BlueCat calls for UK incentives
The text of an article that appeared in Integer Research's VENT Newsletter December 2005
BlueCat AdBlue Solutions, a division of UK company J&H Bunn Ltd, has launched a campaign to persuade UK fleet operators that SCR vehicles may represent considerable cost savings if diesel prices in the UK remain in the current high range. However, an added fiscal incentive is needed, the company argues, if the British Government wishes to encourage early adoption of less polluting trucks.
“We have seen a structural change in diesel prices in the UK,” John Fuller, BlueCat Project Director told Vent. “It looks as though prices will not go down from the £0.70- £0.80 per litre that we have seen in the last few months, and fuel efficiency therefore becomes more important.”
According to BlueCat’s “cost-saving calculator” an SCR truck owner would potentially save £859 (€1,264) annually on fuel costs driving a Euro 4/5 vehicle, if diesel costs remain at £0.80 per litre. The saving is just £651 (€958.00) annually if diesel costs £0.70 per litre. The figures are based on AdBlue costs of £0.46 (€0.68) per litre.
However, over the five year life of a typical truck, savings of just under £4,300.00 would only represent “break even” given the extra cost of the less-polluting Euro 5 trucks, which BlueCat argues does little to encourage early take-up of the technology.
BlueCat is calling on the UK Government to follow the example of its European neighbours by offering incentives to drivers of Euro 5 compliant vehicles. The most likely option would be to reduce Vehicle Excise Duty (VED) through the Reduced Pollution Certificate (RPC) scheme in existence in the UK. “What we want is for the Chancellor to extend the RPC rules to include Euro 5 engines, giving an instant £500.00 (€736) annual saving for a typical qualifying vehicle,” John Fuller said.
BlueCat AdBlue Solutions has announced a strategic AdBlue distribution partnership for the UK, appointing Teesside oil distributor Petroplus to deliver BlueCat AdBlue in bulk to large end users and regional distributors. The service will be marketed under Petroplus’s Blue-plus brand, although the agreement between Petroplus and J&H Bunn allows both to offer a nationwide delivery services to the largest users.
The Blue-plus bulk delivery service will supply a network of BlueCat distributors who, in turn, will deliver AdBlue in 10, 200 and 1,000 litre packages to their local markets. One of these distributors will be Rix Petroleum, based in Hull. A specialist fuel distributor, Rix will serve BlueCat markets in East Scotland, parts of the East coast and the north of England. Other distribution contracts for the UK and Ireland are to be announced, BlueCat confirms.
