Electrification of fleets
4/23/2024
5 min of reading

Fleet Energy Transition: Companies Must Act

Presentation of Damien Adam's law on the decarbonization of vehicle fleets

Damien Adam's bill, which aims to tighten the rules for the decarbonization of vehicle fleets, was adopted by the National Assembly's Sustainable Development Committee on April 9, 2024. This law puts pressure on businesses that have more than 100 vehicles in their fleet. It aims to accelerate the transition to more environmentally friendly vehicles and imposes electrification thresholds and sanctions in case of non-compliance with the objectives.

It is recognized that these goals are ambitious and that electrification does not yet meet all the needs of fleet managers. The technical and logistical challenges associated with this transition are considerable. However, this law also represents an opportunity to adapt to an inevitable trend in the sector.

Fleet greening thresholds: what are the new requirements?

Greening thresholds staggered by one year

The greening thresholds, originally set out in the bill, were as follows:

  • 30% in 2025
  • 40% in 2026
  • 50% in 2027
  • 60% in 2028
  • 70% in 2029
  • 80% in 2030
  • 90% in 2031
  • 95% in 2032

However, nine amendments were adopted, extending these thresholds by one year. Thus, the greening threshold in 2025 is now 20%, while in 2032 it will increase from 95% to 90%.

Penalties for non-compliance with fleet regulations

A sanctions mechanism will be put in place from 1 January 2026. An insufficient number of low-emission vehicles in fleets would be subject to a fine. This would represent a maximum of 1% of turnover, and a progressive fine for each missing clean vehicle: 2,000 euros in 2025, 4,000 euros in 2026 and 5,000 euros in 2027.

In the event of reporting breaches, the company will be liable to a maximum fine of 0.1% of turnover instead of the 10,000 euros provided for by the deputy, and 20,000 euros in the event of a repeat offense.

Fleet managers should therefore take these sanctions seriously. They should put in place procedures to control and communicate the necessary information. This involves the collection and analysis of vehicle fleet data.

Optimize fleet management to meet new requirements

The first step is to collect and analyze vehicle usage. The objective is to electrify vehicles that can be used with a 100% electric motor. Optimal mobility therefore proposes an electrification study that will make it possible to collect the data essential for informed decision-making. Distances travelled, duration and frequency of trips, duration and parking locations: all these parameters are analyzed over a significant period of time in order to determine, individually, the relevance of a switch to an electric vehicle.

Incentives for integrating electric vehicles into fleets

The proposed law is not limited to sanctions. It also aims to promote electric vehicles with a good ecological score. That is to say, they will be counted as “1.2 vehicles instead of 1” at the administrative level.

In other words, if you include 5 vehicles with a good ecological score in your fleet, 6 vehicles will be counted administratively (1.2*5 = 6).

Exclusion of hybrid vehicles: focus on complete electrification

What about hybrids? It should be noted that plug-in hybrid vehicles will be excluded from electrification quotas. This gives way to 100% electric models, modernized vehicles, heavy quadricycles and motorized tricycles.

Specific framework for short-term renters and car sharing

What about short-term renters? This proposal also includes a specific framework for car sharing and car sharing operators. The law proposes an adapted electrification calendar with progressive goals starting at only 5% in 2025. And a review clause is planned for 2027 in order to assess the effectiveness of the measures and to adjust the trajectory if necessary.

The use of electric vehicles is a way to move towards decarbonization... but it's not the only solution

A multi-dimensional approach is needed to achieve decarbonization goals in the field of mobility. At the same time, employees also have a crucial role to play in this transition. Their contribution can take many forms, such as reducing the number of kilometers driven, adopting less carbon-emitting modes of transport, and supporting the development of energy-efficient electric vehicles.

It is here Mobility pack can play a decisive role. It is a mobility management platform that offers fleet managers a valuable tool to navigate these new regulations. The solution makes it possible to “digitize” the management of professional expenses, but also to manage government programs dedicated to “soft mobility”. The mobility credit and the sustainable mobility package can thus be managed using the Mobility Pack solution. The mobility manager benefits from dashboards containing valuable indicators via the Mobility Pack solution. The TCM (total cost of mobility) and the individual and collective carbon impact... These indicators make it possible to analyze and optimize employee mobility, both financially and environmentally.

Damien Adam's bill proposes short-term measures and actions that can quickly contribute to reducing emissions from the transport sector and meeting our climate commitments. By involving all industry stakeholders, fleet managers and employees, we can meet the challenges of transitioning to a more environmentally friendly vehicle fleet.


Take action to avoid penalties

In conclusion, there is no time for procrastination! The climate emergency is here and no one can ignore it. After the recent throwback on LEZs (low emission zones), the Damien Adam law makes a point of emphasizing the importance of the energy transition. It is therefore natural that businesses with a fleet of 100 vehicles or more are called upon to contribute.

Vehicle electrification, carsharing and carpooling in companies, alternative mobility... the areas to be developed are real and the tools to manage these changes are ready. So it's time to take action...

If not, watch out for sanctions!