Tech Industry Tops Fleet Sustainability Ranking Again

In the quest to reduce overall CO2 emissions, transitioning to low and zero-emission vehicles has emerged as one of the simplest ways for companies to make a significant impact. With road transport accounting for approximately 20% of CO2 emissions in the European Union, addressing these emissions becomes crucial. Interestingly, organizations own roughly 50% of vehicles on European roads today, underscoring the significant role large companies play in driving sustainability.

The 2023 Industry Fleet Sustainability Ranking reveals the following standings:

1. Technology
2. Financial & Professional Services
3. Energy & Chemicals
4. Industrial
5. Automotive
6. Consumer Goods
7. Construction
8. Healthcare & Pharma

For the third consecutive year, the Technology industry has claimed the top position as the most sustainable industry. Boasting the lowest average CO2 emissions and the lowest share of diesel vehicles, coupled with the second-highest share of battery electric, hybrid, and plug-in hybrid vehicles, the Technology sector has firmly secured its lead in the rankings.

Over the past two years, the share of battery electric vehicles has more than doubled in every industry, while plug-in hybrids and hybrids have shown a more modest increase across sectors. The share of diesel vehicles has witnessed a significant decline across all industries, halving over the same period. However, when examined on a country level, notable variations in diesel usage become apparent.

The rankings also highlight a notable reduction in average CO2 emissions across all industries over the past two years. The most significant decrease was observed in the top-ranking industries, with the Technology sector seeing a drop from an average of 110 grams/km in 2020 to 83 grams/km in 2022. Even the industry that ranked last in the sustainability ranking, Healthcare & Pharma, demonstrated a decrease, lowering emissions from 117.6 grams/km in 2020 to 102.2 grams/km in 2022.

Looking ahead, the fleet electrification trend is expected to continue with the anticipated introduction of EU and local regulations in the coming years. The EURO 7 EU regulations, set to be launched in 2025, aim to bridge the gap between theoretical and real-world driving emissions, potentially affecting PHEVs the most and diminishing their attractiveness from a CO2 perspective. As battery electric vehicles become increasingly cost-competitive with internal combustion engine (ICE) vehicles, it is expected that local legislation will evolve, potentially phasing out subsidies for BEVs. Norway is already leading by example, where new car sales are witnessing a higher prevalence of BEVs over ICE vehicles.

The latest Fleet Sustainability Ranking serves as a valuable resource for companies and policymakers alike, encouraging the adoption of sustainable practices and contributing to the collective effort of reducing CO2 emissions in the European fleet industry.

Source: Fleet Sustainability Ranking by Industry May 2023 | Leaseplan