Victor Gonzalez
August 20, 2025

Your Biggest Expense Is Leaking: A Guide to Fuel Fraud and Modern Fuel & Energy Management

Fuel costs are a major expense for fleets. Explore practical strategies to prevent fraud, reduce waste, and improve fuel and energy management across your operations.

Fuel costs are one of the largest expenses for commercial fleets, often representing 30–40% of total operational costs. Yet many fleets struggle to manage these costs effectively due to fuel fraud, inefficient consumption, and siloed data. For fleet managers and directors, understanding how to detect fraud and optimize energy use is critical for cost savings, efficiency, and sustainability.

What is Fuel Fraud and Why It Matters

Fuel fraud occurs when fuel cards are misused — whether by employees or external actors — leading to unnecessary expenses and inaccurate cost reporting. Common types of fraud include:

  • Personal use of company fuel cards
  • Pumping fuel into unauthorized vehicles
  • Collusion with fuel station staff
  • Misreporting mileage to claim extra fuel

Even small instances can add up to thousands of pounds per month, significantly affecting the bottom line.

Challenges in Fuel & Energy Management

Managing fuel and energy is not just about detecting fraud. Fleets also face challenges like:

  • Siloed data: Fuel card, telematics, and maintenance data often live in separate systems.
  • Inefficient routes or driving habits: Excessive idling, harsh braking, and unnecessary detours increase consumption.
  • Transitioning to alternative fuels or electrification: Managing energy costs for EVs or hybrid fleets adds new complexity.

Without integrated insights, it’s difficult for fleet managers to see the full picture of consumption and costs.

Strategies to Detect Fraud and Optimize Energy Use

  1. Integrate Fuel and Telematics Data
    Combining fuel card transactions with telematics data can automatically verify that fuel purchases match the correct vehicle, driver, and route.
  2. Set Automated Alerts
    AI-driven systems can flag unusual fuel consumption patterns or transactions outside normal hours, helping prevent fraud before it escalates.
  3. Monitor Driver Behavior
    Encouraging efficient driving habits — like reducing idling and harsh acceleration — lowers fuel consumption and extends vehicle life.
  4. Plan Energy Use for Alternative Fuels
    For fleets using EVs or hybrids, tracking energy usage per vehicle and per route ensures optimal charging schedules and cost efficiency.
  5. Regular Audits and Reporting
    Automated reporting gives fleet directors and managers transparency into fuel usage, helping them make informed, proactive decisions.

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How Fleevo Supports Fuel & Energy Management

Fleevo connects fuel, telematics, and operational data into a single AI-powered platform. Fleet managers can:

  • Detect fuel card misuse in real time
  • Identify inefficiencies and unusual consumption patterns
  • Generate actionable insights for cost reduction and sustainability
  • Simplify reporting for audits and compliance

By integrating data and leveraging automation, fleets can save money, reduce waste, and build more sustainable operations.

Looking Ahead: The Future of Fleet Energy Management

As fleets increasingly adopt electric and alternative fuel vehicles, managing energy efficiently will become even more critical. Early adopters who combine data integration, AI insights, and proactive fuel management will have a clear advantage in cost savings, compliance, and sustainability.

Bottom line: Fuel fraud and inefficient energy management can drain fleet budgets and reduce operational efficiency. With integrated data and AI-powered insights, fleets can detect fraud, optimize consumption, and position themselves for a more sustainable future.

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