The U.S. Environmental Protection Agency (EPA) and the National Highway Traffic Safety Administration (NHTSA) recently proposed new, tougher fuel efficiency standards for medium- and heavy-duty trucks, that are supposed to help reduce fuel consumption and curb greenhouse-gas emissions.
The proposed stricter Corporate Average Fuel Economy (CAFE) regulations will surely have a big impact on fleet operators, with some fearing that the new rules will increase their operating costs, even though they are ultimately aimed at helping trucking companies save a significant amount of money.
But, it turns out that fleet operators are fine with the increased fuel efficiency standards for large trucks. According to a recent survey conducted by two groups representing trucking companies, most fleet operators are in favor of the new fuel-saving rules, with their support being primarily driven by the potential long-term financial gains that the regulations could bring, rather than the prospect of reducing carbon emissions.
CALSTART, an organization that calls for cleaner transportation solutions, in collaboration with the National Association of Fleet Administrators (NAFA), has surveyed fleet operators to find out how they feel about the new rules. The survey found that the vast majority of fleet operators support stricter fuel economy standards, with 87% of respondents saying that they believe they would benefit from tougher regulations of truck fuel efficiency.
What’s more, 89% of fleet operators responded that they would be willing to purchase trucks with better fuel economy, which are significantly more expensive, if that helps them save money on fuel in the long run.
This means that as long as higher fuel efficiency standards save fleet operators money, they don’t have a problem with them. This is despite the higher upfront costs that they would have to face by having to buy more fuel-efficient vehicles.
In the CALSTART report, called “Higher Fuel Economy – Working for Fleets”, the advocacy group states that higher fuel economy standards for trucks and buses have significant long-term business benefits. The report states that fleet operators can save up to $20,000 per year after the new regulations go into effect. This estimate is based on an assumed increase in fuel economy by 40% by 2025 compared to 1990 levels.
“Our business case modeling approach was developed with fleet owners and operators who are on the front line of this issue. And based on our survey, they believe that investing in more fuel-efficient trucks up front can be good for business in the long run,” said Bill Van Amburg, Senior Vice President of CALSTART.
The report states that fleet operators that will have to buy more fuel-efficient long-distance big rigs could expect a return on their investment in just nine months. The extra investment in utility trucks could be paid back in 3.5 years, while yielding estimated savings of up to $9,000 per truck annually.
More efficient light-duty trucks, for their part, would help fleet operators cut their fuel costs by up to $1,600 per year, with a payback period of 1.3 years.
With the tougher fuel economy regulations proposed by the EPA promising such potentially substantial fuel cost savings, it’s safe to say that they will be well received by most fleet owners across the country and will benefit their business greatly.
Contributed by: Jordan Perch
Jordan Perch is a writer for DMV.com, and a contributor to pstc.ca. More articles by Perch can be read here, and he can be reached on Google+.
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