News / Hydrogen-van plan scrapped – sustainable trucking takes another hit

@Dachser

Sustainable trucking is in disarray. High costs, insufficient investment and lack of a clear infrastructure framework is holding back progress for manufacturers and fleet operators. 

News this week that Stellantis-owned Vauxhall has scrapped plans for a hydrogen-powered van – ‘too niche and profits too far off’  – has disappointed the market. 

Fleet software company FleetCheck said the move was a “major blow”. 

CEO Peter Golding added: “We have been arguing for some time that hydrogen has a potentially important part to play in the future of zero-emissions vehicles, especially in the light commercial sector where electrification is proving difficult for many businesses.” 

Noting the “real opportunity” missed, he acknowledged the challenges of refuelling facilities, high investment and lack of incentives to buy, but added: “We talk to operators every day who would like to electrify their van fleet, but are hitting issues with range, payload and charging times.  

“The promise of hydrogen is that it offers zero emissions without any of these compromises, and the Vauxhall proposition was the opportunity to try this in the form of a familiar vehicle from a major manufacturer. 

“Yes, significant hurdles would’ve remained, the biggest of which was the almost complete absence of a refuelling infrastructure. However, with no van, there is no way forward.” 

BMW also announced recently it would not sell its new hydrogen car in the UK because of the lack of fuelling facilities – essentially, a lack of government support. 

But this is not just for hydrogen – companies are having to weigh their options for sustainable trucks in each country. 

Burkhard Eling, CEO of Dachser, told The Loadstar last month: “The problem is the infrastructure, getting 1,000 kilowatt charging power in the branches. That’s the big problem.  

“If we search for plots to build new branches, it’s more the problem of where we get the energy. If you don’t get the energy you will not be able to serve your clients in five years, because if you really want to decarbonise your fleet, you need energy.” 

He added: “What we need is certainty, to have a clear understanding of what steps you can expect, what kind of investment is needed in infrastructure, what kind of programmes, what kind of toll reductions there are if you have CO2 emission-free trucks. 

“These kind of framework conditions need to be clear, because then you have a clear understanding of what steps you need to decarbonise your fleet, and how to allocate the investments.” 

Mr Eling admitted that “we were always blaming the OEMs a little bit; to say you can’t produce the number of vehicles needed, but now you get a more constant flow”.

However, not every manufacturer has prospered. Volta Trucks, which counted DB Schenker among its launch customers, was forced into administration in 2023, but restarted with new owners last year. It too blamed governments for its subsequent second closure in May this year.

“The environment remains particularly challenging for most companies in the BEV (battery electric vehicle) and electric industry. The industry is faced with a decline in government support and subsidisation throughout Europe, as well as a trend towards less capital investment from the private sector,” noted Volta.

“In addition, concerns surrounding the pre-revenue stage and capex needs of Volta made further capital injection difficult – despite Volta being on the verge of revenue from first customer deliveries.” 

Mr Eling added that tariffs were making the situation worse. He said: “If you are not clear about the steps you need to take, it gets difficult. 

“We need certainty and clear framework conditions on a German, as well as on a European, basis. This is really what is necessary. 

“It’s such a long journey. We have 120 electric trucks, we will have 150 at the end of the year, but every day we have 11,000 trucks on the road, so this is how far we have to go.” 

He added that customers in the company’s food logistics sector were particularly keen on lowering emissions. 

In Europe, biofuels are far less popular, given limited feedstocks, but Geodis has opted for a biofuel-powered fleet in the UAE. 

“We try to explore every energy to use for our trucks,” said head of global forwarding Henri Le Gouis. “In France for instance, we have electric trucks, but there is a big difference in terms of cost – it’s big cash for the operators. So we try to find a balance, we try to allocate dedicated shuttles where the customers are prepared to pay part of the extra cost. We cannot bear it on just our own shoulders, our margins are too tight.” 

Descartes said this morning more needed to be done to support logistics businesses, adding that fleet management is key.  

“The challenge of purchasing an EV goes far beyond simple vehicle costs, as it is a much more complicated and considered purchasing decision, and so more needs to be done to support businesses still hindered by a transition to electric vehicles, thanks to a lack of basic infrastructure and whole host of other issues,” explained Andrew Tavener, head of fleet marketing EMEA. 

“Home-charging frustrations experienced by consumers are minor compared to the infrastructure and scheduling issues faced by logistics operators, who must ensure vehicles remain on the road, not waiting at a charger.  

“Therefore focus for businesses first and foremost must be on smarter fleet management, which includes reducing unnecessary miles for all vehicles (ICE-powered and EVs), and using data-driven technology to plan efficient routes along which to travel.

“This first step makes electrification a viable and sustainable option for the logistics sector, before it even considers the rest of the infrastructure and vehicle selection challenges on the market.”