1. The Low Emission
Van Guide
Helping van operators
to reduce costs and emissions
Connect
Collaborate
Influence
Battery Electric Biodiesel Natural Gas/ Biomethane Liquefied Petroleum GasPlug-In Hybrid
2. 2
The Low Emission Van Guide
This guide and accompanying low emission van web tool has been prepared by the Low Carbon Vehicle
Partnership in partnership with Cenex, Transport for London, SMMT, FTA, Royal Borough of Greenwich, Arval
and Commercial Group Ltd. This project was co-funded by Transport for London and a Defra Air Quality Grant
awarded to the Royal Borough of Greenwich.
Published June 2015
Contents
The Low Emission Van Guide 3
Why Choose A Low Emission Van? 4
Some Useful Background Information On Emissions 5
What To Consider When Choosing A Low Emission Van 6
Topic Sheet 1
Battery Electric Vans 8
Topic Sheet 2
Plug-in Hybrid Electric Vans 10
Topic Sheet 3
Liquefied Petroleum Gas Vans 12
Topic Sheet 4
CNG / Biomethane Vans 14
Topic Sheet 5
Biodiesel Vans 16
Best Practice - Making Existing Van Operations More Efficient 18
Low Emission Van Summary Matrix 19
What To Do Next?
Assess The Savings For Yourself 20
Links To Further Information 21
3. 3
The Low Emission Van Guide
The Low Emission Van Guide
A low emission van operates using efficient technology or
alternative fuels rather than diesel. Low emission vans can
help lower the running cost and environmental impact of
your fleet.
This guide will assist you in choosing the most suitable low emission van for the type of work you do. The guide is
aimed at operators of small to medium-sized fleets of commercial vehicles, covering vans up to 3.5t GVW (gross
vehicle weight) - i.e., a Ford Transit sized van. The guide:
• Sets out the business, environmental and operational case for using low emission vans.
• Gives van operators the knowledge and resources required to assess which vans are right for them.
• Provides case studies showing the cost savings achievable from different types of low emission fuels
and technologies.
Once you have read this guide, you can find more information about low emission vans at the LowCVP’s Low
Emission Van Information Hub at www.lowcvp.org.uk/lev. The LowCVP and Cenex have created the VC3
Van Cost
& Carbon Calculator tool where you can enter your own data and compare different low emission fuels and
technologies suitable for your fleet. See the ‘What to do next?’ section at the end of this guide for an introduction
to the tool.
Source: VW
4. 4
The Low Emission Van Guide
Why Choose A Low Emission Van?
The right low emission van for you is the one that saves you
money, reduces your environmental impact and does not
restrict your operations.
Better for business
Reducing CO2
(carbon dioxide) emissions
from vehicles makes good business sense
as lower emissions normally means you
are also spending less money on fuel.
Clean and green vans help to demonstrate
an environmental commitment and
enhance your organisation’s image. The
environmental credentials of suppliers
(you!) are becoming more important to
your customers. In fact, there is an EU
Directive called the Clean Vehicles Directive
that mandates public sector organisations
to take the environmental impacts of
vehicles into account during procurement
decisions. Transport for London and
many local authorities have introduced
performance standards for low emission
vans as part of their tendering process for
contractors. By operating a low emission
van you could be a step ahead of other
companies bidding for work.
Better for air quality and health
Exhaust emissions from vehicles contribute to air quality problems in cities. Poor air quality is extremely harmful
to health; it is estimated to contribute to 29,000 premature deaths a year in the UK . Many UK cities are putting in
place measures to reduce air pollution from vehicles including vans. London has introduced the Low Emission
Zone and will be introducing an Ultra-Low Emission Zone by 2020. This aims to increase the use of cleaner
vehicles in central London. In September 2020 diesel vans operating in the London Ultra-Low Emission Zone
must comply with the Euro 6 emissions standard. Compliance is achieved through imposing restrictions and
different charges on the types of vehicles that are allowed into Low Emission Zone areas. Other major cities across
the UK are introducing local measures to encourage the use of cleaner vehicles to help improve air quality.
Better for the environment
The UK Government is committed to reducing greenhouse gas emissions and has introduced regulations and
incentives to encourage low emission vehicle use by businesses and individuals. These measures are expected to
continue in the future.
Source: Nissan
5. 5
The Low Emission Van Guide
Some Useful Background
Information On Emissions
Air quality emissions are pollutants released from a vehicle’s exhaust pipe in to the atmosphere. You may have
heard of Particulate Matter (PM) and Oxides of Nitrogen (NOx). These are the principal pollutants released from
vehicles that contribute to poor air quality in cities.
Euro Standards are a set of air quality standards that new vans must meet. Every few years tighter emission
standards are set for new vans. The current standard is Euro 5 for all vans, with small vans (like a Citroen Nemo)
moving to Euro 6 in September 2015 and larger vans (like a Transit Connect and bigger) in September 2016. When
looking at purchasing second hand vans, the higher the Euro Standard, the cleaner its emissions will be.
CO2
is a greenhouse gas which does not affect air quality but is considered the principal contributor to climate
change. In this guide we talk about the CO2
emissions from vans in two different ways as explained below.
- Tailpipe CO2
is emitted directly from the vehicle and every van model has its tailpipe emissions
declared by the manufacturer. They are expressed as the grams of CO2
emitted per km driven (g/km).
It’s important to know this before you buy a van as some tax rates, plug-in van grants and congestion
charge rates are based on tailpipe emissions. An Ultra-Low Emission Vehicle (ULEV), is a van which
emits less than 75g CO2
per km driven.
- Fuel life cycle CO2
is a much better method for understanding the true environmental performance
of a fuel. This takes into account the CO2
emissions associated with the energy used while extracting
and processing the fuel as well as the emissions from the vehicle when the fuel is burnt. Renewable
biofuels, which are generally derived from plants or waste, also cause CO2
emissions when used in a
vehicle. However, since this CO2
was taken from the atmosphere by the plant when it was growing, its
combustion does not contribute to climate change and is therefore not included when looking at the
fuel life cycle CO2
emissions from a van.
Source: Nissan
6. 6
The Low Emission Van Guide
What To Consider When Choosing
A Low Emission Van
For a fleet of vans it may be possible to specify vehicles
differently in order to arrive at a mix of van types to deliver the
variety of duties required. This allows low emission vans to play
a role in your fleet which is best suited to their capabilities.
Fit for purpose
To minimise costs it is important to avoid choosing a larger or more powerful model than is required. Purchasers
should be realistic about how often the largest payload, top speed or maximum range is needed.
Factors to consider
Payload
What type of goods will be carried, what is the maximum payload required? Payload is often
reduced slightly in alternatively fuelled vehicles due to the weight of additional components
such as batteries, motors or gas tanks.
Vehicle size
What load space is required? The best way to reduce emissions and cost is to use smaller and
lighter vehicles. Downsizing from a larger vehicle will also open doors to more low emission van
options, for example most plug-in vans are only available in the smaller van range.
Daily / annual
mileage (range)
Local runs or long distance driving? Return to base for refuelling? Refuelling station
availability and the time taken to refuel/recharge can vary for the different low emission van
options.
Fuel/technology
options
What are the benefits of low carbon fuels? Apart from lower emissions and running costs,
a quieter vehicle may be beneficial, or you may be looking to improve your company’s image.
Local
considerations
Is any preferential treatment given for a particular type of vehicle, such as concessionary
parking charges or access to low emission zones? Low emission vans are often encouraged
into cities by local authorities offering discounted access and parking fees.
Dealer support
Where is my closest trained dealer? Will my warranty be affected? Make sure your local
service centre is able to support your alternatively fuelled vehicle. Different service frequencies
have to be followed when running on biodiesel. An additional third party warranty may be
needed to maintain full warranty cover of an LPG converted vehicle.
Buy or lease
What discount can you get through your dealership? Do you want a guaranteed fixed cost
for vehicle ownership? The examples in this guide give whole life costs for vehicle ownership.
You should look at both lease rates and ownership costs. Leasing companies can get much
bigger discounts on buying vehicles compared to low volume van buyers. They offer convenient
fixed monthly charges that can include maintenance. Plus many have specialists offering free
advice for customers wanting to switch to lower carbon vehicles. Purchasing the vehicle
yourself, especially if you can get a good dealer discount, can be cheaper, although you’ll have
to absorb some risk when it comes to estimating the value of an alternatively fuelled van in future
years when you want to sell it.
Flexibility
Finally, flexible thinking will help. This guide will show you that the cost and emission savings
are there, you may just have to rethink how you operate your vans to take full advantage of them.
7. 7
The Low Emission Van Guide
It’s easy to fall into the trap of purchasing the lowest cost van
available to you.
Evaluating the cost
Since your choice of van will determine your business costs for years to come it pays to undertake a whole life
cost analysis. This includes not only the purchase cost, but also running costs (fuel, tax, maintenance, congestion
charge etc.) and how much you will get for the van when you come to sell it again. Most low emission vans will
cost you more up front, but deliver monetary savings due to their lower running costs. The key factor is whether
your annual mileage is high enough to allow the lower fuel costs to result in cost savings over the whole life of
the vehicle. The van technology Topic Sheets give example scenarios where low emission vans are also lower
cost vans.
Incentives for low emission vans
To encourage the purchase of low emission vans and assist in reducing whole life costs a number of financial
incentives are in place. National incentives have been put in place by the UK government and some councils also
offer local incentives.
INCENTIVE INFORMATION WHAT’S IT WORTH?
Plug-in van
grant
The plug-in van grant currently gives 20% off the cost of a new Ultra-
Low Emission Vehicle up to a maximum of £8,000. A van which
emits less that 75g CO2
per km driven is classed as an ULEV.
Up to £8,000
EV charging
points
The government offers a grant of 75% towards the cost of charging
infrastructure installed at residential addresses.
Up to £750
Road tax The road tax rate for battery electric vans is £0. Up to £225 per year
Van benefit
charge
Using a company van for significant personal use is a taxable benefit.
The government value this benefit at £3,150 per annum and a driver
must pay their normal rate of tax on this. Further taxable benefits are
imposed if the company also pay for the driver’s fuel. The tax payable
if a battery electric van is used is reduced and will increase steadily
over 5 years before reaching the same level as a conventional van.
£630 for year 2015/16
basic rate (20%) tax
payer
Enhanced
capital
allowance
Zero emission goods vehicles are eligible for 100% first year
allowance until 2018. So if your business pays corporation tax at 20%,
£20,000 spent on a battery electric van would reduce your tax bill
in the year of purchase by £4,000. You cannot claim an enhanced
capital allowance if you have received the plug-in van grant.
£4,000 on a £20,000
purchase
Fuel duty
Some clean fuels such as natural gas, LPG and biomethane are
cheaper than diesel and petrol because the government applies
less fuel duty to them. In the case of electricity, there is no fuel duty
applied at all.
Up to 70% reduction
in fuel costs
Free or
discounted
parking
Some cities offer free or discounted parking at public charge points
for electric vans.
Up to £10 per day
Congestion
charge
Vans that emit 75g/km or less of CO2
receive a 100% discount on the
London Congestion Charge.
£11.50 per day,
or £10.50 if using
auto-pay
8. 8
The Low Emission Van Guide
Topic Sheet 1
Battery Electric Vans
Technology Introduction
Battery electric vans (BEVs) operate entirely on electricity using an electric motor instead of a diesel or
petrol engine. A high capacity battery (usually lithium ion technology, the same as we have in our phones
and laptops) powers the vans. BEVs are classed as ultra-low emission vehicles.
Fit for Purpose
• Electric vans are suitable for regular and
low mileages due to their limited driving
range between recharging.
• They can offer up to an 80 mile range in
the real-world, which reduces if driven
aggressively or with high heater use in
winter. Range can be increased by using
specialist routing software to optimise
daily journeys for BEV use.
• The daily range can be extended by topping up the battery during the day.
• Fleets would normally drive back to base to recharge. The growing number of fast
and rapid public charging stations also allow top-up charging during the day – links to
charging station maps are provided in the ‘What to do next?’ section at the end of this
guide.
• Due to the weight of the batteries, payload for a small panel van typically reduces by
around 5 to 15% with up to 35% for a large panel van. Load space is not affected.
• Some manufacturers offer EVs on either an outright purchase or battery leasing
arrangement. The battery leasing option alleviates any concerns around battery life time
and potential performance degradation.
Environmental Performance
• Electric vans produce zero tailpipe emissions which makes them ideal for improving air
quality in our cities and reducing CO2
emissions. BEVs offer CO2
savings of up to 35% even
when the carbon intensity of electricity production is taken into account.
Market Status
• Battery electric van models are available from a growing number of mainstream
manufacturers, such as the Nissan e-NV200 or the Renault Kangoo ZE and more. Due to
running and purchasing incentives from the UK Government, coupled with the wide
spread electricity network, electric vans are rapidly becoming a popular fleet choice.
Environmental
performance
(compared to diesel)
Tailpipe CO2
100% saving
Fuel life cycle CO2
35% saving
Excellent for air
quality
Low noise
Operational
performance
Range
Up to 80 miles
Recharging times
Standard: 10 hrs
Fast: 4 hrs
Rapid: 30 mins
Ideal operation
City and suburbs.
Back to base
Example fleet
City courier, light
delivery and service
engineer
9. 9
The Low Emission Van Guide
Topic Sheet 1 (continued)
Battery Electric Vans
Whole Life Cost Example
Nissan NV200
1.5dCi Acenta
(Diesel)
Nissan e-NV200
Acenta
(Electric)
Vehicle:
2.2t Small panel van
Annual mileage:
12,000 miles (48 miles per day)
Ownership period:
5 years
Cost saving:
£5,271 rising to £18,277 if daily
used in the London Congestion
Charging Zone
The example shows the economic
case for electric vehicles is strong. The
plug-in van grant, lower cost fuel, zero
road tax, lower maintenance costs
and stronger residual value all work
together to offer substantial whole life
cost savings. When regional incentives,
such as free entry into the London
Congestion Charging Zone are included
the whole life savings available become
comparable to the purchase cost of the
vehicle!
Vehicle £14,695 £21,775
Plug-in van grant discount £5,213
Fuel costs £6,301 £1,911
Road tax £1,125 £0
Maintenance costs £1,716 £1,158
Resale value £2,718 £3,783
Life time cost £21,119 £15,848
Cost per mile 35.2p 26.4p
Whole life cost savings £5,271
If used in the London Congestion Zone (5 days/week)
Life time cost £34,125 £15,848
Whole life cost savings £18,277
How we calculated the whole life cost and emissions
All costs exclude VAT. Purchase Cost Fleet News Van Running Cost tool. Fuel Consumption manufacturer’s literature
with a 20% real-world small van uplift factor applied. Fuel Cost diesel 2014 average @ £1.11 per litre, electricity @ £0.10 per
kWh. Maintenance Cost Fleet News Van Running Cost tool Resale Value Fleet News Van Running Cost tool Emissions
UK Government fuel emission factors applied to estimated van fuel consumption.
Case Study
Fruit 4 London is a small company, with a big environmental ethos, dedicated to
delivering fresh fruit to over 200 London offices every day. Following a successful
vehicle trial in 2012, Fruit 4 London operates five electric Renault Kangoo ZE delivery
vans. The vans typically travel 40 to 70 miles and make up to 60 delivery stops per day.
Initially attracted by the environmental benefits of zero emission vehicles, they found it
was easy to make the business case work too, as Fruit 4 London director Laszlo Mulato
explains, “Operating in the congestion charging zone saves us nearly £15,000 per year
over the five vehicles, we are also seeing around 75% fuel savings compared to our two
diesel delivery vans”. Having operated BEVs for 3 years now Laszlo has also noticed the
extra business the vehicles are directly responsible for as their customers seek a more sustainable supply chain.
Fruit 4 London purchase all their electric vans on a battery leasing model, preferring the financial security and comfort of
knowing that the batteries performance and lifetime are guaranteed for as long as they own the vehicles.
Which other fleets are using electric?
British Gas, Birmingham City Council, Gnewt Cargo, Loughborough University and more.
Next steps Go to the ‘What to do next?’ section at the end of this guide to find links to electric
van advice sites and tools, including public charging station locations.
10. 10
The Low Emission Van Guide
Topic Sheet 2
Plug-in Hybrid Electric Vans
Technology Introduction
A Plug-in Hybrid Electric Vehicle (PHEV) operates using a petrol engine or battery powered electric motor
to drive the wheels. It can operate in pure electric mode like a battery electric van, however due to a
smaller battery the mileage available in electric mode is less. Once the battery has depleted, the petrol
engine starts and the vehicle operates in a similar way to a normal hybrid vehicle. Plug-in hybrid vans are
classed as ultra-low emission vehicles.
Fit for Purpose
• A plug-in hybrid van offers
the same functionality as a
conventional van as it can operate
on petrol when the battery
depletes.
• Maximising the electric only
mileage is key to reducing
costs and maximising the
environmental benefits.
• Payload is normally reduced due
to the additional weight of the
batteries and electric motors, but load space is unaffected.
• Fleets would normally go back to base to base to recharge. The growing number of fast
and rapid public charging stations also allow top-up charging during the day – links to
charging station maps are provided in the ‘What to do next?’ section at the end of this
guide.
Environmental Performance
• The PHEV is a zero emission vehicle when operating in electric mode.
• The reduction in fuel and engine use means that PHEVs are very good for air quality.
Market Status
• PHEVs are very limited in supply. Mitsubishi currently offer a 4Work model of their PHEV
Outlander in a 2 seat, extended load space configuration.
• From April 2015 the government is introducing different categories of ultra-low emission
vehicles depending on their electric only range and tailpipe emissions. Under this banding
system, PHEVs may begin to receive lower rate financial incentives than battery electric
vans. So buy quickly!
Environmental
performance
(compared to diesel)
Tailpipe CO2
100% saving when
operating in electric
mode
Fuel life cycle CO2
35% saving when
operating in electric
mode
Very good for air
quality
Low noise
Operational
performance
Range in electric
mode
Up to 32 miles, plus
petrol reserve
Recharging times
Standard: 5 hrs
Rapid: 30 mins
Ideal operation
City, suburbs,
occasional
motorway.
Back to base.
High electric mode
utilisation
Example fleet
City courier, light
delivery and service
engineer
11. 11
The Low Emission Van Guide
Topic Sheet 2 (continued)
Plug-in Hybrid Electric Vans
Whole Life Cost Example
Mitsubishi
Outlander 2.2DI-
D GX1 4Work
(Diesel)
Mitsubishi
Outlander Hybrid
GX3h 4Work
(PHEV)
Vehicle:
2.2t PHEV Van
Annual mileage:
15,000 miles (60 miles per day)
Ownership period:
5 years
Cost saving:
£1,122 rising to £15,797 if used
daily in the London Congestion
Charging Zone
The example shows the economic
case for the Outlander PHEV is strong.
The plug-in van grant and lower fuel
costs work together to offer substantial
whole life cost savings. When regional
incentives, such as free entry into the
London Congestion Charging Zone are
included the savings available become
enormous.
In this example the PHEV covers 60
miles per day and assumes the electric
mode is used to cover 32 miles per day.
Savings will diminish if the vehicle
is not fully charged each day and/or
more miles are undertaken in petrol
mode.
Unlike the PHEV SUV, the 4Work model
is a commercial vehicle and as such
does not qualify for £0 rate car road tax.
Vehicle £20,895 £28,770
Plug-in van grant
discount
£6,905
Fuel costs £8,519 £4,884
Road tax £1,125 £1,125
Maintenance costs £3,255 £3,623
Resale value £3,930 £4,305
Life time cost £29,864 £28,742
Cost per mile 39.8p 36.3p
Whole life cost
savings
£1,122
If used in the London Congestion Zone (5 days/week)
Life time cost £42,989 £27,192
Whole life cost
savings
£15,797
How we calculated the whole life cost and emissions
All costs exclude VAT. Purchase Cost from Mitsubishi UK. Fuel Consumption manufacturer’s literature with a 20% real-
world small panel van uplift factor applied. Fuel Cost diesel 2014 average @ £1.11 per litre, petrol 2014 average @ £1.07 per
litre and electricity @ £0.10 per kWh Maintenance Cost Fleet News Van Running Cost tool Resale Value Fleet News Van
Running Cost tool Emissions UK Government fuel emission factors applied to estimated van fuel consumption.
Case Study
The Environment Agency operates over 1,400 commercial vehicles. The
Agency’s current CO2
reduction initiatives include the use of biodiesel in
nearly 300 vehicles and the use of retro-fit hybrid assist systems in rear-
wheel transits.
The release of the Mitsubishi PHEV Outlander provides a great opportunity
for them to expand their use of low carbon vehicles, as Dale Eynon, Head
of Fleet Services explains “We already use Mitsubishi Diesel Outlanders
within the fleet, the PHEV is available at the same cost, and even with a low level of charging we expect to break even, the
main focus for us is to maximise EV use to ensure we are maximising our CO2
savings.” The 68 PHEV Outlanders (deployed
in March 2015) leave the depots fully charged, and on average will travel around 60 miles a day. The Environment Agency
are currently looking to install additional charge points at key work locations and educate staff as to the locations of public
infrastructure which could be used during breaks.
Next steps Go to the ‘What to do next?’ section at the end of this guide to find links to the further
plug-in hybrid electric van advice sites and tools, including public charging station locations.
12. 12
The Low Emission Van Guide
Topic Sheet 3
Liquefied Petroleum Gas Vans
Technology Introduction
Liquefied Petroleum Gas (LPG) is a fossil fuel extracted alongside natural gas and is also a by-product of the
oil refining process. LPG is stored on vehicles under pressure as a liquid.
Fit for Purpose
• LPG vehicles can undertake similar duties to
regular vans due to the long range available
between refuelling events.
• Refuelling is easy, there are nearly 1,500
refuelling stations offering LPG across the UK.
• The vehicles are bi-fuel, so they can operate on
either petrol or LPG.
• Payload is similar to a regular van and the LPG
tanks are normally mounted in the spare wheel
cavity. If additional mileage is required tanks can also be fitted in the load space.
Environmental Performance
• LPG vehicles are quieter and emit less harmful air quality pollutants than diesel vehicles.
They offer tailpipe and fuel life cycle CO2
emissions when compared to petrol, but can
emit similar CO2
per km when compared to a diesel van.
Market Status
• LPG conversions and refuelling infrastructure are well established and proven. Although
LPG vehicles are available from main stream manufacturers in Europe, here in the UK
you would have a petrol van retro-fitted with an LPG system by an installer approved by
UKLPG – the LPG trade association.
• A vehicle manufacturer’s warranty will not cover any faults caused by the LPG system,
therefore a third party warranty (usually from the AA) can be taken out.
Environmental
performance
(compared to petrol)
Tailpipe CO2
14% saving
Fuel life cycle CO2
20% saving
Good for AQ
Low noise
Operational
performance
Miles on full tank
Up to 300 miles
(plus petrol reserve)
Ideal operation
No restrictions
Example fleet
City and long
distance courier,
delivery, service
engineer
13. 13
The Low Emission Van Guide
Topic Sheet 3 (continued)
Liquefied Petroleum Gas Vans
Whole Life Cost Example
Vauxhall Combo
1.4i 95PS (Petrol)
Vauxhall Combo
1.4i 95PS (LPG) Vehicle:
2.0t Small panel van
Annual mileage:
15,000 miles
Ownership period:
5 years
Cost saving:
£2,009
In this example the fuel savings from
using LPG recoup the cost of the system
and the additional maintenance costs –
which come to £45 per 12,000 miles.
LPG conversions provide whole life
cost savings when compared to petrol
vehicles and similar whole life costs
when compared to diesel vehicles, with
the advantage of better air quality and
lower noise performance.
Vehicle £14,413 £14,413
LPG Conversion £1,200
Fuel costs £10,846 £7,356
Road tax £1,125 £1,125
Maintenance costs £2,693 £2,974
Resale value £1,626 £1,626
Life time cost £27,451 £25,442
Cost per mile 36.6p per mile 33.9p per mile
Whole life cost
savings
£2,009
How we calculated the whole life cost and emissions
All costs exclude VAT. Purchase Cost manufacturer’s list price, LPG system installation cost from supplier quotes.
Fuel Consumption manufacturer’s literature with a 20% real-world small van uplift factor applied. Fuel Cost 2014 average
price, petrol @ £1.06 per litre, LPG @ £0.58 per litre. Maintenance Cost Petrol from Fleet News Van Running Cost tool
with additional £45 per 12,000 miles LPG system service Resale Value Fleet News Van Running Cost tool Emissions UK
Government fuel emissions factors applied to estimated van fuel consumption.
Case Study
Outdoor advertising firm Clear Channel UK has many
reasons to choose autogas LPG to fuel its fleet of
service vehicles. However, it was firstly the
environmental angle followed by the financial
advantages that are a major benefit to Clear Channel
UK. Glenn Ewen, Fleet Manager, Clear Channel UK,
said: “As part of our wider strategy to minimise our
impact on the environment, Clear Channel UK has set a
target of 84 per cent LPG usage against petrol. As part
of our commitment to this target, we have installed
seven bunkers at Clear Channel depots nationwide
where our drivers refuel.” Typically, their autogas LPG
system provides annual (running) cost savings of
around 40 per cent compared to petrol fuelled vans.
Which other fleets are using LPG?
Humberside Police Force, Grass Hopper Couriers, Camden Council and more.
Next steps Go to the ‘What to do next?’ section at the end of this guide to find links to the
further van advice sites and tools, including a link to a list of approved installers and LPG
refuelling stations.
14. 14
The Low Emission Van Guide
Topic Sheet 4
CNG / Biomethane Vans
Technology Introduction
CNG vehicles run on Compressed Natural Gas, the same gas we use to power our central heating
boilers and cookers. CNG is stored on the vehicle in pressurised cylinders and used in a spark ignition
engine, which is the type of engine used in petrol vehicles. CNG is a fossil fuel; however a renewable and
sustainable version of natural gas is also available called biomethane. Biomethane is produced from organic
waste and can be directly used in CNG vehicles.
Fit for Purpose
• CNG vans can undertake similar duties
to regular diesel vans due to the long
range available between refuelling.
• Payload is often reduced by about 10%
due to the weight of the gas tanks. Load
space is not affected.
• A limited, but growing, number of public
CNG refuelling stations are available
across the UK which are capable of filling
the fuel tank in a few minutes. Smaller
home or depot based refuelling units
can compress natural gas from the gas network directly into a vehicle’s tank overnight.
• CNG vans can have a reserve petrol tank in case you run low on gas away from a refuelling
station.
Environmental Performance
• CNG vehicles are good for air quality, they are quiet and emit similar levels of CO2
to
diesel vans. If operated on biomethane, then fuel life cycle CO2
savings of over 60% are
available.
Market Status
• CNG vehicles are popular all over the world. Model availability is limited in the UK due
to our lack of refuelling stations. CNG versions of the Iveco Daily and Mercedes Sprinter
are available. Until July 2014, VW supplied the UK with a CNG Caddy, these are now
available on the second hand market or a new left hand drive model could be imported
from Ireland.
• Biomethane supply in the UK is limited. Blends of around 15% biomethane and 85% CNG
are common. Green Gas Certificates are also available, these allow a mechanism for
fleets to purchase the green credentials of biomethane (injected into the national gas grid
elsewhere) when drawing gas from their local grid connection point.
Environmental
performance
(compared to diesel)
Tailpipe CO2
Similar
Fuel life cycle CO2
Similar for CNG,
over 60% saving
for biomethane
Good for air
quality
Low Noise
Operational
performance
Miles on full tank
Up to 300 miles
(plus petrol reserve)
Ideal operation
City, suburbs,
motorway. Back to
base. High mileage
Example fleet
City and long
distance courier,
delivery, service
engineer
15. 15
The Low Emission Van Guide
Topic Sheet 4 (continued)
CNG / Biomethane Vans
Whole Life Cost Example
Mercedes Sprinter
316 CDI (Diesel)
Mercedes
Sprinter 316 NGT
(CNG)
Vehicle:
3.5t CNG Large Panel Van
Annual mileage:
25,000 miles
Ownership period:
6 years
Cost saving:
£1,147
The cost example opposite shows that
the additional purchase cost of a CNG
Mercedes Sprinter covering 25,000
miles per annum saves the operator over
£1,100 on a whole life cost basis over 6
years. With the increased purchase and
maintenance costs and lower residual
value offset by the savings in fuel costs.
The price of CNG varies significantly
between suppliers. Availability of low
cost CNG coupled with high annual
mileage will be the key factors in
achieving an overall whole life cost
saving.
Vehicle purchase cost £27,720 £30,665
Fuel cost £27,594 £21,540
Road tax £1,350 £1,350
Maintenance costs £7,200 £7,632
Resale value £4,500 £2,970
Life time cost £59,364 £58,217
Cost per mile 39.6p 38.8p
Whole life cost
savings
£1,147
How we calculated the whole life cost and emissions
All costs exclude VAT. Purchase Cost manufacturer’s price list. Fuel Consumption manufacturer’s literature with a 35%
real-world large van uplift factor applied. Fuel Cost diesel 2014 average @ £1.11 per litre, gas @ 0.85p/kg from CNG
Services public filling station. Maintenance Cost Fleet News Van Running Cost tool adjusted with data from Mercedes
for CNG Van Resale Value Parker’s guide with CNG van value reduced by 33% due to limited 2nd hand market appeal.
Emissions UK Government fuel emission factors applied to estimated van fuel consumption.
Case Study
Following a successful implementation of gas
refuse collection vehicles, Leeds City Council
took advantage of their on-site gas refuelling
facilities and incorporated seven Volkswagen
Caddy vans into their fleet. The bi-fuel vehicles
run on CNG with a small petrol reserve and
cover domestic repairs and maintenance at
households in the city. The vehicles travel less
than 70 miles per day so very much within their
300 mile range, supplying the council with a 3p
per mile fuel cost saving.
Which other fleets are using CNG?
Tesco, Waitrose, Arla Foods, Balfour Beatty,
Camden Council and more.
Next steps Go to the ‘What to do next?’ section at the end of this guide to find links to the further
van advice sites and tools, including a map of UK gas refuelling stations.
16. 16
The Low Emission Van Guide
Topic Sheet 5
Biodiesel Vans
Technology Introduction
Biodiesel is a renewable fuel produced from vegetable crops and/or used cooking oil, and is a low carbon
alternative to fossil diesel. Today fuel suppliers are allowed to blend biodiesel, manufactured to the EN
14214 standard with regular road diesel up to 7%. This 7% blend, known as B7, is compatible with any
vehicle. Some manufacturers design their vehicles to operate on higher biodiesel blends, normally up to a
30% blend (B30).
Fit for Purpose
• There are no operational restrictions. A vehicle running on biodiesel also maintains the
ability to run on regular diesel, which can be used in the same tank.
• Vehicle payload and load space are unaffected.
• Biodiesel blends are mainly available from supplier facilities. If these are not convenient,
a storage tank and dispenser can be installed at your depot.
• A vehicle’s fuel delivery system has to be designed to work with biodiesel and
manufacturers will recommend more frequent maintenance.
• A good quality biodiesel, manufactured to the EN 14214 standard should be used.
Environmental Performance
• Tailpipe emissions are unaffected, but as biodiesel is a renewable fuel, fuel life cycle CO2
reductions of around 28% are available when using B30 manufactured from used cooking
oil.
• Biodiesel vehicles normally emit less particulate matter with similar, or marginally
increased, NOx emissions.
• You should ensure that biodiesel used is from sustainable sources. Biodiesel manufactured
from used cooking oil has a very low environmental impact as it is a waste material and
does not require additional food crops to be grown to produce it.
Market Status
• High blends of biodiesel are not widely supported by vehicle manufacturers, this coupled
with greater maintenance frequencies and variable biodiesel costs means that higher
blends of biodiesel are not widespread. Some manufacturers such as Peugeot and
Citroen support blends of up to B30 in their HDi engine range.
Environmental
performance
(compared to diesel)
Tailpipe CO2
Similar
Fuel life cycle CO2
28% saving (B30)
from used
cooking oil
Similar air quality
Similar noise
Operational
performance
Miles on full tank
Same as diesel
Ideal operation
City, suburbs,
motorway.
Back to base
Example fleet
City and long
distance courier,
delivery, service
engineer
17. 17
The Low Emission Van Guide
Topic Sheet 5 (continued)
Biodiesel Vans
Whole Life Cost Example
Peugeot
Partner L1
1.6HDi 92 HP
(Diesel)
Peugeot
Partner L1
1.6HDi 92 HP
(Biodiesel B30)
Vehicle:
2.0t Small panel van
Annual mileage:
20,000 miles
Ownership period:
5 years
Cost saving:
Similar cost
Whilst biodiesel can cost less than
fossil diesel the additional maintenance
requirements coupled with higher fuel
use (due to the lower energy content of
biodiesel) means that whole life costs
can be similar.
Vehicle £14,142 £14,142
Fuel costs £10,716 £10,331
Road tax £1,125 £1,125
Maintenance costs £3,490 £3,850
Resale value £2,072 £2,072
Life time cost £27,401 £27,376
Cost per mile 27.4p 27.4p
Whole life cost savings £25
How we calculated the whole life cost and emissions
All costs exclude VAT. Purchase Cost Fleet News Van Running Cost tool. Fuel Consumption manufacturer’s literature
with a 20% real-world small van uplift factor applied. Fuel Cost diesel 2014 average @ £1.11 per litre, biodiesel B100
@ £0.92 per litre (average of supplier quotes). Maintenance Cost Diesel from Fleet News Van Running Cost tool with
additional biodiesel maintenance items as advised by Peugeot Resale Value Fleet News Van Running Cost tool Emissions
UK Government fuel emission factors applied to estimated van fuel consumption.
Case Study
ATX Ltd is a logistics company operating ten vans. Due to the negative impact of escalating fuel costs on their business,
ATX decided to invest in a biodiesel manufacturing plant and secure waste cooking oil supply contracts. Mitch Sills ATX
Fuels Distribution Manager explains how their business has changed in recent years, “Since 2004, when we first started out
manufacturing our own fuel, we have gradually improved the quality of our biodiesel, which now exceeds the EN14214
standard. Using the correct winterizing agents we are also capable of running 100% biodiesel all year round. Being lower
cost than forecourt diesel, the demand for our product is growing at such a rate our business is migrating from a logistics
company to a biodiesel supplier.”
The filling pump at ATX allows real time blending of biodiesel and diesel to suit the customer’s vehicle and requirements.
ATX run seven Ford Transit vans on blends of up to B100, although this does void the manufacturer’s warranty, they report
no reliability problems. They replace vans every 18 months, with each covering around 60,000 MPA. This equates to an
annual fuel cost savings of over £1,400 and a tailpipe emission savings of 21 tonnes of CO2
per van.
Which other fleets are using biodiesel?
Environment Agency, McDonald’s UK, Commercial Group, London Borough of Hackney and more.
Next steps Go to the ‘What to do next?’ section at the end of this guide to find links to the further
van advice sites and tools, including a link to biodiesel station locations and pricing.
18. 18
The Low Emission Van Guide
Best Practice - Making Existing Van
Operations More Efficient
Whatever type of vans and fuels are used in your organisation, focusing on understanding the day-to-day van
performance and making it more efficient will help to reduce fuel costs and emissions.
Fuel Management
Understanding fuel usage in your fleet is the first step in reducing it. You could appoint
a ‘Fuel Champion’ who will monitor and track fuel use and costs and drive fuel
efficiency improvements.
Environmental
Benchmarking
Get involved with and learn best practice from other fleet operators. You can join a
benchmarking scheme, such as EcoStars, or join one of the fleet operator associations.
Driver Behaviour
The first easy win when reducing fuel costs is through encouraging employees to
drive more economically. This not only reduces your fuel bills, but has the additional
effects of reduced accidents and maintenance costs.
Vehicle Maintenance
Maintaining your vehicles properly helps to keep them running
efficiently. For example, a 20% drop in tyre pressure can result in
a 2% increase in fuel consumption. Tyre labels provide an easy to
understand indicator of tyre performance when it comes to fuel
economy and wet grip.
Telematics
Installing telematics onto vehicles gives you an insight
into your working patterns, allowing more efficient
routing of vehicles, elimination of non-business mileage,
highlighting areas for improvements, and vehicle or
driver based performance reporting.
Eco Technology
A growing number of fuel reduction retro-fit technologies are available for fleet
vehicles. The systems should save money and emissions and a reputable system
provider should be able to prove this to you before you part with your money.
Driver aids such as the Ashwoods Lightfoot system, provide real time visual and
audible feedback to the driver, improving driving behaviour which commonly results in
CO2
and fuel savings of between 10% and 20%. The system sends regular performance
reports to drivers and managers.
Speed limiters reduce fuel consumption by reducing the maximum driving speed.
Driving at 70mph uses 9% more fuel than at 60mph and driving at 80mph uses 25%
more fuel than driving at 70mph.
19. 19
The Low Emission Van Guide
Low Emission Van Summary Matrix
The differences between the low emission van technologies discussed in this guide are summarised in the table
below.
Key: Better than Diesel Similar to Diesel
Battery Electric PHEV
CNG /
BIOMETHANE
LPG
B30 Biodiesel (30% Biodiesel
blend in diesel)
Whole life cost
Cost improvements dependent on annual mileage and ownership period
Financial
incentives
Vehicle and infrastructure funding. 100%
London congestion charge discount.
Regional council schemes for discounted/
free parking.
Reduced fuel
duty rate
Reduced fuel
duty rate
NoneEnhanced capital
allowance OR Van
grant on purchase.
Reduced van
benefit charge until
2020. No fuel duty
applied. £0 road tax
No fuel duty applied
to electricity
Market status
Available, around 15
models
One vehicle model
only
(Outlander 4Work)
Two models
available
Conversions
available for petrol
vans
Some models warranted
for biodiesel use
Example
vehicles
Nissan e-NV200,
Renualt Kangoo,
Allied eBoxer
Mitsubishi
Outlander 4Work
Merc Sprinter,
Iveco Daily
Retrofit Peugeot Partner, Boxer
Ideal operating
location
City, suburbs
City, suburbs
and occasional
motorway
City, suburbs, motorway
Ideal refuelling
location
Back-to-base No restrictions Back-to-base
Example use
City courier, light delivery and service
engineer
City and long distance courier, delivery, service engineer
Range between
refuelling 60-80 miles
Around 30 electric
miles, then petrol
reserve
Up to 300 miles,
then petrol reserve
Up to 300miles,
miles, then petrol
reserve
Similar
Payload impact 5-35% reduction
(model dependent)
20% reduction 10% reduction Similar Similar
Refuelling
considerations
Public charging available but limited.
Variable charging times. Petrol reserve for
plug-in hybrid
Limited public
infrastructure
wWidespread
infrastructure
Limited public infrastructure
Tailpipe CO2
emissions from
the vehicle
Zero emission
Zero emission
when in battery
electric mode
Similar when using
natural gas
100% when using
biomethane
14% saving from
petrol
28% saving
Fuel lifecycle
CO2
emissions 35% saving
35% saving when
in battery electric
mode
Similar when using
natural gas
over 60% from
biomethane
20% saving from
petrol
26% saving
Air quality
emissions Zero emission
Zero emission
when in battery
electric mode
Good for air quality
emissions
Good for air quality
emissions
Similar
Ultra-Low
Emission Vehicle
status
Yes Yes No No No
20. Go to www.lowcvp.org.uk/lev
Van Cost & Carbon
Calculator
20
The Low Emission Van Guide
What To Do Next?
Assess The Savings For Yourself
The VC3
Van Cost & Carbon Calculator
Review the cost and carbon performance of low emission vans over your operating conditions by entering some
simple information into the VC3
Van Cost & Carbon Calculator. The tool will present you with a tailored report
showing the cost and emission impact of operating different types of vans in your fleet.
Pick your
• van size
• typical driving routes
• driving style
• number of years you want
to own your vehicle
• annual mileage
Discover your
• whole life cost savings
• emission savings
21. 21
The Low Emission Van Guide
Links To Further Information
Some useful links to further information on each topic covered in this guide are provided below, once you
have done some of your own research, it’s time to contact your local dealer and start saving money, saving the
environment and improving your fleet image!
General Advice And Calculator Tools
www.cenex.co.uk/vc3
Cenex provides a tool for allowing operators to calculate emission and cost
savings available from alternatively fuelled vans
www.lowcvp.org.uk/lev
The LowCVP provides an advice site for operators looking to make the switch to
low emission vans
www.vanchooser.net
Van Chooser allows users to search for a van type that meets their requirements
and can display list price, emission performance, fuel costs and much more
www.fleetnews.co.uk/vans/
tools/
The Fleet News website has whole life cost and emission calculator tools, best
practice case studies and much more
www.ukconversionfactors
carbonsmart.co.uk
The UK Conversion Factors site provides official UK Government recommended
factors for converting your fuel use into carbon emissions
Battery Electric And Plug-In Hybrid Electric Vehicles
www.zap-map.com
Zap Map contains a list of publically available charge points, vehicle model
availability and charge point provider contact details
www.goultralow.com/
commercial-vehicles-fleet
The Go Ultra Low web site provides information about switching to ultra-low
emission vehicles and vehicle availability
www.ukevse.org.uk
UKEVSE, the electric vehicle supply equipment association, provide a guide for
procuring charge points including equipment considerations and location choice
www.gov.uk/government/
publications/plug-in-van-grant
The Office for Low Emission Vehicles (OLEV) provides a list of vans that are
eligible for the Plug-in Van Grant
LPG Vehicles
www.drivelpg.co.uk
Drive LPG provides advice and information about converting to LPG including a
list of approved installers and UK refuelling stations
CNG Vehicles
www.gasvehiclehub.org
The Gas Vehicle Hub provides a map of UK CNG refuelling stations, a list of
vehicle model availability and gas vehicle case studies plus much more
Biodiesel Vehicles
www.biodieselfillingstations
.co.uk
Biodiesel Filling Stations provides a list of filling stations and biodiesel blends
available by UK area, with links to suppliers websites where many show pricing
and other information
The information and advice given is based on a range of public domain sources, data supplied by companies, in-house knowledge and analysis
and engagement with stakeholders. While the information is provided in good faith, the ideas and analysis presented in this guide report must
be subject to further investigation, and take into account other factors not presented here, before being taken forward. Therefore the authors
disclaim liability for any investment decisions made on the basis of this guide.
22. Low Carbon
Vehicle Partnership
3 Birdcage Walk
London
SW1H 9JJ
secretariat@lowcvp.org.uk
+44 (0)20 7304 6880
CENEX
Holywell Park
Loughborough University
Ashby Road
Loughborough LE11 3TU
www.cenex.co.uk
+44 (0)1509 635750
Connect
Collaborate
Influence