In the annual business briefing late last year, Richard Emery, President and CEO of Hino Australia, and Daniel Petrovski, Department Manager for Product Strategy at Hino Australia, laid out a transformative vision for the future of fleet management. They emphasised the critical role hybrid electric trucks will play in reducing emissions, cutting fuel costs, and serving as a stepping stone toward battery electric trucks (BEVs). Here’s why fleet operators should look to hybrid technology as a key component of their 2025 strategy.
The Case for Hybrid Electric Trucks
Hybrid electric trucks offer fleet operators an immediate and practical solution for lowering operational costs and reducing environmental impact. As Petrovski explained, “You’re getting up to 20% fuel savings and CO2 reductions, and those trucks are cheaper to operate for the customers.” This efficiency positions hybrids as a compelling alternative to traditional diesel vehicles, especially as regulatory pressures and costs associated with diesel engines increase.
Hino’s hybrid trucks are already making a significant impact in markets like Japan, where the 300 Series Hybrid has been well-received. Petrovski highlighted, “We’ve got thousands of Dutro ZEVs and hybrid trucks operating in Japan across diverse applications, from food co-ops to short-distance delivery fleets.”
Cost Comparisons: Hybrid vs Diesel vs Battery Electric
Cost is a pivotal consideration for fleet managers. Petrovski shared detailed insights into the cost analysis of diesel, hybrid, and battery electric trucks over five years and 240,000 kilometres of operation. “For a diesel truck, you’re looking at around $175,000 in total costs, including fuel, maintenance, and repayments. A hybrid reduces that to about $150,000,” he stated. This $25,000 saving is significant, especially when diesel prices are expected to rise due to Euro 6 emissions standards.
Hino’s approach to pricing further enhances the appeal of hybrid technology. Emery confirmed, “When we introduce Euro 6, there will be additional componentry and costs associated with diesel trucks. However, we’re putting a price freeze on hybrid electric trucks, making them increasingly attractive.”
Battery electric trucks, while promising in the long term, remain cost-prohibitive for many operators today. Petrovski explained, “The purchase price of a battery electric truck is higher than the total costs of a diesel or hybrid electric truck over five years. Plus, you often need two electric trucks to do the job of one diesel or hybrid.”
Hybrid as a Stepping Stone
For many fleets, hybrid electric technology serves as a critical bridge toward full electrification. “Battery electric vehicles are great for lightweight, short-distance applications,” Petrovski noted. “But for anything requiring range beyond 100 kilometres or payloads over a tonne, hybrids are the solution.”
Hino’s hybrid trucks offer versatility across various applications. “We’re building fleets of hybrids tailored for different needs: council tippers, tilt trays, steel trays, plumbers’ trucks, and refrigerated vans,” Emery said. He also highlighted that hybrid trucks perform well not just in urban environments but also on country roads. “Our hybrids can intermittently operate at speeds of 80 to 90 kilometres per hour on electric power alone, delivering efficiency no matter the application.”
Addressing Common Misconceptions
Petrovski and Emery were candid about misconceptions surrounding hybrid technology. One prevailing myth is that hybrids are limited to urban delivery vans. “If there’s an application in the light-duty market, a hybrid can almost certainly fit the role,” Petrovski asserted.
Another misconception is the weight penalty of hybrid electric systems. Petrovski clarified, “A 300 series hybrid electric is actually about 75 kilograms lighter than its five-litre diesel counterpart, offering efficiency without payload compromise.”
Market Adoption and Incentives
While hybrid electric trucks have been well-received in markets like Japan, adoption in Australia has been slower. This is partly due to a lack of incentives. “In Japan, hybrids make up a significant portion of sales,” Emery noted. “But in Australia, we’re doing it without any government incentives.”
Petrovski highlighted the importance of education and market readiness. “We’re investing in educating our sales teams and dealers about the applications where hybrid technology excels,” he said. Hino is also showcasing the capabilities of its hybrid fleet through customer trials and real-world demonstrations.
Looking Ahead
As everyone returns to work in 2025, fleet operators face mounting pressures to reduce emissions and adapt to changing regulations. Hino’s hybrid electric trucks offer an immediate, cost-effective solution that bridges the gap to full electrification. With rising diesel prices and increasing environmental scrutiny, hybrid technology is poised to become an indispensable part of the fleet landscape.
In Emery’s words, “There will come a point where the gap between diesel and hybrid narrows, just as we’ve seen with Toyota’s passenger vehicles. At that crossover point, hybrids become the clear choice.”
For fleet managers seeking to future-proof their operations, the message from Hino is clear: the time to invest in hybrid electric trucks is now.
