Achieving ESG goals: A conversion as part of my comprehensive corporate sustainability strategy.
Did you know that over 3,500 electric buses are already benefiting from 80% government subsidies? Electrifying your fleet is not a cost factor, but a strategic investment in your ESG balance and profitability. Act now, as the time for maximum funding is limited.
The topic briefly and concisely
The conversion of diesel fleets is a strategic decision to achieve ESG goals, which is highly attractive due to 80% government funding available until August 31, 2025.
By continuing to use existing vehicles (circular economy) and lower operating costs (TCO), retrofitting is often more economical than buying new.
The EU Clean Vehicles Directive primarily requires municipalities to take action and makes retrofitting a quick and resource-saving solution to meet the quotas.
The demands on modern vehicle fleets are increasing: high diesel prices, strict EU climate regulations, and the pressure to achieve ambitious ESG (Environmental, Social, Governance) goals require companies and municipalities to rethink. Many are confronted with the challenge of replacing costly special-built vehicles and controlling overall operating costs. A diesel-to-electric conversion (DTE) is the pragmatic solution here. It is a key component of a comprehensive corporate sustainability strategy and ESG goals. This article shows you how upgrading your existing fleet can not only meet legal requirements but also reduce your operating costs and position your company as a leader.
Your 4-step checklist for subsidized fleet electrification
Switching to electromobility seems complex, but with a clear plan in four steps, it is manageable. Bureaucracy, high costs, and uncertain ranges are solvable challenges. The current funding period ends on August 31, 2025, and offers a unique opportunity.
Here is your pragmatic action plan for rapid implementation:
Conduct vehicle and route analysis: Identify vehicles with predictable, daily routes under 400 kilometers. Our experts support you in analyzing your specific usage profiles.
Calculate Total Cost of Ownership (TCO): Compare the total operating costs. A DTE conversion reduces your variable costs for energy and maintenance by up to 70%.
Check and apply for funding: The BMDV funding directive subsidizes the conversion with 80% and the charging infrastructure with 40%. We guide you through the entire application process.
Plan and install charging infrastructure: Develop a tailor-made charging concept for your depot. Our Heero eTransporter charges up to 135 kW to 80% in about 45 minutes.
With this plan, the sustainable investment in your fleet becomes tangible and plannable. The next step is a detailed consideration of the financial benefits.
Optimize the use of funding pots: Secure up to 80% grant before the deadline of August 31, 2025.
The current funding landscape of the Federal Ministry for Digital and Transport (BMDV) is a crucial driver for the transport transition. It enables companies and municipalities to drastically reduce investment costs for electrification. The funding guideline for electromobility provides a funding rate of 80% for the acquisition or conversion of vehicles. Additionally, 40% of the costs for the necessary charging infrastructure will be covered. These high rates are crucial to quickly achieving profitability. The application deadline for these attractive conditions expires irrevocably on August 31, 2025. It is therefore urgent to act now to fully utilize this financial support. The time for a strategic reduction of fleet costs has never been better. However, funding is only part of the equation for profitability.
TCO Analysis: Why Retrofitting is the Most Economical Decision
The Total Cost of Ownership (TCO), also known as the overall operating costs, are the crucial factor for the cost-effectiveness of a fleet. They encompass more than just the purchase price. While the initial investment for a conversion may be higher, it often pays for itself within four to six years. This is due to the significantly lower ongoing costs. The energy costs per kilometer are on average about two times cheaper with electricity than with diesel. Moreover, expensive maintenance items such as oil and filter changes are eliminated, reducing maintenance costs by over 50%. Especially for vehicles with expensive special constructions, the conversion is unbeatable. You retain your proven vehicle and make it future-proof without having to invest in a complete new build. This utilization of the existing fleet is a core element of cost-effectiveness. Another important aspect is compliance with legal requirements.
Meeting legal requirements: The Clean Vehicles Directive as a driver for municipalities
The EU Clean Vehicles Directive (CVD), implemented through the Clean Vehicles Procurement Act (SaubFahrzeugBeschG), sets clear goals. Public authorities must meet binding minimum quotas for clean vehicles. By the end of 2025, for example, 45% of newly procured buses must be clean, half of which must be completely emission-free. For light commercial vehicles, the quota is 38.5%. These requirements make electrification essential for municipalities and local enterprises. A diesel-to-electric conversion is the quickest and most resource-efficient way to meet these quotas. It allows existing and proven vehicles, from waste collection to city buses, to continue being used. This way, municipalities can make a direct contribution to air quality improvement without having to replace the entire fleet. Thus, the conversion is a direct lever to meet the CVD requirements. This not only strengthens sustainability but also enhances the image.
Circular economy in practice: Retrofitting as a clear commitment to sustainability
The retrofitting of existing vehicles is a prime example of lived circular economy in the sense of the Circular Economy Act (KrWG). Instead of scrapping a fully functional vehicle with valuable components, its lifecycle is extended by many years. This approach conserves valuable resources such as steel, aluminum, and plastics, the production of which is extremely energy-intensive. Every DTE retrofit saves several tons of CO₂ compared to the purchase of a comparable new vehicle. You avoid production waste and significantly reduce your company’s ecological footprint. This makes the retrofitting a game changer for circular mobility and a strong signal to customers and citizens. You demonstrate that sustainability is more than just a word for you. The technical performance of the retrofitted vehicles underlines this strategy.
Technology that convinces: Range and charging power for professional use
Practicality is crucial for commercial use. Our retrofitted vehicles deliver convincing results here. The HEERO DTE-Sprinter achieves a range of up to 425 kilometers. Our bus solutions, such as the medium and low-floor buses, achieve up to 300 kilometers in demanding urban traffic. These ranges cover most daily usage profiles of municipalities, logistics providers, and craft businesses.
The charging performance is equally impressive:
Standard Charging Performance (DC): Up to 135 kW in most models.
Battery Capacity: 110 kWh gross / 96 kWh net ensure the high range.
Fast Charging Time: In just about 30 minutes, 80% of the range is available again.
Special Case Medium Low-Floor Bus: This charges with up to 165 kW thanks to a larger 137 kWh battery.
These performance data, coordinated through the Planning with the National Charging Infrastructure Coordination Office, guarantee maximum availability of your fleet. This paves the way for the last, decisive step.
More useful links
KPMG provides an overview of ESG topics (Environment, Social, and Governance).
The Federal Ministry for Economic Affairs and Climate Action offers a dossier on the topic of sustainability.
The Bertelsmann Foundation publishes the Sustainability Transformation Monitor 2024.
The German Sustainability Code (DNK) provides information on strategic reporting.
The platform Circular Economy Germany provides comprehensive information about the circular economy in Germany.
The Federal Environment Agency offers information on waste and circular economy.
Statista delivers statistics and data on the topic of electromobility.
The National Control Center for Charging Infrastructure provides information on commercial vehicles.
The International Council on Clean Transportation (ICCT) offers a factsheet on the total cost of ownership (TCO) of battery electric commercial vehicles in Europe.
FAQ
Why is a conversion part of an ESG strategy?
A conversion contributes to all three pillars of ESG: Environmental (reduction of CO₂ and noise), Social (better air quality for citizens and employees) and Governance (sustainable business practices, resource conservation, compliance with laws such as the Clean Vehicles Directive). It is a visible sign of responsible action.
What does Total Cost of Ownership (TCO) mean in conversion?
TCO refers to the total operating costs over the entire lifespan of a vehicle. In a conversion, acquisition costs are often manageable thanks to subsidies, while operating costs drastically decrease due to cheaper electricity, lower maintenance, and the elimination of tolls for electric vehicles. This makes conversion very economical in the long term.
Will my vehicle warranty remain valid after the conversion?
HEERO assumes the warranty for the entire electric drivetrain and all components installed by us. The original vehicle warranty for non-modified parts such as the bodywork remains unaffected. We offer comprehensive assurance for our work.
Which vehicles are best suited for conversion?
Vehicles with high operating hours and planned routes, as common in city logistics, municipal services, or passenger transport, are particularly suitable. Economically, it makes the most sense to convert vehicles with expensive and durable special constructions (e.g., refrigerated trucks, garbage collection vehicles, service vans).
How long does a DTE conversion take at HEERO?
The actual conversion process is standardized and usually only takes a few working days. Including all preparations and follow-ups, you can expect a total time of about two to three weeks until your vehicle is fully operational again.
Does HEERO support the application for funding?
Yes, absolutely. We offer a free funding analysis and guide our customers through the entire application process with the relevant authorities, such as the BMDV. Our goal is to secure the maximum grant for your project.
