Four in 10 fleets plan rapid BEV uptake, says Arval Mobility Observatory

Fleet decision-makers expect around four in 10 of their cars and vans will be fully electric within the next three years, the Arval Mobility Observatory 2021 Barometer has found.

The research found car operators said 42% of their vehicles will be BEVs in that timescale, with their van counterparts saying 37%.

The level of expected EV uptake was similar across fleets of different sized.

Just over half (54%) of car fleets with more than 500 employees were expected to be BEVs, compared to 38% with fewer than 10 employees.

Responses were similar for van fleets, with 48% expected by larger employers and 32% by smaller organisations.

Shaun Sadlier, head of Arval Mobility Observatory in the UK, said: “The incredible speed that fleets anticipate electrification taking place is clear in this year’s results.

“On this basis, the future uptake of BEVs will be rapid and perhaps much quicker than previously expected.

“By 2024, both van and fleet respondents expect around four out of 10 vehicles on their fleet to be fully BEV.

“This underlines the extent to which fleets are not just accepting, but very much embracing an electric future.

“Beyond these headline figures, two trends are notable. One is that the desire to electrify van fleets is not far behind cars, despite the relatively limited range of models available.

“Fleet managers are clearly expecting that situation to be largely resolved soon and Arval has recently seen a rise in its number of discussions with fleets about the introduction of e-LCVs.”

LeasePlan UK has said now is the perfect time for fleet decision-makers to reassess their fleet needs and start electrifying their vehicles.

This is because Covid-19 has impacted fleet strategies in a number of ways so “there’s no better time to rethink and realign”, particularly with the 2030 ban on the sale of new petrol and diesel cars and vans two replacement cycles away, says Matthew Walters, head of consultancy services and customer value at LeasePlan UK.

The Arval Mobility Observatory research also found the expected pace of BEV uptake has also increased. In 2019, 41% of respondents said they either operate or were planning to operate BEVs in the next three years.

By 2020, this had risen to 53%, and this year 66% responded positively.

A number of major organisations have already committed to electrifying their fleets by 2025, such as Centrica, while Mitie has said it will have at least 2,021 BEVs by the end of this year.