Fuel price shock driving interest in electric trucks, says NRC chief

The conflict in Iran and the resulting spike in global fuel prices is prompting transport operators to take a fresh look at electric trucks, according to National Road Carriers Association chief executive Justin Tighe-Umbers.

In a column published this week, Tighe-Umbers said the closure of the Strait of Hormuz had highlighted the transport sector’s exposure to global energy markets, with fuel prices more than doubling since the disruption began.

“The Iran conflict has done in months what years of policy debate could not – made our exposure to international energy prices impossible to ignore,” he said.

“For an industry that runs nearly exclusively on diesel, suddenly alternative energy options come into sharp focus.”

Tighe-Umbers said transport operators were increasingly exploring electric truck options, with commercial viability improving significantly in recent years.

“At NRC, we are seeing increasing levels of interest from transport operators considering new orders for electric trucks,” he said.

“Businesses who were sceptical two years ago are now asking hard commercial questions.”

He pointed to Foodstuffs’ battery-electric freight operations as an example of how the technology was now being successfully deployed in real-world applications.

“For the first time battery electric heavy truck performance is now reaching genuine parity with diesel. Foodstuffs for example have a Deepway truck running daily between Palmerston North and Wellington on a single charge.”

At the same time, NRC is helping operators assess the total cost of ownership of low and zero-emission vehicles through its partnership with EECA.

“Through our partnership with EECA we have built a free total cost of ownership tool so operators can compare electric and hydrogen options against diesel with real numbers, not guesswork.”

Tighe-Umbers said the focus should remain on helping operators make informed decisions as the industry transitions to new technologies.