Case study

Large retailer

 
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Key facts

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Where is it?


The station

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The station was designed to fit discreetly into an under-utilised space on Ocado’s Hatfield CFC site and is optimsed to refuel 80 trucks per day. During the design process extra capacity was built-in to allow Ocado to expand their fleet beyond 80.


10-year operation and maintenance agreement

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We’re future-proofing our fleet and our business. Emissions from CNG are cleaner than Euro VI standards which start to take effect with the London Low Emissions Zone from April, and will soon be followed by a further 32 Clean Air Zones.
— Graham Thomas, Ocado Fleet Service Manager

Environmental benefits

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Ocado utilised a blend of natural gas and renewnable biomethane to achieve a significant reduction in CO2 emissions.


Stakeholder welfare

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Drivers

The drivers also benefit from gas vehicles being smoother and quieter, running approximately 50% lower noise than diesel.

Local residents

With natural gas HGVs being 50% quieter than diesel HGVs Ocado has reduced its impact on the local community by creating less noise in residential areas and less noise during nighttime activities.

PPE

Ocado drivers are required to wear minimal PPE to refuel - just gloves.

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Money matters

Ocado’s Fleet Services Manager has reported savings of 12 pence per kilometre against diesel.

Annual savings per truck

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With a 12p/km saving and an annual mileage of 160,000km, an HGV would save £19,200 per year in fuel costs versus a diesel. Doing 220,000km, a truck could save a business over £26,000 per year in fuel costs.

Example annual fuel cost savings per truck, per year based on 12p/km saving vs diesel

Potential fleet savings

Assuming a 12p/km saving at 160,000km per year, 30 gas trucks would save a business nearly £600,000 in fuel per year. 70 trucks would save a business nearly £1,400,000 per year.

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Total annual fuel cost savings assuming 160,000km per year and 12p/km saving

Other retailers, such as John Lewis Partnership and Waitrose, have reported savings of £75,000-£100,000 over a truck’s lifetime.


Lower fuel duty locking in savings

Fuel duty paid (pence) on gas versus diesel

The government’s recent decision to fix fuel duty on gas at 50% of diesel until 2032 provided impetus for Ocado to invest in gas technology and has locked in savings against diesel for at least 13 years.