FedEx Hybrid Truck Plan Hits Speed Bump
In 2003, FedEx bet on hybrids, predicting that hybrid vehicles had the potential to replace the company’s 30,000 medium-duty trucks over the next 10 years. The company isn’t quite there yet. Currently, it only has 172 of the trucks on the road, Fast Company reports.
Mitch Jackson, FedEx’s director of environmental affairs and sustainability, believes the main problem is that not enough companies have joined FedEx in testing hybrids. Because other companies have not ordered test vehicles, prices remain high. The hybrid engines Eaton Corp. produces for FedEx carry a 75 percent price premium.
The company also bet that federal incentives would help defray the high costs. That simply hasn’t happened.
The 2005 energy bill included provisions for commercial-hybrid-truck-tax credits, but they were never put into place by the IRS. Large companies such as Coca-Cola and AT&T are now bringing hybrid trucks into their fleets. This may eventually push engine prices down.
Energy Manager News
- 30 Environmental Advocacy Groups Call on NARUC for Holistic Rate-Setting Guidelines
- New York State’s Summer of Energy
- Chicago Church Strives for Energy Efficiency
- Small, Medium Size Commercial Building Efficiency Market to Grow
- ERC: Price Benchmark Trends Week Ending June 24, 2016
- FERC Rules Against Tri-State Fee on Local Renewable Power
- Marin Clean Energy to Reduce Rates and Expand Service Area in September
- Drama Aside, Tesla’s Acquisition of SolarCity Makes Sense