Diesel vs Electric Trucks: Which Is an Ideal Solution for Enhancing Business Profitability?
In the logistics industry, choosing the right type of truck can significantly impact your business's profitability. With the freight and logistics sector in India projected to grow from USD 317.26 billion to USD 484.43 billion by 2029, investing in an efficient fleet of trucks is crucial for ensuring swift and cost-effective cargo transportation. To help you make an informed decision, we will compare diesel and electric trucks based on the total cost of ownership, emissions, and performance.
Performance Showdown: How Do Electric Trucks Hold Up Against Diesel in Real-World Conditions?
When it comes to performance, electric trucks offer high torque, which means they can accelerate quickly and handle heavy loads well. For example, an electric truck like the Tata Ace EV 1000 has impressive torque compared to its diesel counterpart. However, electric trucks typically have a shorter driving range—about 161 km on a full charge—while diesel trucks can travel around 660 km on a full tank. In real-world conditions, this means electric trucks are great for short trips and local deliveries, but diesel trucks are better for long-distance journeys.
Total Cost of Ownership
Understanding the total cost of ownership (TCO) is essential when evaluating diesel and electric trucks. For comparison, let’s look at a 1-tonne gross vehicle weight (GVW) diesel truck and an electric truck.
Diesel Trucks:
- Fixed Costs: Rs 3.8/km
- Variable Costs: Rs 11.35/km
The fixed costs for diesel trucks include expenses such as tax, insurance, and the cost of capital. Variable costs encompass tyres, maintenance, repairs, fuel, urea, and engine oil. Over time, these costs can add up, making diesel trucks potentially more expensive to operate in the long run.
Electric Trucks:
- Fixed Costs: Rs 6.62/km
- Variable Costs: Rs 7.34/km
Electric trucks have lower variable costs, primarily because electricity is generally cheaper than diesel fuel. However, their fixed costs are higher due to factors like the cost of the battery pack. Over the lifetime of the vehicle, electric trucks tend to have a lower total cost of ownership compared to diesel trucks, despite their higher initial fixed costs.
Emissions
Environmental impact is another crucial factor in choosing between diesel and electric trucks.
Diesel Trucks:
Diesel trucks produce harmful emissions, including nitrogen oxides (NOx) and particulate matter (PM). According to a study by the Council on Energy, Environment and Water, in 2020, road transport alone accounted for more than 92% of the emissions from the transport sector. As diesel trucks age, their emissions increase due to worn-out parts and less efficient engines. This makes them less environmentally friendly over time.
Electric Trucks:
Electric trucks, on the other hand, produce zero tailpipe emissions. They are powered by battery packs and electric motors, making them a sustainable option for cargo transportation. Choosing electric trucks can significantly reduce your business's carbon footprint and help meet environmental regulations and sustainability goals.
Performance
Performance is crucial for determining the right truck for your operations. Let's compare the performance of a diesel truck and an electric truck.
Diesel Trucks:
Diesel trucks generally offer good range and durability. For example, the Ace Gold Diesel Plus has a driving range of around 660 km on a full tank, making it suitable for long-haul operations. Diesel trucks are known for their ability to handle heavy loads and provide reliable performance over extended distances.
Electric Trucks:
Electric trucks are known for their high torque, which provides better acceleration and payload capacity. For instance, the Ace EV 1000 produces 130 Nm of torque, compared to the 55 Nm offered by its diesel counterpart. This high torque helps electric trucks handle heavier payloads more efficiently. However, their range is currently limited. The Ace EV 1000 offers a range of 161 km per full charge, which may be insufficient for long-haul trips.
Government Incentives and Regulations: How Do They Affect Your Decision Between Diesel and Electric Trucks?
Government incentives and regulations play a significant role in deciding between diesel and electric trucks. Many governments offer tax breaks, grants, or subsidies to encourage businesses to switch to electric trucks. These incentives can help offset the higher upfront costs of electric vehicles and make them more financially attractive. Additionally, stricter emissions regulations are being enforced, which can make diesel trucks more costly to operate due to penalties or higher compliance costs. As a result, these factors can sway your decision, making electric trucks a more appealing option if you want to benefit from financial incentives and avoid regulatory challenges.
Conclusion: Which Is Better?
When deciding between diesel and electric trucks, consider the following:
- Short-Haul Operations: Electric trucks are ideal for short-haul or route-specific operations due to their lower variable costs and zero emissions. They provide significant cost savings and environmental benefits for local deliveries and urban transportation.
- Long-Haul Operations: Diesel trucks remain preferable for long-haul trips due to their extended driving range and established infrastructure for refueling. They are better suited for routes that exceed the current range of electric trucks.
In summary, electric trucks are an excellent choice for businesses focused on sustainability and operating within short distances. They offer lower variable costs and help reduce emissions, contributing to a greener future. In addition, diesel trucks have a wider range in top brands like Tata trucks, Mahindra trucks, Ashok Leyland trucks, and others making it a better option for long-distance transportation.
Also Read -
Understanding Engine Oils for Trucks
Truck Fuel Tank Capacity: Everything You Need To Know