associated penalties.
To support real change in the environmental sustainability of your organization, it’s important to get all technicians, drivers and employees on board with green fleet strategies. This ensures everyone is held accountable to the same standards and establishes trust among your team. It also helps accelerate the ability to achieve positive results from sustainable fleet management efforts.
In addition, remember that not all telematics solutions are created equal. To get more from your technology investment, look for one that offers:
Sources:
1. https://www.nhtsa.gov/laws-regulations/corporate-average-fuel-economy#40466
2. https://afdc.energy.gov/conserve/idle_reduction_basics.html
3. https://scdhec.gov/sites/default/files/Library/CR-010109.pdf
Tags: Community, Fuel cost management, Performance & Coaching, Productivity & Efficiency, Routing, Service level compliance, Team Management, Training, Vehicle Maintenance
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