Hydrotreated vegetable oil (HVO) could prove a key “environmentally positive” fuel for vans and trucks, and even help operators swerve ZEV mandate restrictions, according to FleetCheck.
The drop-in fuel, made from vegetable oils, animal fats and waste materials, is increasingly being adopted by fleets such as National Grid and is now starting to appear at more filling stations, with UK Fuels recently adding it to 45 of its outlets.
Now, software specialist FleetCheck has said HVO could be the key transitional fuel of the next few years for commercial vehicle operators finding electric vehicle adoption “somewhere between difficult and impossible because of range, payload, cost and charging compromises”.
Barrie Wilson, commercial fleet consultant, elaborated: “These operators are actively looking for better options. HVO offers a greener option than diesel and can be used in most existing vehicles with the minimum of disruption.
“The general claim made is that it offers a net 90% reduction in carbon emissions. This is something of great value for businesses that have carbon reporting obligations and need to include their transport activities.”
Wilson added that it’s possible to foresee a situation where operators sidestep the ZEV mandate in the medium term by continuing to operate their existing fleet on HVO.
Fleet operators including leasing firms have reported being hit by eLCV quotas stipulated by manufacturers in response to the ZEV mandate. According to reports, several major van makers now insist that a proportion of all vehicle orders must be electric vans in order to reflect the percentage of ZEV vehicles they are now legally required to sell.
FleetCheck acknowledged a range of disadvantages to HVO, but said many of these have little impact on day-to-day vehicle operations.
“The big downside from an environmental point of view is that HVO is not a clean air option. Its carbon reductions are expressed across the lifecycle, so it has no benefits on a local emissions basis,” said Wilson.
“Another issue is that not all manufacturers will honour their warranty if HVO is used in a van or truck. It’s worth checking out the OEM advice, even if you are only planning to use the fuel in older vehicles, but the vast majority can switch from diesel with no impact.”
With availability increasing on a localised basis, Wilson said many fleets will probably find its adoption viable – and can switch back to diesel at any point as the fuels are fully mixable in any ratio.
The main issue at the pump is cost – we’re seeing prices around 20 pence per litre more than diesel, which is a considerable difference.
“However, for fleets who are looking for a fuel that enables them to move away from diesel in a greener manner until they feel that electrification is more practical, it does represent a genuine option. We believe it could be the key transitional fuel of the next few years for commercial vehicles, especially if prices can be reduced.
