Thinking about electrifying your utility’s fleet? You might be missing this one critical element

Fleet managers at large utilities are under pressure to “electrify their fleets”. And most will agree that it makes business sense to electrify their fleets to lower emissions. 

For example, Exelon just recently pledged to electrify 30 percent of its 7,200+ vehicle fleet by 2025, increasing to 50 percent by 2030.

Yet, the conversations I’ve witnessed at most major US utilities about fleet electrification seem to be missing one key distinction: electrifying vehicles and miles driven, and electrifying work functions and equipment are two separate things. 

Both are paths to electrification, but with different benefits and feasibility for utilities.

Today, I’m sharing some insight with fleet managers on why…

1

Usually, when utilities talk about “fleet electrification”, they mean electrifying miles driven.

2

This might be missing an important element for utilities.

3

Fleet managers should think about electrifying miles driven vs. electrifying equipment as two separate options.

By separating electrifying vehicles from electrifying equipment, you may be able to achieve your fleet goals – such as lowering costs, reducing emissions, complying with legislation, accessing grants, etc. – in a way that is cheaper, faster, more reliable, and less risky.

Read on to find out more.

Why everyone who is talking about fleet electrification is really talking about electrifying miles driven

Traditionally, the discussion about fleet efficiency has centered around improving fuel efficiency in the form of miles per gallon – or ‘driving efficiency’. Fleet managers have procured more fuel-efficient vehicles, decreased the weight of their work trucks where possible, kept engines and tires in good shape, etc.

Moreover, when thinking about assets like bucket trucks, fleet managers tend to group them as vehicles, rather than equipment transported to and from the jobsite by a truck chassis. 
So, naturally, when utilities now talk about electrifying their fleet to improve efficiency, they continue to focus on the chassis, where the natural progression is combustion engines, followed by hybrid powertrains, and finally all-electric powertrains which are assumed to be the ultimate solution.

Why talking about “fleet electrification” misses one important point for utilities

Looking at fleet electrification as electric vehicles misses the point that, especially for utilities, a significant share of your fleet is likely to be work trucks that drive for only a small portion of the day. 

The main purpose of these vehicles is to drive people and equipment a short distance to and from work and then to perform a work function on-site while being largely stationary. 
According to data from Ultimarc, the average heavy-duty bucket truck drives 9,283 miles per year (based on benchmark data from 2010-2014). That’s substantially less than other fleet vehicle categories.

If you’re trying to figure out how to best electrify the entire truck, you’re potentially missing a huge opportunity. 

That’s because the main lever for increasing efficiency and reducing emissions from these vehicles is to electrify the equipment, rather than the engine.

The key is to stop thinking about a fleet vehicle and the function it performs as one entity. 
Instead, you may want to think of electrification from the equipment down to the vehicle rather than from the vehicle up to the equipment. This will provide you with different routes for electrification.

How to think about electrifying vehicles and electrifying equipment separately

If you’re a utility fleet manager under pressure to “electrify your fleet”, you’re not alone. Here’s how we’ve seen leading utilities approach the task:

  • First, ask yourself why you’re considering electrifying your fleet. What are your goals? 

    Is it to reduce costs, reduce emissions, comply with legislation, access grants, meet emissions reduction targets for your organization, or all of the above?  

    Being clear about your goals will help you devise the most appropriate strategy for electrification.
Sustainability and environmental goals are the most common motivators for fleet electrification, followed by reducing the cost of ownership. Source: “Curve Ahead: The Future of Fleet Electrification”, a study by UPS and GreenBiz, 2018
  • Secondly, think about the criteria for your goals: 
    • Timing – how quickly do you need to meet your goals and targets? Are some more urgent than others? 
    • Feasibility – what effort will it require to meet those goals? Are there solutions that already exist in the market or do you need to wait for suppliers to develop a solution? 
    • Cost – how much will it cost to implement those solutions? What is your budget?
    • Other factors – which other factors would influence your decision? Crew safety, reliability, redundancy, ability to service the vehicles in-house, the capability to operate in a disaster recovery scenario, etc.

These criteria will help inform your strategy and provide guidance for its implementation.

  • Thirdly, analyze your fleet: How many vehicles mostly drive? How many idle for most of the day? Which ones perform a mix of driving and idling?
53% of utility work trucks idle for 3 hours or more per day. Source: “Work Truck Daily Idle Time by Industry”, US D.O.E., 2016

If you have even a small number of vehicles that mostly idle while performing a work function, it might be worth looking into solutions that electrify the equipment of those vehicles.

Why prioritizing the equipment could be a smarter way to electrify utility fleets

If you have work trucks that mostly idle while performing a work function, you may be able to start electrifying the equipment immediately and in a way that is less risky than banking on buying electric vehicles. 

Read how Duke Energy is electrifying its fleet of bucket trucks

Here’s what leading utilities have told me why they’ve chosen to electrify the equipment first: 

  • Fully electric work trucks won’t be widely available in the near future.
  • There are hybrid solutions already available in the market that are consistent with the current paradigm of the chassis powering the equipment; while there are a couple of solutions that can readily electrify the equipment, separately from the chassis.
  • Some of those existing solutions can be upfitted or retrofitted in a couple of days or a few weeks, rather than having to wait for months or potentially years to get a solution as part of a new truck.
  • Electrifying just the equipment tends to be cheaper than replacing the entire vehicle with an electric or hybrid vehicle, and savings on fuel and maintenance are realized faster.
  • Therefore, the internal rate of return (IRR) tends to be higher and the payback times are shorter, making it easier to meet utilities’ internal investment criteria.
  • Some electric solutions are separate from the vehicle, so they 
    • can operate separately from the truck, and you can switch operating modes from electric to chassis engine-driven when required
    • can be charged using a standard power outlet and don’t require a complex charging infrastructure
    • can be retrofitted and installed independently of the buying and selling cycles for work trucks
    • don’t impact the resale value of the truck as they can be removed before the sale; if anything, the resale value increases as the engine idles less in its lifetime

Watch this video to see how a SmartPTO electrifies the work function of a utility truck

Electric vehicles are just one of many options for fleet managers thinking about electrifying their utility’s fleet

There’s no doubt that fleet electrification is the way forward for utilities. 

After all, the transportation sector contributes the largest portion of U.S. greenhouse gas emissions at 28 percent, according to the U.S. EPA., and the medium-and heavy-duty truck sector accounts for 23 percent of those emissions.

Yet, by focusing purely on electric vehicles as a means of electrifying their fleet, utilities might be missing one important point: a large share of their fleet only drives for a few miles and then mainly idles.

Electrifying the equipment of 25 work trucks could save your utility around $1.5m/year
Source: Viatec Inc.

Instead, fleet managers should consider thinking about electrifying vehicles and miles driven vs. electrifying work functions and equipment as two separate options.

By prioritizing the equipment of your vehicles, you may be able to kick-start your fleet electrification strategy more quickly and in a way that is cheaper, less intrusive, and less risky.

Download our datasheet for an overview of the key capabilities of our SmartPTO

Have an expert analyze your fleet.

SCRA Closes Second Round of Funding with Viatec

The newest round of funding will enable us to fill our departments with new hires and conduct much needed environmental tests. These tests will allow us to improve our electrical power units to optimize our for extreme conditions

We are happy to announce we have closed on a second round of funding with the South Carolina Research Authority.

The newest round of funding will enable us to fill out departments with new hires and conduct much needed environmental tests SmartPTO, allowing us to optimize for extreme conditions.

The SCRA has been an invaluable resource as we have grown in the past few years. We look forward to fulfilling the opportunities that their esteem has afforded us.

Learn more from SCRA

Watch this quick video recapping our previous experiences with the SCRA

Concerning the Covid-19 Situation


To our valued clients, partners, and friends.

In our observation of the COVID-19 situation, as it affects businesses and communities around the world, our conduct as an organization and the safety of our employees, customers and contractors is paramount. Our operating model is well equipped to continue to conduct business remotely, continue manufacturing with limited on site staffing, and within the parameters set out by local and state government.

We understand that this is a dynamic and challenging time for many of you and want to express our sincere gratitude to the families of those who continue to work in our communities through the pandemic.

Feel free to reach out to us with questions or concerns through our regular channels of communication.

Be well and Safe
,
Mark Ferri

https://www.cdc.gov/coronavirus/2019-nCoV/index.html

Work Truck Show 2020

Join us in Indiana for North America’s Largest Work Truck Event

Come chat with Viatec engineers as we introduce SmartPTO to the new exhibitors hall! Booth N12

SmartPTO on a Terex Utility Vehicle.

SmartPTO is the world’s first truly stand-alone electrification solution for bucket trucks. With an industry proven electric motor, SmartPTO acts as an ePTO to power hydraulic accessories of most any utility truck. It’s modular nature allows for easy installation, retrofitting most vehicles in under two days. The option to deactivate SmartPTO from the aerial device of the truck allows for the most flexible experience an ePTO has ever offered, making it the safest option for operators. SmartPTO can produce the benefits of an electric system without getting in the way of the original PTO functionality. This flexibility is at the core of what makes SmartPTO the best option on the market for electrifying utility trucks all over the world.

Where to find SmartPTO

We will be demoing SmartPTO with our OEM partner, Terex, on one of their aerial device vehicles. You can find the Terex demo at booth #5359

Viatec offers the option of adding Bergstrom’s industry-leading eCoolpark electric HVAC solution along  with SmartPTO installs. You can look at the eCoolpark unit on the demo truck in Terex’s booth. Bergstrom can be found at Booth #5575.

About the Show

Produced annually by NTEA – The Association for the Work Truck Industry, The Work Truck Show® features the latest vocational trucks, vans, vehicle components and truck equipment from 530 exhibitors on a Show floor covering more than 500,000 square feet. The event includes a robust educational conference with industry-specific training and opportunities to engage the commercial vehicle community at special events. 

Indiana Convention Center
Indianapolis, Indiana
Sessions begin March 3 | Exhibit hall open March 4–6

100 South Capitol Ave
Indianapolis, IN 46225

Get Directions

Exhibit Hall Hours

Wednesday, March 4
10 a.m.–5 p.m.
New Exhibitor Pavilion 9 a.m.–4 p.m.
Thursday, March 5
10 a.m.–5 p.m.
New Exhibitor Pavilion 9 a.m.–4 p.m.
Friday, March 6
9 a.m.–noon

Truck Parts Service reviews SmartPTO and Partner Bergstrom.

Click the link below to read the article.

https://www.truckpartsandservice.com/aftermarket-truck-parts-service-news/bergstrom-viatec-to-provide-no-idle-options-for-utility-trucks/

Fuel What Matters talks 2020 Clean Fuel Advanced Technology (CFAT) Project, Featuring SmartPTO in Durham, NC

https://www.fuelwhatmatters.org/clean-fuel-advanced-technology-cfat-project-deployed-2-8-million-in-funding-for-22-projects-in-2019/
Read the article!

NCCETC Announces Duke Energy Adopting SmartPTO via CFAT

https://nccleantech.ncsu.edu/2019/11/20/duke-energy-electrifies-fleet-with-viatec-smartpto-funded-by-clean-fuel-advanced-technology-cfat-project/