Biofuels bypass: Why directly switching to electric drive is now the most strategically clever decision.
Biofuels bypass: Why directly switching to electric drive is now the most strategically clever decision.
Are you facing the decision of whether to operate your fleet with biofuels or to take the step towards electromobility? While biofuels appear to be a transitional solution, direct conversion offers an economically and emission-wise superior alternative. The federal KsNI funding ran until 2024; no new funding calls are planned.
The topic briefly and concisely
The direct conversion to electric drive is more economical than biofuels or purchasing new vehicles due to TCO advantages; funding of up to 80% of the additional costs ran until 2024.
By continuing to use existing vehicles, companies act in the spirit of the circular economy and save a significant proportion of the CO₂ emissions of a new vehicle.
Legal requirements such as the Clean Vehicles Directive and stricter EU CO₂ fleet targets make the transition to emission-free drives unavoidable.
The pressure on fleet operators is growing: rising diesel prices, strict EU CO₂ targets, and the implementation of the Clean Vehicles Directive require rapid action. Many see biofuels as a quick solution, but this brings uncertainties regarding availability and costs. This article shows why you should bypass the use of biofuels and convert directly to pure electric drive. We explain pragmatically the four decisive steps with which you not only meet legal requirements but also sustainably reduce the Total Cost of Ownership (TCO) of your fleet. Use the circular economy to your advantage by converting your proven vehicles; the state funding of up to 80% of the additional costs ran until 2024.
The double pressure: Why diesel and biofuels have no future
Fleet managers in municipalities and companies face two major challenges: rising operating costs and the pressure to decarbonize. The EU has tightened CO₂ fleet limits for new commercial vehicles by 90% by 2040. At the same time, the Clean Vehicles Directive (CVD) already obliges public contracting authorities to meet fixed quotas for clean vehicles in procurement, which will increase further from 2026. Biofuels seem to be an easy answer, but their long-term price stability and availability are uncertain. Direct Diesel-to-Electric conversion (DTE) is the only solution that guarantees economic predictability and compliance with future emission targets. This strategy protects you from unpredictable price developments for fossil and alternative fuels. The next section shows how you can plan this transition strategically.
Your 4-point action plan for electrifying your existing fleet
A successful fleet transition requires a clear strategy instead of relying on uncertain transitional technologies. With this 4-point plan, you can bypass the use of biofuels and switch directly to pure electric drive. This allows you to achieve maximum economic efficiency and comply with all regulatory requirements. Every step is designed to protect your investment in the fleet and optimize the total cost of ownership. Start with an analysis of funding opportunities; the federal KsNI funding covered up to 80% of the additional costs until 2024. Here is your checklist for the transition:
Funding Analysis: Identify which grants are currently open; the federal KsNI directive subsidized up to 80% of the additional costs of a vehicle conversion until 2024, no new funding calls are planned.
TCO Assessment: Conduct a detailed analysis of the total cost of ownership of your fleet to quantify long-term savings in energy, maintenance, and taxes.
Existing Vehicle Check: Evaluate which of your existing vehicles, especially those with expensive specialized bodies, are ideally suited for conversion and thus retain their value.
Charging Infrastructure Concept: Plan a scalable charging infrastructure tailored to your operational processes and the charging capacity of your new electric vehicles (up to 165 kW).
The financial support was a decisive lever to accelerate the transition.
Deadlines and funding pots: What the 80% subsidy meant until 2024
The KsNI directive of the Federal Ministry for Digital and Transport (BMDV) ran until 2024; since August 2024, no new funding calls are planned, and already approved projects will be fully financed. This directive was the decisive lever for significantly reducing investment costs. Up to 80% of the additional costs of a conversion compared to a new diesel vehicle were funded. In addition, 40% of the costs for setting up the necessary charging infrastructure were covered. This funding made the conversion particularly economically attractive. A professional funding analysis clarifies which programs can be considered for your project today. Please note that this information provides general guidance and does not constitute legal or funding advice. Next, we compare the long-term costs to illustrate the financial benefit.
TCO Analysis: How Retrofitting Outperforms New Purchases Economically
The Total Cost of Ownership (TCO), i.e., the total operating costs, is the decisive key figure for fleet operators. They include acquisition, energy, maintenance, insurance, taxes, and residual value over the entire service life. While a new electric commercial vehicle causes high acquisition costs, the DTE conversion protects your capital. You retain the expensive and proven special bodies of your vehicles and only replace the drivetrain. Studies show that the TCO of electric trucks can already be lower today than those of diesel vehicles, primarily due to lower energy and maintenance costs. A HEERO DTE Sprinter with a range of up to 425 km is significantly cheaper to operate than its diesel counterpart. The savings in truck toll and lower maintenance requirements further improve your TCO advantages. However, economic efficiency also depends on the technology used.
Technology and Sustainability: Performance Meets Circular Economy
Modern DTE technology is not a compromise solution. Our converted vehicles offer impressive performance data designed for demanding daily work. A HEERO Tourer for nine people achieves a range of up to 400 km with a 110 kWh battery. The medium low-floor bus achieves up to 300 km and charges to 80% in around 30 minutes with up to 165 kW. This approach is a prime example of the implementation of the Circular Economy Act (KrWG). Instead of scrapping a fully functional vehicle, it is modernized and given a second life. This process not only saves a significant portion of the CO₂ emissions that would be generated during the production of a new vehicle, but also conserves valuable resources. With our conversion solutions, you are investing in a sustainable and future-proof fleet. The practical implementation is the final step on your path.
Your way to the E-fleet: Implementation in practice
Converting your fleet is a clearly defined process. A brief case study from practice: A municipality with 20 Sprinter vehicles for green space maintenance faced the challenge of meeting the CVD quotas. Instead of purchasing 20 new electric vehicles, the existing vehicles with their expensive bodies were converted within a few months. The municipality saved over 50% of the investment costs and utilized the KsNI funding open at the time, which covered up to 80% of the additional costs. This is what your path looks like:
Analysis & Consulting: Together, we examine your fleet and your routes to find the optimal solution.
Funding Check: Our team assesses for you which subsidies are currently open and supports you with the application.
Vehicle Conversion: Your vehicles are converted to the HEERO electric drive at our factory within 10 to 15 working days.
Infrastructure Setup: Parallel to the conversion, we plan and install the appropriate charging infrastructure at your depot.
Handover & Service: You receive your fully electrified vehicles back, including instruction and a comprehensive service package.
Now is the right time to set the course for a locally emission-free future.
More useful links
The Nationale Leitstelle Ladeinfrastruktur provides comprehensive information on the topic of commercial vehicles and charging infrastructure.
Statista provides a variety of statistics and data on electromobility.
Comprehensive market forecasts and data on electric vehicles in Germany can also be found at Statista.
An article by Logistra highlights the transformation in the commercial vehicle market and the growth in electric trucks and buses.
Electrive.net reports on Germany's position in e-trucks and e-buses, including current developments.
The OpenEnergyTracker provides documentation on electromobility in Germany.
The Umweltbundesamt provides comprehensive information on electromobility.
