Overdrive

August 2014

Overdrive Magazine | Trucking Business News & Owner Operator Info

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EquipmEnt 44 | Overdrive | August 2014 By Jack Roberts How to weigh the value of low rolling resistance W hile shallower tread depth equates to better fuel economy, it also usually equates to shorter tire life. Tire man- ufacturers are using technology to counter this inherent tradeoff. Doug Jones, customer engineering support manager for Michelin, says the key is the different compounding and silicate makeups that each man- ufacturer has developed to enhance tire life. "The goal for all of us is to develop a more durable longer-lasting material to build tires with and deliver both low rolling resistance and longer life," Jones says. Aaron Murphy, vice president of CMA/Double Coin, says there's no algorithm for configuring ab- solute fuel savings. That's because there are many factors that affect your return on investment in a tire, Murphy says. They include type and distance of haul, driver preferences and vehicle type. "We work with owner-operators di- rectly to assess whether or not to spec low-rolling-resistance tires and what the estimated cost savings will be," he says. "Sometimes the option is not the owner-operators', as governmental regulations require they use low-roll- ing-resistance tires." The good news for such tires, Mur- phy says, is that long-haul vehicles typically see a bigger improvement in cost savings than regional vehicles. fuel SAVINGS TYPICAL (HIGH) ROLLING RESISTANCE TIRE Fuel consumption: 125,000 miles/6 mpg = 20,833 gallons Fuel cost: 20,833 gallons x $4 = $83,332 LOW-ROLLING RESISTANCE TIRE Fuel consumption: 125,000 miles/6.2 mpg = 20,161 gallons Fuel cost: 20,161 gallons x $4 = $80,644 ANNUAL FUEL SAVINGS HRR $83,332 LRR – $80,644 —————— — — LRR savings $2,688 TIRe COST SAVINGS TYPICAL (HIGH) ROLLING RESISTANCE TIRE Tire cost per mile: $500 / 200,000 lifetime miles = $.0025 / mile Tire cost per year: 125,000 miles x $.0025 / mile = $313 LOW-ROLLING RESISTANCE TIRE Tire cost per mile: $500 / 170,000 lifetime miles = $.0029 / mile Tire cost per year: 125,000 miles x $.0029 / mile = $363 ANNUAL TIRE COST SAVINGS LRR $363 HRR - $313 ————— HRR savings $50 TOTAl ANNuAl COSTS TYPICAL (HIGH) ROLLING RESISTANCE TIRE Fuel $83,332 + Tire cost $313 —————— — $83,645 LOW-ROLLING RESISTANCE TIRE Fuel $80,644 + Tire cost $363 —————— — $81,007 ANNUAL SAVINGS Total HRR costs $83,645 Total LRR costs - $81,007 —————— — — Savings with LRR tire $2,638 CAlCulATING The pOTeNTIAl SAVINGS Of A lOw-ROllING-ReSISTANCe TIRe This example assumes a truck running 125,000 miles a year and diesel at $4 per gallon. It assumes a low-rolling-resistance tire that gets 6.2 miles per gallon and lasts for 170,000 miles, and a high-rolling-resistance tire that gets 6.0 miles per gallon and lasts for 200,000 miles. In this example, the low-rolling-resistance tire is the more cost-effective choice due to a fuel savings that is much greater than the cost penalty of a shorter lifespan. However, because fuel economy and lifespan vary from model to model and are affected by application and other factors, savings also can vary considerably. Double Coin works with owner-operators directly to assess whether or not to spec low-rolling-re- sistance tires and to determine the estimated cost savings.

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