SITA UK has revealed it is to fit Michelin tyres across its fleet of 1,400 vehicles, following acceptance of innovative shared-risk pricing suggested by the French tyres manufacturer.
Michelin secured the new deal over the incumbent provider by offering SITA UK its largest ever pence-per-vehicle-per-month deal with an additional 'stop loss' policy.
The three-year deal covers all tyre on the recycling and resource management giant's fleet of vans, rigid trucks and tractor units.
Under the contract, the up-front cost of Michelin tyre fitments is lowered. It has also been structured to give both companies a shared financial incentive to prevent tyre damage, particularly on SITA UK's landfill site operations, where tyre difficulties are more likely to occur.
"This deal with Michelin not only lowers the initial cost to us, but it also fits with our sustainability vision by giving us an added financial incentive to look after our tyres over the long term," comments SITA UK general manager for fleet, Paul Shipman.
SITA UK will fit a variety of Michelin products, depending on its vehicles' uses. It has specified Michelin XZU tyres for urban operations where kerbing is common during kerbside pickups.
However, Michelin's XZY fitments have been selected for on/off-road operations, such as landfill work, where its front-and-rear-end loader trucks are operating regularly.
