eN-Dhan cards to save up to three per cent fuel costs for fleet owners

The initiative is expected to ease tracking and managing fuel costs for fleet owners, especially when they deploy trucks for longer freight transits.
Image for representational purpose only
Image for representational purpose only

CHENNAI: Hinduja Group-owned Ashok Leyland tied up with Hindustan Petroleum Corporation Ltd on Thursday to offer eN-Dhan fuel cards that would digitise payments and offer discounts on purchase of fuel, which would help fleet owners save about 1.5 to 3 per cent of total petrol or diesel costs every year.

The initiative is expected to ease tracking and managing fuel costs for fleet owners, especially when they deploy trucks for longer freight transits.

“Fleet owners spend nearly Rs 3.5 crore on lube, changing tyres, parts and fuel during the entire lifecycle of the truck (about 7-10 years),” said Gopal Mahadevan, Chief Financial Officer, Ashok Leyland, “Of the total working capital, costs incurred during the lifecycle of the truck, nearly 35-60 per cent is spent of fuel. Fleet operators spend nearly 70 per cent of their working capital towards fuel costs too. If the fuel card helps them save 1.5-3 per cent of such costs, it will enhance their profitability. This will trickle down to channels and to the company too.”

The fuel card, which can be used at more than 15,000 HPCL stations across India, will help fleet owners save about Rs 50,000 on petrol or diesel per vehicle every year.

“The eN-Dhan fuel card has features like Rs 1 lakh insurance cover for the driver and cleaner. We are in talks with the RBI to enable payments through the card at 650 toll booths,” said T R Sundararam, Executive Director, HPCL.

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