Firms are looking at alternative energies for their fleets

Teletrac Navman recently launched its Mobilising the Future of Fleets Report: 2025 Energy Edition. It found 63 per cent of fleets are reporting customer demand as the main factor in their decision to switch to alternative energies. 

Over one-half (58 per cent) cited brand reputation and sustainability goals as the leading drivers in their energy transition. This suggests becoming carbon neutral is weighted towards customer perception and demand, rather than being a compliance priority. Only 29 per cent suggested regulatory pressure and government mandates were guiding their decision making. These people want their fleets and businesses to be green.

Alain Samaha, CEO of Teletrac Navman said: “Customers recognise the importance of sustainable operations and, according to our research, are making active decisions around the businesses they support based on their sustainability credentials”. 

Fleets are also working to optimise their current set-up. Most (84 per cent) were focusing on operational improvements rather than considering new vehicle investments. 

Regular vehicle maintenance (49 per cent), optimising vehicle utilisation (36 per cent), and investing in driver training (28 per cent) are some of the key areas of fleet investment cited by fleet businesses globally. 

That said, 61 per cent of fleets are upgrading to more fuel-efficient vehicles (48 per cent) or switching to those using alternative fuels (31 per cent). This suggests an important focus on the type of vehicle being utilised when considering carbon impacts. 

The larger the fleet the more advanced these businesses were in their transition. Almost two-thirds of fleets with 50 or more vehicles indicated that they were already tackling their sustainability performance. 

However, respondents were split on their approach. Almost half preferred an end-of-life replacement approach while nearly one-third of fleets completed a Total Cost of Ownership (TCO) analysis. The latter is important to avoid costly mistakes in expenditure and vehicle choice further down the line, said Samaha.

With the shift to mixed-energy fleets continuing, almost two-thirds said that they used more than one energy type. One-third were using three or more energy  sources. Specifically, PHEV and EV were tied at just under 40 per cent each. 

Almost half surveyed expected to transition their fleets to alternative energies within the next two years. 

Samaha commented: “The push for fleet sustainability is at a pivotal moment. There is no single viewpoint on the best path forward…but many operators see decarbonisation as a strategic advantage.

“The pace and feasibility of adoption remain points of debate but access to accurate data…will be critical factors in making informed decisions that align with business needs and sustainability goals.”