Power For Life - number 1 for traction battery rental

Norco is the UK market leader in the short term rental, maintenance and management of traction and standby batteries, chargers and UPS systems. Norco markets a fully integrated fleet management service offering that delivers significant cost savings for customers against traditional offerings.

Norco Power for Life
Norco Power for Life is a fully inclusive maintenance package specifically developed to reduce costs associated with replacing forklift truck batteries. This all-inclusive package ensures all batteries will perform throughout the life of the contract, regardless of age or condition. By fixing the cost of maintenance and replacements customers can effectively hedge movements in lead prices. Norco can generally support fleet replacements through their rental fleet, and as costs are fixed at today's price, if the future price of lead were to fall, customers would be entitled to a lead price adjustment rebate.

Case Study
Our client operated a mixed fleet of warehouse and electric counterbalance trucks in its distribution and stores operations. The fleet comprised in excess of 450 units across 100+ sites with a battery age profile ranging from 6 months to 6 years old.
Our client wished to extend the life of its FLT fleet by up to three years pending implementation of a phased replacement programme, following the completion of which the existing fleet would be scrapped.
Based upon the age profile we established that an investment in excess of £0.6m would be required to fund around 300 batteries that would be needed to support the operation during the run-out period. Our client wished to mitigate this cost.
Drawing upon our inventory of used equipment we were able to offer our client an average rate of £3 per battery per week, fixed for up to three years, but ceasing to apply to batteries that were decommissioned during the run-out period, to underwrite the cost of all replacements required during the term. We also agreed to visit each site on a quarterly basis to carry out routine maintenance, battery topping and repairs at a fixed cost per visit that resulted in an average rate of £2.50 per battery per week.
If the contract runs full term in respect of all assets, the combined cost over the life of the contract will represent a 33% saving as against the forecast cost of replacements, with the added value benefit that all maintenance, repairs and components are included in the price. The offer will probably yield savings nearer 50% as the fleet is gradually replaced during the term and old assets are decommissioned.

Norco
Tel: 01224 704411
www.norcoenergy.com