{"id":15440,"date":"2022-04-04T00:00:00","date_gmt":"2022-04-04T00:00:00","guid":{"rendered":"https:\/\/cms.alj3.clients.lemonhq.io\/perspectives\/a-roadmap-for-decarbonizing-logistics\/"},"modified":"2026-03-20T07:55:18","modified_gmt":"2026-03-20T07:55:18","slug":"a-roadmap-for-decarbonizing-logistics","status":"publish","type":"perspectives","link":"https:\/\/cms.alj3.clients.lemonhq.io\/en\/perspectives\/a-roadmap-for-decarbonizing-logistics\/","title":{"rendered":"A roadmap for decarbonizing logistics?"},"content":{"rendered":"

It may appear that we live in an ever-more digital world, with an increasing share of commerce and communication conducted in the relatively eco-friendly online<\/em> sphere.\u00a0 But behind every online interaction and transaction is a much larger, more complex offline<\/em> supply chain. \u00a0One that, historically at least, is most definitely not quite so eco-friendly<\/p>\n

Every purchase we make, whether online or not, needs transporting to its place of use.\u00a0 Goods need physically moving from their place of production to the homes, factories and sites where they are needed, whether by road, air, sea or rail.\u00a0 And transport, by and large, means carbon emissions.\u00a0 So how do we set about decarbonizing the logistical burden of freight transport?<\/p>\n

First, we must accept the scale of the problem.\u00a0 The freight industry is estimated to account for around 8% of all CO2<\/sub> released annually.[1]<\/a>\u00a0 Without swift intervention the problem is unlikely to diminish.\u00a0 According to OECD<\/a> data, CO2<\/sub> emissions from international freight are expected to reach 8,132 MT by 2050, almost four times higher than the 2,108 MT emitted in 2010.[2]<\/a><\/p>\n

\"Decarbonizing<\/p>\n

Getting what we want, when and where we want it, carries a steep price for the environment.<\/p>\n

In the shadow of COP26<\/a>, industry leaders and lawmakers are beginning to come together to tackle the looming climate emergency.\u00a0 This means that the freight industry, like all others, must be scrutinized for green efficiencies . . . \u00a0one sector at a time.<\/p>\n

So, what are the easy wins, and the long battles ahead, that can help us sustain our standard of living while simultaneously leveling the environmental balance sheet of the resource-hungry global logistics network?<\/p>\n

\"Long<\/p>\n

Long haul to clean up road freight<\/h2>\n

Transportation as a whole is one of the biggest contributors to global warming, responsible for more than one-fifth of all greenhouse gas emissions worldwide[3]<\/a>.\u00a0 Within transportation, 22% of all pollutants are caused by just one activity \u2013 road haulage.[4]<\/a><\/p>\n

\"Decarbonizing<\/p>\n

A deeper dive into the figures is even more incriminating, with Heavy Good Vehicles (HGV) accounting for around a quarter of global road emissions despite representing a mere 1% of all vehicles.[5]<\/a>\u00a0 Road freight leaves a disproportionate carbon footprint, emitting around 100 times as much CO2<\/sub> per kilometer as a ship carrying equivalent cargo.[6]<\/a><\/p>\n

The World Economic Forum (WEF<\/a>) states that only a joint effort encompassing governments, vehicle makers and infrastructure designers can enable the haulage industry to make a defining shift toward affordable sustainability.<\/p>\n

On current WEF evidence, battery electric vehicles<\/a> (BEVs) are starting to make sound environmental sense.\u00a0 Researchers examined three stages in a vehicle\u2019s lifespan to compare the carbon footprint of BEVs with traditional internal combustion engine (ICE) models: vehicle production; fuel transfer (well-to-tank) versus battery production; and driving emissions.<\/p>\n

Across all three major markets \u2013 the EU, US and China \u2013 combined pollutants throughout a vehicle\u2019s lifespan are shown to be lower for BEVs than for average ICEs.\u00a0 Further, since the overwhelming share of BEV pollutants comes via electricity generation, as the grid itself becomes increasingly decarbonized, so the sustainability gap between BEVs and ICEs will become ever more pronounced.\u00a0 In fact, by 2030 the average BEV in the EU will emit under 100g\/km of CO2<\/sub>, less than half that of a typical ICE.[7]<\/a><\/p>\n

\"Decarbonizing<\/p>\n

Stepping away from the environmental argument, BEV truck purchase prices, a traditional deterrent for mass adoption until now, should continue to become more competitive. \u00a0BEV prices have dropped 85% over the last decade and are predicted to halve again by 2030, when electric trucks are predicted to become 12% cheaper than diesel equivalents to buy and run.<\/p>\n

And the remaining \u2018range anxiety\u2019 concerns?\u00a0 They won\u2019t be around forever.\u00a0 Within five years bigger batteries will allow 800 km trips for 40-ton trucks on a single charge.\u00a0 Ultimately, the market will speak.<\/p>\n

Legislation, and public policy in general, can help hasten, what is now the inevitable decline of fossil fuel-powered trucking. \u00a0The UK government, for example, has decreed that all trucks under 26 tons will need to be zero-emission by 2035, with heavier vehicles becoming carbon-free by 2040.[8]<\/a> \u00a0Norway aims to get there first, investing in a comprehensive network of high-speed chargers in its desire to become the first nation with an entirely electrified transport network.[9]<\/a><\/p>\n

COP26 saw 30 countries join the new Zero Emission Vehicle Transition Council (ZEVTC<\/a>), signaling a joint push to explore various technology options for clean, green HGVs.[10]<\/a> \u00a0Meanwhile a new fund, coordinated by the World Bank<\/a>, was convened to help decarbonize road transport in the developing global south.[11]<\/a><\/p>\n

Although it may be a while before electric trucks dominate the highways, truck manufacturers like Tesla[12]<\/a>, Volvo[13]<\/a>, Scania[14]<\/a>, and Kenworth[15]<\/a> have all announced plans for electric models, meaning electric trucks are en-route to our roads.<\/p>\n

\"Tesla\u2019s

Tesla\u2019s \u2018Semi\u2019 electric truck concept vehicle. Photo Credit \u00a9 Tesla<\/p><\/div>\n

Hydrogen energy<\/a> might play its own, albeit smaller, part in the future of road haulage, with high-capacity hydrogen fuel cells potentially complementing the long-distance needs of trucking networks.<\/p>\n

It\u2019s little surprise, then, that governments worldwide are directing resources into green hydrogen, with the UK, Germany, Japan and Australia all unveiling hydrogen strategies in recent years.\u00a0 The Netherlands intends to have 500 MW of green electrolyzers running by 2025, and Portugal is planning a new solar-powered plant to produce green hydrogen by 2023.[16]<\/a><\/p>\n

In Europe, epicenter of much of the hydrogen buzz, the European Commission (EC<\/a>) has identified green hydrogen as a key ingredient for becoming carbon neutral by 2050.<\/p>\n

The EC\u2019s phased strategy includes:<\/p>\n