Network Rail
Key contact: Chuck Ives
Fleet profile: 8,500 vehicles – 6,850 light commercial vehicles, 1,500 company cars and 150 specialist vehicles including HGVs
Business: Runs, maintains and develops Britain’s rail network, signalling systems, rail
bridges, tunnels, level crossings, viaducts and 18 key stations
Location: Derby

Network Rail’s environmentally friendly fleet policy has enabled them to cut more than £4 million from their operating costs.

These impressive financial savings have been achieved by the phased introduction of hi-tech, low emission, fuel-sipping cars and vans in addition to a range of initiatives which include:
• An education package for the company’s 13,000 drivers;
• A zero tolerance approach to missed and late vehicle servicing; and
• The fleet-wide introduction of tyre pressure alert valve caps.

Nothing radical
Managing 8,500 vehicles with a fleet budget of £65 million a year, Network Rail’s head of fleet Chuck Ives said: “We have saved £4 million in fleet costs since we launched the new fleet programme three years ago. No fleet can afford to ignore such savings. We have introduced nothing radical, merely pursued common sense policies.”

So remarkable has been Network Rail’s transformation that the organisation is now working to have its CO2 reductions audited by the Energy Saving Trust. This will enable the company to join the Energy Saving Trust’s environmental certification scheme, motorvate.

Vehicle reliability
Network Rail turned the spotlight on its fleet in 2005 and appointed Mr Ives to drive through change. “Vehicle reliability was an absolute requirement in putting in place a transport strategy fit for the 21st century. That meant a transformation in the age and profile of the vehicles being operated at that time,” recalled Mr Ives. It also meant strict
adherence to servicing timetables which keeps the fleet operating efficiently.

Change led from the top
With board-level backing for change and fleet now in the operational frontline, a huge vehicle renewal programme began. The ‘new’ Network Rail fleet has seen, for example, 1.3 litre LCVs replacing 1.7 and 1.8 litre models and 119 g/km CO2-emitting Focus 1.6 models replacing a myriad of company cars.

Mr Ives explained: “Engine downsizing has not hampered the efficient and effective operational performance of the fleet. Vehicles are absolutely fit-for-purpose and we are saving money in many areas, but the big cash saving is on fuel bills. Additionally, drivers are motivated to look after vehicles because they are new and modern.”

Driver buy-in
A key factor in the fleet transformation was changing driving culture among staff. This has been achieved through a range of communications including the publication of a ‘drive green’ handbook and fuel-efficiency poster campaigns.

The introduction of tyre pressure alert valve caps has overcome the perennial fleet problem of encouraging drivers to check their tyre pressure levels. Under inflated tyres are dangerous and can increase fuel consumption by up to 3 per cent.

“Going ‘green’ is an effective fleet management tool and all companies should be taking
action. Whether a business runs a small or large fleet there are savings to be made but they can only be achieved with the support of drivers and directors.” Chuck Ives, Head of Fleet, Network Rail.

Know how to use your data
Skilled management of data is vital for quantifying the impact of fleet on both expenditure and the environment. Around 75 per cent of Network Rail’s savings have come from reduced fuel bills owing to the improved MPG being delivered by vehicles across the fleet.

There have also been numerous other financial savings including:
• Lower lease rates on smaller engined vehicles;
• Reduced Vehicle Excise Duty paid on lower CO2-emission vehicles; and
• Exemption from the London Congestion Charge for sub 120 g/km models.

Additionally, company car drivers are saving money as a result of reduced benefitin-kind tax bills owing to the low emission strategy.

Data from fuel management company Arval has highlighted that CO2 emissions across the fleet have been cut by at least 25 per cent. Network Rail’s fleet emitted 57,069 tonnes of CO2 in the 12 months to April 2008, a reduction of 14,465 tonnes on the previous 12 months.

Next steps
Future Network Rail ‘green’ initiatives will see the introduction of lower emission diesel cars and vans as current vehicles are replaced, and could extend to include the introduction of speed limiters – a trial is presently taking place; while electric vehicles are also on the agenda with a trial being conducted in London.

Mr Ives said: “My perception was that going ‘green’ meant spending more money. I couldn’t have been more wrong. There is a direct correlation between our fleet strategy, our environmental strategy and cost savings.”

Source: Energy Saving Trust