The Car and Truck Fleet and Leasing Management Magazine

Corporate Fleets Reducing Costs and Emissions With PHH GreenFleet

January 15, 2008

SPARKS, MD – Fleets utilizing PHH GreenFleet have achieved significant reductions in their emissions while reducing lifecycle operating costs, according to PHH. The program, developed by PHH Arval and Environmental Defense, helps fleet managers measure and reduce emissions by selecting more efficient vehicles, upgrading vehicle maintenance programs, and providing green driving training to employees.

PHH GreenFleet is a comprehensive greenhouse gas management program for fleet vehicles. To date, more than 60,000 vehicles managed by PHH Arval have utilized the program’s tools. Fleets that have fully implemented the program have reduced their emissions on average by 14 percent and lifecycle operating costs by four percent.

The first company to partner with PHH Arval on PHH GreenFleet, Abbott, has furthered its commitment to the environment by announcing that it will make its entire U.S. fleet “carbon neutral” in 2008. The company is now offering hybrid vehicles to its sales force and encouraging drivers to choose more environmentally friendly vehicles by offering upgrade incentives, such as satellite radios and sunroofs. Abbott also made drivers aware of the environmental impacts of their choices. As a result, nearly 20 percent of drivers chose more fuel-efficient vehicles, decreasing projected per vehicle operating costs.

Infinity Property and Casualty Corporation reduced annual fleet operating costs by 10 percent, improved fuel economy by 25 percent, and reduced greenhouse gas emissions by 16 percent by replacing its fleet of approximately 400 SUVs with the more fuel efficient Jeep Compass. In addition, Infinity purchased greenhouse gas offsets for the remaining emissions and made its entire fleet “climate neutral.”

The Co-operators Group Ltd set a fuel economy standard for all of its fleet vehicles without limiting the options available to their teams. Even with the new fuel economy standard, company car drivers continue to have a choice of several vehicles, including a new hybrid option. Executives can select any vehicle below a specified capital cost — as long as it meets the fuel economy standard. After rolling out PHH GreenFleet to its entire fleet, The Co-Operators expect to improve fuel economy by more than 20 percent and reduce greenhouse gas emissions, without increasing fleet costs.

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