Freight
Logistics Carbon Reduction Scheme Supplement
LCRS is managed by FTA
FREIGHT CARBON
REDUCTION
ESOS
Supported by:
CENTRE FOR
SUSTAINABLE
ROAD FREIGHT
Autumn 2015
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Freight inside…
LCRS Supplement
LCRS Industry Partner message
Bridgestone
Autumn 2015 Author
Rachael Dillon
LCRS
Keeping freight on track
to carbon reduction
Editor
Hilary Kingdon
Contributors
Professor David Cebon, Rachael Dillon,
Martin Flach, Adrian Gault, Chris MacRae,
Professor Alan McKinnon, Karen Packham,
Sophie Punte, Christopher Snelling,
Chris Welsh MBE
How can industry tackle
freight carbon emissions?
Production
Tim Holdstock
Sponsorship and Advertising Manager
Will Reeves
Tel: 01892 552211
Email: [email protected]
ESOS
Countdown to 5 December
2015 deadline
FTA President
Ian Veitch
FTA Chief Executive
David Wells
Centre for Sustainable
Road Freight
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Freight LCRS Supplement Autumn 2015
19
3
LCRS: Industry Partner message
fleet fuel consumption would be 0.6 per
cent higher if all tyres were running at
recommended pressure levels.
We take our mission statement of ‘serving society with superior quality’ seriously, with a range of products that not
only satisfy the needs of the customer, but
the environment as a whole.
As the LCRS’s Industry Partner, we are
working closely with industry to highlight
the role that tyre selection and management can play in improving fuel efficiency
and reducing carbon emissions.
B
ridgestone’s continuing partnership
and close cooperation with the Logistics Carbon Reduction Scheme continues
to play a large role in the brand’s plans to
reduce carbon emissions in the logistics
sector.
As the world’s largest tyre manufacturer,
Bridgestone constantly strives to measure
and reduce emissions and offers compelling fuel efficient products to our customers as a result.
Our ECOPIA range is an example of
this and represents our most ecological
and economical range of truck tyres ever
produced. Bridgestone’s innovative Tyre
Pressure Monitoring System (TPMS) has
a similarly positive impact on carbon
emissions, too. Both our Ecopia range and
TPMS offering have had a large take-up by
fleet operators over the last 12 months, as
fleets look to reduce operating costs.
From internal studies we can see that
fleets have on average up to 25 per cent of
tyres running with pressure at least 10 per
cent below recommended levels, and up to
five per cent with pressure at least 20 per
cent below.
With this ‘average’ pressure condition,
Robin Shaw
Managing Director
Bridgestone Europe –
North Region
Benefits of LCRS membership
■ It is a free to join, industry-led, influen-
■ It provides a methodology and target for
tial scheme which makes it as easy as
possible to record data linked to carbon
emission reduction
■ It demonstrates a company’s green
credentials to potential customers and
highlights their long-term commitment to
reducing carbon emissions, setting them
apart from competitors
carbon emissions recording and reporting which is robust and auditable
■ It carries weight with government, sector
trade associations and buyers of logistics
services
■ It is confidential and company data will
never be shared with others, except as part
of industry aggregated reports
Logistics Carbon
To join the scheme now
■ Visit www.fta.co.uk/lcrs to download
more information and a Declaration
of Intent. Complete and return as
instructed at the bottom of the form
Review
2015
Report of the
the Fifth Annual
2005–2013)
Incorporating
eme (covering
Reduction Sch
Logistics Carbon
LCRS Industry
4
Partner
LCRS managed
by FTA
Freight LCRS Supplement Autumn 2015
www.fta.co.uk/lcrs
LCRS: Keeping freight on track
LCRS: Keeping freight on track
to carbon reduction
Five years on the Logistics Carbon Reduction Scheme is still going strong providing evidence to
government that freight can proactively reduce carbon emissions. Rachael Dillon, FTA’s Climate
Change Policy Manager takes us through the scheme’s achievements to date, the plans ahead
and how you can get involved.
F
TA manages the Logistics Carbon
Reduction Scheme (LCRS), a leading
free voluntary initiative to record, report
and reduce carbon emissions from freight
transport and is supported by Bridgestone
as its Industry Partner.
Carbon emissions from freight account
for almost a third of domestic transport
emissions in the UK. Five years ago, the
UK had introduced the Climate Change
Act and government had published a
low carbon transport strategy. FTA and
12 leading members formed a working
group on how the logistics industry could
decarbonise which led to the development
of the LCRS.
The scheme plays a vital role in providing evidence to government that industry
can voluntarily reduce carbon emissions
without the need for regulation. The LCRS
also helps FTA members to get started on
recording and reporting emissions and
boosts their green credentials.
Currently the scheme has 110 members
accounting for over 77,000 commercial
vehicles. FTA collects simple fuel and
business activity data from members on
an annual basis. Our most recent report
shows that LCRS members are making
significantly better progress in reducing
emissions when compared to industry as a
whole.
Going forward, FTA is looking to increase
scheme membership. We are also working with the Centre for Sustainable Road
Freight on a number of projects including a
Decarbonisation Tool and a Freight Carbon
Roadmap to 2050 (see pages 11-12).
LCRS achievements
■ Department for Transport endorses the
LCRS in 2011 and reconfirms voluntary
approach in 2013
■ Target to reduce carbon emissions by 8
per cent by 2015 based on 2010 levels
■ Bridgestone becomes Industry Partner
in 2012
■ Best practice is celebrated through the
LCRS Awards
■ LCRS assists with Energy Savings
Opportunity Scheme requirements (see
pages 8-9)
■ LCRS supports case for gas HGVs (see
Call to action
Freight will almost certainly be expected to
make a contribution to carbon reduction, so
join the LCRS now and help respond to the
climate change challenge. For more information contact Rachael Dillon – rdillon@
fta.co.uk or visit www.fta.co.uk/lcrs
pages 14-15)
■ 5 annual reports detailing carbon
reduction progress published
■ Committee on Climate Change
endorses LCRS approach to reducing
emissions from logistics in June 2015
Hear what LCRS members think about the scheme
“Joining LCRS gave Hargreaves the perfect
opportunity to demonstrate the hard work
and commitment it has poured into carbon
reduction. Membership has presented a
great chance to network with other logistics
companies, large and small, that are on a
similar journey and share best practice.”
Jay Laverick, Fuel Champion & Dangerous
Goods Safety Advisor, Hargreaves Logistics
www.fta.co.uk/lcrs “Bidvest Foodservice is a founding member
of the LCRS. We contribute carbon emissions
data to the scheme, which highlights our
progress in reducing carbon emissions
against our target of 2.5 per cent year on year.
Working alongside other LCRS members we’re
able to show better carbon efficiency than
counterparts outside the scheme and benefit
from the expertise of the organisations within
the scheme.”
Shirley Duncalf, Head of Sustainability,
People & Sustainability, Bidvest Foodservice
“Rawley Plant was pleased to become the
100th member of the LCRS last summer
at a time when the drive to monitor and
reduce carbon emissions had never been so
important. As members of FORS and holders
of ISO140001, environmental concerns are
important to us and, despite our small size,
we feel that we have a part to play. We have
been a member of FTA since 1970 and are
happy to participate in the LCRS to show that
our industry can contribute to reducing carbon
emissions.”
Howard Rawley, Managing Director, Rawley
Plant
Freight LCRS Supplement Autumn 2015
5
LCRS: Title
How can industry help?
How can industry tackle
freight carbon emissions?
Leading figures across industry and climate change policy give their perspectives on how the
freight sector can tackle the climate change challenge.
Professor Alan
McKinnon, Kuehne
Logistics University,
Hamburg writes
about the pressure
on companies to
decarbonise their
logistics operations
and the likely
solutions.
I
ncreasing numbers of companies are
setting targets for cutting the carbon
intensity of their logistics operations.
When analysing what they need to do
to achieve these targets they generally
confine their attention to activities they
directly control or indirectly influence with
the help of their logistics service providers.
There are other external factors, however,
which can affect their ability to meet the
targets over which they have little or no
control. These factors can supplement or
offset a company’s ‘internal’ efforts to cut
its logistics-related carbon emissions.
A research project undertaken by the
Kuehne Logistics University with funding
from Unilever and Kuehne+Nagel has
examined the nature and strength of these
external factors in 13 countries around
world, including the UK, Germany, the US,
China, India, Mexico and South Africa.
Almost all of the factors fall into one of
six categories: technology, infrastructure,
market (ie market for logistics services),
behaviour (ie mainly of drivers), energy and
regulation. The adjacent diagram maps the
relationship between this so-called TIMBER
framework and the set of five ‘levers’ that
companies can pull to cut carbon emissions
per tonne-km of freight movement: logistics
network design, freight modal split, vehicle
utilisation, fuel efficiency and energy mix. It
shows how each external factor influences
at least two sets of levers while technology
and regulation can affect them all.
The study suggests that in developed
countries the TIMBER factors collectively
reinforce a company’s internal efforts to
decarbonise its logistics. Companies should
make some allowance for the combined
effect of these external forces when modelling the future trend in logistics-related CO2
emissions .
6
In the UK,
Relationship between external TIMBER factors and internal decarbonisation levers
advances in low
carbon technology
and their gradual
uptake across the
truck fleet were reckoned to be the most
powerful TIMBER
factor. The ‘market’
variable is also an
important factor in
the UK because of
the momentum built
up by the Logistics
Carbon Reduction
Scheme, growing
interest in horizontal
collaboration and
the improving competitiveness of rail
freight services. Eco-driving skills are now
on the level of carbon budgets – five-year
quite widely diffused across the UK haulage
emissions limits, set 12 years in advance,
industry, though the use of telematics to
on a path to the 2050 target. We also track
embed fuel-efficient driving behaviour is
progress across different sectors of the
at an earlier stage. The decarbonisation of
economy towards meeting those budgets.
grid electricity coupled with the electrifiWhilst we do not have targets for
cation of local deliveries and rail freight
individual sectors, all sectors will have to
services offer a large decarbonisation
contribute to meet budgets and the 2050
potential but their main impact is likely to
target. Hgvs are the second largest source
be felt post-2020. By then more effective
of domestic transport emissions after
congestion management and a relaxation
cars, accounting for five per cent of UK
of maximum truck size and weight beyond
CO2 emissions. Freight operators clearly
the current longer semi-trailer (LST) limits
have strong incentives to save fuel, with
could significantly reduce the carbon intenfuel costs making up about 20-40 per
sity of UK logistics.
cent of all operating costs. In our recently
published progress report to Parliament,
Adrian Gault, Chief
we set out the latest data showing that
Economist from the
freight operators are increasingly taking
Committee on Cliup technological measures to save fuel
mate Change says
and making efforts to improve vehicle
the transport secfill. However, there is scope for further
tor, including HGVs,
improvement.
must take action
The Logistics Carbon Reduction Scheme
to reduce carbon
(LCRS) has demonstrated that there are
emissions.
opportunities for operators to save fuel.
For example, between 2010 and 2013, LCRS
members improved their fuel efficiency by
four per cent. However, the LCRS currently
he Committee on Climate Change (CCC)
only covers around 15 per cent of HGVs,
is a statutory body, set up in 2008 as
so these gains are not being experienced
part of the Climate Change Act, which also
throughout the sector.
commits the UK to reduce its greenhouse
We have recommended that the governgas emissions in 2050 by at least 80 per
ment should help to extend successful
cent on 1990 levels. The CCC provides
emissions-reduction schemes such as the
independent advice to the government
T
Freight LCRS Supplement Autumn 2015
www.fta.co.uk/lcrs
LCRS: How can industry
LCRS:help?
Title
LCRS to as much of the sector as possible,
including small operators who might not
have the resources to implement fuel saving measures. We have emphasised that
schemes should promote proven, cost-effective measures that save operators money as
well as reducing emissions.
Looking forward, vehicle manufacturers
will play an increasing role in helping to
reduce CO2 emissions. EU regulation has
contributed to significant, cost-effective
improvements in the efficiency of new cars
and vans and we expect that forthcoming regulation for HGVs will drive similar
change. New HGVs could become 30 per
cent more efficient by 2030 relative to 2010.
In addition, we have identified scope to
significantly reduce vehicle-km through
further supply chain rationalisation, better
vehicle utilisation and some modal shift
to rail. The Centre for Sustainable Road
Freight is currently working with us on
a project to improve our evidence base
further.
As noted above, we recognise an existing strong commercial drive to save fuel.
However, to reduce emissions in line with
future carbon budgets, consistent with the
need to tackle climate change, action is
needed right across the sector. Experience
with EU regulation for cars and vans and
with the success of the LCRS suggests that
improvements beyond business-as-usual
are feasible and can be cost-effective.
Sophie Punte, Executive Director of the
Smart Freight Centre
that aims to make the
logistics sector more
efficient and environmentally sustainable
(www.smartfreightcentre.org) writes
that carbon reduction
action needs to come
from the top.
T
he logistics sector must do its bit to
keep global atmospheric CO2 concentrations below levels that risk a 2ºC rise
above pre-industrial temperatures. While
companies should be commended for
their corporate social responsibility (CSR)
efforts, these simply won’t suffice anymore.
Logistics companies must move beyond
CSR and put mainstream carbon reduction
efforts into their operations.
What does this mean in practice?
To start with, top management – CEO,
CFO and COO – must show they are
serious about decarbonisation by setting
ambitious emission-reduction targets
for a company’s global logistics supply
chain. Only when logistics and operations
directors are held accountable to achieve
these targets will they truly include
www.fta.co.uk/lcrs the carbon footprint in their logistics
decisions: selecting subcontractors,
modes, routes, investing in vehicles,
etc. Second, carbon accounting should
be embedded in corporate financial
systems and be subject to third party
verification, so that management and
investors/stakeholders can trust and act
on emissions data. A universal way of
carbon accounting – the Global Logistics
Emissions Council (GLEC) Framework for
Logistics Emissions Accounting – is in the
making, which builds on existing methods
and the Greenhouse Gas (GHG) Protocol.
Third, knowing the numbers, management can identify the most promising
solutions covering fuel, vehicles, freight
movement, and modal shift. The good news
is that reducing carbon, in most cases,
is good for business, thus it makes total
sense to integrate these actions into normal
operations’ plans and budgets. And finally,
given the fragmented nature of the global
logistics supply chain, it is a prerequisite
that companies work together to achieve
double digit reductions. Where companies
used to boast 10-20 per cent of emissions
reductions through leading by example,
we now see partnerships between multiple
shippers and their logistics providers and
customers to maximise load factors and
achieve reductions of 30-60 per cent!
What will you get out of this? Aside from
immediate cost savings and improved
customer relationships and public image,
there is something bigger at stake. Pressure
on governments is mounting to deliver on
climate promises – the recent court order
to the Dutch government to achieve 25
per cent carbon reductions by 2050 is an
example of what’s to come. It is a matter of
time before national targets are translated
to mandatory reduction targets for industry
sectors, including logistics. Logistics companies that demonstrate climate leadership
will earn a seat at the table with governments and thus can help shape policies
that work for climate and business.
Martin Flach,
Product Director at
Iveco gives his views
on the practical
measures that can
be taken to reduce
carbon emissions
and the role
alternative fuels can
play.
I
t remains the case that road freight will
be the predominant means of transport
for some time to come. It is therefore appropriate to review what the logistic sector
can do to reduce its carbon emissions.
Carbon emissions are a direct result
of burning carbon based fuels and so it
follows that reducing fuel consumption will
reduce emissions. Vehicles covering long
distances will use more fuel in a year and
will emit more carbon than vehicles working in a purely urban environment, but fortunately long distance vehicles are where
there are more opportunities to save fuel.
Aerodynamics are a key part and it is vital
that the artic air kit is properly matched
to the trailer. If multiple height trailers
are being used, consider an automatically
height adjusting type. The gap between the
cab and the trailer should be as small as
possible. To aid access to the susie couplings, there are many systems available
which enable coupling from ground level.
Look at the trailer aerodynamics – have
you got side panels and rear under trays for
instance?
Check tyre pressures regularly. Underinflated tyres will worsen fuel consumption.
Look at the rolling resistance of the tyres
you purchase. Premium brands although
costing more will pay for themselves with
fuel savings.
Use the lowest viscosity oil recommended for the engine and driveline.
Small reductions can help to reduce fuel
consumption.
Optimising the vehicle will bring results
but it is important to monitor the vehicle
and drivers properly with telematics. The
potential savings are better than all others
put together.
As manufacturers, we are working on
further ways to reduce fuel consumption
with advanced energy management. Just
in the way that Formula 1 is now using
energy recovery systems, they will find
their way on to commercial vehicles. Waste
heat recovery will also become commonplace. Just consider how much energy is
dissipated from the radiator, exhaust and
brakes.
All the above is focused on how to reduce
the amount of fuel used but the alternative
route to reducing carbon emissions is to
use a low carbon fuel. In the long-term
hydrogen and electric will be part of the
commercial vehicle scene but in the short
to mid-term the most promising alternative
will be natural gas. Whilst diesel has
approximately two hydrogen atoms to each
carbon atom, natural gas (methane) has
four. This means that the emissions from
combustion will be lower in carbon.
Finally, we should look at biofuels
particularly drop in fuels such as
biomethane and biodiesels such as
hydrotreated vegetable oil and biomass to
liquid. When produced from sustainable
sources, these can make a strong
contribution.
There is much that the logistic sector can
do right now to improve carbon emissions
and, with the help of manufactures, there is
much that will be possible in the future.
Freight LCRS Supplement Autumn 2015
7
LCRS: Energy Savings Opportunity Scheme
ESOS: Countdown to
5 December 2015 deadline
There are new Energy Audit obligations for large enterprises in the UK covering
transport and buildings but a short timeframe to meet the requirements. Karen
Packham, FTA’s General Manager – Consultancy and Tendering provides the
details and how FTA can help you meet compliance.
I
“…adopting
subsequent
energy efficiency
measures could
deliver the UK
£2.8 billion
savings a year.”
t’s as little as four months until the deadline for
completing ESOS audits. If your company has over
250 employees or an annual turnover exceeding £39
million and a balance sheet exceeding £33.5 million,
you are in scope of ESOS.
ESOS is the UK’s response to the EU Energy Efficiency Directive demanding that all large enterprises
conduct energy audits every four years covering
buildings, transport and industrial operations. This
includes freight where the company purchases the
fuel, however subcontracted transport is excluded.
The first audit must be conducted before 5 December
2015. Companies are required to:
4 measure total energy consumption across transport, buildings and industrial activities
4 conduct energy audits to identify cost-effective
energy efficiency recommendations
4 appoint an ESOS Lead Assessor to either carry out,
oversee or approve audits
4 report compliance to the Environment Agency (the
scheme administrator)
There is no obligation to actually implement any
recommendations to save energy that are made. But
if you have had to invest in an audit, why would you
not act on the recommendations to make savings?
ESOS is expected to cover over 10,000 UK organisations and the Department for Energy and Climate
Change (DECC) says that adopting subsequent energy
Karen Packham –General Manager – Consultancy and
Tendering
efficiency measures could deliver the UK £2.8 billion
savings a year. Newly appointed Secretary of State for
Energy and Climate Change, Amber Rudd MP, said
“energy efficiency is the most effective way to reduce
carbon and reduce bills –it is win-win”. However,
How FTA can help you meet ESOS requirements
4 FTA is an accredited ESOS Lead
Assessor and our Consultancy team
can help you identify a plan of action and the best steps to meeting
the ESOS requirements
4 We offer a team of assessors that
can provide specialised freight
transport audits to ensure you meet
compliance with ESOS for your commercial vehicle fleet
4 FTA’s Logistics Carbon Reduction
Scheme is included in government
best practice guidance to help
8
freight operators to compile data
for ESOS and take action to reduce
energy in transport. To sign up, visit
www.fta.co.uk/lcrs
4 We also have the expertise and
experience to offer practical energy
efficiency recommendations to ensure your business can save energy
and costs following audit
4 FTA has a compliance briefing note
available giving further guidance
and support on how to comply with
ESOS at www.fta.co.uk/esos
Freight LCRS Supplement Autumn 2015
www.fta.co.uk/lcrs
LCRS: Energy Savings Opportunity
LCRS:
Scheme
Title
there is bound to be a certain level of pain and cost as
companies grapple with the new requirements.
ESOS is seen as a relatively light touch approach to
deliver energy savings but FTA believes that it adds
to a crowded area of legislation – many members
already have to take part in the Carbon Reduction
Commitment and mandatory greenhouse gas reporting. The good news is that DECC has noted the relevance of FTA’s managed Logistics Carbon Reduction
Scheme to help members comply with the transport
elements of ESOS.
FTA’s message to companies is to act NOW if you
haven’t already and we have a full range of services that can help you comply with ESOS (see text
opposite). One of government’s biggest challenges
is making affected companies aware that they must
comply with ESOS. Last summer, the Environment
Agency sent over 13,000 letters to organisations
which it believed qualified for ESOS and repeated the
exercise in May. There is concern amongst auditors
and professional bodies with audit registers that
there will be a huge rush closer to the deadline with
costs likely to be higher due to demand. There is also
concern there will not be enough auditors to do the
job, so take action now and appoint an ESOS Lead
Assessor. Compliance must be registered with the
Environment Agency by 5 December 2015 or there
could be hefty financial penalties.
You need to take care when appointing an ESOS
Lead Assessor who will ultimately sign off your audit.
He or she must be on a professional register of an
approved body such as the Energy Institute. Inevitably, you are likely to need more than one Assessor
depending on your operation, for example an auditor
to look at transport and another to review buildings. Also you will need to retain an evidence pack
should the Environment Agency come knocking.
And remember, ESOS is an ongoing scheme so the
next phase starts on 6 December 2015 and finishes 5
December 2019.
“FTA’s
message to
companies is to
act NOW…”
How ESOS works
Mandatory
Measure
energy use
(12 months)
➧
Appoint Lead
Assessor
➧
Voluntary
Identify
energy
efficiency
and energy
management
opportunites
➧
Store data
and notify
scheme
administrator
➧
Implement
savings
and further
disclosure in
annual report
Site visits
– use a sampling approach and identify types and
sites and visit one in each group.
Join the LCRS
Evidence pack
– you must keep records of your audit on file.
– to help you comply with freight transport aspects
of ESOS.
Company director sign-off
Don’t forget subsidiaries
– your ESOS assessment must be signed off by a
director.
– if you are part of a parent group, you might be
covered under ESOS even if you have less than 250
employees.
Estimated data
Report compliance
– YOU, not the ESOS Lead Assessor, is responsible
for notifying the Environment Agency that you have
carried out the audit.
– if you’ve never collection energy/fuel data before,
you are allow to make reasonable estimates for the
first ESOS phase.
5 December deadline
Comply and explain
Notify the Environment Agency
– retain your justification for how you have collected
data and approached the audit.
– you must tell the Environment Agency you have
complied online.
www.fta.co.uk/lcrs – note: 5 December is a Saturday!
Freight LCRS Supplement Autumn 2015
9
LCRS: Centre for sustainable road freight
Introduction to the Centre
for Sustainable Road Freight
The Centre for Sustainable Road Freight (CfSRF) is a collaboration between Cambridge and
Heriot-Watt Universities and organisations in the freight and logistics sectors, with a major fiveyear grant from the Engineering and Physical Sciences Research Council (EPSRC). Its purpose is
to research engineering and organisational solutions to make road freight more economically,
socially and environmentally sustainable. The CfSRF tells us more.
T
he Centre was conceived by two leading academics who have studied road
freight from different perspectives: Alan
McKinnon, then Professor of Logistics at
Heriot-Watt University and David Cebon,
Professor of Mechanical Engineering at
Cambridge University. They agreed that the
most effective way to achieve deep reductions in carbon emissions from the road
freight sector is to combine highly-focused
vehicle engineering with systematic improvements to freight distribution systems:
optimising vehicles in parallel with logistical tasks. They aimed to find ways to satisfy
the UK’s carbon reduction commitment, as
framed by the Climate Change Act (2008):
80 per cent reduction in carbon emissions
by 2050, compared to 1990 levels. The
transport sector accounts for about 25 per
cent of all UK emissions and road freight
accounts for approximately a quarter of all
transport emissions.
Alternative sources
Regardless of any specific targets, the
world of road freight is set to change. There
is an international effort to decarbonise
electricity supply and to use this green
energy source for passenger vehicles. Inevitably the associated changes in infrastructure will have an impact on road freight.
Whilst road freight presents some unique
challenges, trials are already underway in
Europe on electric hybrid HGVs. Alternative sources of lower carbon emissions
than diesel, such as methane, are also
being trialled. Other driving forces are the
substantial rises in transport fuel prices,
increasingly stringent air quality requirements, ever-increasing demands for vehicle
Alan McKinnon
David Cebon
safety and security and the rapid growth in
the availability of information about vehicle
movements and logistics.
The CfSRF was formed in 2012 to investigate these issues. Its activities combine
three core themes: operations, engineering and policy. With the help of funds
from both industry and the Engineering
and Physical Sciences Research Council (EPSRC), the Centre has developed a
comprehensive agenda integrating vehicle
engineering and logistics research, applied
to a number of project areas. FTA was the
first consortium member to join the Centre.
This research agenda has defined the
organisational design of the Centre: engineering expertise comes from Cambridge
University’s Engineering Department and a
range of industrial partners such as Volvo,
SDC, Goodyear, Firestone, Haldex and Millbrook. The Centre’s operational expertise is
drawn from industrial members including
Wincanton, Warburtons, Tesco, DHL,
John Lewis Partnership and Hargreaves
Logistics as well as Heriot-Watt University’s academic team. The engineering and
operational inputs are framed by policy
inputs from the FTA, Committee for Climate
Change, Transport for London and RHA.
Members of the Centre for Sustainable Road Freight (CfSRF)
10
Freight LCRS Supplement Autumn 2015
The research programme
The Centre’s research is performed by project teams consisting of academic researchers working in partnership with industry
representatives.
Reductions in rolling resistance as a consequence of tyre selection and light weighting have been investigated by the Centre.
Lighter vehicles permit larger payloads to
be carried, or reduce the energy required to
transport volume-limited freight.
Other aspects of the Centre’s research
have considered how vehicle aerodynamics
can be improved. This has led to a concept
trailer being evaluated by John Lewis Partnership in 2014. The Centre’s work in this
area has provided a robust evidence base
suggesting that aerodynamic interventions
in the right contexts (long haul high-speed
journeys) can deliver substantial reductions in fuel consumption and carbon
emissions.
As important as vehicle engineering
is in reducing carbon emissions, it does
www.fta.co.uk/lcrs
LCRS: Centre for sustainable road freight
little to improve the behavior of the driver
or reduce congestion. The Centre has
two research projects looking at human
factors in logistics, concentrating on the
interaction between machine and man.
This important research has revealed how
engineers can incorporate human behavior in the design of vehicles through the
anticipation of driver responses to vehicle
and external contexts.
Reducing the number of vehicles
required to move particular amounts of
freight around the country obviously plays
a role in reducing the level of congestion.
However, the Centre’s ambition is also to
improve routeing through the anticipation
of congestion levels. This will be achieved
through the application of sophisticated
video processing capability, to understand
emergent traffic patterns and predict their
future consequences.
The need to reduce carbon emissions
has also prompted research into alternative
fuels. The Centre is close to completing a
substantial experimental study on diesel
and gas dual-fuel vehicles, to understand
the environmental performance of methane
as a fuel.
Significant opportunities exist in the
more efficient organisation of logistics;
currently exemplified by the stubborn
increases in empty running. In 2013 approximately 30 per cent of journeys carried no
load and those journeys that were loaded
on average use no more than 50 to 60 per
cent of the vehicle capacity (measured as
weight or volume).
The investigation of a single logistics
activity measure, in a project sponsored
by FTA and led by the Heriot-Watt team,
highlighted the need for companies to plan
their operations using product or load cube
information. The availability of this data
would improve the fidelity of carbon emissions reporting and facilitate benchmarking
across organisations.
Quantifying the potential to reduce
empty running and improve capacity
utilisation presents significant challenges.
Despite this, the Heriot Watt team has used
data from 28 Fast Moving Consumer Goods
(FMCG) organisations to illustrate how carbon emissions could be reduced by up to
10 per cent through collaboration between
operators.
Sophisticated computer modelling of
journeys took account of load compatibility, delivery timings, and increased journey
time as a consequence of incremental
journey legs.
The wide range of carbon reducing interventions is difficult to navigate. This has led
to the Centre working with FTA to develop a
tool (see box).
Industry road map
Twelve programs currently being run by
the Centre have been designed in a way
that facilitates the integration into a future
roadmap for industry. This roadmap will
plot the research, operational and regulatory interventions required to achieve the
2050 target.
Success to date
Since its inception the Centre has produced a wide range of academic papers,
participated in a number of conferences,
initiated an annual international workshop, been tasked by the UK Committee On Climate Change to develop the
evidence base for the fifth carbon budget,
and the Heriot-Watt team has been
selected as a University partner for the
Transport Systems Catapult.
In a short space of time, the Centre
has established itself as a focal point
for road freight research and associated
discussions.
The future
Substantial growth in demand for road
freight is predicted into the future, but
with increasingly stringent environmental
controls. CfSRF has a significant role to
play: to help the industry negotiate the
complex technological and operational
changes needed to decarbonise its activities so as to meet stringent carbon reduction targets.
■ For further information visit:
www.cfsrf.ac.uk
Carbon for Money Model
T
he Centre has developed a software
tool that allows companies to calculate what carbon reducing modifications
to vehicles make most economic sense.
Operators can input their fleet profile; a
description of their vehicles and the type
of activity they undertake, together with
the amount of fuel used and the distance
driven. The tool calculates the interventions that should be prioritised and those
that don’t make economic sense.
www.fta.co.uk/lcrs The recommended interventions are
prioritised according to investment
criteria such as payback period and net
present value.
The tool then calculates how much
money the business can expect to save
from the recommended investments and
what the associated carbon reduction
will be.
The tool has been Beta tested by a
number of FTA members and the Centre
is now developing a web-based version
aimed at satisfying ESOS and FTA LCRS
reporting requirements.
Freight LCRS Supplement Autumn 2015
11
LCRS: Title
CO2 standards for new HDVs
CO2 standards for new
heavy duty vehicles
Carbon dioxide standards for new heavy duty vehicles (HDVs) are on the horizon, but will this
information change operators’ buying decisions?
T
he European Commission is set to
introduce CO2 standards for new HGVs,
buses and coaches. With HDVs collectively
representing about a quarter of road transport emissions, encouraging the purchaser
to invest in vehicles with the least carbon
emissions is seen as a measure to help
make reductions. The EC has an ambitious
commitment to reduce transport carbon
emissions by 60 per cent by 2050 based on
1990 levels. Carbon dioxide standards are
just one measure to make reductions which
include more freight on rail, zero emission
urban centres and use of alternative fuels.
Cars and vans have already come under
similar CO2 legislation and the UK government had applied the values so that
consumers purchasing vehicles with the
lowest CO2 per km benefited with cheaper
vehicle tax. But can a CO2 system be so easily applied to HGVs when there are rigids,
semi-trailers and tractors to consider not
to mention tyres, different gear boxes and
axles? Add to this varying operational and
duty cycles and differing bodies and equipment fitted to trucks.
VECTO
The Commission has developed a vehicle energy consumption calculation tool
(VECTO) to measure fuel consumption and
carbon emissions designed to tackle these
issues. The vision is to give a reliable real
world picture of emissions. The Commission intends to bring forward proposals for
legislation by mid 2016 requiring carbon
emissions from new HDVs to be certified,
reported and monitored. There has been
buy-in from OEMs and component manufacturers who have agreed to this simulation-based approach rather than on-road
testing which would be cumbersome and
costly for industry. Meanwhile in Japan,
the US and Canada, legislation has already
been introduced to limit HDV carbon emissions but Europe will be the first to estimate
the whole vehicle’s (including the engine,
transmission, auxiliary elements, air drag,
rolling resistance and also the trailer) CO2
emissions. Previously, the test cycle procedure for HDVs was based on the engine only
for regulation of air pollutants. Currently
three HDV categories (representing 50 per
cent of HDV CO2 emissions – long haul,
regional/city delivery and coaches) are covered by VECTO and it will now be extended
to the remaining categories.
The future
Eventually, mandatory limits on average
emissions from newly-registered HDVs
could be introduced, as is already done for
cars and vans, however a robust baseline
reflecting today’s level of carbon emissions
from HDVs needs to be established.
FTA is concerned that a certification scheme will be overly simplistic
12
Freight LCRS Supplement Autumn 2015
considering the considerable variety of
models and sizes of trucks available. The
wide variety of weights and loads that will
be carried will also affect the carbon efficiency of new HDVs. The Commission has
quite rightly gained expertise from vehicle
manufacturers to develop the tool but
has there been enough engagement with
fleet operators? Will industry buy-in to a
certification scheme when there is already
skepticism about car and van CO2 emission
accuracy? Anecdotal evidence from operators places carbon alongside a multitude of
other reasons for purchasing a certain HGV.
Price, reliability and after sales service are
just as important. Many operators have
longstanding relationships with manufacturers and would expect to trial a new
vehicle to ascertain fuel efficiency before
purchasing or leasing. The use of telematics to ascertain real world data on fuel is
perceived as being just as useful. There are
also concerns that VECTO may increase
cost and that it may work for type approval
purposes but not necessarily for practical
use. That said, there are some positives;
VECTO has the potential to indicate likely
carbon levels, improve transparency and
enable vehicles to be compared. As the
Commission draws closer to establishing
legislation, it is vital that both vehicle manufacturers and fleet operators are engaged
in the process so that VECTO is workable
for industry as a whole.
www.fta.co.uk/lcrs
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LCRS: Alternative technologies
Alternative fuels and low
carbon technologies
As the UK steps up its actions to reduce carbon emissions, the move
towards ultra low emission vehicles is seen as one solution to decarbonise
the transport sector, but how easy is it to move from diesel and make
alternatives mainstream for commercial vehicles? Rachael Dillon looks at
the options.
L
“…there are
an increasing
number of
public refuelling
infrastructure on
the major road
network more is
needed.”
14
eading operators have been trialling or investing
in alternative fuels such as gas and biodiesel or
low carbon technologies such as electric and hybrids
for a number of years. However to date, these alternatives are yet to go mainstream. Cost, lack of refuelling infrastructure and concerns over reliability are
some of the key reasons to stay with diesel, not to
mention the current level of efficiency that this fossil
fuel provides. Whilst government has an ambition
for nearly all vehicles to be ultra-low emission vehicles by 2050, much of the emphasis is on cars. Without the incentives and support from government,
commercial vehicles operators will struggle to make
the switch. The Low Carbon Truck Trial funded by
the Department for Transport is supporting over 300
gas HGVs and 18 refuelling stations but there needs
to be more if freight is to make a credible contribution to UK carbon reduction targets.
Gas (either liquefied or compressed natural gas)
has become a promising option offering reduced
carbon emissions plus lower nitrous oxide and
particulate matter. The dual fuel approach, particularly suited to long trunking, means that operators
can switch from gas to diesel giving some reassurance if refuelling is an issue. Although there are an
increasing number of public refuelling infrastructure stations on the major road network, more are
needed. Many operators utilising gas would also like
to be able to use biomethane to secure even lower
carbon emissions, but government’s Renewable
Heat Incentive provides a much greater incentive
for biomethane producers to inject into the grid for
electricity and heating, rather than further upgrading
Freight LCRS Supplement Autumn 2015
the biomethane for use as a transport fuel. The duty
differential for road fuel gas for a 10-year period,
which FTA campaigned for, was secured in Autumn
2013 has gone some way to help make the business
case for gas better but it remains a niche fuel.
The potential for biodiesel lost much momentum
in 2008 over sustainability issues and the feedstocks
used to create the fuel. The findings of the Gallagher
Review demanded that biofuels must be sustainable.
FTA’s gas manifesto
O
perators of national heavy goods vehicle fleets
are considering wider use of natural gas and
biomethane powered vehicles to help achieve
operational efficiencies and reduce carbon emissions. In order to provide the necessary confidence
in making these investments the government
needs to:
■ support the development of national refuelling
infrastructure on the main motorway
■ secure biomethane supplies for the transport
sector
■ recognise Green Gas Certificates for transport
carbon reporting
■ allow derogations in vehicle weights and
dimensions limits to allow for new tanks and
equipment
■ work with vehicle operators to understand better
the barriers to wider uptake and work collaboratively to remove them
www.fta.co.uk/lcrs
LCRS: Alternative technologies
Many operators were put off from utilising biodiesel,
as well as issues with vehicle warranties. Additionally, government removed the duty differential for
biodiesel in 2010 and subsequently waste cooking
oil. This has had profound impacts for the market
as the duty differential was able to justify additional
operator burdens of using biofuels.
Despite this, there has been an upsurge in utilising waste cooking oil. Several businesses have
invested in processing and refuelling infrastructure
to support collection from restaurants and other
business premises and converting to a low-carbon
fuel. For example, LCRS member, London Borough
of Hackney (highly commended at the LCRS Awards
for Green Fuel and Technology Operator of the Year)
has embraced the use of green fuels and technologies and operates nearly 40 HGVs on 100 per cent
biodiesel (used cooking oil). In addition, the council
has over 200 vehicles capable of operating a B30
biodiesel blend.
Electric is most suited to urban areas and cities
and is particularly beneficial in terms of reducing
both carbon and air pollutants. Pure electric vehicles
are rapidly improving but are still only viable for
smaller vehicles (typically 12 tonnes compared to
maximum 44 tonne HGV weight) requiring shorter
ranges than the industry norm. The limited payload
on offer plus the concerns of battery reliability, not
to mention the sheer cost, puts operators off. Cities
have failed to recognise the need to incentivise these
vehicles which are servicing the needs of businesses
and residents. Hybrids are a good half way house, as
a combination of electric and diesel can be used but
most suited to stop and start driving. Hybrid technology remains expensive but production costs could be
reduced if manufacturing volumes rise and there are
improvements in battery technology.
Hydrogen is considered to be a key alternative fuel
but its development is in its infancy. Using hydrogen
Case study:
Sainsbury’s
LCRS Award winner: Green Fuel and
Technology Operator of the Year
To help achieve its carbon reduction goals,
Sainsbury’s began its dual fuel journey in
2007, with a trial of five Euro III Mercedes,
using dual fuel diesel/bio-liquid natural gas
(bio-LNG). Research was conducted into a
range of alternative fuels, however none
were found to match the environmental
benefits of dual fuel. Working alongside
academics and manufacturers, the short
to medium-term view is that liquid natural
gas is the way forward. Sainsbury’s worked
closely with Gasrec, its bio-liquefied natural
gas (LNG) fuel provider, and Clean Air Power
who developed the dual fuel conversions
which enable the tractor fleet diesel engines
to successfully operate on a combination
of diesel and bio-LNG. To minimise the cost
and maximise the operational efficiency,
the company used an external gas refuelling
www.fta.co.uk/lcrs to power vehicles such as
HGVs is welcomed as no
pollution is emitted from
tailpipes and vehicles.
Hydrogen from renewable sources would have
no emissions at all. The
production of fuel cells
is one way of enabling
hydrogen to produce
electricity. Certainly, the
UK Committee on Climate
Change anticipates that
hydrogen is a fuel for the
future and government is positioning the UK to be a
lead market for the introduction of hydrogen fuel cell
vehicles, and has concluded that an initial network
of 65 hydrogen refuelling stations across the UK
could provide sufficient coverage for an early market.
Commercial Group (LCRS Award winner Logistics
Carbon Innovator of the Year) who are members of
the LCRS have began utilising hydrogen hybrid vans
in January 2014 and over half of its fleet continues to
use this alternative fuel.
There is a huge range of activity from FTA members
to utilise alternative fuels and low carbon technology, with great opportunity to explore the benefits
and challenges of moving away from traditional
diesel. But we mustn’t forget the incredible efficiency
of diesel and the steps that operators take to continually renew their fleet to improve air quality. In light of
Transport for London launching a low emission commercial vehicle project as part of its Ultra Low Emission Vehicle Delivery Plan, FTA is calling for further
targeted financial incentives to stimulate the freight
market. All infrastructure, congestion charging and
low emission schemes should also be incentivising
vehicles to utilise alternative fuels to kick-start the
market.
station eight miles from its distribution
centre. Following this successful trial phase,
the company embarked on phase one of the
project which was successfully completed
in 2013, with the further introduction of 50
Volvo FM460 dual fuel vehicle conversions.
Sainsbury’s also then took the decision to
install its own on-site, 40 tonne bio-LNG
storage and refuelling station supplied
by Gasrec at its Emerald Park Distribution
Centre. Vehicle availability and Sainsbury’s
desire to continue at a pace to increase
its presence in this arena meant further
work. Following the success of phase one,
Sainsbury’s purchased 50 more Volvo CAP
conversions and eight Volvo Methane (OEM
supply) tractors which were delivered in
2014, completing phase two of the project.
All vehicles were also fitted with a catalyst,
preventing methane slip. Sainsbury’s dual
fuel fleet is now split between three operations and the company is working with third
party operators to further advance the use
of gas.
Freight LCRS Supplement Autumn 2015
15
LCRS: Title
Options for modal shift
Making alternative modes part
of logistics carbon reduction
While there is an inevitable focus
on road transport to reduce carbon
emissions, using alternative modes,
where practical, could be a good
option to help logistics decarbonise.
Chris MacRae, FTA’s Rail Freight
Policy Manager looks at the
challenges to take-up and explains
how FTA is supporting members in
considering the use of rail and water
freight.
The case for rail freight
When rail works, it works well and is generally
reliable. However, rail only accounts for 10 per
cent of retail traffic and is less economically viable
on journeys under 150 miles. It is attractive for its
environmental benefits but must be cost neutral
compared with road freight. Following government
consultation last year, existing grant regimes
will remain but spending on rail infrastructure is
needed. The development of High Speed 2 (HS2) is
the first development in over a century providing
industry with a once in a lifetime opportunity for
an enhanced freight service. Various rail freight
interests, including FTA, have petitioned in respect
of the HS2 Bill to ensure that rail freight is properly
addressed, but too often the odds tend to be
stacked in passenger interests’ favour. If the sector
is to decarbonise effectively, rail freight must be
allowed to play a stronger role. Also, to achieve
Network Rail’s growth forecasts, rail freight will
need to increase by six per year by 2019. That’s a
tall order, so we are calling for major changes and
improvements in the delivery and performance of
rail freight services in Britain.
Seven key targets identified by
customers to grow UK rail freight
Chris MacRae, FTA’s Rail
Freight Policy Manager
16
In 2012 FTA published On track! – a series of case
studies provided by retailers to demonstrate their
commitment to reducing the environmental impact
of their transport operations through greater use
of rail. The same retailers subsequently identified
seven targets for industry to expand rail significantly,
known as the Agenda for More Rail Freight. These
targets are endorsed by FTA’s Rail Freight Council
and by FTA’s British Shippers’ Council which include
Freight LCRS Supplement Autumn 2015
a wider range of shippers engaged in other sectors of
the economy.
1 Cost reduction by 15 per cent based on current
costs plus innovation
The McNulty Report into the efficiency of Britain’s
railways estimated that our railways were between
20-30 per cent less cost efficient than their
continental counterparts. Increasing train velocity
from 25 to 35mph and creating a stable charging
regime is needed to reduce rail freight’s cost base.
2 Six-hour response time to service and alteration
requests
Shippers have identified a six-hour response time to
be the industry target, but recognises that different
response times may be appropriate for different kinds
of supply chain. Enquiries regarding incremental
traffic on existing services should be responded to
immediately. Delivery of a Digital Railway Vision
will facilitate planning and scheduling leading to
enhanced response times.
3 Seven-day railway capability
Shippers require a seven-day rail freight capability if
they are to use rail, to avoid having to retain a road
fleet capability themselves if a route is closed due to
maintenance etc.
4 Standard train lengths should be increased by
17.5 per cent
Shippers have identified that train lengths need to be
increased to 775m as the industry planning standard
and heavier trains and higher axle weights for bulk
traffic to reduce unit costs, achieve economies of
scale and reduce the cost of rail freight.
5 400 per cent increase in terminal capacity
Increased capacity in strategic rail freight interchanges and rail connected warehousing is crucial
to expanding access to the rail freight network and
www.fta.co.uk/lcrs
LCRS: Options for modal shift
achieving Network Rail’s Freight Market Study forecasts of 5.9m2 terminal capacity.
6 Reduce intermodal transfer costs by £50
Transfer costs are dependent on terminal size,
throughput and handling equipment. Enhanced
efficiency in inbound and outbound road operations
and optimisation of fleets and drivers is needed to
reduce costs.
7 Reduce Channel Tunnel rail freight charges and
rates by £50
Previously, track access charges were set at a level
which dissuaded serious take-up in international rail
freight services. Recent reductions in charges were
made by Eurotunnel in response to EU legal proceedings. These reductions need to be made permanent.
Further cost reductions can be achieved by making
costs and management more visible, collaboration
between service providers on operations and equipment and non-discrimination between freight shuttles and through freight trains.
FTA is also encouraging shippers to consider rail in
Making use of rail – a guide for shippers.
bulk and inland waterways shipping. Additionally,
FTA looks after Freight by Water – the UK’s short sea
promotion centre. FTA will be further developing
plans and promotions regarding freight movements
by water later in 2015.
It’s increasingly clear that decisions on decarbonising freight must consider every option and rail and
water must be able to play a significant role.
For further information, please contact Chris MacRae – [email protected] or to download any of the
guides, visit www.modeshiftcentre.org.uk
On track!
Retailers using rail
freight to make cost
and
On board!
carbon savings
water freight
carbon savings in
Innovations and
FTA_Brochure_smalle
r.indd 1
Water freight
18/04/2012
03/01/2012
Morrisons
LCRS Award winner: Excellence in
Modal Shift
Since 2012, Morrisons has been using rail
to move its store picked product from its
depots in Northampton and Leicester to its
Bellshill depot in Scotland. The company
uses the daily services of JG Russell (JGR) via
the rail terminal at Daventry into Coatbridge.
Morrisons developed the initiative not
only because of its commitment to costeffective logistics solutions but also to support its Corporate Responsibility Strategy to
reduce emissions. The company also wanted
to provide a single point of supply within its
network for suppliers, both in the UK and
internationally via major shipping lines.
The distances between depots and the
volumes that needed to be transported outweighed the capacity available to Morrisons
on the road. Rail fulfils both, with capacity in
www.fta.co.uk/lcrs 18:59
ndd 1
FTA_Brochure_water.i
The use of water freight is often perceived as a
slower, more complicated and less urgent means of
transport. However, there are numerous companies
using water freight, due to its versatility and the
range of services offered. These include whisky and
foodstuff exporters, high street retailers and textile
manufacturers. Government and third party investment is optimising water freight. FTA’s Making use
of water freight – a guide for shippers gives a basic
introduction for shippers considering water as part of
their supply chain solution.
Meanwhile, FTA’s On board! demonstrates the possibilities of water freight across a range of industry
sectors. Case studies cover short-sea, coastal, ro-ro,
Case study:
11:33
The Mode Shift Centre
At the beginning of 2012, FTA established the
Mode Shift Centre a free service aimed at helping
potential users of rail and water freight make
the best possible use of these modes. It was a
result of discussions between FTA, government
and the rail and water freight industries to raise
awareness and looks to demystify the modes and
to supply information and explore the potetnial
of these modes for shippers, hauliers and
forwarders. Visit www.modeshiftcentre.org.uk
one movement and also removing truck load
volume in kilometres and cost within the
network. Additionally, rail is an invaluable
mode of transport during the winter months,
and proves to be far more reliable than road
alternatives for the company.
Morrisons owes a lot of its success to its
great working relationship with JGR. It is the
company’s strong partnership and incorporation of JGR in its network strategy that has
enabled it to increase its rail capacity.
During seasonal trends, JGR provide Morrisons with additional rail space and services
to ensure that supply continues to meet demand. Operational issues have never caused
the service to fail. Previously, Morrisons
would manage loads between its southern
depots and Daventry, however it has now
integrated its movements with JGR collecting
all rail loads on return, maximising inbound
movements and better utilising rail services
in and out of Daventry.
This partnership has resulted in the
continual success and progression of this
initiative. In 2012, Morrisons moved on average 30 loads per week by rail, in 2013 operations increased 67 per cent to 50 loads per
week. In 2014, Morrisons introduced, within
its Latimer Park operation, a national supply
for all stores. Rail operations increased by
a further 20 per cent, to its current 60 loads
per week. Each rail movement saves 950kms
on each journey. Over the last three years,
Morrisons has saved over 5,450 tonnes of
carbon.
Freight LCRS Supplement Autumn 2015
17
LCRS: The air quality challenge
The air quality challenge
Whilst there is huge focus on addressing climate change and reducing carbon, there are direct
human health impacts from atmospheric pollution – and road transport is a significant source
of that pollution. Christopher Snelling, FTA’s Head of National and Regional Policy and Public
Affairs explains more.
P
oliticians and health campaigners are
determined to continue to address air
pollution until the health impacts are eliminated. However, the problem we are seeking
to address is not one of rising emissions.
Total local air quality emissions are
falling and have been for more than 20
years. They can be expected to continue to
fall in the foreseeable future – especially
from commercial vehicles, as the Euro VI
standard takes hold. What is happening is
that we are understanding more about their
impact on human health, and as a society
we are setting higher expectations.
Whilst the UK has been seeking to
address air quality for many years its efforts
have not been as successful as is required
under EU law.
In April this year the UK Supreme Court
ruled in favour of lawyer activist group
Client Earth that the UK government was in
breach of its legal requirements to improve
air quality in cities around the country.
Consequently the Department of Environment Food and Rural Affairs (Defra) is now
charged with coming up with a new plan
that will enable the UK to meet its obligations as quickly as possible.
This is a less dramatic development than
would otherwise have been the case given
that Defra had been planning to produce
such a plan by the end of the year anyway.
However, this verdict adds extra impetus to
the process and potentially raises the bar for
what would count as an acceptable package
of measures – any ‘weak’ plan would be
liable to legal challenge once again.
Meanwhile in Scotland (which is also
impacted by the verdict, as it is the UK as
a whole that is in breach of the EU requirements), the Holyrood government is continuing to develop its Low Emission Strategy
which, as above, will need to demonstrate
it will address Scotland’s issues in the
shortest feasible timeframe. We expect the
final version of the Strategy to be published
by the end of 2015.
The most likely practical implication
on the ground is the deployment of Low
Emission Zones (LEZs) – as per the London
LEZ, but now working to a Euro VI requirement. Central London is already set to go to
Euro VI in 2020, with a requirement across
Greater London for heavy duty vehicles
probably around 2025. There is now an
18
increasing likelihood that other major UK
cities such as Manchester, Glasgow or Birmingham could establish similar requirements in the same timeframe.
But it will not even necessarily stop there.
Transport for London (TfL) has initiated a
‘Low Emission Commercial Vehicle’ project,
part of which appears to be aimed at defining what a post-Euro VI standard looks like
– ie a requirement going beyond vehicles
relying on 100 per cent diesel power.
Whilst the immediate target for authorities will be to meet EU requirements and
avoid fines, longer term they will be looking to continue to reduce emissions. For
some pollutants such as Particulate Matter
there is no ‘safe’ level – the more you
reduce them, the more you improve human
health. So cities will look to the EU’s vision
of carbon (CO2) free city logistics as an
equivalent aspiration for all transport
emissions.
Urban operations and air quality
O
perators are looking for what practical measures they can take today to
reduce emissions in urban operations
– especially given the increased impact
of air quality issues in our cities. Alternatives fuels are addressed elsewhere. Some
operational options to consider are below.
■ Utilise Euro VI – the benefits of Euro
VI seem to be being realised much
more than was the case with IV and V,
so upgrading vehicle fleets will have a
significant impact on local emissions.
Where finances do not allow for upgrading early, try to rotate any Euro VI vehicles you do have on to the busiest urban
routes – ie peak time city centre trips.
■ Utilise the off-peak – aside from cost
savings due to reduced journey times,
making deliveries off-peak can significantly reduce emissions. Volvo Trucks
has advised FTA that in a HGV, if you
compare stopping three times every
mile verses cruising at 30mph, you are
looking at tripling emissions (and fuel
use…).
■ Consolidate loads – politicians and
Freight LCRS Supplement Autumn 2015
public officials get very excited by
consolidation centres – perhaps more
so than they should. But, however it is
achieved, moving goods in a smaller
number of larger vehicle movements
will reduce emissions. What matters is
emission per tonne delivered, and these
will be far lower in a single large vehicle
movement compared to several smaller
vehicles.
■ Driver training – smooth driving and
minimised braking can reduce fuel bills
over all operations – but in urban areas
they have the knock-on advantage of
reducing local air quality impacts as
well, so training should incorporate
urban conditions as well as motorways/
trunk roads.
■ Ancillary equipment – explore options
for powering additional equipment by
alternative means as, whilst engines
have improved in leaps and bounds,
other equipment such as refrigeration
units power sources have not, and
consequently have a greater emissions
impact than might be expected.
www.fta.co.uk/lcrs
LCRS: Reporting emissions
Reporting emissions in the supply chain
Chris Welsh MBE, FTA Director of Global
and European Policy and GSF Secretary
General
A
s global leaders prepare for major
climate change talks in Paris this December to agree a new deal to tackle global
warming, reducing greenhouse gas emissions is a key concern for shippers. The
Global Shippers’ Forum (GSF), formally
incorporated in the UK as an international NGO, represents shippers’ interests
and is acutely aware of the pressure that
companies are under to be able to report
Scope 3 (indirect emissions) along the
supply chain. The International Maritime
Organization (IMO) and the International
Civil Aviation Organization (ICAO) are
both charged with tackling their respective emissions, but shippers need to have a
voice as policy is developed.
GSF has taken considerable steps to
expand its influence at IMO over the last
few years. We remain convinced that
the role of shippers can ensure there is a
cost-effective approach to greenhouse gas
reduction. In particular, we are keen to see
progress on IMO’s development of a fuel
data collection for ships. We have called for
inclusion of data that can identify energy
efficiency, such as cargo carried, distance
travelled and transport work. This will
ultimately help shippers to report Scope 3
emissions. Additionally, it will help form
a credible plan for mitigating maritime
emissions.
GSF has just published its 4th edition
of its maritime emissions policy briefing
which contains full details on the latest
issues affecting shippers.
Aviation is seen as an environmentally
damaging form of transport when, in reality, the industry has been taking extensive
action to reduce emissions. ICAO is set to
develop some form of market-based measure to curb aviation emissions by 2016; it
is likely to be an offsetting approach. GSF
recently held a ‘Green Day’ air cargo event
in conjunction with its annual meeting
to support the Global Air Cargo Advisory Group’s (GACAG) campaign to raise
awareness of how shippers and carriers
are working together to promote sustainable air cargo. The event featured input
from ICAO, the International Air Transport
Association (IATA) and GSF members. We
Maritime emissions
GSF policy briefing
The value of air cargo
to
the global economy
GSF briefing
May 2015
June 2015
1
1
21/05/2015 12:45
15095 GSF Maritime Emissions_2014.indd
1
also launched a GSF best practice case
study guide.
At Paris, aviation alongside shipping
is likely to face a sectoral greenhouse gas
reduction target, and both IMO and ICAO
may be required to develop a levy scheme
to provide financial support for the Green
Climate Fund designed to aid developing
countries for climate change adaptation. This could result in levies being passed to
the shipper. GSF firmly believes that the
most efficient way for maritime and aviation to reduce emissions is for any funds
from a levy scheme to be invested back into
industry so that advances can be made in
operational and technological measures.
Aviation and maritime are critical sectors to
keep global economies moving and should
not be treated as ‘cash cows’.
■ For further details and to download the
guides, visit www.globalshippersforum.com
How FTA can help?
Information
FTA Logistics Carbon Reduction Scheme
The Logistics Carbon Reduction Scheme
(LCRS) is a voluntary initiative to record,
report and reduce carbon emissions from
freight transport. It is FREE to join and
participate in. By joining the LCRS, members
can demonstrate their green credentials and
commitment to reducing carbon emissions
from freight transport. Members can also
apply for the LCRS Awards, held annually.
■■For further information or to join up, please
email [email protected] or visit www.fta.
co.uk/lcrs
Carbonfta
This unique subscription service provides
a simple, straightforward and practical
information guide on recording, reporting
and reducing carbon emissions, with
additional support to ensure your transport
department understands the implications
of climate change and carbon dioxide
emissions’ policies on supply chain
www.fta.co.uk/lcrs activities. The subscription is available in
a web-only format, or if preferred an A4
manual. Regularly updated, the website
(and A4 manual) contains detailed, yet
easy to understand, information and advice
and is applicable to both van and light
commercial vehicle operators as well as
HGV operators. The service also includes a
bi-monthly Carbon enews bulletin and free
telephone advice for any carbon-related
questions.
■■If you are interested in subscribing to
Carbonfta, please contact the FTA Member
Service Centre on 08717 11 22 22, email [email protected] or visit www. fta.co.uk/carbon
Auditing
ESOS
FTA is offering an ESOS Transport Audit to
enable members to comply with the legal
requirements of Energy Audits by 5 December 2015.
■■For more information please call 08717 11
22 22 or email [email protected]
Consultancy
FTA’s experienced consultants are experts
within their fields and provide a range of solutions for your business including environmental auditing, examinations and guidance
on policies and practices and support with
the implementation of new initiatives or the
addition of ‘greener’ vehicles.
■■For more information please call 08717 11
22 22 or email [email protected]
Vehicle inspections and fleet audits
One of the most effective ways of reducing
fuel consumption is to ensure a wellmaintained and efficient fleet. Our range of
vehicle inspections and fleet audits provide
ways of achieving this and our qualified engineers can advise on alternative, ‘greener’
fuels.
■■For more information please visit www. fta.
co.uk/vehicleinspection, email enquiry@fta.
co.uk or call 08717 11 22 22.
Freight LCRS Supplement Autumn 2015
19
Energy Savings Opportunity Scheme (ESOS)
Is your company ready?
If you have more than 250 employees or have an annual turnover of over £40 million
you are now required to undertake energy audits every four years. The new Energy
Savings Opportunity Scheme (ESOS) has been introduced to reduce the UK’s energy
usage and encourages energy saving practices.
How can FTA help?
FTA Consultancy can help you to identify a plan of action and the best steps to
meeting the ESOS requirements. FTA has a team of assessors that can provide
specialised freight transport audits to ensure you meet compliance with ESOS for your
commercial vehicle fleet.
The first audit must be conducted by 5 December 2015
Get in touch today to find out if ESOS will affect your business
www.fta.co.uk/esos
08717 11 22 22
DELIVERING SAFE, EFFICIENT, SUSTAINABLE LOGISTICS