Top tips to save fuel
Fuel is the single biggest motoring cost so with UK pump prices at an all-time high and rapidly accelerating towards the £5 a gallon mark, businesses and drivers need to take action to keep petrol and diesel bills in check.
Latest figures from the AA, which monitors pump prices across the UK, reveal that diesel costs an average 109.2p per litre and petrol an average 104.4p per litre - 110p signifies £5 a gallon.
A year ago the price of a litre of unleaded petrol was 87.5p and the price of a litre of diesel was 92.1p - so the prices of both petrol and diesel has increased by around 17p a litre in 12 months an increase of up to 19.4%.
Fuel accounts for about 45% of annual motoring costs with vehicle depreciation second on the list at 28%, according to the AA.
Today, filling up a typical 60-litre fuel tank costs £10.20 more than 12 months ago. Multiply that sum across a 50-vehicle fleet and to keep vehicles fully fuelled costs an additional £510 each time they are driven on to a forecourt.
With no-end in sight to the fuel price increases amid concerns that supplies could be disrupted due to political instability in various parts of the world including in Pakistan, Kenya and Nigeria, it is essential that companies review their fleet and travel policies.
A company’s vehicle acquisition policy is critical, because decisions taken today on which vehicles to buy or lease ‘lock in’ fuel consumption for the entire operating period.
Therefore, with further fuel price rises a possibility - and Chancellor of the Exchequer has already said that fuel duty will increase by a further 2p a litre in April - choosing the most fuel efficient vehicles to use on business is a key element of fleet management.
However, equally important is journey planning and travel management and the way in which those employees behind the wheel drive.
While encouraging the uptake of video or tele conferencing and public transport as alternatives to car travel will help contain fuel bills, changes to driving style and ensuring basic vehicle maintenance checks are undertaken can also have a huge impact.
The Society of Motor Manufacturers and Traders says that implementing best practice initiatives could trim fuel costs by 15-20%.
Using less fuel also means carbon dioxide emissions are lower, which reduces a vehicle’s environmental impact and therefore a company’s carbon footprint. And operating a car with low CO2 emissions will also mean that drivers see low benefit-in-kind tax bills and companies pay low Vehicle Excise Duty, which like company car tax is based on CO2 emissions. Firms will also benefit from lower Class 1A National Insurance contributions, which are paid by businesses on employee benefits such as company cars.
Top tips to save fuel
1. Eco-driving - driving smoothly, accelerating gently and braking sensibly using the natural momentum of the car - can cut fuel consumption by almost a third saving perhaps a gallon of fuel on a 100-mile trip.
2. Anticipate conditions and plan each journey. Avoid peak times and areas of known congestion
3. Check tyre pressures (and condition) regularly. Incorrectly inflated tyres can increase fuel consumption by up to 10% and can endanger lives
4. Change into higher gears at the most economical point, this means at around 2,500 rpm in petrol cars and 2,000 rpm in diesel cars
5. In stationary traffic or on temporary parking, always switch off the car’s engine
6. Remove unnecessary weight from the car. An unused roof box could increase fuel consumption by up to 10%
7. Use optional equipment sparingly. Turn the air conditioning off if you don’t need it to improve fuel consumption
8. Service the car regularly. Missing a service is false economy.
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Related categories: Car repairs and servicing
