2024 Global Electrification Report: Decarbonization Insights for Commercial Fleets

•    Actionable strategies to reduce fleet carbon emissions include reducing idling, optimizing vehicle and fleet sizes, and deploying low- and zero-emission vehicles.
•    A robust change management plan can significantly contribute to decarbonization efforts, ensuring stakeholder engagement, policy updates, and effective transition roadmaps.  
•    Light-duty EVs now offer comparable performance and economic advantages compared to traditional ICE vehicles.

Today, Arval together with their Global Alliance partner, Element Fleet Management Corp, and in collaboration with RMI, released the 2024 Global Electrification Report: Accelerating Fleet Decarbonization. The report evaluates the feasibility and benefits of light-duty commercial fleet electrification, highlighting emission reduction, cost and other key considerations based on real-world performance data and client experiences of transitioning from internal combustion engine (ICE) to battery-electric vehicles (BEV).

“With transportation contributing nearly 25 per cent of all energy-related emissions globally, we are at a pivotal juncture to help our clients work towards their decarbonization goals”, said Avninder Buttar, Senior Vice President and Head of Electrification at Element. “As a Purpose-driven organization and a leader in fleet management, we are providing tangible evidence that advances the conversation and adoption of electric vehicles as a viable path toward reducing emissions and contributing to a sustainable and inclusive future for our clients, people, and business.”

The report is based on extensive data analysis performed by RMI of global fleets operated respectively by the founders of the Element-Arval Global Alliance (EAGA) across the U.S and Canada, Mexico, Australia, New Zealand, and Europe. It offers both qualitative and quantitative insights, based on fleet operators feedback addressed to RMI, to equip fleet operators with the necessary tools to transition to a low-carbon future.

Key Insights from the Report Include:

• Comprehensive Strategies for Fleet Decarbonization: The report details actionable strategies commercial fleets can take to lower emissions, including reducing idling, optimizing vehicle and fleet sizes, and deploying low- and zero-emission vehicles.
• Leveraging Telematics for Operational Efficiency: Fleet managers can harness telematics data to enhance safety, compliance, productivity, and smart charging practices.
• Economic Feasibility of Electric Vehicles (EVs): Light-duty EVs now offer comparable performance and economic advantages in certain use cases compared to traditional ICE vehicles. Key studies indicate significantly lower lifecycle emissions for battery electric vehicles when compared to internal combustion vehicles.
• Change Management for Successful Integration: A robust change management plan can significantly contribute to decarbonization efforts, ensuring stakeholder engagement, policy updates, and effective transition roadmaps.

“Reducing transportation emissions represents a significant opportunity to mitigate the impacts of climate change, but one that requires a collective effort,” said Clay Stranger, Managing Director at RMI. “More than a true source of qualitative and quantitative assessments of decarbonization tactics, the findings within the report serve as a call to action for fleet operators worldwide."

The report highlights the potential for fleet operators to mitigate climate impacts, while also benefiting from increased operational efficiency and potential cost reductions. By developing a strategic roadmap and starting with smaller-scale EV deployment, fleet managers can test and refine new approaches, thereby building momentum for larger initiatives.

“Our newly launched 2024 Global Electrification Report represents a pivotal step forward in advancing meaningful discussions about fleet decarbonization opportunities,” said Buttar. "By leveraging the insights and strategies outlined within the report, companies can make informed decisions about their fleets that align with both their sustainability goals and business objectives.”

This press-release and the respective report were written in partnership with Element Fleet Management Corp. and with collaboration with RMI.

To view the full 2024 Global Electrification Report: Accelerating Fleet Decarbonization, please fill the form below.