WLTP: what consequences for small companies car policies?

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As the WLTP (World Harmonized Light Vehicle Test procedure) will enter into force on the 1st of january 2020, fleet managers start to anticipate and, most of all, try to quantify the impact that this new regulation could have on their budget. And it’s not only large corporate fleets that are concerned!

Front-page topic for automotive manufacturer and professionals since last year, the WLTP will be effective very soon after being postponed several times. Companies are, slowly but surely, preparing themselves for next january. It can’t be denied that WLTP will have a strong influence on car policies, as it will significatively restrict the number of vehicles available for employees. We think about big corporate groups, of course. But for small companies there are other problematics, as mobility budget remains an important source of expenses.

A redefinition of the fleet’s typology

WLTP Fleet management

The new regulation increase the CO2 emissions values and, by extension, the ecologic maluses. According to the barometer established by OVE and CSA last year, 47% of the surveyed companies, no matter their size, consider that the WLTP cycle will have a deep effect on their vehicles choices for their fleets.

Indeed, the manager will have to reconsider the models he proposes in his fleet. The most important is to avoid maluses related to pollutant emissions, that are particularly harmful to the mobility budget!

A lot of companies think about the introduction of alternative motorisations. Hybrids or even electrics, these kind of vehicles can be added, or made more predominant, in a corporate fleet.

Small companies also have the possibility to complete their offer with soft mobilities, such as the use of a fleet of shared bikes. For the pleasure of employees but also the planet!

Manage the fleet budget: a real challenge

How to introduce more virtuous vehicles without drastically raise the TCM (Total Cost of Mobility)? That is the main concern for companies. Thus, they seek guidance from their car rental companies or organizations specialized in fleet management to help them control their budget during this transition.

Fleet managers have they eyes turned toward the fiscal impact of the WLTP on their vehicles. The ecologic tax levied on corporate vehicles might be far more important than before.

In order to make the right choices, an evaluation of the fleet’s utilization is essential. To observe the mobility habits of the employees, and thus choose the models of vehicles that both fit their uses as well as the new anti-pollution regulations. It is the ideal period to scan the corporate fleet! More and more companies are offering effective fleet management solutions capable of monitoring the activity and optimizing service vehicles.

WLTP budget

This kind of analysis can be decisive during the process of choosing more sustainable vehicles. A small company can, for example, see that their employees cover less distance during their trips. The geographical area in which they travel being smaller than for bigger companies. In this case, the introduction of hybrids or electric vehicles is more than relevant.

Of course, some financial aspects have to been taken into consideration. These vehicles are more expensive and need specific equipments: charging stations, privatization of parking spaces… Employees also have to be informed about the proper way to use the vehicles, using an electric vehicle being a new experience for most of them. But to ease that transition, many solutions are possible. Shared mobility is one of them.

Shared mobility to optimize costs

Why not think of shared mobility solutions rather than volume of vehicles? These kind of services are not only convenient for employees that don’t have access to a service vehicle. But for the fleet manager it is also a way to ensure an optimization of its budget as well as an improvement of the use rate of vehicles.

With the WLTP, the number of vehicles’ models will be reduced in order to comply with the new regulation. Nevertheless, this difficulty can be seized as an opportunity to reduce the fleet’s size and to concentrate on practical vehicles. For companies of small and average sizes, corporate carsharing is an ideal solution. 

Fleet managers can carefully choose more sustainable vehicles and then reimburse the additional costs thanks to a shared use. In order to make the transition from individual use to collective use turnkey solutions are available, providing equiped vehicles as well as access to online management and booking platforms. Thus, even companies with few employees can easily experience carsharing and see if the service matches their mobility needs! All of this while ensuring a conformity to WLTP and managing the mobility budget.


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