Speed changes bring extra cost

Every day, commercial fleet managers balance safety and cost, aiming to keep their drivers and others on the road safe, while doing so profitably.

It's important to know that in approximately 30 percent of the country commercial trucks are still held to a different speed limit than their passenger counterparts, a remnant of the 1970s oil embargo that saw states reducing speed limits to conserve fuel. Lower truck speeds have remained, since they help fleets reduce their fuel costs while boosting safety.

In today's pay-per-mile trucking sector, speed has a substantial effect on the fleet's bottom line. Assuming fuel costs of $2.00 per gallon, approximately half of today's cost, and 6.0 mpg at 55 mph, the cost of speeding for a large truck can range from $0.037 to $0.101 per mile. While this per-mile range incorporates the direct and indirect financial costs of truck crashes, higher fuel consumption is the major cause.

Recently though, Texas not only has announced a speed limit increase but also has eliminated the slower speed limits for trucks. With this increase in speed, fleet managers will need to choose between the risks posed by a higher speed differential between their trucks and passenger traffic, or increasing fuel costs by raising the top speed of their fleets.

While states will continue to change speed limits, commercial fleet managers can stay on top of the situation by monitoring fleet speed through technology like SpeedGauge, which offers fleets the technology they need to set different speed controls according to context.

This entry was posted on December 12th, 2011 by jhubbard and is filed under Recent News & Updates.