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Arval bids to lead on sustainable mobility

Date: 21 October 2020   |   Author: Simon Harris

The company is predicting growth as a new era of sustainable mobility beckons.

The coronavirus pandemic has accelerated the move towards sustainable mobility, according to Arval, which has outlined its strategy for growth over the next five years.

Partnerships are expected to see a growth in Arval's global fleet, as well as a reduction in its carbon footprint, and there will be a rolling out of E-scooters to businesses that have use for them, and vehicle-to-grid (V2G) charging during peak demand for electricity.

Initiatives for the company's new strategic plan were outlined in the Arval Beyond press conference this month.

By 2025, Arval aims to add 500,000 electrified vehicles to its global fleet, leading to a 30% reduction in CO2 emissions and maintaining its current carbon-neutral status.

It also wants to offer sustainable mobility products in every country where it has a presence.

The strategy will aim to shift Arval from being car-centric to all mobility, including e-bike leasing, car sharing and micro-mobility, and mobility-as-a-service applications. 

Arval has an ambition to become a key leader in energy transition and sustainability by helping customers to protect the environment and create safer roads. This includes the additional 500,000 electrified vehicles on the road in 2025, as well as registering a 30% reduction in its fleet's average CO2 emissions. It also wants to harness the improved safety technology available in modern cars to help reduce its accident rate by 10%. 

It will also seek to roll out V2G charging, where customers can be paid to return energy from their electric vehicle to the network at peak times, and recharge their cars overnight when there is lower demand.

Initially, this will be in partnership with Nissan, but Arval bosses say other vehicle manufacturers will be introducing this capability with the next generation of electric vehicles.

Bart Beckers, chief commercial officer at Arval, told Business Car that in the UK, which has a very mature corporate leasing sector, much of the company's growth is likely to be through retail and SME business, as well as increased take-up of salary sacrifice as EVs seem more appealing to employees outside of company car schemes.

"It will be a mix of the traditional corporate leasing, as well as salary sacrifice and new retail business," he said.

Regarding E-scooters, they will be available on request, and Arval will offer a training module to customers interested in them.

Beckers added: "We try all of this new technology within the company first, so we understand it, and we are well placed for consultancy and information on the technology."

"The Arval Beyond strategy is a five-year plan that encompasses this new mindset, with a strong ambition: not only strengthening our historical business model, but going beyond it to become the industry benchmark in terms of sustainable mobility solutions," said Alain Van Groenendael, Arval chairman and CEO.

"With this new plan, we are committed to delivering an integrated mobility experience for our customers, to providing them support during the energy transition, simplicity through connected and flexible products and services, and to co-building added value and innovative offers with new partners."



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