Fleet decision-makers and company car drivers are choosing low emission vehicles in record numbers and continuing to travel fewer miles, according to ALD Automotive.

Analysis from the contract hire reveal that in the first nine months of 2009 average CO2 emissions of new company cars added to its fleet have dropped to an all-time low of 147 g/km and the average annual contracted mileage for company cars this year is 18,127 miles.

In 2003, according to Society of Motor Manufacturers and Traders’ data, average new car CO2 emissions were 172.1 g/km.

And, with the choice of low emission cars from a wide range of manufacturers increasing month-by-month, ALD marketing director David Yates expects the downward shift to continue.

The low emission drive, he says will be further influenced by the April 1, 2010, introduction of the Government’s new first year Vehicle Excise Duty rate.

That will see cars with emissions of 130 g/km subjected to a £0 first-year VED rate escalating through a series of bands to a first year rate of £950 for cars over 255 g/km.

Yates added: “Vehicle technology and fiscal tax regimes will continue to drive the trend towards low emission company cars. Meanwhile, the recession has increased businesses’ focus on cost control and that is influencing vehicle use.

“Fuel is the second biggest vehicle expense after depreciation, so by encouraging drivers to think if a journey is necessary and making mileage management a key fleet performance indicator, companies are also able to save cash.”