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Criteria for assessing when a vehicle is due for replacement and what is the average age of the vehicle fleet

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WRITTEN QUESTION TO THE MINISTER FOR TRANSPORT AND TECHNICAL SERVICES BY DEPUTY R.G. LE HÉRISSIER OF ST. SAVIOUR

ANSWER TO BE TABLED ON TUESDAY 18th JANUARY 2011

Question

What criteria, if any, are in place for assessing when a vehicle is due for replacement and what is the average age of the Transport and Technical Services vehicle fleet?

Answer

Jersey Fleet Management purchases, maintains and disposes of vehicles on behalf of Transport and Technical Services Department and several other States Departments. Currently there are 285 vehicles and mobile plant assets in this category.

Prior to purchase a decision is taken by Jersey Fleet Management and the user Department as to the expected economic life of the vehicle given its planned use, purchase cost, type of vehicle and likely residual value.

Once in service it is depreciated as a fixed asset' over that agreed number of years, usually between 6 and 10 however there may be operational, economic or environmental reasons to vary this period. Indeed, due to advances in vehicle reliability the trend in recent years has been to extend the life' of many vehicles within the States' fleet towards the upper end of this replacement age band.

A rolling three-year replacement plan is maintained by Jersey Fleet Management and each vehicle is assessed on its condition, current usage and future operational needs prior to a decision being made to dispose of it or not. Whilst mileage is a factor, it is often less significant than other factors given the size of the Island.

An example would be a school minibus that does not cover high mileages in its normal use but needs to be to current passenger safety standards and will be replaced within the previously stated age band. It is planned to be disposed of whilst it is still safe, reliable and can provide a good residual income to the trading fund.

With the growing awareness of environmental issues, specifically air quality, the Department has a responsibility to balance the economic life of its vehicle fleet with the advances in engine emission standards and as such the current replacement criteria means that the vast majority of the current fleet meet, or exceeds, the Euro 3 emission standard. Those that don't are currently being considered for replacement.

The average age of the vehicle fleet is currently 4 years old.