2019 Sustainability report 1
SUSTAINABILITY REPORT 2019 TRANSPORTS NEW VEHICLE
-SALES — PHEVS AND BEVS VEHICLES With the development of technology and driving conditions of today, the EU have developed a new method to calculate fuel consumption and carbon dioxide emissions for vehicles, called the WLTP – Worldwide Harmonized Light Vehicle Test Procedure. It is a way to calculate emissions and consumption that actually reflects real driving better than the older measuring-method (NEDC). Amongst other things this test covers more accelerations and braking, runs for a longer period of time and takes the cars weight, including extra gear, into account. With WLTP the emission values become more accurate, but in some casesalso higher than with the earlier method, NEDC. We, the retailers, is no doubt depending on the fact that the car brands that we sell develops and produces more models within the charge- able segmentation. What we, the retailers, actually can effect be how we chose to present the available models to our clients. Through our knowledge about the new technology and the range of the manufacturers models we can to a certain degree effect our customers to choose from the plug-in electric hybrids vehicles (PHEVs) and fully electric vehicles (BEVs) segment as they purchase a car. The development within the automotive industry that concerns PHEVs and BEVs picked up pace by the end of 2013, and has kept expanding to yet again, in 2019, break a new record in the quota of PHEVs and BEVs vehicles amongst the total of newly registered vehicles. As an effect, we could offer our clients a vast range of PHEVs and BEVs. With 12 fully electric vehicles, from 9 different manufacturers and with a total of almost 50 rechargeable models from more than 10 different brands, we were one of the largest retailers of PHEVs and BEVs 2019. One big reason to this increase is the fact that more manufacturers now has several PHEVs and BEVs models in their portfolio. The combination of expanding infrastructures for charging, alongside new taxation- and emission regulation and the fact that the customers of today is significantly more aware when they chose a new product, especially concerning climate impact is all part of the increase and expansion of rechargeable alternatives. The sales of new PHEVs and BEVs vehicles increased in Sweden compared to 2018, which resulted in a share of 11.4% of the total amount of newly registered vehicles. The corresponding new car sales in Norway resulted in a total amount of 68.2%, of which 42.4% were fully electric vehicles (BEVs). BUSINESS TRAVEL Our travel policy includes any and all travels conducted when working for Hedin Bil. A cost effective and efficient way of travel is a necessity and proves that the operation is actively working to promote lower costs and a lower environmental impact. As the company expands, so does the amount of business trips. During 2019 the business trips mainly consisted of travels by car or plane. Our traveling increases emissions and effects the climate negatively. Our travel policy has been clarified regarding the way we chose our means of transport according to following principles; for travels shorter than a distance of 500 kilometers, the primary choice is to travel by car, the secondary alternative is to travel by train. For travels longer than 500 kilometers, you should choose primarily chose train, secondarily car and thirdly plane. On the distance Stockholm – Göteborg, the first choice should be train. For travels within your general area, chose public transport first, and car second. Company cars are mainly used by customers for test driving, and to a lesser extent for business travels. Test driving of cars is a crucial part of our operation and the possibility to effect energy- and fuel consumption is hard to change as the type of car, the way of driving and the fuel is all a matter of the client’s needs and the manufacturers demands on us as retailers of the respective brands. RESULTS • • • The number of sold PHEVs and BEVs vehicles in Sweden amounted to 19.8% of our total sales in Sweden, an increase of 35.4%. The number of sold PHEVs and BEVs vehicles in Norway amounted to 76.8% of our total sales in Norway, a slight decrease of 2.2%. The total sales of PHEVs and BEVs vehicles amongst all our brands amounted to 24.8%, an increase of 18.6%. • Our total sales of PHEVs and BEVs for brands that offered rechargeable vehicles in their assortment increased to 33.0%. • • • The procurement of diesel and gasoline decreased with a total of 3.2%, and the fuel consumption with 10.5%. The climate impact from the procured amount of diesel and gasoline increased with 31.1%. The climate impact of our service travels by plane amounted to 348.2 tons of CO2 -eq, which is an increase with a total of 49.2%. ANALYSIS We can see a noticeable difference in how big the quota is of sold rechargeable cars in Norway as compared to Sweden. PHEVs and BEVs increased with 18,6% and amounted to 24,8% of our total sales of new cars in 2019, that is to say our sales of new private- and transport cars as well as the truck sales. A big reason for the increase in sales of PHEVs and BEVs in 2019 is that the model range has been significantly larger. At the same time, we notice a greater interest to replace gas/diesel fueled vehicles with a rechargeable alternative from our customers. The reason for the increase in the amount of procured fuel, despise the lower volume, is that the quota of gasoline increased med a full 21.9% compared to 2018. The decrease of 23.1% in the total amount of procured diesel is an effect of the higher efficiency, nearly 25%, of the Diesel engine as compared to gasoline driven car. In addition, the amount of renewable content is considerably higher (roughly 20%) in diesel compared to gasoline (roughly 5%). What is clear concerning business trips by plane is that two of our car companies is accountable for about 60% of the total amount of air travels of 2019. A part of the explanation is that air travel is the only practically- and realistically viable means of travel due to the geographical locations of the operations. We can also see that the total amount of travels, despite this, deviates in relation to the air travels of the rest of the concern. In general terms, we can also see some faults in the implementation of our travel policy in the travels between Göteborg and Stockholm, amongst others. The reason behind the climate impact from company cars is mainly because the significant increase in gasoline fueled cars as compared with 2018, see the above explanation and the fact that the amount of service miles has increased with 8.2%. TARGETS A higher amount of sold chargeable vehicles compared to respective countries total amount of chargeable vehicles sold. Reduce our climate impact from business travels compared to the previous year. TOTAL SALES NEW VEHICLES - ALL BRANDS FÖRSÄLJNING NYA FORDON - Samtliga bilmärken 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Bensin/Diesel Gasoline/ Diesel 21 Hybrid Hybrid Vehicle Electric Vehicle Elbil Laddbara fordon - Totalt Rechargeable Vehicles - In total år 2016 år 2017 år 2018 år 2019