Why Is TCO Analysis Essential?
When purchasing a forklift, the list price is usually the first figure examined, yet the real cost emerges over a 5-year operating period. Total Cost of Ownership (TCO) analysis is the most reliable way to support equipment decisions with data.
Diesel, LPG and Electric: Cost Components
1. Energy / Fuel Cost
Under single-shift working conditions of 8 hours per day:
- Diesel forklift: Annual fuel cost can reach £18,000–£24,000.
- LPG forklift: Cylinder costs are linked to exchange rates.
- Electric forklift: Energy cost is 30–40% of diesel for the same working cycle.
2. Maintenance and Spare Parts
5-year maintenance cost comparison:
- Diesel: £28,000–£36,000
- Electric: £10,000–£14,000
3. Battery Investment and Cycle Life
Modern Li-ion batteries exceed 3,000–5,000 cycles. Lead-acid batteries may require renewal every 2–3 years.
Example Calculation: 3-Tonne Single-Shift Operation
| Item | Diesel | Electric (Li-ion) |
|---|---|---|
| Purchase price | £34,000 | £44,000 |
| 5-year energy | £112,000 | £38,000 |
| 5-year maintenance | £34,000 | £12,000 |
| 5-Year Total TCO | £180,000 | £94,000 |
Conclusion
Use the PAYYU MATCH free TCO Calculator to obtain results specific to your operation.