Features
24 May 18

Arval & Public LLD want greener and optimised public fleets

Public LLD, a French Arval subsidiary specialising in leasing vehicles to public authorities, is now managing 20,000 vehicles in a 450,000-strong market segment, twice the number it held seven years ago. Today, it is looking for further growth.

Compared to private companies, the public sector is much slower on the uptake of measures to optimise fleets and to make them greener. In order to help the public sector catch up, Public LLD has decided to reorganise its offering into four pillars.

Firstly, Public LLD is encouraging the public sector to finance their vehicles through leasing. This could help them renew their fleets and adopt new mobility solutions within the limits of their budgets and without incurring additional public debts. Today, a mere 27% of public sector vehicles are leased. Public LLD is promising 20% lower fleet budgets compared to outright ownership.

Electricity

The Arval subsidiary is also looking to promote electric vehicles. In 2015, a French law established a high percentage of electric vehicles the public sector has to attain for its fleets. In the last 12 months, this technology only accounted for 5% of all public sector purchases, against 68% for diesel.

Public LLD designed a tailormade offering including electric vehicles, charging stations, installation assistance, access to almost 15,000 charging stations and a payment card that can be used to follow up consumption. Public LLD is convinced between 30 and 40% of the public sector’s needs can be covered by electric vehicles.

Car sharing & telematics

The leasing company is also working on extending its car sharing and telematics offering. The whole fleet will be equipped with telematics devices by July. This technology will enable the public sector to reduce the environmental footprint of its vehicles and to reduce its traffic risks.

These solutions, bundled under the name “Energy Transition & Modernisation”, are modular and can be adapted to all public fleets. In the next three years, Public LLD aims at a 30 to 40% reduction of the public fleets, a 15 to 20% reduction of the number of vehicles (between 30,000 to 50,000 fewer units) and an electric fleet of 60 to 80,000 vehicles. An ambitious wager.

Image: police cars parked in front of the Paris Palais de Justice, 2018

Author: Eric Gibory