Latest Fuel News

Several new motoring offences have come into force this week which have toughened laws governing business drivers and increase the chances of a ban.

The new measures, introduced under the Road Safety Act, include the raising of penalty points – from three to six – for those failing to provide information about the identity of a driver caught speeding.

This follows numerous incidents where motorists have claimed others were driving in order to avoid points on their licences.

There are fears that this and other new measures (see below) could result in employees being banned from driving after two offences.

Some fleet management software includes a direct link to the DVLA database so licences can be checked automatically.

New offences

Penalty points for failing to allow a drink-drive sample to be subjected to a laboratory test stay on licence for 11 years instead of four.

Maximum fine for careless or inconsiderate driving doubled to £5,000

Maximum fine for not ensuring that children are wearing seatbelts in the back of vehicles raised from £200 to £500.

A minimum six-month ban for anyone using a vehicle in a dangerous condition for the second time in four years.

Maximum fine for failing to stop if requested by police increased from £1,000 to £5,000.
Source: Road Safety Act

The Government should delay the fuel duty increase scheduled for October 1, or risk putting additional financial strain on motorists and petrol retailers alike, according to Ray Holloway, Director of the RMI Petrol Retailers Association (PRA).

The upcoming two-pence-per-litre increase was announced in March as part of the Budget, but deferred until the Autumn. Duty has already increased twice in the past ten months, with increases that coincided with the Pre-Budget Report in December 2006, and with the Budget in March 2007. With both oil prices and interest rates having risen steadily through the year, the scheduled increase should be deferred indefinitely, stresses Holloway: “A third tax increase in ten months will squeeze the tiny margins that petrol retailers work under further still. We already have less filling stations in the UK than in 1912, and it will not take much to push more stations out of business.”

Holloway adds: “Around 65 per cent of the price at the pump is tax. With oil prices rising, the Treasury will soon receive greater revenues than expected when the increase hits the price at the pump, so the Chancellor will be making more money anyway. Why not allow forecourt traders a little breathing room, so they can stay in business?”

Fleets are being encouraged to offer their opinions over the prospect of fitting speed limiters to company cars which could lead to cheaper tax and insurance.

The Commission for Integrated Transport idea is set to be discussed over the next few months and they are keen to discover what fleets think. They also intend to research what effects introducing the limiters – known as Intelligent Speed adaptation (ISA) systems would have in reducing deaths and injuries on UK roads and in reducing carbon emissions along with other pollutants and raising fuel consumption.

A spokesman for the commission said: “We haven’t looked properly at this but we’re very happy to take views on it, including those from the fleet industry.” Commission Chairman Peter Hendy told The Times last week that a report would be published next year that would set out the benefits of deploying speed limiters.

Mr Hendy, who is also head of Transport for London (TfL), went on to add that the devices would be tested on some of their own fleet next year which could be effective in enforcing 20mph speed limits in residential areas where it would be too expensive to install speed cameras.

TfL has commissioned research from Leeds University which has suggested that road deaths could fall by 37% if all vehicles were equipped with the limiters.

An estimated 2.3 million drivers fall asleep at the wheel of their vehicle every year according to new research just out.

Of 1,000 drivers questioned in a joint survey by road safety charity Brake and recovery company Green Flag, 7% admitted to falling asleep at the wheel.

If this percentage is applied to all registered drivers, it is possible that millions are dozing off on Britain’s roads.

In addition to this, more than a quarter of those interviewed believed they had been a passenger while a tired driver was in control

Despite the government’s campaign encouraging drivers to “Take a Break” it appears that many are still failing to do so.

The report reveals that 78% of drivers rely on opening windows or turning up the stereos in a bid to beat their tiredness.

The figures follow last week’s comments by road safety association GEM, saying that the poor quality of motorway service stations is forcing drivers to stay on the road instead of stopping.

Jools Townsend, head of education at Brake, said, “It’s crucial that drivers planning long journeys or driving at unusual hours are aware of the dangers of driving while tired and avoid it by getting a good night’s sleep beforehand and taking regular breaks.”

The recent escalating fuel prices will lead to an increase in fraud, according to a report published this week.

Despite low pump prices, crude oil costs are spiralling, with demand for oil likely to put pressure on fuel markets later this year.

This will lead in turn to an increase in fraudulent activity, such as when company drivers operating a pay and reclaim system may become tempted to claim excess fuel expenses from their employers.

These systems are open to abuse because of the amount of paperwork they create.

Other scams have included drivers filling up their partners’ cars on the company bill and siphoning off fuel for private use.

The report, from fleet software providers CFC Solutions, advises fleets to implement simple fuel saving and monitoring measures to combat the threats.

Andy Leech, business leader at CFC, said managers “don’t have to simply face rising fuel cost with a grim face, swallow, and pay the bill” but should pre-empt price increases and the potential fraud implications.

Basic savings can be made by using fuel-efficient vehicles, directing drivers to use cheaper outlets and monitoring mileage.

Mr Leech highlighted the effective use of fuel cards and relevant software systems in reducing fraud.

He said: “With fuel cards, data can be automatically loaded into fleet management systems and abuses easily identified.”

“This can be done by limiting the type of spend available and also analysing spend by driver and vehicle.”

“Our advice is simple,” he said. “Keep using fuel cards in conjunction with fleet software because this is the best way of tracking spend.”

Drivers whose vehicles have been stationery with the engine running for sustained periods can now be sent a text message to their phones alerting them of the opportunity to save fuel.
This is one of a range of tools available to fleet managers using sophisticated tracking and telematics to manage their fleets.

System developers are creating environmental reporting tools that allow managers and drivers to be far more proactive and discover ways to reduce fuel consumption and emissions.

One tracking company, Masternaut, has launched an environmental initiative which it calls “GreenerFleet”.

It pulls together a range of Masternaut developments, such as satellite navigation and real-time tracking, and provides a measurement and management system designed to reduce carbon emissions.

Reports will display the performance of vehicles, drivers and routes, helping managers to identify poor driving practices, unnecessary mileage and excessive idling.

A live ‘carbon calculator’ then links accurate vehicle mileage to the vehicle’s CO2 emissions.

GreenerFleet will be able to provide monthly, weekly and daily carbon footprint figures for each vehicle and driver.

Martin Port, Managing Director of Masternaut, said: “We are committed to innovation to meet the ever-changing needs of customers and we have had interest from existing customers who have pledged to reduce their carbon footprint. We all need to do our bit and our new tools give industry an easy-to-implement solutions that will enable real reductions in CO2.”

Whether or not drivers will respond to being told to “switch off” by text, remains to be seen and unless it is handled sensitively, drivers may not appreciate what could be seen as “Big Brother” intervention.

The loss of work caused by traffic congestion is one of the main business concerns for a quarter of Senior Managers. Almost 25% of HR and Finance Directors at a large number of companies considered that the increase in congestion was harming the UK’s competitiveness, according to research by LeasePlan.

When questionned on which transport-related issues were likely to affect their business over the next three years, 24% saw congestion and road pricing as a major issue, which is up 16% since a similar survey six months ago.

The research comes in the wake of Department for Transport figures showing that motorists are driving further and spending longer on the road.

The average UK resident travelled 7,100 miles in 2006, a 2% increase in the past decade.

The average trip length rose by 7% to 6.9 miles, although the number of trips per person per year fell 4% to 1,040. The average person now spends 383 hours on the road each year which is a rise of 4%.

Earlier this year, research from Trafficmaster and the RAC Foundation found that 20% of company car drivers spend over five hours a week stuck in traffic. The CBI estimates that congestion costs the UK economy as much as £20 billion a year in resources and lost time.

David Brennan, LeasePlan’s Managing Director, said: “There is no doubt that traffic congestion is worsening and is expected to increase by a further 15% by 2015, according to the DfT.

“It has the potential to seriously affect our economy. The government’s green agenda is a laudable one, but businesses need to know that there is a commitment to reducing traffic congestion that doesn’t just add cost for firms with no clear association benefit.

While there is evidence that the London congestion charge has helped reduce traffic levels, clear and tangible benefits of schemes of this nature must be communicated to businesses.

“The sheer volume of traffic on our roads is a serious issue that needs to be addressed right now.

Failure to do so could lead to company car drivers spending longer in jams and the UK business community becoming uncompetitive.”

Drivers travelling on both the M1 and A1(M) can now see real-time information on how long their journey should take on electronic roadside signs as a new service is rolled out across England.

This new service follows a successful trial in the West Midlands and South West which has proved extremely popular with motorists, with 89% of those questioned declaring that they thought the travel and delay time messages were a good idea.

The messages which are part of a new service from the National Traffic Control Centre, inform drivers of the expected travel time to specific junctions. The A1(M) and M1 are the latest motorways to be covered by the service, which has also recently been put in place on the M5, M6, and M25