FORT LAUDERDALE, Fla. — The majority of private fleets are still not interested in buying new, more expensive EPA-mandated truck engines a new survey says.

The report, authored by PHH FirstFleet, a U.S. asset management and operations service provider, also notes that many owners and fleet managers are looking to outside industry consultants to help drive down operational costs.

“The feedback from the survey provides insight into the key issues facing managers and will help … create practical solutions that reduce operating costs, optimize fleets, and educate drivers,” said Michael C. Lewis, president and general manager. “Many fleet managers are looking to telematics to better understand fuel consumption, the effects of new engine emissions standards, and driver behavior.”

With the introduction of new 2007-year engine designs, 63 percent of fleet managers responding to the survey said they are putting off 2007 engine purchases.

Many private fleets are turning to telematics to improve
fuel economy for new trucks, a PHH FirstFleet survey says.

Seventy-nine percent of those surveyed said they were contending with the 2007 change by stocking up on 2006 engines, which represents just over 50 percent of the planned orders for 2007, resulting in 7 percent of respondents adjusting preventive maintenance service levels to meet 2007 requirements.

When asked about the impact of the introduction of ULSD on the overall cost of fuel, respondents were equally divided. Thirty four percent thought that ULSD had little to no impact on fuel costs, while 30 percent felt the ultra low sulfur diesel had at least somewhat of an impact.

Although most fleet managers think it’s too early to tell what impact ULSD will have on fuel cost/economy, the general consensus, as seen in 1998 and 2002 emission requirements, is that ULSD will increase a fleet’s cost per mile of operation approximately percent, the survey found.

When asked about what initiatives fleet managers are planning in order to gain back the fuel economy lost to ULSD regulations, nearly 24 percent confirmed the use of technology tools, such as telematics.

This confirms PHH FirstFleet’s 2006 Survey of Fleet Managers findings, which found that of the 60 percent of fleet managers who said they were adopting the devices, 83 percent were looking to telematics to help improve performance. At the time, 39 percent indicated that they wanted to optimize routes and fuel management.

In addition, the survey asked respondents to focus on any other critical areas of concern to their companies. While driver availability and retention are still issues, driver incentive strategies such as increased pay, benefits and bonuses are apparently working to reduce this concern.

Beyond employing telematics, respondents indicated interest in driver incentive programs (21%), stretching out the lifecycle to maintain 2006 engines (19%), lighter specs (17%), and other fuel saving tactics, including aerodynamics, Auxiliary Power Units (APUs) as well as speed, RPM and idle reductions, 17 percent.

Eighty-five percent of fleet managers endorsed measuring driver habits and past performance. Survey respondents were overwhelmingly interested in employing an outside service to conduct an operation audit, with nearly 52 percent indicating they have considered outsourcing maintenance and safety compliance to an industry consultant.