Motor Transport 8 May 2023

Roads minister says ‘partnership’, not government action, is way to go

‘Zero emission switch? ... there is no big plan’

By Tim Wallace

Roads minister Richard Holden

MP has rejected claims that urgent government action is needed to help hauliers transition to zeroemission HGV fleets and insisted the commercial sector will partner with the DfT on developing a charging infrastructure.

Speaking exclusively to MT, he added that the 2040 deadline for all new HGVs to be zero emission was a “very, very long way off” and told cash-strapped SMEs that the cost of the switch would greatly reduce over time.

“Look to cars and buses,” Holden (pictured) said. “The differentials on price between zero carbon and non-zero carbon vehicles are coming down all the time and they’ll keep going in that direction. Commercial bus operators are now choosing to buy zeroemission vehicles even without government funding support.”

Responding to recent criticism from the Society of Motor Manufacturers and Traders (SMMT) that the DfT still had no rollout plan for charging infrastructure, or incentives for operators, he said: “We are very aware

of the differences in this sector, and also the capital investment that will need to go in. We also acknowledge that there will be a diesel fleet, albeit an increasingly efficient one, on the roads for quite a long time to come.”

Asked what the government’s timeline was for developing a national charging infrastructure, he said: “This isn’t all about government acting, this is also about the commercial sector picking up in this space. Nobody is banging on to me saying the government must buy every petrol

station in the country to ensure we have enough. So this is about partnership.”

Holden also hinted that the 2040 deadline for all new HGVs to be zero emission was not set in stone. “We’re looking at a 17-year phasing in period – at least,” he said. “That’s only going to be the planning of the new ones. There’s still going to be a phasing out of current HGV fleets.”

He added the product cycle for HGVs was generally around seven years. “That means we’re probably currently in the one before any switch,” he said. “At the equivalent time in the car sector you were still looking at hybridisation, charging on the go, using braking to recharge etc. All that work is still in development around HGV, with lots of lessons that can easily be learnt.”

Asked where long-haul fleet operators might ultimately invest, Holden said the answer was “still up in the air”.

“With refrigeration units, the technology can move a little more quickly,” he explained. “But that’s the reason we’ve kept the Freight Innovation Fund going, because HGV isn’t as clear as it is for car yet.”

TALKING TRAILERS: This year’s summer tradeshow, Road Transport Expo (RTX), will welcome a host of well-known trailer-makers with their latest cutting-edge models to NAEC Stoneleigh from 28-30 June. You can discuss all your business needs from curtainsiders, boxvans and skeletals to temperaturecontrolled and bulk haulage models. You’ll also be able to explore essential equipment including coupling systems, materials handling attachments, tyres and hydraulics. RTX is a free-to-attend, three-day event with an ‘all about the truck’ mantra. Find out more and book your place at roadtransportexpo.co.uk

Special supplement inside

Photo: Roger Harris Photography

RAISE A GLASS: Logistics firm Maritime Transport has landed a three-year extension to its distribution contract with drinks company Heineken UK (HUK), in a move which doubles the volumes transported. Maritime will continue to manage the national distribution of Heineken products from its UK facilities in Manchester and Tadcaster, while servicing customer deliveries from the brewer’s 627,000sq ft national DC in Derby. Maritime will also review its carbon-saving initiatives for HUK, including the use of HVO fuel, having recently installed HVO fuel tanks at its transport depots in Bardon and Tilbury. Maritime deputy chief executive Alex Williams said: “Since 2021, HUK has benefitted significantly from our national distribution network encompassing 1,600 vehicles and 3,300 trailers maximising efficiency. This extension highlights our reputation in establishing close relationships with our valued customers.”

Calves packed into transporter meant for sheep on slaughterhouse trip

Haulier caused harm with ‘cramped’ trailer

By Chris Tindall

A livestock haulier in Dorset has been found guilty of causing unnecessary suffering to 35 calves after transporting them in a trailer designed for sheep.

Weymouth Magistrates’ Court heard how haulier John Pritchard collected the group of calves from a farm near Sherborne in his double-deck livestock trailer, which had insufficient headroom on the lower deck for the animals to stand.

Pritchard then drove the calves

for two hours to a slaughterhouse in Wiltshire.

When he arrived the calves were unloaded and a member of staff noticed that the animals on the lower deck had injuries on their backs where they had bumped against the roof supports of the upper deck.

The court heard that some of these injuries were up to 10cm long and an examination of the carcasses after slaughter revealed deep bruising.

Green Group calls on Asset Alliance for new Actros

The Green Group has ordered 101 new Mercedes-Benz Actros trucks from Asset Alliance, in what it said was one of the most significant deals of the year.

The Yorkshire logistics firm sourced 86 BigSpace tractor units and an additional 15 GigaSpace trucks will join the fleet to help mark its 15th anniversary. All are being supplied on a three-year contract hire basis and the trucks are part of a major renewal programme of The Green Group’s 150-strong fleet.

Fox Group cleans up with Tipworx

Fox Group has acquired muckaway and aggregates firm Tipworx and bulked up its fleet, plant and staffing levels in the process.

Paul Fox, MD of the family-run Fox Group, said: “This acquisition makes perfect sense for us.

Tipworx is a well-run business with great people and has a record of providing excellent services to a range of clients across the region.

“It also means we get a welcome boost to the group’s existing fleet

of vehicles and recycled aggregates supply.”

Blackpool-based Fox Group has made several moves to expand in recent years: last year it acquired Blackledge Plant Hire; in 2021 it welcomed JJ O’Grady to the group; and the previous year it acquired Hurt (Plant Hire).

Fox now has a combined 360-strong truck fleet, more than 4,500 items of plant and machinery, and more than 860 employees.

CCTV footage of the calves being unloaded at the slaughterhouse also revealed that the ramp angle for the upper deck was far too steep for calves to safely walk down.

The haulier pleaded guilty to two charges under the Animal Health Act and he was given an 18-month conditional discharge and ordered to pay prosecution costs of £6,495 plus a £22 court surcharge, making a total of £6,517.

MD Tom Lister said: “These trucks will be serving a lot of bluechip customers, covering about 120,000km per year, so reliability, increased uptimes and the latest technology are all really important for us. Bringing these new assets on board will also really help in driver comfort and retention, further improving the image of the business.”

Goldstar puts safety and comfort first at Tilbury Docks truckstop

Goldstar Transport has opened a 70-space truckstop at Tilbury Docks, offering secure parking, washing facilities and hot food.

The East Anglian haulage business, now owned by Turners, bought the land close to the docks six months ago and general manager Steve Jones told MT that part of it had to be used for HGV parking.

“It’s subject to a Section 106 agreement,” he said. “As part of the planning agreement at Tilbury Docks there must be a certain amount of space for off-road parking.”

Jones said the land purchase was primarily to consolidate Goldstar’s existing three yards into one site, but it has invested a significant amount of money in

order to offer lorry drivers safe overnight parking.

The truckstop includes full fencing, lighting, CCTV surveillance and 24/7 guards, as well as an equipped kitchen for heating and preparing food and a food truck offering hot meals to drivers.

Wavin extension will bring new work into pipeline for XPO

XPO Logistics and plastic pipe systems manufacturer Wavin have renewed and expanded their long-term UK partnership.

The deal sees XPO awarded Wavin’s inbound raw materials logistics operation in Wilton, Middlesbrough and includes the management of raw materials, in addition to site-to-site transport and end-customer distribution.

XPO has begun taking inbound receipt of raw materials into its warehouse in Wilton, where the materials are debagged, stored and prepared for transport – all new services

Decarbonisation Power Players driving change

For the road freight sector to substantially decarbonise its activities over the next 15 to 20 years, the industry will need to go through a dramatic period of change. That is why Motor Transport, in association with Scania (GB) and Optimize, has assembled the Decarbonisation Power Players, a listing of the most influential people leading moves to cut carbon emissions in the vehicles operated, new operational models or the infrastructure and supply chain required to manage the fleet.

It’s these trailblazers of the industry who are celebrated in the latest Motor Transport Decarbonisation Power Players list. Our industry judges reviewed a nominated selection of candidates and scored them on five weighted criteria covering personal effort, influence, disruption, deliverable and the scale of their activities.

Coming out on top in the list was Olly Craughan (pictured), head of sustainability at DPD.

You can see a complete rundown of the 25 Power Players in a special supplement in this issue.

provided by XPO under the fresh deal.

From there, XPO deploys dedicated road fleet and drivers to transfer the materials to Wavin’s production site in Chippenham as

needed. XPO additionally provides the outbound transport of finished pipe from Wavin plants in Chippenham and Doncaster to destinations throughout the UK.

The logistics giant also arranges the transport and clearance of raw materials into the UK from Europe, Mexico and the US.

Products destined for Scotland travel from the Chippenham plant via XPO’s innovative rail-road combination. XPO said this multimodal solution can significantly lower both C02 emissions and NOx particles per trip.

Deal matches Swedish firm’s commitment to clean up last-mile fleet

Wincanton buys EVs for IKEA contract

By Chris Tindall Wincanton

has made a multimillion pound investment in 30 electric vehicles for its home delivery contract with IKEA

The trucks and vans, supplied by Renault Trucks and Ford, will support IKEA’s goal of reaching 100% zero-emission last-mile deliveries by 2025.

The purchase comprises 10 16-tonne trucks and 20 vans and is expected to save Wincanton 1,000 tonnes of carbon emissions

a year, across approximately 10,000 journeys a year.

Wincanton e-fulfilment MD

Carl Moore said: “At Wincanton, we want to be the leading provider of net-zero supply chain solutions for our customers and partners. As part of this, we are committed to investing in technology that develops the resilience and efficiency of our customers’ operations and supports their efforts to achieve their strategic sustainability goals.”

IKEA is currently undertaking one of the biggest electric vehicle infrastructure projects for last-mile fleets in the UK and is providing nearly 200 charge points for its delivery vehicles.

The £4.5m project involves installing 196 chargers at its stores, as well as the new Dartford customer DC, with the first ones fitted and operational in IKEA Cardiff. More than 50 of the chargers will be rapid, providing a full charge in less than an hour.

Abbey strengthens ADM oil seeds contract

Abbey Logistics Group has extended its oil seeds contract with Archer Daniels Midland (ADM) for three years, taking the relationship into its 30th year.

The contract involves transporting bulk oils and fats, such as rapeseed and palm oil, from the ADM sites in Erith and Purfleet to customers across the UK and northern Europe.

ADM is one of the world’s largest food companies supplying human and animal nutrition, with sales in excess of £48bn.

ADM commercial operations manager Adam Spaull said it had opted for a high proportion of the fleet to be dedicated to ADM,

which will increase the already customer-strong service levels.

The contract extension follows Abbey’s recent £1.8m investment in 20 tankers this year, including liquid tanks from Van Hool and

powder silo tanks from Feldbinder.

In its latest financial accounts to June 2022, Abbey achieved record sales of £67.5m and said it is on track for £75m sales to June 2023.

Retail joint venture with Marks & Spencer hopes to re-employ majority of 2,300 staff at Luton site

Ocado axes Hatfield CFC

By Carol Millett

Ocado Retail, the joint venture with Marks & Spencer, is to close its Hatfield customer fulfilment centre (CFC), putting 2,300 jobs at risk.

A staff consultation is expected to close this summer, with Hatfield operations planned to halt in line with the start of operations at the Luton site.

The company said it expects to retain a large proportion of the workforce, either in its new Luton CFC or across its wider UK network.

The Hatfield centre is Ocado’s

Manfreight takes on £9m Belfast warehouse site

International transport firm Manfreight has leased a new £9m warehouse from Belfast Harbour beside the port’s RoRo ferry terminals.

The 50,000sq ft warehouse is the first in Northern Ireland to be constructed to BREEAM ‘Excellent’ environmental standards and will service agri-food producers and retailers.

It was described by Manfreight as “an important strategic step” as it aims to meet its customers’

oldest CFC and fulfils approximately a fifth of Ocado.com’s 400,000 weekly orders.

These orders will be moved to other “high-productivity, nextgeneration” facilities, including the nearby Luton CFC, scheduled to open later this year, the company said.

The move is part of the retailer’s strategy to take advantage of the continued shift to online, adding that it did not expect the closure of Hatfield CFC to result in any change to the volume of orders Ocado fulfils. However, Ocado has

seen sales drag since the end of the pandemic lockdowns, when orders rocketed as consumers abandoned high street shopping.

Last month, Ocado announced that new distribution centres

planned for the south-east and north-west of England had been put on hold, revealing it had built capacity to process 700,000 orders a week in the UK but was delivering less than 400,000.

Bergen Logistics in recruitment drive

Elanders UK has announced the appointment of David Pritchard as supply chain team leader at its subsidiary Bergen Logistics.

The company is also planning to recruit 60 staff at Bergen this year, as part of its plans to expand into the UK fashion and lifestyle fulfilment market.

growing needs for sustainable and digitised warehousing solutions.

Manfreight MD Chris Slowey said: “This port-centric warehouse solution will allow us to store, cross dock and distribute products in a temperature-

controlled eco-friendly environment. We will also be able to enhance our fully automated customs solutions for the import and export of these goods, making our supply chain processes more streamlined and efficient.”

Pritchard’s appointment follows the launch of Bergen Logistics by Elanders UK in January this year, which saw it take on a £4.6m, 48,000sq ft facility in North Tyneside.

Prompt Transport opts for Volvo

Prompt Transport is switching its entire artic fleet over to Volvo and has already taken delivery of four new FH Globetrotter 6x2 tractor units with I-Save.

Lee Parker, Prompt director, said: “We had previously run with one manufacturer for more than two decades.

and we are very happy with how the move has gone so far.”

The Bristol company said the transition was already providing benefits, with fuel savings of around 1.5mpg being achieved in comparison to the HGVs being replaced.

GOING STATESIDE: Unipart is looking at moving the group’s investment to the US or Europe because of the UK government’s lack of support for the electric vehicle market and wider green economy. Unipart, which is based in Oxford and employs more than 8,000 people, makes vehicle parts, components and manages supply chain logistics. Chairman John Neill, who is on the board of the SMMT, told the BBC that the US Inflation Reduction Act (IRA), passed last year, offered firms a “game-changing set of incentives and fiscal support”. Billions of dollars in grants, loans, tax breaks and subsidies are available to support the production of goods such as electric vehicles and green energy. However, recipients must manufacture in the US to qualify.

“However, we were having one or two issues so at the start of 2022 we decided to trial demonstrators from three other marques and Volvo came out as the clear winner.

“With these four latest arrivals, we are up to nine FHs and are planning to replace the remaining 12 tractor units we operate over the course of the next few years. The drivers absolutely love them,

FOOD FOR THOUGHT: Checking out the new site are (from left) Chris Slowey, Manfreight; Steve Baker MP, Minister of State for Northern Ireland; Michael Robinson, Belfast Harbour port director; and Nick McCullough, Manfreight

Photo: Shutterstock

Photo: Matt Mackey

Road Transport Expo

Three-day conference programme promises expertise from across the road transport industry

Knowledge from the top

BP, Equans, Energy Savings Trust and more.

The day will culminate with a lively on-stage panel discussion with the major truck-makers on the future direction of HGV technology, led by MT’s sister website Freight Carbon Zero.

If you are responsible for the safe and compliant management of an HGV fleet, then the Road Transport Expo (RTX) Knowledge Zone conference will be a mustattend event for you.

Taking place across all three days of the free-to-attend summer

THE BUZZ

With its ‘all about the truck’ mantra, RTX features a vast 200-plus exhibitor line-up of the latest vehicles, equipment and fleet services.

All the major HGV OEMs will be at the show – DAF, Iveco, Isuzu Trucks, MAN, MercedesBenz, Renault Trucks, Scania and Volvo – with their latest vehicle ranges to explore on the stands or take for a test drive over at the Ride & Drive zone (or simply a ride in the passenger seat if you prefer).

RTX is also a perfect opportunity to catch up with your industry colleagues and make those all-important new business connections.

To make the most of your day at RTX, why not browse roadtransportexpo.co.uk to help you decide which stands to put on your ‘must visit’ list. You can filter by a simple A-Z search of company names or by product type.

The interactive floorplan, found on the RTX website, will help you locate your preferred stands and see where everyone is placed around the venue.

And for those preferring to use their phones to find their way around, an RTX app will be available for visitors to download. This will also keep you in the loop for any exhibitor announcements or product demonstrations taking place on stands.

tradeshow, the Knowledge Zone will bring together road transport experts to explore essential topics such as truck safety and technology; fleet decarbonisation; recruitment, apprenticeships and training; vehicle development; industry research; and much more.

You will also hear directly from your industry peers during the conference programmes, from well-known organisations such as Campeys of Selby, Freightlink Europe, O’Donovan Waste Disposal and Tarmac.

“We have put together a programme of drop-in conference sessions that will provide insightful expertise on the challenges and opportunities facing today’s fleet operators,” said Hayley Tayler, events and projects editor at MT publisher DVV Media International.

“It’s ideal for fleet managers or senior decision-makers wanting to keep abreast of industry hot topics, so we would love for you to join us this summer.”

Day one will open with a Logistics UK-led series of

Transport Compliance Briefings, ranging from the latest urban regulations for truck safety and air quality, through to a spotlight on some of the work taking place to encourage new entrants to the logistics sector.

You’ll also hear directly from Traffic Commissioner Kevin Rooney about the key compliance issues being brought to his attention.

Day two will focus on the road transport sector’s drive to decarbonise HGV movements, with experts from Zemo Partnership taking to the stage alongside organisations including

Day three will launch with some brand-new industry research revealing the top challenges cited by freight operators, brought to life by a panel of experts including MT editor Steve Hobson, the RHA, Asset Alliance and Continental Tyres.

RTX takes place from 28-30 June at NAEC Stoneleigh, Warwickshire and is completely free to attend and to park.

 Register for your free place at roadtransportexpo.co.uk

A GLANCE AT OUR KNOWLEDGE ZONE PARTICIPANTS

The RTX Knowledge Zone will bring together more than 40 expert speakers, including:

Kevin Rooney

Traffic Commissioner for the West of England

Jonathan Walker

Head of cities and infrastructure policy, Logistics UK

Rod McKenzie

Executive director of communications, RHA

Ben Garner

Senior manager logistics development, Tarmac

Harry Campey

Commercial and operations director, Campeys of Selby

Phil Breen

Earned Recognition national account manager, DVSA

Lesley O’Brien

MD, Freightlink Europe

Dee Humphrie

MD, Equans EV Solutions

Willie Paterson

CEO, Asset Alliance

Brian Robinson

Commercial vehicle emissions consultant, Zemo Partnership

JOIN

Preparations get under way to celebrate excellence as entries open for the Northern Rewards 2023

Northern success stories

THE CATEGORIES

Nominate companies online at transportnews.co.uk/ northern-rewards-2023nominations

 Northern Fleet of the Year

 North’s Top Road Safety Haulier

 Northern Tipper Operator of the Year

 Apprentice of the Year Steve Gray Memorial

 Northern Local Authority Fleet of the Year

 North’s Top Trailer Fleet

 Northern European Haulier of the Year

 Northern Livery of the Year

 Northern Transport Woman of the Year

 Industry Innovation Reward

 Northern Transport Manager of the Year

 Northern Haulage Company of the Year

 Northern Tanker Operator of the Year

 Industry Lifetime Achievement Award

The Northern Rewards 2023 are now open for nominations to celebrate best practice across the North of England road haulage sector.

Run by MT ’s sister title Transport News, the event is open to all HGV operators based in the North of England, including public sector fleets, own-account and 3PLs.

Previous operator winners include the likes of AW Jenkinson, Brit European, Clugston Distribution and Fagan

VOICES FROM THE NORTH

& Whalley, with Freightlink Europe MD Leslie O’Brien awarded the Northern Road Haulage Personality of the Year accolade.

“The Northern Rewards recognise excellence in operation and shine the spotlight on the success of the Northern road transport sector,” said Transport News editor Kevin Swallow.

“It’s a fun, lively event to attend with colleagues and provides a fantastic networking opportunity to interact with

fellow industry peers and make new connections.”

Winners will be announced at the Northern Rewards Champagne ‘Full English’ Breakfast, complete with entertainment, held in the Mercure Hotel, Manchester, on Friday 6 October.

You can enter your own business, or nominate companies and individuals across a wide range of categories (see box, right), via an easy online form at transportnews.co.uk. Entries must be received by 1 September. 

 Road Haulage Personality of the Year

 “It’s always a great privilege to receive any award, but to receive an unsolicited award and, as a northern girl, to be recognised and rewarded by the transport community in the North of England was extra special.” Lesley O’Brien, MD, Freightlink Europe

 “Celebrating the successes of the Northern transport industry is crucial, as it highlights the vital role that the sector plays in driving the region’s economy forward.

“We are thrilled to have won the Northern Livery of the Year award at the October 2022 Transport News Northern Rewards event. It is an honour to be recognised for our livery and recognition in our industry by our fellow logisticians.

“Winning this award represents our team’s hard work and dedication to exceptional customer service.

“We enjoyed the Northern Rewards Breakfast event, an excellent opportunity to connect and network with other industry professionals while celebrating its achievements.” Sam Fagan, business strategy director, Fagan & Whalley

DOING THE HONOURS: Transport News editor Kevin Swallow

In its 20th year, the Zemo Partnership is at the heart of efforts to decarbonise road transport

Powering ahead to net zero

There’s been a bit of a lull in policy announcements, most likely linked to the recent local elections, while policymakers continue to work on the details of the ‘Zero emissions road freight’ (ZERF) demonstrations and other initiatives aimed at decarbonising the UK’s freight sector.

Zemo Partnership reached the grand old age of 20 this year. It’s given me cause to pause (if very briefly) and reflect on how far we’ve come in terms of this agenda over the past two decades.

Formed as the Low Carbon Vehicle Partnership in 2003, its inception was announced as a central component of the government’s ‘Powering future vehicles’ strategy. Alongside specific targets for sales of low-emission cars and buses, the foreword to the strategy – written by then prime minister Tony Blair – attached “particular importance to the Low Carbon Vehicle Partnership”.

He said the ‘Powering future vehicles’ strategy “makes the UK the first country to set itself a target for shifting its mainstream motoring over to low carbon technology, helping the environment, improving motoring, and helping build competitive advantage for the UK’s auto industries, as the global market demands increasingly cleaner vehicles.”

The strategy had relatively little to say on the commercial vehicle sector, focusing primarily on light

vehicles and buses. However, it did assert that the “government is also committed to continuing to press for carbon savings from the heavy goods vehicle sector. Data is not currently available on heavy goods vehicle emissions. However, fuel cost is already significant to vehicle operators in this sector, and is a powerful driver for more efficient, and therefore lower carbon, vehicles.”

World-first commitment

We’ve certainly come a long way since then and decarbonising road freight is now at the centre of the government’s policy focus for transport. It has even felt confident enough to commit the UK to becoming the first country in the world to phase out sales of new, non-zero emission HGVs weighing 26 tonnes and under by 2035, and all new HGVs by 2040.

A great deal of work has been going on in the background to deliver the robust data on which to base new policies and Zemo has been an important partner of government in delivering that. We worked, for example, on the development of an ultra-low emission truck standard and in support of the ‘Low emission freight and logistics trial’.

A lot of past work is now coming to fruition as we see many new zero emission trucks brought to market, but supporting incentives still need further work.

Zemo has been working closely with government and members to support the new Plug-in Truck Grant scheme; developing test plans, reviewing and analysing test data and providing technical guidance for applicants.

We’ve been supporting the government’s work around the ZERF programme; the Energy Savings Trust in the development of the Freight Portal, which dispenses key advice to operators; the fuel industry (and the Treasury) via our ‘Renewable fuel assurance scheme’; and industry to help deliver its carbon reduction commitment.

Niche challenges

As we’ve made progress in moving the mainstream truck market along the road to zero, we’ve recently turned our attention to

the decarbonisation challenges in the less-discussed niches, namely ancillary systems and non-road mobile machinery.

So while cars and buses have taken the headlines, I’m proud of the contribution to the quieter progress that Zemo has made in laying the foundations for the decarbonisation of UK freight. There’s a long way still to travel, but the journey is well under way.

We’ll be reflecting on the past 20 years of road transport decarbonisation and looking to the future at Zemo’s 20th Anniversary Conference to be held in City Hall, London on Clean Air Day, June 15. Do come and join us! For details and to book tickets, see zemo.org.uk/Zemo20Zero

■ Andy Eastlake, CEO, Zemo Partnership

California’s stand on diesel

The news that California is to ban the sale of ‘big rig’ large diesel trucks by 2036 and require all trucks to be zero emission by 2042 makes for an interesting comparison with the UK’s plans to decarbonise road freight transport.

Steve Hobson Editor Motor Transport

First of all, despite the Golden State’s reputation as a pace-setter for environmental legislation, this ban comes into force after the UK’s proposed deadlines to end the sale of new diesel trucks.

It is often said that where California goes, the US follows, and where the US goes, the rest of the western world follows. I remember a visit to San Francisco well over a decade ago, when I was surprised by the number of electric UPS vans delivering in the city centre.

The other difference is that large diesel trucks are the first to be banned in California, whereas the UK is stopping the

sale of non-zero emission vehicles under 26 tonnes in 2035 and larger trucks from 2040. This makes more sense as smaller vehicles are more practical to switch from diesel to battery electric, while higher horsepower applications will either suffer large payload penalties from the weight of batteries or have to go for even more expensive hydrogen power. But maybe the US is keen to give its Tesla Semi and Nikola Tre heavy electric trucks a leg up? One thing California could do to cut emissions from road transport is enforce its 55mph speed limit for trucks on the interstates more rigorously. Despite a higher limit of 70mph for cars, they are regularly overtaken by speeding rigs, with their usual 12ft gap between the long bonnet cab and twin-axle trailer.

And while they are at it, why not electrify the railways rather than rely on diesel locos?

Home delivery is a numbers game

After 44 years in logistics, I consider myself to be fairly experienced – but every day is still a learning day.

I joined the world of two-man (or two-person) delivery from the parcel world more than six years ago.

Buyers of home-delivery services always want a sharp deal. We all understand that. Volumes can be inflated or weights lowered a bit to sharpen the deal.

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Charlie Shiels CEO ArrowXL

After 23 years in parcels, I was used to a certain jargon, such as ‘smalls’, ‘compatibles’, ‘non-comms’, ‘uglies’ and ‘pallets’.

I realised this two-person world had its own language too. A new phrase I learned quickly was ‘one-and-a-half-man delivery’.

Now, let’s think about that for a moment: a one-and-a-half-man delivery! I’m not sure that I have met a colleague who was a one-and-a-half-man delivery-type person in all my years in the business.

You quickly realise it’s a ruse, of course, for customers who want a bigger, heavier, irregular dimension or weight item delivered more cheaply.

It was brought home to me when I recently took delivery of some garden furniture.

I was intrigued because the delivery was from an ex-client who had chosen a lower-cost solution – as the new product was all ‘one-and-a-half man’.

The delivery was a huge box (this is garden furniture, remember), weighed more than 50kg, measured 2m x 0.4m x 0.3m and was delivered by one person. I felt for the guy delivering.

There is no such thing as a one-and-ahalf-man delivery. An item is suitable for a parcel delivery experience and cost, a two-person delivery or even a pallet delivery.

There are, of course, three- and even four-person delivery companies for extra-large items.

But ignoring the reality of a delivery’s weight and/or dimensions seems incredibly risky and unfair to me.

To put a two-person crew on the road, often in a 7.5-tonne truck, is an expensive solution. Staff must be highly trained and required to comply with all relevant O-licence legislation, so it takes high levels of investment.

As with many debates in this area, it comes back to the way consumers are charged for deliveries. The cost increases in our world over the past two years have been frightening – and I am sure most carriers have experienced the same thing.

An area often overlooked is the impact on customer satisfaction and the condition of these heavy and bulky items when they arrive at the customer’s home. The choice of a low initial delivery rate can often be washed away through an increase in volume of returns and the condition of the product when it arrives back with the retailer – and this is before we consider the carbon impact of returns and redelivery.

The key consideration should be overall cost rather than the perceived delivery rate, shouldn’t it?

I am just asking for a bit more reality and a better understanding of the complexity in the differing size/gauge marketplaces.

There really is no such thing as a one-and-a-half-man delivery.

Got something to say?

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Low-risk testing

In partnership with Dawsongroup and HTC, Antalis recently undertook a week-long trial of a DAF LF Electric 19-tonne truck. Motor Transport finds out how it went

Antalis, a leading international distributor of papers, packaging and visual communications products, has long played a major role in the sector’s drive to sustainability. It has been developing an endto-end supply chain process, a key part of which is the consideration of future fuels and zero emissions demands.

Mark Hadley, Antalis central distribution centre (CDC) and UK transport manager, has recently completed a week-long trial of an electric truck, and he told MT what challenges he feels medium-sized operators face with this changing technology, not only in the long term, but in the early trialling and evaluation of these new vehicles.

Antalis currently operates eight tractor units, 13 trailers and three rigids at a number of locations across the UK. They were supplied through Dawsongroup truck and trailer, so it was to Dawsongroup that Hadley turned as his first port of call for an electric vehicle to trial. The national independent leasing, rental and contract hire operation is already heavily involved in looking at longer term investment and the practicalities of electric vehicle operation.

So it in turn asked local supplier, DAF dealership HTC, to provide a DAF LF 19-tonne electric truck and the necessary familiarisation training. Both Dawsongroup and HTC got involved in the trial as the driver got to grips

with the truck and worked as close to a normal working week as he could.

Hadley explains: “From my point of view, Antalis needed to take an early look at the possibilities and pitfalls of electric vehicle operation. We’ll also look at hydrogen and any other options as and when we get the chance. We all know the deadline for the end of new dieselpowered urban distribution trucks is currently 2035, so with our routine turn of vehicles on the fleet at seven years, and the next turn due in 2024, vehicles bought to refresh the fleet in just two turns time will be only four years away from the deadline.

“At that stage, the question becomes ‘do we invest in electric at that time, or stick to diesel with all the inherent problems of potential government tightening up on Derv and road taxes in its drive to get diesel off the road?’

“Of course, as a customer of Dawsongroup, we don’t have to plough any of our own investment capital into trucks and trailers. Its contract hire package works very well for us. However, you don’t have to be a genius to work out that the cost of leasing, rental and contract hire will all go up as new vehicles – electric, hydrogen or whatever – come onto their fleet and diesel vehicle values drop. It’s understandable. Inevitable! They are going to be paying much more for the trucks, so that will have to be passed on, but as I say, at least it’s not our investment capital being spent.

“The unknowns therefore are how much that will add to our costs, and then what benefits might the vehicles’ operating costs have in terms of balancing that out?”

It’s a well-reasoned thought process, so what did Hadley learn from the week’s hands-on trial?

Weighing up the benefits

The truck was an LF 18-tonner, built at the DAF factory in Leyland, one of three LF demonstrators with curtainside, box and refrigerated bodies. Under current government dispensation it is allowed to operate at 19 tonnes GVW to compensate for some of the added battery weight. Hadley was happy with this, but pointed out that it still meant an overall payload loss of around 750kg.

Load capacity is just one aspect though, and Hadley pointed to an issue with axle loads as the vehicle is loaded or unloaded. With the battery already adding to the front axle load, leaving too much weight close to the bulkhead would result in serious overloading. This is potentially less of a problem on curtainsiders, depending on drop sizes and weights, but a real consideration with box bodies.

POSSIBILITIES AND PITFALLS: Antalis central distribution centre and UK transport manager Mark Hadley is keen to explore both electric and hydrogen vehicle operation

David Price, sales specialist at HTC, was keen to allay fears for the longer term. “The probability is that flexibility in chassis battery packaging will help overcome this,” he says. “Certainly, I understand the new generation of DAF trucks in the range due in 2023 will allow the preselection of battery positioning and battery size to suit operations.” ➜ 18

Photo: Craig Pusey

Photo: Craig Pusey

LEARNING THE ROPES: Driver Andy Smith quickly overcame his range anxiety and came away from the trial with more positives than negatives

On the purely practical side of its operation, the truck was charged overnight at Antalis’ 250,000sq ft head office depot in Coalville, just north of Leicester, via the 22kW on-board AC charger and charging cable supplied with the vehicle, with power provided by a single 32A, 5-pin socket in the warehouse loading bays.

Positives and negatives

The designated driver for the trial week was Andy Smith, a regular for Antalis on its local distribution routes. He found charging the vehicle “very simple and required minimal training”.

Out on the road, Smith admitted to “having a third eye on the battery power gauge all the time”. This range anxiety reduced as the week progressed, and he says: “The lack of noise took a while to get used to as well, but the truck was fantastically quick off the mark from a standing start, compared to diesel, which made dealing with roundabouts a lot easier. The kinetic braking – braking without using your brakes – was also very useful.

“On the whole, based on this limited trial, I’d say there were more positives than negatives from a driver’s perspective and I was more impressed than I thought I was going to be.”

The electric LF undertook very local runs, with no tail lift use – a measure aimed at saving battery charge,

though Price at HTC says: “Even the Antalis column tail lifts shouldn’t have much more than a 10% impact on range during a normal run of deliveries.”

The truck also ran at about half load, around 14 tonnes GVW, to avoid any problems with battery power, and was used to cover around 60 miles overall per trip. “We were not ready to try heavier loads and longer journeys,” says Hadley, and indeed the vehicle stayed in the yard one day as route planners needed to schedule a heavier load and a longer run. “We were taking no risks,” he says. “This was a first look at the possibilities and we were happy with what we felt able to do.”

The future of fuel

Antalis currently has bunkered diesel as well as using driver fuel cards, and Hadley was, as all operators must be, concerned by current and predicted prices of both diesel and AdBlue. On the other hand, as he pointed out, nobody can predict the price of electricity with any certainty. Then, there is the added cost of charging points on site, not to mention the probable cost of contributing to a new sub-station as local demand grows.

Surprisingly, the DAF was not fitted with telematics, and there was no opportunity at this trial to measure the electricity used to charge the vehicle – a point Hadley regrets and would certainly cover off in any future trials. His current 18-tonners are averaging around 13.6mpg on heavier loads, so he might look retrospectively at gathering charging costs to deliver an accurate comparison. As he says however: “We’re not being asked to make a choice! Government has said ‘no more diesel’, so this trial was all about the operating experience: how did the driver feel, what was the impact on load capacity, journey lengths and journey times?

“We were able to gather a lot of useful experience in these areas, but at the end of the day, it almost doesn’t matter how it might have stacked up against diesel fuel costs, because in 2035 we don’t get the option of diesel in new vehicles. It’s either electric, hydrogen or something new; diesel becomes history, a thing of the past.”

One reassuring factor to come out of the trial was that, with the emphasis on electric vehicle route planning for battery economy rather than just speed, possibilities will almost certainly come up to use similar economies on the current diesel fleet.

Chris Beckett, Dawsongroup manager for Antalis and the trial, says: “The fact of the matter is that there’s a lot left for diesel to offer, and it’s going to be a factor for a good while yet. Yes, 2035 isn’t that far away now in terms of fleet renewal cycles for anyone; however, while electric vehicles and their operating costs are largely unknown as yet, there are still ways for our customers and others to find better ways to run today’s diesel trucks and deliver more profitable performances from them. We’re looking into it ourselves, and we’ll support them in that as much as we can.”

So while the future is still a great unknown, with businesses like Antalis prepared to look into that unknown and examine the possibilities and possible pitfalls of the next generation of trucks and vans, the future also looks workable. Very different, but workable. ■ For all the latest news and information dedicated to the decarbonisation of the commercial vehicle and road freight sector, check out our sister website FreightCarbonZero.com

Photo: Craig Pusey

TEST VEHICLE: A DAF LF 19-tonne electric truck, similar to the one trialled by Antalis

The cost of caring for electric trucks

facturer admits. That has implications for brake component wear.

Battery-electric powertrains may themselves need periodic attention, says Moon. The systems installed to monitor and control them may signal faults that have to be addressed, although there could be greater scope for over-the-air fixes – which do not require a workshop visit – with electric trucks than there are with diesels.

The heating and cooling systems installed to ensure that batteries are kept at an optimal temperature may go awry, and the batteries themselves could need an unscheduled intervention if individual cells start to fail.

“The batteries will deteriorate over the lifetime of the truck, with the possibility that cells will have to be replaced,” Moon says.

Comments a Volvo spokesman: “The parts that may need replacing will cost a lot more than oils and filters, which creates more risk for the manufacturer. Hence the lack of significant movement in R&M pricing.”

Warranty cover

Some of the major items that could require swapping are of course covered by the manufacturer’s warranty provided when the truck is new.

With fewer moving parts in an electric engine than a diesel, lower R&M costs might be expected. Unfortunately it isn’t that simple, as Steve Banner finds out

Hauliers planning to switch from diesel to electric trucks are doubtless expecting Repair & Maintenance (R&M) contract rates to come down with a bump.

With no need to drain engine lubricant or replace oil and air filters, and no emission control system to worry about, the cost of keeping a battery truck on the road will surely be cheaper than that of its diesel counterpart.

Apparently not. Suggestions that rates could be 30% to 40% lower for electric trucks are completely wide of the mark, says DAF marketing manager Phil Moon. “It’s more like 10% lower,” he observes.

Moon points out that electric trucks still have steering, brakes, tyres, wheels and suspension systems, and they all need attention from time to time. Like diesels, they are also subject to statutory safety inspections every few weeks to ensure O-licence compliance, he adds.

Scania points out that the regeneration systems fitted to electric trucks, which return energy into batteries that would otherwise be wasted, may help prolong brake life as the service brakes have to be used less frequently.

When they do need to be used, however, they will have to cope with more weight because of the burden imposed by the truck’s heavy battery pack, the manu-

HIGHER COST: Volvo says replacement parts for electric vehicles will be much more expensive than those for a diesel truck

DAF covers the batteries it fits for up to six years, with the assurance that at the end of the warranty period they will still give at least 70% of the performance delivered when they were factory fresh. The warranty can be optionally extended to eight years, says Moon.

Says Volvo: “We’re assuming batteries will be good for around eight years.”

The six-year battery warranty plus a three-year warranty on the rest of the vehicle means that the electric DAF LF 19-tonner recently purchased outright by haulier Campeys of Selby enjoys plenty of protection against expensive component failure, contends transport manager Harry Campey. The North Yorkshire company has taken it without an R&M contract, and Campey believes this approach makes sense.

NO CONTRACT: Harry Campey of Campeys of Selby is counting on manufacturer warranties providing enough cover to make an R&M contract unnecessary

“OK, we’re taking a bit of a punt, but we haven’t got a radiator or a timing chain to worry about, never mind engine oil and filters,” he says. “As for the battery pack, we intend to keep the truck for 10 years and we’ll change the pack after five years.

“By that stage batteries should be available that are the same size as today’s batteries but offer double the range the way technology is going.”

Campey has been influenced in his approach by his experience with his used electric Tesla car. “I’ve run it for 18 months and all I’ve had to do with it is put it through its MoT,” he says.

With an expected range between recharges of 150 miles, the truck was about to be delivered at the time of writing. It will be used on pallet work in and out of York.

Moon says that battery health will in part depend on the approach operators take to charging.

“Ideally the battery should be charged at between 20% and 80% of its capacity to remain healthy,” he says. “The charge level shouldn’t drop below 20% or get up to 100%.”

When making the comparison between internal combustion and electric technologies it should not be forgotten that the amount of maintenance a diesel truck requires has fallen significantly in recent years, Moon points out. “These days we’ve got oil drain intervals set at up to 200,000km,” he observes.

Extended contracts

Electric trucks still cost significantly more than their diesel equivalents, so it is not surprising that operators plan to keep them for longer. This trend is reflected in the duration of the R&M agreements they are looking for, says Moon.

“With diesels it’s typically anywhere from two to five or six years,” he comments. “With electric models, however, it’s five years plus.”

Scania’s UK executive services director James Colbourne suggests that electric truck R&M rates are likely to be on a par with diesel rates at present, and possibly slightly higher. “We’re being very cautious in this area,” he states.

While key components are proving to be reliable so far, he reports, it’s still early days. If they do fail then repair or replacement costs are likely to be steep, because the benefits of mass production and the way it which it drives down prices have yet to kick in.

“At the moment we’re talking about a different cost base,” he remarks.

DEALERS MUST INVEST FOR THE ZERO EMISSIONS TRANSITION

The cost of retooling the dealer network and training technicians to work on electric trucks cannot be ignored, says Scania’s UK executive services director James Colbourne, and this has implications for R&M rates.

For some years into the future dealers will be working with two technologies – battery-electric and diesel – as well as having to cope with biogas and potentially hydrogen fuel cell models, and they will have to invest in equipment and employees accordingly.

“As things stand technicians who are capable of working on electric vehicles are at a premium,” Colbourne comments. Diesel trucks will clearly be around for some years to come, but as their numbers decline technicians who can work on them may be at a premium instead.

“They will become the specialists,” he remarks.

One saving hauliers who switch to electric trucks may enjoy is a reduction in minor damage, suggests Andrew Scott, UK head of electric mobility and product development at Renault Trucks.

“From what we’ve seen, drivers of electric vehicles are always conscious of their remaining range and the need to preserve it, so they drive more carefully,” he comments. “As yet we’ve not got any data to prove that this is the case; but I think that’s a reasonable statement to make.”

The caution Scania is adopting is illustrated by its unwillingness to warrant the batteries it installs. “We’re covering them under our R&M contracts instead,” Colbourne says, an approach which clearly keeps R&M rates higher than they might otherwise be.

It is a stance that looks set to change as battery packs produced by Scania in-house become more readily available. The company has set up a battery pack assembly plant next to its worldwide headquarters at Sodertalje in Sweden, which will become fully operational this year.

CAUTIOUS APPROACH: Scania is not yet offering warranties on its batteries, but is covering them under R&M contracts

The good news is that rates should decline over the next few years as manufacturers learn more about the reliability of components and their maintenance requirements, he adds.

This is already happening in the car market, he points out, citing evidence from Scania’s car manufacturing

James Colbourne, Scania

Andrew Scott, Renault Trucks

Photo: Scania

Photo: Greg Harding

sister brand Audi. Both Scania and Audi are part of the Volkswagen Group.

Any dramatic savings cited from mainland European sources so far as electric trucks are concerned need to be treated with a pinch of salt, Colbourne suggests.

As was pointed out earlier, the UK has regular statutory safety inspections of both electric and diesel trucks. They come at a cost, may trigger immediate rectification work and affect service and repair rates, regardless of the vehicle’s power source.

No such safety regime is in force on the other side of the Channel.

The caution Colbourne refers to, and the potential future decline in maintenance costs, is evidenced by Scania’s current approach to dealing with battery defects and the way it will change in the coming months.

At present faulty battery cells go back to the manufacturer, but from early- to mid-2024 they will be repaired locally where possible and practical, he explains, which suggests a reduction in costs.

Scania initially plans to set up two or three battery repair centres of excellence in the UK. Repair support is likely to increase in three or four years’ time as the number of electric trucks in service steadily rises.

Repairing traction batteries is a skilled activity and, like any work on a high voltage electric truck, brings serious potential hazards if safety procedures are not followed to the letter. Some, though by no means all, existing workshop tasks involving electric trucks may require two technicians to be present – one doing the work, while another stands ready to step in if there is a problem.

“The idea that a technician will have to jump in with a hook on an insulated pole to pull a workmate away from danger in the event of an electric shock sometime causes amusement, but it’s really not that funny,” says one industry insider. “A shock if you accidentally chop through a live high-voltage cable is likely to cause serious injury and may prove fatal.”

If two technicians have to attend, then the wage bill doubles, and the time taken to check and double-check all the safety measures bumps up the invoice the customer finally receives.

“Everything has to be checked and verified in line with a fixed protocol,” the insider remarks. “You cannot and must not deviate from it.”

Beyond the batteries

Scania cites further instances of components that still have to be maintained no matter how a truck is powered; evidence that a complete transition from diesel technology to a truly all-electric vehicle still has some way to go so far as legacy manufacturers are concerned. Says UK technical engineering manager Steve Oakley: “Our electric trucks have still got an air compressor which has to be serviced every 12 months.”

A conventional drive axle continues to be installed, he points out, along with a two-speed gearbox which is married to the electric motor with oil required for lubrication and cooling. Transmission lubricants enjoy a long life, but do not last for ever.

Electric rear axles should make a difference but are not yet widely available. Volvo’s e-axle is unlikely to appear until 2025 or 2026.

Coolant is required for the battery pack too – indeed there may be as much as 100 to 200 litres of coolant on the entire truck – and it may need replenishing or changing from time to time. 

Photo: DAF Trucks

NO CONTRACT: DAF’s Phil Moon believes the cost of running a battery truck is around 10% lower than a diesel

Haarjeev Kandhari acquired tyre retreader

Vaculug in 2018, and has invested heavily since. He tells Steve Hobson why doing the right thing is more than a matter of good business sense

King of the road

Through his holding company Zenises Group, Haarjeev Kandhari bought truck tyre retreader Vaculug Ltd in July 2018, and is now chairman of both businesses.

Zenises purchased Vaculug along with its equipment and its 11-acre site in Grantham. Several large, much-needed capital investments in equipment and technology have since been made to ensure the business remains the biggest and most advanced independent retreader in Europe.

The firm has also employed around 50 new staff, including sales and business development director Perry Buckley, commercial director Phil West and processes and business excellence manager Mark Holloway, all of whom used to work for competitor Bandvulc.

Treading carefully

A devout Sikh, Kandhari takes a highly ethical approach to business and environmental practices and donates 10% of profits to charity. He also gives £1 for every tyre sold to the Oneness Education Initiative, which helps educate children in developing countries who cannot access schools.

THE RETREAD PROCESS

After a rigorous set of tests to check the integrity of the casing, the new tread and sidewall are applied to the casing, which is then cured in a press just like a new tyre. The tyre is heated for up to two hours at 155C while inflated at to up to 300psi.

This ensures the rubber is correctly vulcanised, resulting in a tyre with the equivalent tread pattern and depth that can be regrooved like a new tyre.

Vaculug makes both hot cure and cold cure tyres for drive and trailer axles – new tyres are still preferred on steer axles. The UK market is predominantly hot cure, though Vaculug continues to make a small range of cold retreads for certain tread patterns.

A first retread is still considered a premium product for the long-haul fleet market, while the second life is used for regional operations and the third and usually last retread is often destined for the agricultural market.

RUBBER SOUL: Devout Sikh Haarjeev Kandhari takes an ethical approach to business and donates a percentage of profits to good causes. He is the fourth generation of his family in the tyre business

One of the main reasons for investing in an ailing retread tyre manufacturer is the huge savings in energy and raw materials it offers. A retread uses only 20kg of raw materials, compared with 65kg for a new tyre, and 70 litres less oil are used in its manufacture. While hot cure retreading remains an energy-intensive process, reusing a casing up to three times greatly reduces the environmental impact.

According to independent research, Vaculug’s annual production of 200,000 tyres saves 4,099,000kgs of rubber, 1,483,420kgs of steel, 9,499,260kgs of CO 2 and 5,562,825kgs of oil every year. It already has a policy of

The limiting factor in production capacity is the presses; retreading requires time, temperature and pressure and the process cannot be rushed. Vaculug is installing five new presses to increase its output to meet demand.

sending zero waste to landfill and is committed to achieving net-zero carbon emissions by 2030.

Vaculug is also studying ways to cut emissions of harmful rubber particulates produced by tyres as they wear, something that will become an even bigger issue as zero tailpipe emissions vehicles come on stream.

Kandhari is the fourth generation of his family to make or sell tyres. “My family has been in tyres for years,”

he says. “We were the largest retreader in the Middle East and Africa at one time. Vaculug was my customer for many years as we sold them Westlake tyres – we have been the distributor for Westlake out of China for over 20 years.

“So, the owners of Vaculug approached us and asked if we would like to buy the business. They were third generation and were in their 60s and wanted an exit. It was a sustainability play for me because retreads and fleet management are important.

“I have three kids and I bought Vaculug for them.”

Market bounce

Retreads have had mixed fortunes in the UK over the years, with some tyre companies pulling out because imports of cheap new tyres from China were undercutting retreads on price. Others, such as Continental, which bought Bandvulc in 2016, and Bridgestone, which acquired Bulldog and Bandag in 2005 and 2006, have stuck with and invested in retreads, and many leading hauliers and supermarket fleets use them on their drive and trailer axles. Vaculug has long relationships with Pirelli and Hankook and continues to develop advanced tread compounds and patterns for their retread products.

An EU import tariff on Chinese tyres introduced in 2018 together with rising commodity and energy costs levelled the playing field somewhat, rewarding those who kept faith with retreads as new tyre prices began to increase.

“I don’t think the tax priced them out completely and there are still people bringing in Chinese tyres,” says Kandhari. “Chinese manufacturers like Linglong, Century and Westlake have moved their factories to Thailand to get over that barrier. They have also raised their prices, which has helped us.”

Vaculug still sells new Westlake tyres, which Kandhari calls a “premium Chinese tyre that will compete with

VACULUG: A BRIEF HISTORY

Europe’s largest independent tyre retreader, Vaculug was established by Lewis Morley in Grantham in 1950 to retread tractor tyres using a method he had seen on a visit to the US. The business quickly expanded and within a few years the Duramold manufacturing process was being used under licence in 32 countries around the world.

Increased demand in the UK soon saw the closure of the original site in Great Ponton, Lincolnshire and the consolidation of all manufacturing at a larger plant nearby in Great Gonerby.

The 1980s saw several developments in tread design and in the 1990s Vaculug developed new techniques for casing inspection, including ultrasound scanning.

The millennium saw Vaculug respond to increasing demand for fleet management systems by developing the Vaculug Management System (VMS), which set a new benchmark in advanced tyre management.

A close working relationship with Pirelli (now Prometeon) began in 2006 with the manufacture of the Pirelli Novateck range of retread tyres.

Production of Hankook’s Alphatread truck tyre range – a bead-to-bead set of retread tyres in four of the most popular sizes – began in 2018. The R-DH05 pattern mirrors Hankook’s existing DH05 pattern and uses a unique compound to provide excellent wet and dry performance, while its tear-resistant tread design helps to reduce the chance of delamination.

In 2021 Vaculug introduced the Kinetik KT01, the first retread that exceeds the A rating for rolling resistance without affecting tyre life. Currently retreads are not required to comply with EU requirements to carry A to E ratings for wet grip, rolling resistance and noise.

any other premium tyre”, to several major UK fleets. “It’s a good product,” he asserts. “They are the fourth largest truck tyre manufacturer in the world and number one in China – you don’t get to that level without making a quality product.”

Vaculug manages the tyres for almost 60,000 vehicles, many of which are still based on price per kilometre (PPK) or price per vehicle (PPV) contracts, despite these falling out of favour with some tyre companies who miscalculated the costs and made losses on fixed-price deals. “On PPK and PPV I’m taking the risk, so if I’m putting Westlake on that means it is a good tyre,” says Kandhari. “It doesn’t make sense for me to use cheap Chinese tyres because I don’t get the casing back and it doesn’t last as long.”

Vaculug retreads all premium tyre casings including Westlake, with the decision on whether or not a casing is suitable for remanufacturing being based on a detailed inspection of each casing. “We have worked with Westlake to develop that casing,” says Kandhari. “All the testing we do with our customers gets fed back to Westlake and they have been a good partner with us for over 20 years.”

In the black?

Both new and retread tyre prices have increased as a result of the spike in energy costs following Russia’s invasion of Ukraine, but “not enough” according to Kandhari. “We are a fairly energy-intensive business and it is difficult,” he says.

“Last year we decided to honour PPK and PPV contracts even though they all have clauses saying we can vary prices. So we lost money on certain contracts but that was a conscious decision to take the hit.

“At some point that will have to stop as energy prices continue to rocket and we took another hit in April [when the government cut its energy price support] so I guess we will have to have a price increase. Rubber and freight costs have all gone up so it’s been crazy.

“We didn’t increase our prices enough last year but this year we will have to see. We have already been told by our tyre suppliers that prices will increase.”

Vaculug’s sales volumes are split almost equally between fleet customers on a tyre management contract and retail sales through dealers.

“This year the plan is to go to 60% of sales on contract,” says Kandhari. “This is a contract business and we only get the free sales because of the contracts.”

Emergency service

One of Vaculug’s main distributors is Tructyre, which is part of Euromaster. It has access to almost 600 tyre service locations across the UK and one of its major supermarket fleet customers is guaranteed a breakdown response time of 45 minutes anywhere in the UK.

One of Vaculug’s big advantages when negotiating with fleets is that it is independent of the major tyre companies and so can fit whatever brand of new tyre on the steer axle that the customer wants.

“I don’t care – my preferences are Westlake, Pirelli, Hankook or GT but if you want Goodyear I will supply Goodyear,” says Kandhari. “My interest is not in supplying the new tyre because I’m not making any money there. I need to supply the best tyre for the application, especially on a PPK or PPV contract.

“On one contract we went from Westlake to Pirelli because on a PPK basis Pirelli was cheaper as on that application they lasted longer.”

Despite the low margins in tyre manufacturing, Kandhari has been trying hard to keep a lid on Vaculug’s tyre prices, but he describes the rates paid for emergency tyre fitting as “a joke”.

“I have a plumber come to my house and he will charge me £400 to fix something,” he says. “I have a qualified tyre fitter changing a tyre by the side of a motorway at 2am and he gets £40. That’s our fault as an industry and we should raise the price.” n

STAYING LOCAL: Vaculug’s Great Gonerby plant is close to its original Grantham base