Biofuels bypass: Why directly switching to electric drive is now the most strategically clever decision.
Are you facing the decision to operate your fleet with biofuels or to take the step towards electric mobility? While biofuels may seem like a transitional solution, a direct diesel-to-electric conversion offers a more economically and ecologically superior alternative. Act now, as the crucial funding deadline ends on August 31, 2025.
The topic briefly and concisely
The direct conversion to electric drive is more economical than biofuels or new purchases, thanks to an 80% subsidy (deadline August 31, 2025) and TCO advantages.
By continuing to use existing vehicles (DTE), companies act in the spirit of the circular economy and save up to 80% 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 increasing: Rising diesel prices, strict EU CO₂ regulations, and the implementation of the Clean Vehicles Directive require swift action. Many see biofuels as a quick solution, but these carry uncertainties regarding availability and costs. This article explains why you should avoid using biofuels and switch directly to pure electric drive. We pragmatically outline the four crucial steps that will not only help you meet legal requirements but also sustainably reduce the total cost of ownership (TCO) of your fleet. Utilize the circular economy to your advantage by retrofitting your proven vehicles and benefit from up to 80% government subsidies.
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 obligation to decarbonize. The EU has tightened the CO₂ fleet limits for new commercial vehicles by 90% by 2040. At the same time, the Clean Vehicles Directive (CVD) already obliges public authorities today to fulfill fixed quotas for clean vehicles in procurement, which will increase again starting in 2026. Biofuels seem to be a simple answer, but their long-term price stability and availability are uncertain. The 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 in fossil and alternative fuels. The next section shows how to strategically plan this transition.
Your 4-point action plan for electrifying your existing fleet
A successful fleet transition requires a clear strategy, rather than relying on uncertain transitional technologies. With this 4-point plan, you can bypass the use of biofuels and directly convert to pure electric drive. This ensures maximum profitability and compliance with all regulatory requirements. Each step is designed to protect your investment in the fleet and optimize overall operating costs. Start with an analysis of funding opportunities to relieve the budget by up to 80%. Here is your checklist for the transition:
Funding Analysis: Identify all available grants from the BMDV funding guidelines and secure up to 80% for vehicle conversion as well as 40% for charging infrastructure.
TCO Assessment: Conduct a detailed analysis of the total costs of your fleet to quantify the long-term savings in energy, maintenance, and taxes.
Existing Vehicle Check: Evaluate which of your existing vehicles, especially those with expensive special builds, are ideally suited for a DTE conversion and thus maintain their value.
Charging Infrastructure Concept: Plan a scalable charging infrastructure that is aligned with your operational workflows and the charging capacity of your new electric vehicles (up to 165 kW).
Financial support is a crucial lever to accelerate the transition.
Deadlines and funding pots: How to make the best use of the 80% subsidy
The time for utilizing the maximum funding rates is limited. Applications under the KsNI guideline of the Federal Ministry for Digital and Transport (BMDV) must be submitted by August 31, 2025. This guideline is the crucial lever to drastically reduce investment costs. 80% of the additional costs for a DTE conversion compared to a new diesel vehicle are subsidized. Additionally, 40% of the costs for establishing the necessary charging infrastructure are covered. This funding makes the conversion the most economically attractive option. A professional funding analysis ensures that your application meets all criteria and is submitted on time. Please note that this information provides general guidance and does not constitute legal or funding advice. Next, we will compare the long-term costs to clarify the financial advantage.
TCO Analysis: How Retrofitting Outperforms New Purchases Economically
The Total Cost of Ownership (TCO), i.e., the overall operating costs, is the critical metric for fleet operators. They encompass acquisition, energy, maintenance, insurance, taxes, and residual value over the entire lifespan. While a new electric commercial vehicle incurs high acquisition costs, the DTE conversion saves your capital. You retain the expensive and proven special bodies of your vehicles and only exchange the drivetrain. Studies show that the TCO of electric trucks can already be lower than those of diesel vehicles today, primarily due to lower energy and maintenance costs. A HEERO DTE-Sprinter with up to 425 km range is significantly cheaper to operate than its diesel counterpart. The savings on truck tolls and reduced maintenance susceptibility further enhance your TCO advantages. However, the cost-effectiveness also depends on the technology used.
Technology and Sustainability: Performance Meets Circular Economy
Modern DTE technology is not a compromise solution. Our retrofitted vehicles offer impressive performance data, designed for the demanding everyday work environment. A Heero tourer for nine people achieves up to 400 km range with a 110 kWh battery. The low-floor bus reaches up to 300 km and charges up to 165 kW to 80% in about 30 minutes. 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 up to 80% of CO₂ emissions that would be generated in the production of a new vehicle but also conserves valuable resources. With our retrofit solutions, you invest in a sustainable and future-proof fleet. The practical implementation is the final step on your journey.
Your way to the E-fleet: Implementation in practice
The conversion of your fleet is a clearly defined process. A mini-case from practice: A municipality with 20 Sprinter vehicles for green space maintenance faced the challenge of meeting the CVD quotas. Instead of procuring 20 new e-vehicles, the existing vehicles with their expensive attachments were retrofitted within a few months. The municipality saved over 50% of the investment costs and benefited from 80% funding. This is what your journey looks like:
Analysis & Consultation: Together, we examine your fleet and routes to find the optimal solution.
Subsidy application: Our team supports you in the timely application of all grants by August 31, 2025.
Vehicle retrofitting: Your vehicles will be retrofitted with the Heero electric drive in our factory within 10 to 15 working days.
Infrastructure development: In parallel with the retrofitting, we plan and install the appropriate charging infrastructure at your depot.
Handover & Service: You will receive your fully electrified vehicles back, including instruction and a comprehensive service package.
Now is the right time to set the course for an emission-free future.
More useful links
The National Charging Infrastructure Control Center provides comprehensive information on commercial vehicles and charging infrastructure.
Statista offers 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 increase 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 Federal Environment Agency provides comprehensive information on electromobility.
FAQ
Why is direct conversion to electric drive better than using biofuels?
The direct conversion to a purely electric drive provides long-term cost and planning security. In contrast, the prices and availability of biofuels are volatile. Furthermore, only a purely electric drive is truly locally emission-free and meets the strictest environmental requirements of the Clean Vehicles Directive and future CO₂ limits.
Which vehicles can be converted?
HEERO specializes in the professional diesel-to-electric conversion of Mercedes-Benz commercial vehicles, such as the Sprinter. This is particularly economical for vehicles with expensive or complex structures, as are common with municipalities, in logistics, or in trades.
How long does a DTE conversion take?
The actual conversion of your vehicle at our factory usually takes only 10 to 15 working days. During this time, the complete diesel powertrain is replaced with our standardized and certified electric platform.
What does Total Cost of Ownership (TCO) mean?
Total Cost of Ownership (TCO) or overall operating costs include all costs that arise during the entire lifecycle of a vehicle. These include not only acquisition or conversion costs, but also energy (electricity vs. diesel), maintenance, repairs, insurance, taxes, and truck tolls. E-vehicles often have significant advantages in this regard.
What happens if I miss the funding deadline on August 31, 2025?
After August 31, 2025, applying for funding under the current KsNI Directive of the BMDV will no longer be possible. Conversion is still feasible, but the investment costs must then be borne entirely by oneself, significantly reducing the project's economic viability.
Do I also get support in planning the charging infrastructure?
Yes, HEERO offers a holistic solution. We not only advise you on vehicle conversion but also plan and implement the charging infrastructure that suits your operational requirements. This is also subsidized by up to 40% by the government.
