Environmental concerns changing approach to grey fleet management

Boardroom pressure is driving change in grey fleet management as employers look to lessen the environmental impact of employees using their own car for work, the Association of Fleet Professionals (AFP) says.

Speakers on its Grey Fleet Management webinar, held last week, reported that the sustainability concerns of senior management were driving the change.

“The message coming from senior management can perhaps be summarised as ‘What is the point of making our core fleet zero emissions through electrification if our grey fleet lags miles behind?’ and it’s a good question,” said AFP chair Paul Hollick.

“The answer is quite complex. Yes, employers can probably start to insist that cash takers move over a period of time towards electric vehicles (EVs) because they have chosen to forego a greener company car. However, more casual grey fleet drivers – those who use their vehicles for limited miles on business – cannot be approached in the same way.” 

Hollick says that there are several potential answers for this group. He explained: “Salary sacrifice schemes that promote EVs are one although these are currently being hampered by poor supply, high rental rates and rising interest.

“Zero emissions pool fleets and rental vehicles are other possibilities, although again the latter is being frequently restricted by poor availability. Which option is best for your fleet will depend very much upon individual circumstances.”

Hollick added that much of the current boardroom interest in zero emissions vehicles came from Scope 3 emissions and a general interest in promoting an image of sustainability.

“One of the interesting aspects of the current mood is that the way in which the environmental aspects of grey fleet appears to have really registered with many directors,” continued Hollick.

“We’re not sure why this is but it could simply be that when you walk across the company car park, the green divide between a new EV and an eight-year-old diesel car – both used for business – is all too apparent.”

The AFP webinar covered many key aspects of grey fleet management including the experiences of major operators, the need for a clear and robust policy that enforces minimum standards, the necessity to record driver and vehicle documentation, and the requirement to undertake driver risk assessments and training.

Hollick concluded: “We are seeing a general increase in interest in grey fleet management from our members and this webinar was well-attended with more than 100 delegates registered.

“It’s an area that we plan to spend more time supporting with AFP events and resources in the future.”