With the future of commercial vehicle leasing at stake, the
British Vehicle Rental and Leasing Association is fighting hard for
its members. How far over the top has it gone?.
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The British Vehicle Rental and Leasing Association (BVRLA), an
important body for the UK asset finance industry as it represents,
by fleet size, some 65 per cent of the UK commercial vehicle (CV)
rental and leasing sector, and whose members lease or rent out some
320,000 vans in the UK, has rarely been greater involved in
lobbying than at present.
A key activity in recent weeks has been its preparation for the
European Commission’s Whole Vehicle Type Approval (WVTA) directive,
which is to be extended from passenger cars to all commercial and
goods vehicles, including vans, trucks, trailers, and some other
specialised vehicles. Under the directive, which comes into force
in the UK in April 2009, the vehicle – chassis and bodywork
combined – and the production process will require initial
approval.
Certificate
Upon implementation of the WVTA each commercial vehicle will
require a Certificate of Conformity as evidence of compliance.
Without this certificate the vehicle will not be able to be sold,
registered or used on the road either in the UK or within the rest
of the European community. Nor can it be leased.
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By GlobalDataPreparing for these changes are onerous, and commercial vehicle
lessors need to be readying themselves now. For instance, lessors
should be working with motor manufacturers, body builders and
supplying dealers to ensure that they are accommodating all key
requirements and vehicle specifications. They should also be
flagging up these changes to their customers now since vehicles
they are currently ordering may be delivered once the new
legislation is in place. They should also highlight the cost impact
and potentially longer ordering times for multi-stage build
vehicles.
Another issue dear to the heart of commercial vehicle lessors
also features as a giant dot on the BVRLA’s radar – CO2
emissions.
Breakthrough
In recent weeks the association gained a breakthrough with
regulators on the key issue of manufacturers releasing information
on exactly how much of this their commercial vehicles are
releasing.
“Our members and their customers were calling for impartial
information on what they could do to lower their carbon footprint.
The information was readily available for customer cars and has
become a key element in the decision making of many fleets,” John
Lewis, the BVRLA’s director general, remarked.
Achieving a breakthrough on this issue has not been easy with
manufacturers in the past having been largely reluctant to release
this data. But now, thanks to the BVRLA’s efforts, they will be
forced to. The Society of Motor Manufacturers and Traders (SMMT) is
now in discussion with the Department of Transport about publishing
the emissions figures, probably via the Vehicle Certification
Agency. “In the meantime we are working with consultants at
Clifford Thames to provide the data on our website within the next
few weeks,” said Lewis.
The BVRLA is also advising customers making occasional visits to
London’s Low Emission Zone (LEZ) to consider renting appropriate
vehicles rather than being charged – or fined – for using older,
nonconforming trucks.
Lewis said:“With short-term truck rental rates starting at
around £60 a day, there is almost no reason for anyone to pay the
daily £200 fee to take a pre-Euro-3 vehicle into the LEZ. Not only
is renting cheaper bit it uses a more fuel-efficient vehicle and
it’s better for the environment.”
The LEZ applies to CVs over 12 tonnes and has been in operation
since February 2008. It sets a minimum emission standard for CVs
entering Greater London with a punitive £200 daily fee for those
that cannot meet it. From July 7 the 610-square mile LEZ was
extended to cover any CVs over 3.5 tonnes with a fine of up to
£1,000 for operators who are caught unprepared by one of the zone’s
automatic number plate-reading cameras.
Vehicles registered after 1 October 2001 are assumed to meet the
Euro-3 emission standard the LEZ is currently based on. Owners of
vehicles purchased before this date will either have to pay to have
them modified and/or registered as meeting the standard, or pay the
daily fee when working in London.
Whilst an investment in expensive modifications or even
replacement vehicles may make sense for regular visitors to the
capital, the BVRLA suggests that occasional visits within the M25
could be more cost-effective if a rental vehicle is used.
Brian Rogerson
