Lower Your Cost Of Motoring - hints and tips from Vansdirect.co.uk - the UK's largest independent van retailer

 

The main factors which can help you to reduce your van running costs are:

  • Vehicle & Engine Choice
  • Fuels
  • Driver Training
  • Route Planning

Vehicle & Engine Choice

Engine choice is an important factor in the operating cost of vehicles, especially vans. When selecting a new van don’t simply go for the cheapest monthly cost, as there is often a more fuel-efficient alternative which although it may have a slightly higher monthly rental will offer a net saving once annual fuel costs are taken into account.

Fuels

Fuel is probably the largest single cost when running your vehicles – in many cases it can be higher than the leasing or rental cost, or the depreciation or servicing on outright purchased vehicles. And yet many companies do not know how much they are spending, or are unaware of the opportunities to minimise this cost.

Diesel is by far the most popular fuel for vans. Although diesel is on average 7 pence per litre more expensive than petrol, diesel engines achieve much higher mpg figures and are therefore cheaper to run. This saving is especially significant for vans, which tend to cover much higher mileages than cars. There is also an operational advantage. Diesel engines generate greater torque (pulling power) than their petrol counterparts and they are therefore better suited to driving a laden van.

Normally aspirated and turbo diesel engines work by injecting the fuel into the cylinders as a liquid, which is ignited by pressure as the piston closes. This is not a very efficient process and can cause a percentage of the fuel to be emitted and a percentage to only partially burn - leading to the dark smoke often associated with diesel engines.

Many manufacturers have now added common rail diesel engines to their van ranges. Fuel is pressurised in the “common rail” prior to injection, which occurs as a vapour, resulting in more efficient fuel burning at higher temperatures. Common rail diesel engines offer significant fuel savings alongside increased power. Emissions are also reduced, as are noise levels.

Petrol vans exist primarily to convert to LPG. Very few petrol-engined vans are run by businesses because typically they are significantly less fuel-efficient than diesel. However, certain small vans, such as the Ford Ka, are only available with a petrol engine as these are the only engines available in the cars on which they are based. Due to their lack of popularity, second-hand values of petrol vans are low. This means that not only are the running costs higher than diesel, but depreciation is also higher.

Alternative fuels can offer significant cost savings, especially to high mileage users. LPG is the most popular alternative fuel, with an average price around 40 pence per litre thanks to reduced fuel duty. Potential savings are, however, reduced by increased depreciation (they are based on petrol vans). An additional cost is also incurred to convert the vehicle to LPG. This can be over £1,500, though Powershift grants are available which can cover up to 70% of the cost. From an operational point of view, remember that the volume and weight of the tank can reduce the vehicle’s load capacity. An additional benefit is that so long as emissions are 40% better than the Euro IV standard, alternatively-fuelled vehicles are eligible for 100% discount on the London congestion charge.

LPG conversion for vans deserves special consideration because the mileage at which LPG becomes the cheapest fuel for a van is higher than for a car because petrol-engined vans have a much lower Residual Value, which makes the monthly costs higher. The Residual Values on LPG vans are lower than for diesel vans by up to £1,500 because of the poor used market for petrol vans. This means that an annual mileage of 20-25,000 miles is required for the fuel cost saving to cover the cost of the conversion and the effect of the reduced Residual Values.


Because only petrol engines can be converted, the number of vans which can be converted to LPG is limited to those where a petrol engine is offered. Many panel vans (such as those manufactured by Citroen, Peugeot and Renault) are available only with diesel engines – most car derived vans are however available with petrol engines. The table below details the vans which are currently available as factory bi-fuel vehicles or which can be converted.

 
 
Factory
Conversion
Car Derived Vans

Vauxhall Astravan

Vauxhall Astravan

Ford Fiesta Van

Light Vans
 

Citroen Berlingo

Renault Kangoo

Vauxhall Combo

Volkswagen Caddy

Peugeot Partner

Small/Medium Panel Vans
 

Mercedes Vito 113

Volkswagen Transporter

Toyota Hiace
Large Panel Vans
 

Ford Transit

Mercedes Sprinter

Volkswagen LT35

Fiat Ducato


Although the savings can be significant, an even greater saving may be achieved by moving to a more fuel efficient new generation diesel engine. For lower mileage vehicles it will be more cost effective to consider an efficient diesel engine instead of LPG.

Other alternative fuels include compressed natural gas (CNG), electricity and hydrogen fuel cells; though operational limitations make them unsuitable for most van applications.
 

MPG Figures for Vans

As there is no legal requirement for manufacturers to publish fuel economy figures for vans as with cars, reliable MPG figures are hard to gather. An added complication is the wide variety of load weights and journey variations (including the number of stops per day) from user to user, which can result in large differences in the real world MPG figures achieved by different operators in the same vehicle. The following table summarises the MPG figures achieved by What Van? Magazine during their road tests. This is not an exhaustive list, but a guide to the variances between models and engines. Vehicles are listed within each category in descending order of fuel efficiency.

 
Vehicle Type
Model
Engine
BHP
MPG
Fuel Tank (Litres)
 
 
 
 
 
 
Car Derived Vans
Vauxhall Corsavan
1.7D
60
52
46
 
Peugeot 206
1.9D
70
49
50
 
Vauxhall Astravan
1.7DTi
75
48
52
 
Vauxhall Astravan
2.0Di
82
43
52
Hi Cube Vans
VW Caddy
1.9SDi
64
49
54
 
Citroen Berlingo
2.0HDi
90
48
60
 
60
 
 
 
 
 
Peugeot Partner
2.0HDi
90
48
60
 
60
 
 
 
 
 
Vauxhall Combo
1.7D
60
42
50
 
VW Caddy
1.9TDi
90
39
54
 
Renault Kangoo
1.9D
65
35
52
 
Citroen Berlingo
1.9D
71
35
60
 
Peugeot Partner
1.9D
71
35
60
Small Panel Vans
Citroen Dispatch
1.9TD
92
35
80
 
Fiat Scudo
1.9TDi
90
35
80
 
Mercedes Vito
2.2CDi
122
32
78
Medium Panel Vans
Ford Transit 330
2.4DTi
120
33
80
 
Peugeot Boxer 270S
1.9TD
92
31
80
 
Citroen Relay 1000
1.9D
71
28
80
Large Panel Vans
Ford Transit 330/350
2.4DTi
120
33
80
 
Peugeot Boxer 320/350
2.5TDi
110
31
80
 
VW LT28/35
2.5TDi
90
30
80
 
Renault Master
2.5D
80
27
70
 
Vauxhall Movano
2.5D
80
27
100
 
Iveco Daily
2.8TDi
125
26
70
 
Renault Master
2.8TD
115
25
70
 
Vauxhall Movano
2.8DTi
115
25
100
Pickups
VW Caddy Pickup
1.9SDi
64
39
42
 
Ford Ranger
2.5TD
78
33
70
 
Ford Ranger
2.5TDi
109
31
70
 
Nissan Pickup
2.5TDi
104
27
80
 
Toyota Hi-Lux
2.4TDi
90
27
77

 

Driver Training

Driver training has become increasingly popular with fleet operators seeking to reduce accidents and thus control rising insurance premiums. But driver training such as that offered by RAC/BSM and other consultants can offer the van operators a number of additional benefits:

  • Lower fuel consumption
  • Reduced wear & tear on the vehicle
  • Less vehicle down time
  • Also remember that your vans, signwritten with your company logo, are a mobile advertisement for your business - aggressive or discourteous driving could damage your customers’ perceptions of your company.
The typical cost of hiring

Efficient route planning  a training consultant for a day is approximately £300. Professional training can lead to improvements in fuel economy of up to 10%, with minimal effect on journey times.
 

Route Planningcan also help reduce your fuel spend, and is especially important where vehicles are carrying out multiple drops. To help you in planning the most efficient routes there are a number of web and software-based tools available which allow detailed directions to be printed out and handed to drivers. For example, the AA website has a free route planning service which will give the fastest or shortest route between 2 points, even travelling via a number of other locations along the way if required. The AA website address is www.theaa.com



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