hybrid-electric

As demand for hybrid and electric vehicles increases and measures such as clean air zones become more widespread across the UK. Is your business prepared to start making the switch from conventionally-fuelled vehicles to hybrid or electric?

Planning and making the transition to a green fleet will be a individual challenge and require completely different needs from business to business. However reviewing your fleet policy and stating to make different vehicle choices doesn't have to be a headache.

The PVM team can help you with evaluating your fleet’s fuel mix, choosing the right hybrid and electric vehicles for your business, giving your employees the best choice in low emission company cars and most importantly staying compliant with the latest government guidelines.

Take a look at our links and information below for more information and advice:

The benefits of switching to hybrid or electric

the benefits of going hybrid or electric

Choosing hybrid or electric

There is an ever increasing number of Hybrid and Electric vehicles coming onto the market, with a wide variety of benefits for drivers and businesses looking to make the switch. Each of these vehicles has its own pros and cons, based upon its capability, maintenance, and intended use. If you’re uncertain whether hybrid or electric vehicle is the ideal selection for your business, below outlines the benefits you could gain from either.

Choosing Hybrid

The main advantages of a hybrid are that it should consume less fuel and emit less CO2 than a conventional petrol or diesel vehicle. Hybrid car owners can also receive the added benefits such as lower first year road tax, lower company car tax, and the ability to possibly avoid congestion charges depending on the vehicle chosen.

Going Electric

There are a number of great benefits to electric vehicles (EVs) over conventional petrol/diesel vehicles and even hybrid vehicles. Plug-in electric vehicles often have the very latest technology helping improve battery life, reduce emissions and save money. Electric motors also react very quickly, making EVs very responsive.

Higher mileage

Hybrid vehicles use both a conventional engine and electric motor. The best hybrids achieve significantly better fuel efficiency than their non-hybrid counterparts, extending the range of the vehicle, providing less pollution and offering fuel savings.

Huge range of brands to choose from

Nearly every brand offers hybrid versions of their vehicles. So it is possible to find a hybrid vehicle to suit any personal or business requirement.

A full list can be found here: https://ev-database.uk/

Instant torque

Electric motors deliver their maximum torque rating instantly allowing hybrid vehicles to match the performance of conventional petrol or diesel vehicles.

No idling

No need for engine idling as Hybrid vehicles automatically switch off the engine when you are sitting in traffic or at a red light. Using power from the battery to keep things like the radio and air conditioning on.

Tax breaks and incentives

Hybrid cars tend to have better fuel economy and lower tailpipe CO2 emissions than conventional models. Most forms of CO2-based road and company car tax are generally lower for hybrids than they would be for an equivalent non-hybrid car.

For example, the equivalent to a petrol hybrid car with CO2 emissions of 100 g/km (13% BIK rate) would probably be in at least the 18% BIK rate band – cost wise this would translate to a saving of at least £1,000 per year for a model worth £20,000.

Higher resale value

As these vehicles are highly sort after and often include the latest technology, the depreciation is usually less than that on a petrol or diesel vehicle.

Cheaper to run and maintain

On a cost per mile basis a fully electric vehicle could cost you a quarter or less of what a traditional petrol or diesel vehicle might. Fully electric cars are designed to be as efficient as possible seeing far less wear and tear, little stress on the motor, with fewer moving parts susceptible to damage.

Better for the environment

Fully electric vehicles have zero tailpipe emissions making them greener, cleaner and better for the environment than their petrol or diesel car counterparts.

Travel for free through Clean Air and Low Emission Zones

Vehicles with 0% CO2 emissions are exempt from Clean Air Zones (CAZ), Low Emissions Zones (LEZ) and London's Ultra Low Emission Zone (ULEZ).

For more detailed information on charges, discounts and all exemptions please see: https://tfl.gov.uk/modes/driving/congestion-charge/discounts-and-exemptions

Government grants available

The government offers a number of different grants towards the cost of electric cars to encourage more people to purchase them. Ranging from grants for home and workplace charge point installations, to grants reducing the purchase price of the vehicles.

See http://www.gov.uk/ website provides for more comprehensive information on this.

Access to the latest technology

As well as the latest in-vehicle technology, the latest battery technology helps create even more environmentally friendly vehicles as well as more efficient, quieter EV motors.

Tax breaks and incentives

Changes to tax rates in 2020 see fully electric cars paying no Company Car Tax (CCT) in 2020/21, just 1% in 2021/22 and 2% in 2022/23.

Other Tax benefits include the introduction of new Government grants, National Insurance savings, exemptions from Vehicle Excise Duty (VED) and special Capital Allowances for ultra-low emission cars and fully electric vehicles have been enhanced.

The main types of hybrid and electric vehicles

Hybrid vehicles have two sources of power. They automatically switch between the conventional engine and electric power depending on speed.

Plug-in Hybrids have two power sources, similar to Hybrid (HEV) vehicles. The batteries are larger, allowing you to travel further. They need plugging into the mains to recharge.

A range-extended electric vehicle (REEV) is a battery electric vehicle that runs on electricity but includes an auxiliary power unit. This allows for an increased range from the vehicle.

Full-electric vehicles are driven purely by electricity. They need recharging before you can drive anywhere.

Making the right vehicle choice for your business

The current choice of hybrid and electric vehicles available already offers a huge choice in every vehicle type from every manufacture. Every operation has different vehicle needs whether that is providing company cars, employee salary sacrifice schemes or buying a fleet of vehicles for everyday operational purposes. Knowing the type of journey's to be made, mileage/range to be covered and purpose of the vehicles needs to be identified before looking at what is available.

Finding the right EV or Hybrid commercial vehicles

Finding the right hybrid or electric commercial vehicle (CV's) for your business is set to become an even bigger consideration for fleet operators, especially as over two thirds of current EV registrations are for businesses or fleets. If you fleet operates around towns and cities with really great access to charge stations then you will almost be spoiled for choice regarding the full electric options. However, if you are looking for vans that can cover longer distances or need to be able to transport a heavy payload, a hybrid van could be a better option.

For more in information contact us to see how we can work with you to find the most suitable vehicles, or take a look at these links:

Range and Charging

Vehicle range is the distance an EV or Hybrid can travel from a full charge and there are three main types of charging – rapid, fast and slow. Slow units are most often used overnight, fast chargers usually charge within 3-4 hours (a great option for workplace units) and rapid chargers can take anywhere between 30-80 minutes.

For a lot more information on:

What factors can affect vehicle range
The types of charging is available and where
Tackling Range Anxiety
Getting the most out of your charge and extending your range

Take a look at our blog post on Charging and Range Anxiety

Costs and Savings

One of the main attractions with hybrid and electric vehicles is the potential financial benefits. Especially when you operate a fleet of vehicles, where savings can soon add up.

The cost of electricity is lower than petrol or diesel and the difference is enhanced by VAT (5% on electricity and 20% on fuel).
Electric vehicles are exempt from fuel duty and are designed to be fuel efficient.
There is no tax on the electricity used to charge vehicles at the workplace.
100% capital allowance provides further tax relief.
For employees, electric vehicle's with zero emissions, will be taxed at 0%, paying no BiK at all increasing to 1% in 2021/22 and 2% in 2022/23. While Hybrid cars that are classed as ULEVs, although don’t receive the 0% BiK rate, do have a much lower rate than a non-ULEV.

Get in touch with our Team to see how you can make savings