Light commercial vehicle fleets across Europe are increasingly considering alternative fuels such as hydrogenated vegetable oil (HVO) and superethanol-E85 as interim solutions to decarbonize, particularly as barriers to the electrification of their powertrains present challenges. At the recent Fleet Europe’s Commercial Vehicle Summit held last week in Brussels, one fleet manager overseeing thousands of LCVs posed questions to industry experts about the lack of promotional support for HVO, citing its significant carbon savings and straightforward implementation.
Executives from energy companies, including bp, confirmed the rising demand for HVO, particularly from heavy commercial vehicle fleets seeking more sustainable options. Refueling with HVO and superethanol-E85 mimics the speed and convenience of traditional diesel filling, eliminating downtime associated with electric vehicle charging. Notably, HVO can be utilized by several standard diesel engines without the need for modifications. Major manufacturers like Ford have sanctioned the use of HVO within their Transit vans, and BMW actively incorporates HVO from its initial tank of diesel for newly manufactured models.
Nonetheless, fleet operators must verify warranty conditions with original equipment manufacturers (OEMs) when opting for HVO. The emissions profile of HVO is also compelling, as it can reportedly reduce up to 90% of CO2e emissions compared to conventional fossil-fuel diesel, paving the way for fleets to achieve net-zero goals without incurring the elevated costs of electric LCVs or the financial burden of installing charging infrastructure.
Energy giant bp has pledged its commitment to HVO, articulately stating: "The CO2e emissions saving from bp bioenergy HVO will always be at least 85% on a mass balance basis." The environmental profile of HVO, derived from waste cooking oil and renewable food sources, is almost neutral over its entire lifecycle. While it does release CO2 during the burning process, this mirrors the carbon absorbed by the plants during their growth period, creating nearly zero accountability for atmospheric increase.
HVO is offered in several blends, with HVO100 indicating the total percentage of HVO contained. Fleet operators are advised to pursue responsibly sourced HVO, steering clear of unregulated products derived from palm oil due to potential environmental damage from deforestation. Although not widely accessible at standard filling stations, many fleets are actively constructing fuel bunkers at their depots to assure supply continuity. For example, DHL Supply Chain has already integrated HVO across numerous on-site fueling stations throughout the UK.
DKV Mobility, a fuel card provider, is advancing access to CO2-reduced HVO diesel, now available at about 650 service stations across Europe, including 50 locations within Germany. Sven Mehringer, Managing Director of Energy & Vehicle Services at DKV Mobility, remarked, "HVO offers our customers the opportunity to reduce their fleet-related CO2 emissions, by up to 90 percent – and without having to convert or replace the vehicles. That makes this CO2 reduced fuel an effective tool for our customers to improve their carbon footprint." Even though HVO is approximately 10% pricier per liter than diesel, experts suggest it gives fleet operators financial breathing room compared to more expensive electric alternatives.
Superethanol-E85, another alternative fuel, consists of up to 85% ethanol mixed with gasoline. This fuel has gained traction particularly within France, where it costs about 80 cents per liter. Comparable to HVO, superethanol is praised for enhancing local air quality and diminishing carbon emissions associated with fossil fuels. The carbon footprint of superethanol-E85 follows similar reasoning: recognizing the greenhouse gas absorption of crops during cultivation as compensatory for emissions stemming from combustion.
Adopting superethanol-E85 necessitates technical adjustments to vehicles—installing what’s known as a bioethanol box, which costs between €700 and €1,200. Though this upfront investment is substantial, it yields significant long-term savings; Jérôme Loubert, European Development Manager at Flexfuel Energy Development (FFED), mentioned, "over a typical 36-month lease contract, fleets could save on average €5,500 for compact vehicles." Rental agencies such as Fraikin, which manages 60,000 commercial vehicles across 10 countries, recently began providing customers with rental options featuring superethanol-E85 integration.