Service provider Coor will halve its climate footprint by 2025. An ambitious sustainability target, but not without challenges as the company is also experiencing strong growth.
Electricizing the car fleet is the key to success, says Kristina Olsson, director of sustainability at Coor in Sweden, whose conversion business has been backed by rental car company Autolease.
As a leading supplier of facilities management, Coor provides service solutions in everything from maintenance and energy improvement of properties to the operation of employee canteens, conference facilities and cleaning services.
We are a highly staffed company and need cars to transport ourselves as well as our products and equipment to and from customers. This means that our entire vehicle fleet is an important part of our ambition to become a truly sustainable company. The car fleet is one of the climate influences that we ourselves control and that can be controlled by regularly reviewing our guidance, and explains that the journey towards a greener fleet has been going on for several years now, says Kristina Olsson, Swedish Director of Sustainability at Core, Kristina Olsson.
100% electricity for a new lease agreement
The intermediate step before electrifying the entire vehicle fleet was, for example, preparing all service vehicles for renewable and fossil-free diesel (HVO 100). Intelligent route planning and a higher utilization rate for each individual vehicle are also included in the embodiment of the ambitious sustainability agenda.
We have gradually tightened our policy, with strong support all the way from Group Management, which has set our strategy to 2025, where we will grow the business while being truly sustainable. To achieve our goals, we need to move forward quickly on sustainability issues. When it comes to our interest and the company’s cars, which are also used privately, electricity is already 100 percent applicable to those who are about to sign a new rental agreement. We’ve also now started with a large selection of vehicles that are used every day in our delivery,” says Christina Olson.
These service vehicles, from passenger cars and light trucks, make up about 80 percent of Core’s total fleet, which today consists of about 700 vehicles. The transition to electric is done step-by-step as existing rental agreements expire, but the possibility of efficient charging is critical wherever in the country you go faster.
– Today, about 80 of our service cars are purely electric cars. We’ve decided that electric should be the first choice in all new acquisitions and when we replace cars after lease terms are up, but in the future we’ll also need to be more proactive in managing our entire fleet of vehicles and think more flexibly when it comes to car replacements, says Christina. Olson.
It is supported by Mats Silver, Swedish President of Autolease, who for many years has helped Coor in fleet leasing, advising and fleet management.
– We can help with restructuring between vehicles. For example, if you run out of car in Norland, where access to charging is very limited, it might be best to order an electric car to Stockholm and then switch cars between the different Core units. In this way, we can work together to improve the overall vehicle fleet, says Mats Silver.
The range is improving
He has seen interest in electric power grow exponentially in recent times and doesn’t think it will take more than a year before the 80/20 ratio is implemented, meaning that 80 percent of all new cars sold will be rechargeable:
– Today, two-thirds of passenger cars ordered by the company have “wire”, and 30 percent of them are pure electric cars. But the proportion is increasing rapidly with the current state instruments, at the same time that technological development means that the range is improving and the charging infrastructure is being expanded. The development of fuel prices for fossil fuels is also crucial in this context, says Mats Silver, and points out that all this together means an attractive calculation of the total cost for those choosing an electric vehicle, although the cost of leasing can sometimes be higher compared to The corresponding fossil-powered vehicle.
For many companies, the choice is also about credibility, building a brand, and taking on social responsibility. And as in the case of Core – to ensure that total CO2 emissions are significantly reduced in order to reach high climate targets.
For us, it’s not an issue. We want to do this and we will do it. Sustainability is an important profiling issue for us, says Christina Olson, as we also collaborate with our clients.
In practice, for example, it is about a joint guarantee of the presence at customers of charging stations for Coor service cars. An interest in electric power is also seen in customer requirements for new purchases, as sustainability issues become more important. Since companies are part of each other’s value chains, there is a common goal to live up to.
If we can offer customers a fossil-free transportation for our services, we will also help them with their sustainability work, says Christina Olson and notes that Coor’s collaboration with Autolease is based on similar principles.
Mats Silver shares this photo:
We have the same goal and ambition – to be a driving force for sustainable change.
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