Trucking fleets today are facing mounting pressure to achieve decarbonization goals in order to reduce the environmental impact of Scope 3 emissions. The transportation sector produces 28% of all greenhouse gas emissions in the United States — the most of any industry in the country — and as a result, many fleets are looking to electrification in order to reduce their carbon footprint and remain compliant with federal and state requirements.
However, the shift to electrification is not as simple as replacing traditional diesel tractors with EV units due to the financial and infrastructure challenges involved. EV tractors cost $200,000-$300,000 more per unit than their diesel counterparts, and it could cost the industry as much as $1 trillion to build the charging infrastructure required for a fully electric fleet, according to the Clean Freight Coalition.
The financial burden of adopting even a few EV tractors quickly becomes cost-prohibitive for many carriers. In order to encourage wider adoption of electrification across more fleets, a practical and scalable alternative would be beneficial in order to make the move more feasible. However, the cost of ignoring the push for more sustainable supply chains altogether will be great as well. As more states continue to set mandates for reduced emissions, fleets that do not comply will be limited in terms of the areas where they can operate and would face hefty fines for noncompliance, both of which would directly impact their margins. They may also risk losing business from key partners that have made sustainability a key area of focus and would look to carriers that are making strides to reduce their carbon footprint.
Range Energy identified these challenges early and has worked to build a cost-effective and scalable alternative to full EV tractor adoption in the form of its eTrailer System, a hybrid approach to electrification that enables fleets to realize immediate ROI while answering the call for decarbonization. Founded by Ali Javidan, an early Tesla engineer with a wealth of experience in paving the road to EV adoption, Range has worked to provide fleets with a scalable, alternative approach to electrification that doesn’t require extensive infrastructure updates or extensive downtime.
As Operational Costs Rise, Fleet Owners Seek Solutions
While shifting toward electrification may seem financially daunting, fleets are seeing reduced margins from their traditional diesel operations as well. The rising costs of fuel, insurance, and maintenance combined with a market in which shippers have pricing power has led many smaller fleets to shutter their operations. With the pressure to decarbonize, one of the biggest challenges for fleets is to find options that allow them to achieve their sustainability goals while remaining profitable.
The upfront costs of purchasing EV tractors, in addition to the infrastructure costs required to keep them up and running, are too great of a barrier for most fleets to overcome. This is why scalability is the name of the game when it comes to shifting toward electrification. Rather than requiring fleets to invest in EV tractors and infrastructure updates that would be required to charge them as needed, Range has developed a hybrid, bolt-on eTrailer System that can be used on existing dry van and refrigerated trailers, allowing fleets to implement the technology gradually over time without investing in new equipment.
Electrified Trailers: The Hybrid Solution for Practical Decarbonization
Electric trailers, such as Range Energy’s eTrailer System, provide a cost-efficient and scalable approach to helping fleets meet sustainability goals and requirements. Featuring a hybrid system that can be bolted onto any existing dry van or refrigerated trailer, the eTrailer System allows fleets to use their current equipment with minor modifications to lower their Scope 3 emissions while seeing immediate cost savings and efficiency improvements — and at a fraction of the cost of implementing EV tractors.
In addition to the lower upfront investment, electric trailers also result in less downtime for drivers when compared to EV tractor adoption. The smaller batteries used in electric trailers are much quicker and require less expensive infrastructure to charge, and this can be done during planned driver dwell time as opposed to needing to make additional stops for charging. Safety is also a key benefit for drivers, who benefit from electric propulsion assistance of the trailer, which reduces fatigue, enhances braking and traction, and improves handling for an overall better driving experience.
With a number of benefits for fleet managers and drivers alike, electric trailers allow fleets to continue their operations while avoiding major disruptions and achieving greater efficiency in the process.
Higher Efficiency for Lower Costs: Three Ways to Lower Operational Expenses with the Range eTrailer System
The Range Energy eTrailer System helps fleets to become more efficient and reduce operational expenses in three key ways.
Fuel Savings and Operational Efficiency
Due to the hybrid design that uses electric propulsion assistance, diesel tractors become more efficient, resulting in a 50-70% MPG improvement and reducing fuel costs by as much as 40%. In addition, the regenerative braking capabilities flow power directly back to the battery for even greater efficiency and performance.
In early pilot deployments, a California food delivery fleet traveling up to 250 miles per day was able to improve fuel economy from 7 MPG to 12 MPG, equating to $11,800 in annual tractor diesel savings. It also improved the TRU uptime and energy consumption by 10 hours / 44.7 kWh, leading to an additional $9,900 in annual TRU diesel savings, amounting to a total of $21,700 in potential savings per year, per unit.
Lower Maintenance Costs
Regenerative braking provides power directly back into the battery and reduces wear and tear on tractor brakes, leading to lower maintenance costs. Additionally, because the system provides propulsion assistance, the tractor engine does not need to do as much work (approximately 30% less according to a study by Mesilla Valley Transport Solutions) — likely leading to lower engine wear. The eTrailer System can also be charged during existing dwell time, minimizing the amount of time that drivers spend waiting when compared to the hours required to charge an EV tractor. This lowers the cost of maintenance and reduces fuel consumption — leading to immediate savings for fleets and a better experience for drivers.
Enhanced Asset Utilization and Fleet Flexibility
Because the Range Energy eTrailer System can bolt onto any existing dry van or refrigerated trailer, minimal downtime is required for the system to be installed. Any trailer can be converted into a hybrid unit within a few short hours using basic tools, making the eTrailer System a quickly scalable solution to help electrify their fleets over time. Because of the immediate reduction in emissions, the eTrailer System also provides fleets with the flexibility to operate in areas with heftier Scope 3 emission restrictions, such as California and the Pacific Northwest, without the need to invest in EV tractors and expensive infrastructure buildouts.
The Future of Fleet Electrification Is Hybrid
With greater restrictions around carbon emissions and regulations like the California Air Resources Board mandate going into effect, fleets need a scalable alternative to full electrification in order to remain compliant and keep their trucks on the road. Range Energy’s eTrailer System provides an efficient and scalable option for fleets looking to remain compliant with federal and state regulations while allowing them to achieve greater cost savings in the process.
Fleets with existing dry van or refrigerated trailers benefit from the flexibility of the eTrailer System, allowing any existing unit to be converted to a hybrid unit for immediate gains in efficiency and cost savings without the need to invest in new, expensive equipment.
Thanks to the Range Energy eTrailer system, fleets now have a flexible and scalable alternative to electrification, allowing them to meet the call for greater sustainability without the debilitating costs and downtime associated with investing in a fully electric fleet.
To learn more about Range Energy’s eTrailer System and how your fleet can achieve immediate ROI and efficiency gains, complete our Pilot Interest form to have a member of our team contact you to schedule a demo.