DKV Mobility: five ways fleets can control fuel costs

With UK average pump prices having seen a sharp climb in recent times, mobility services provider DKV Mobility has issued advice for fleets on how to control their fuel spend.

“Commercial vehicle operators may pay different rates through fuel card agreements, truck networks or bulk purchasing,” said Neil White, country manager UK at DKV Mobility.

“But rising diesel prices make one question increasingly important for HGV, PSV and LCV fleets: how much control do you have over what you actually pay?”

  1. Know what you are actually paying for diesel

Headline pump prices show where the market is moving, says DKV Mobility, but they do not necessarily reflect what a commercial fleet pays.

“Operators may purchase diesel through fuel card agreements, dedicated truck networks or bulk deliveries, so regularly comparing these options can provide a clearer picture of real fuel costs.

“Price per litre is only part of the calculation. A cheaper filling station may not deliver a saving if reaching it requires additional mileage, fuel and driver time. The starting point is therefore simple: know what your fleet is actually paying and consider the total cost of each refuelling stop, not just the pump price.”

  1. Use transaction data to make better decisions

Every fuel card transaction provides information about where, when and how much fuel is being purchased, the firm points out.

“Centralising this data can help fleet managers identify patterns, compare locations and spot unusual activity.

“DKV Mobility customers can use tools including DKV Cockpit and DKV Analytics to access transaction and cost information. The value lies not simply in collecting data, but in using it to make better purchasing decisions. Small improvements can become significant when multiplied across an entire fleet.”

  1. Don’t forget the cost of administration

“Fuel purchasing also creates less visible costs. Processing receipts, checking transactions, allocating expenditure and handling invoices all take time, particularly for larger and international fleets.

“Consolidating transactions and billing through a fuel card can reduce the number of individual documents and payments that fleet and finance teams process, while providing a clearer overview of expenditure. It won’t change the diesel price, but it can reduce the time and resources spent managing fuel.”

  1. For international fleets, factor in tax refunds

“Depending on the country, operation and applicable regulations, transport businesses may be eligible to reclaim VAT associated with fuel purchases. Fuel price, location, invoicing and eligible refunds should therefore be considered together when calculating the true cost of refuelling.

“DKV Mobility supports transport businesses in the UK with VAT and excise duty refund solutions. For fleets purchasing significant volumes internationally, eligible refunds can be an important part of controlling overall fuel costs.”

  1. Consider the wider energy picture

Higher diesel prices also give operators another reason to review whether some vehicles or routes could be suitable for electrification, DKV Mobility points out.

“For many HGV operations, diesel remains essential, while some LCVs, urban operations and predictable or depot-based routes may offer a different business case.

“The comparison should be based on total operating cost rather than diesel versus electricity prices alone. Vehicle and infrastructure costs, energy, mileage and utilisation all matter. For mixed fleets, bringing refuelling and charging into the same mobility strategy can also make costs easier to manage.”

White concluded: “Fleet managers cannot control diesel markets, but they can control many of the decisions that determine what their business ultimately pays. Understanding actual purchase prices, choosing refuelling locations carefully, using transaction data to make better purchasing decisions, reducing administration and considering international refund opportunities can all contribute.

“The goal is not simply to find the cheapest litre of diesel. It is to understand the total cost of keeping every vehicle moving.”

DKV Mobility’s fleet fuel purchasing checklist

The mobility services provider identifies seven questions for fleets to ask about their fuel strategies.

  1. What are we actually paying for diesel?
    “Compare pump prices, fuel card rates and, where relevant, bulk purchasing costs,” DKV Mobility advises.
  2. What does each refuelling stop really cost?
    “Include additional mileage, fuel consumption and driver time.”
  3. Are drivers refuelling in the right locations?
    “Compare the stations being used with your routes and preferred network.”
  4. Are we using our fuel data effectively?
    “Use transaction data to identify costs, patterns and unusual activity.”
  5. How much administration does fuel purchasing create?
    “Consider receipts, transaction checks, cost allocation and invoice processing.”
  6. Are we using international refund opportunities?
    “Check whether eligible VAT and excise duty refunds are part of your fuel strategy.”
  7. Should we reassess diesel versus electric on certain routes?
    “For suitable duty cycles, compare total operating costs rather than energy prices alone.”

www.dkv-mobility.com