Customer Success: Alsco NZ is Getting Greener

One of the hottest topics in the transport and fleet sectors right now is FUEL. In particular, which fuels are going to be the best choices for each type of vehicle and use in the future. New automotive technologies, how they will shape these industries and how GPS vehicle tracking can support them has become a primary focus. Transport accounts for 19% of New Zealand’s total emissions, making it a sector in the spotlight surrounding discussions about climate change and long-term sustainability.

An innovative customer of Teletrac Navman is Alsco NZ, who has commissioned New Zealand’s first long haul intercity Electric Vehicle (EV) freighter to distribute goods between its Rotorua, Taupo and Tauranga facilities. At Alsco NZ’s launch of the electric freighter at iconic Eden Park, we got a deeper insight into their journey to electric.

Alsco New Zealand

Servicing 30,000 New Zealand businesses from its 20 branches across the country, Alsco NZ is a significant employer in New Zealand, with over 1000 employees and approaching $160m per year turnover. The management and staff place a strong focus on environmentally friendly practices and seek out innovative ways to improve their sustainability. The company provides a rental service for linen, uniforms, floorcare, first aid and hygiene supplies. To collect and deliver these items to offices, factories and worksite, Alsco NZ runs a large fleet of 350 vehicles. Alsco NZ uses GPS vehicle tracking to improve business efficiency and operations, ensuring accountability in tracking CO² emissions and maintain safe and sustainable driver behaviour.

Rethinking a 100-year-old model

Alsco NZ has a medium-term goal of converting 30% of its vehicles to EV by 2030. This is driven by both the environmental aspect as well as demand from a business/bottom line perspective, due to government concessions on Road User Charges, and the significant diesel costs associated with operating large trucks. Large diesel freighters currently account for less than 5% of its fleet, but this small percentage of vehicles use around 33% of total fuel.

Going electric

In early 2019, Alsco NZ successfully secured a portion of funding from the Government’s Low Emission Vehicles Contestable Fund. The fund goes towards private sector projects that expand the use and possibilities of electric vehicles and other low emissions technology in the transport space. To date, the Fund has committed $20.9 million in government funding to 120 projects. This is matched by $40.7 million applicant funding.

Alsco NZ puts two factors down to their success in the funding. The first is the different approach: it’s trialling New Zealand’s first intercity freight vehicle and introducing EV technology in a new way through its supplier SEA electric. Based in Australia, SEA Electric install their electric systems into a glider chassis, with a focus on commercial vehicles. The second factor is the commitment of the company’s own investment: Alsco NZ requested funding for only the additional capital expenditure of an EV versus a diesel.

The first intercity heavy electric vehicle trial in New Zealand

As part of an electric vehicle feasibility trial for its long-haul commercial fleet, Alsco NZ has invested in an electric vehicle freighter with a GVM of 22.5 tonnes fully laden. The freighter will run daily on the Rotorua/Tauranga and Rotorua/Taupo routes – approximately 286km a day. This will be the first intercity heavy electric vehicle trial in New Zealand. They will take steps to manage the new technology, allowing for charging at each depot and altered driver hours.

The new EV freighter is estimated to save 25,000 litres of diesel and 67,610 kilograms of Co2 emissions every year!

Alsco NZ eagerly anticipates the advance of EV technology to allow heavy vehicles to travel further distances. It sees this project as a forerunner of embracing EV technology throughout its heavy fleet.

The business is about to kickstart their project and we’re keenly awaiting the results.

Want to learn more about how Teletrac Navman can assist in measuring and reducing emissions and fuel use, and implementing carbon offsetting. Give us a call on 0800 477 353.

 

Images.

Photo credit: John Mailley

Photo credit: John Mailley

Photo credit: John Mailley

The first Intercity Heavy EV truckie - Craig Christensen. Photo credit: John Mailley