BP Ventures, the investment arm of global energy company BP, has announced a significant £4 million investment in Dynamon, a leading UK-based software company specializing in advanced data analytics and simulation tools for commercial transport and logistics companies. The investment is part of Dynamon’s Series A funding round, aimed at supporting the full commercialization and scaling up of its platform, as well as expanding its operations in Europe and North America.
Dynamon’s flagship software, ZERO, is designed to address critical challenges faced by the global logistics and transport sector during their transition to decarbonize and optimize fleet operations. The software provides innovative solutions to save energy and reduce capital investment costs by analyzing and planning various factors such as vehicle options, charging infrastructure, energy costs, and operational strategies.
In a recent trial involving a fleet of 4,000 vehicles, a Dynamon customer using the ZERO software identified a potential annual energy cost saving of £22 million when comparing the cost of diesel (£0.28/mile) to electric vehicles (£0.125/mile). Additionally, the software analysis revealed an annual CO2 saving of 8,700 tonnes, showcasing the tangible environmental benefits that can be achieved through fleet electrification.
As more and more companies in the logistics and transport industry look to introduce electric vehicles into their fleets, procurement departments face challenges in effectively electrifying large-scale operations while ensuring cost-effectiveness. Recent industry research by BP indicates that nearly half of UK fleet managers (43%) and fleet drivers (41%) plan to introduce EVs to their fleets within the next two years.
Gareth Burns, Vice President of BP Ventures, expressed excitement about the investment in Dynamon, recognizing its potential to accelerate the adoption of lower carbon energy and mobility solutions. He emphasized that such initiatives align with BP’s ambition to become a net-zero company by 2050 or even sooner, while also contributing to the global efforts to achieve net-zero emissions.
Dynamon’s software tools are not only beneficial for companies transitioning to EV fleets but also provide value to existing electric vehicle operators. The tools offer insights into cost management, operational reliability, and battery degradation through data analytics, helping operators optimize their operations based on their specific needs and requirements.
BP’s investment in Dynamon is part of the company’s broader strategy to invest in transition growth engines, including EV charging, while simultaneously supporting the existing energy system. As BP progresses towards becoming an integrated energy company, such investments in innovative solutions like Dynamon’s software will play a crucial role in facilitating a sustainable and lower carbon future for the transport and logistics industry.