Couriers Go Green

Further Reading, References, Key Documents – HUNGARIAN

Further Reading, References, Key Documents   Module A – European Union’s policy and legislative framework on green city logistics Sustainable Urban Logistics Planning, 2019 The New EU Urban Mobility Framework, 2021 Sustainable and Smart Mobility Strategy, 2020 Decarbonising Transport in Europe, 2021 SULP Guidelines, 2015 SUMP Guidelines, 2019 (second edition) A Clean Planet for all, 2018 A clean Planet for all, 2018 (Analysis) The European Green Deal, 2019 The European Green Deal, 2019 (Annex)   Module A – Opportunities for funding and supporting the green transition of urban freight transportation CGG_course presentation handout   Module A – Planning for sustainable cities with green urban logistics SUMP 2019 SULP 2019 ENCLOSE SULP Methodology Guidelines for developing and implementing a SUMP 2014   Module B – New Mobility Services: Solutions and business models for urban transportation ERTRAC New Mobility Roadmap ULaaDS Future of On Demand Urban Logistics   Module B – Connected and automated mobility and future city logistics ERTRAC_Cooperative, Connected and Automated Mobility Roadmap NCHRP_Risks from new technologies in transport   Module B – Learning by example#2. Exchange of good practice DHL Self Driving Vehicles Connected and Automated Transport   Module C – Big data and information sharing applications for urban logistics Big Data and Transport Information-Systems-for-Interconnected-Logistics-Final-Roadmap Application of Big Data in Logistics Smart_City_and_Urban_Logistics   Module D – Training in CGG “Measure my Green Readiness” Self-Assessment Tool Manual – “Measure my Green Readiness” tool      

Module D: Hands-on practice – HUNGARIAN

Training in CGG “Measure my Green Readiness” Self-Assessment Tool   Individual project: Assignment workshop   Individual project: Presentation workshop          

Module C: Operation – HUNGARIAN

Big data and information sharing applications for urban logistics Greening courier/postal/delivery services: Transport operations Transport services are trying to become more and more environmentally friendly. The methods used vary depending on their objectives, the size of the companies as well as the requirement of each region. Below will be presented some of the methods used by delivery, courier, and post companies. Crowdsourced as a method of reducing unnecessary routes. A widespread delivery service is that of food delivery. Some online food delivery companies, try to effectively connect costumers with a broad selection of restaurants by utilizing a crowdsourced fleet of couriers. That is something that every courier service company tries to achieve. The objective is to match each courier with as many orders as possible and yet, keep the delivery service fast, reliable, and environmentally friendly. The main strategy is batching orders allowing couriers to handle multiple pickups and deliveries in a single route. The best way for companies to achieve such objectives is to integrate route planning software like Artificial Intelligence (AI). By using that kind of technology, couriers have access to real-time traffic condition to determine the most efficient routes for couriers to ensure that multiple deliveries can be conducted as quick and as possible in the most effective sequence. Route optimisation software allows businesses to plan multi-stop deliveries calculating the shortest route and the most efficient order. This kind of technology helps companies reduce the time and the resources spent on each delivery. This minimizes a lot the carbon footprint by reducing unnecessary routes and also makes the delivery process more sustainable and cost-effective. As mentioned above, crowdsourcing seems to be a smart solution for courier companies. Crowdsourcing encompasses various transportation methods, and it relates to collaboration between delivery companies and everyday citizens. These methods include personal vehicles, and public transport as well. Sometimes in this kind of delivery management, crowdsourced couriers are natural persons that deliver parcels as a secondary activity as they travel from one place to another. One type of crowdsourcing delivery can be achieved through the use of car instead of motorbikes as there is need. In many cases, the use of the car may seem more harmful to the environment than the use of a motorbike. According to one study, there are exceptions, as the limited capacity of a motorcycle forces the driver to make many more routes than they would in a car, and ultimately consumes more time burning fuel on the way. Another way recommended is leveraging taxis, daily bus lines or railway lines for crowdsourced delivery. In this case courier companies allow couriers to travel with a bus across different zones, when possible, using a single ticket. By choosing to deliver packages this way, delivery businesses cutting down on pollution and traffic by using transport that already exists. This approach shows an effective way to improve how packages get delivered in big cities, proving that we can find smarter, more sustainable ways to solve the challenges of getting packages to their final destination. Green Vehicles like Electric Vehicles and drones as an environmentally friendly and efficient solution Another method for greening courier/postal/delivery services suggested is transportation via electric vehicles. The transition towards environmentally friendly urban logistics is becoming a priority worldwide. Electric Vehicles (EVs) and drones are becoming a key player in making delivery, courier and postal logistic more efficient and environmental friendly. Interest in EVs has existed since the 1970s, when the problems of air quality, global warming, and oil dependence began to emerge. They offer a significant advantage by reducing local pollution of carbon monoxide, nitrogen oxides and particulate matter. The integration of EVs into the existing fleets of delivery vehicles promises not only to alleviate the environmental burden but also to meet the growing demand for efficient urban freight transportation. This makes them a compelling choice for urban logistic and for e-commerce deliveries, where there is a dramatic increase in volume in recent years and especially after Covid-19. The primary goal of existing courier companies should focus on enriching their current fleet with electric vehicles. This process needs to be carried out with careful planning so that the cost of electric vehicles can be quickly recouped, allowing for their multiplication. Undoubtedly, the purchase cost of such vehicles, as well as their charging procedure, is significant. Therefore, it is essential that the planning is such that companies can fully utilize these vehicles, employing them on routes that can support their charging need, ultimately allowing companies to profit and continuously strengthen their fleet. It’s important to note that this method should also be applied to cold chain logistics, as it is a type of transportation service that significantly contributes to environmental pollution due to its substantial gas emissions. As for drones, they surely are a promising solution of reducing road traffic and deal with last-mile delivery challenges. Using an example cited in the literature by Boysen et al., drones can be utilized in the final stage of delivery. One innovative approach involves using trucks as mobile distribution centres from which drones take off for the delivery of packages to their destination and then return. This practise offers several advantages: Reducing delivery costs by streamlining the delivery process and minimizing the need for traditional delivery methods. Avoids traffic congestion, enabling quicker delivery times and reducing delays caused by road traffic. Easily reaches remote or difficult-to-access areas, where traditional delivery vehicles might struggle to deliver. Is environmentally friendly, as drones can operate minimal environmental impact compare d to conventional vehicles, contributing to lower carbon emissions and less pollution. On-Demand Delivery On-Demand Delivery (ODD) is a smart move for companies that significantly benefits both business’s environmental footprint and costumer satisfaction. Unsuccessful deliveries increase companies’ carbon footprint due to the extra trips made and also generate added costs. By implementing ODD method, companies enable a more efficient delivery process that aligns with their sustainability goals and enhances the overall costumer experience. Here are some key advantages of offering ODD: Flexibility in

Module B: Management – HUNGARIAN

New Mobility Services: Solutions and business models for urban transportation   Learning by example#1. Exchange of good practice In developing countries, urban freight distribution relies heavily on road vehicles, leading to frequent traffic congestion, inadequate parking, and insufficient loading and unloading areas, all of which impede efficiency. Advocated globally as a sustainable strategy, urban freight distribution via environmentally friendly modes holds significant potential to alleviate congestion and pollution resulting from current freight distribution practices (Singh & Gupta, 2020). The Transport Decarbonization Alliance outlines 15 distinct challenges for achieving zero emission urban freight and proposes two or more solutions for addressing each challenge. While some solutions focus on technological advancements such as the acquisition, utilization, and charging of battery-electric vehicles, the majority target remedies for structural barriers and behavioral practices. Similarly, Maxner, Dalla Chiara, and Goodchild (2022) categorize different decarbonization strategies for urban freight into three groups: vehicle technology, operational strategies, and city government interventions. Additionally, the World Economic Forum offers a comprehensive overview of 24 prioritized interventions aimed at facilitating the transition of the last mile delivery ecosystem. These interventions include aspects such as vehicle modification, secure delivery methods, customer movement, consolidation efforts, final leg adjustments, and enhancements to the delivery environment. Together, these publications showcase the diverse range of approaches for promoting sustainability transitions in urban freight and provide numerous examples of both technological innovations and shifts in behavior (Ystmark Bjerkan & Babri, 2024). Technological shifts primarily entail replacing one technology with another. In the realm of urban freight, this might involve substituting fossil-fuel vans and lorries with electric vehicles, vehicles powered by alternative fuels, Euro6 vehicles, or cargo-bikes. Previous research has extensively explored new technologies and vehicles for urban freight. Electric bicycles are proposed as a substitute for vehicles where feasible in terms of speed and capacity limitations (Bosona, 2020). While the utilization of drones for goods delivery has been investigated primarily in rural areas, there is potential for drone-based delivery in urban settings as well. Research in operations management, supply chain management, and industrial engineering has predominantly explored methods for optimizing operational practices. These methods include maximizing load factor, optimizing routes, and adjusting lot sizes (Pan et al., 2021). Additionally, studies have demonstrated that off-hour delivery can effectively decrease emissions from urban freight transport (Holguín-Veras et al., 2018). The use of light electric freight vehicles (LEFVs) (Díaz-Ramírez et al., 2023) The integration of light electric freight vehicles (LEFVs) represents a fundamental step towards achieving a more sustainable urban distribution network, yet it confronts numerous unresolved challenges. These include: i) Determining the optimal mix of vehicle technologies (such as fuel and electric power) to align with both current and future city mobility infrastructure (including lanes, charging stations, and electricity availability). ii) Establishing strategic locations for urban distribution centers to efficiently support operations within the designated region. iii) Enhancing the performance of LEFVs to lower operational costs and to mitigate air pollutant emissions, traffic congestion, and noise levels in urban areas. iv) Developing effective communication strategies based on previous implementation experiences. Electric-assisted freight bicycles and tricycles, referred to hereafter as light electric freight vehicles (LEFVs), are anticipated to exhibit superior performance in last-mile distribution. This is evidenced by reduced parking times and costs, lower ownership expenses, enhanced delivery reliability, fewer severe collisions, and decreased air pollutant emissions. However, their utilization also entails certain limitations, particularly concerning the size of the delivery zone, route length, demand density, topographical challenges, and regulatory constraints. In line with the European example, governments across Latin America are also allocating resources to enhance bicycle-friendly urban infrastructure, including the expansion of bike lanes. This investment aims to promote eco-friendly transportation methods, particularly in densely populated areas. Maximizing the advantages of electric vehicles (EVs) in logistics hinges upon recognizing the nuances of various contexts (EUFAL, 2022). Thus, the European Electric Urban Freight and Logistics (EUFAL) initiative was initiated in 2020. It serves as a knowledge-sharing platform, equipping companies seeking to integrate electric vehicles into their fleets with valuable tools tailored to different phases of the process (Díaz-Ramírez et al., 2023).   Light electric freight vehicles (LEFVs) are increasingly viewed as a sustainable delivery solution, particularly in response to tightening emission regulations within urban areas, ensuring ongoing access. This significance is underscored by the prospective establishment of zero-emission zones by 2030 in selected European cities, along with more concrete steps anticipated by 2025 in Dutch urban centers. Additionally, in densely populated and challenging-to-access inner city and neighborhood areas, smaller vehicles offer advantages in terms of easier and swifter access. Furthermore, when coupled with efforts to minimize lead times and optimize vehicle load factors, operational and economic considerations also come into play. Beyond these practical aspects, softer factors contribute to the growing commercial interest in LEFVs, including commitments to corporate social responsibility, as well as opportunities for company differentiation and specialization (Kin et al., 2024). A light electric freight vehicle (LEFV) encompasses a range of transportation options including bicycles, mopeds, or compact vehicles equipped with electric support or drive mechanisms, designed for the transportation of goods and people at limited speeds. Generally, LEFVs are characterized by their quiet operation, flexibility in usage, emission-free nature, and smaller spatial footprint compared to conventional delivery vehicles. The emergence of the LEFV market parallels that of electric vans (BEV-N1). LEFVs encompass a diverse array of vehicles primarily produced by small manufacturers. Over time, the market has witnessed an increase in the variety of LEFVs available, coupled with improvements in their loading capacity, range, and usability. Despite these advancements, there remains a degree of hesitation among logistics professionals towards adopting LEFVs. LEFVs are categorized into three distinct groups: Explaining the adoption of LEFVs entails considering a complex interplay of factors. Narayanan & Antoniou (2022) offer a comprehensive framework comprising six elements that influence the penetration of cargobikes: Operations: This encompasses factors such as the type of goods being transported, delivery density, and the area served. Vehicular: Factors related to the vehicle itself, including features like weather protection, pricing, and range. Infrastructural: This involves

Module A: Governance – HUNGARIAN

European Union’s policy and legislative framework on green city logistics The Green shift of urban logistics and freight transportation:  Common values, objectives and priorities The shift towards environmentally friendly urban logistics and freight transportation is crucial to the overall goal of achieving a net-zero greenhouse gas emissions economy by 2050. Achieving this shift requires changes in behaviour, technological advances, and infrastructure development to promote sustainable mobility and reduce the negative impact of transportation on the environment. The European Commission (EC) recognises the importance of citizens and consumers in driving this transformation forward. It stresses the need for local investments and increased engagement of consumers in sustainable practices. Additionally, the EC emphasises the significance of smart urban planning, the development of a sustainable bio-economy, and the creation of carbon sinks to support the transition. Moreover, the EU’s commitment to global cooperation and leadership in climate action is highlighted, stressing the need for international collaboration to achieve greenhouse gas reduction targets consistent with the Paris Agreement. The green shift in urban logistics and freight transportation aligns with the broader goals of transitioning towards a net-zero greenhouse gas emissions economy, emphasising sustainable mobility, technological innovation, social fairness, and international cooperation. (European Commission, 2018) Current green transport policy framework The EU has set ambitious targets to reduce greenhouse gas emissions from transport by at least 90% by 2050 compared to 1990 levels, in line with the UN Sustainable Development Goals and the Paris Agreement. The EU is implementing various policies and initiatives to promote the use of low-carbon transport modes, such as doubling rail freight traffic, revising CO2 emission performance standards for heavy-duty vehicles, enhancing multimodal connections, shifting to electric and hydrogen fuel cell vehicles, and developing new distribution models and infrastructure. The EU’s strategies for the green transition are outlined in the European Green Deal, the smart and sustainable mobility strategy, and the new urban mobility framework. Additionally, member states are setting national targets to reduce emissions from transport, with different degrees of ambition and achievement. The document also highlights the significance of implementing a “green” policy for transport and logistics to achieve efficient and sustainable operations in courier, postal, and delivery services. (Couriers Go Green, 2023) In the following pages, we summarise relevant literature from 2018 to 2021. European Commission, A Clean Planet for all – A European strategic long-term vision for a prosperous, modern, competitive and climate neutral economy, COM (2018) 773 final The document “A Clean Planet for All: A European Strategic Long-term Vision for a Prosperous, modern, competitive and Climate Neutral Economy” by the European Commission highlights the urgent need for decisive climate action, emphasising the severe impact of global warming on Europe and the world. The Intergovernmental Panel on Climate Change (IPCC) report is cited, indicating that human-induced global warming has already reached 1°C above preindustrial levels and is increasing at approximately 0.2°C per decade. The document stresses the need to transform towards a net-zero greenhouse gas emissions economy by 2050, outlining the significant risks and potentially irreversible impacts of unconstrained climate change. It emphasises the importance of a comprehensive and socially fair transition to achieve this goal, addressing the effects on various sectors of the economy, infrastructure, food production, public health, biodiversity, and political stability. Furthermore, the document underscores the need for a strategic long-term vision involving the active participation of European decision-makers, citizens, and the private sector to achieve net-zero greenhouse gas emissions by 2050. Additionally, the document emphasises the EU’s commitment to lead global climate action, aligning with the Paris Agreement’s objectives to limit global temperature increase to well below 2°C and pursuing efforts to limit it to 1.5°C. It highlights the EU’s role in driving sustainable economic growth, promoting innovation, and demonstrating the feasibility and benefits of transitioning to a net-zero greenhouse gas emissions economy. The EU’s progress towards its 2020 energy and climate targets is acknowledged while stressing the need for continued focus to overcome recent stagnation in energy efficiency improvements and greenhouse gas emission reduction trends. The document outlines the strategic priorities and pathways for the transition to a net-zero greenhouse gas emissions economy, including maximising the benefits from energy efficiency, embracing clean, safe, and connected mobility, developing adequate smart network infrastructure and inter-connections, and tackling remaining CO2 emissions with carbon capture and storage. It emphasises the importance of investment, finance, research, innovation, and deployment in driving the transition. It highlights the need for a coherent enabling framework to stimulate change and reorient capital flows and investments towards sustainable, low-carbon solutions. The economic and social impacts of the transition are also addressed, emphasising the potential for positive impacts on GDP, job creation, and economic growth while acknowledging the challenges and potential regional and social disparities that need to be managed effectively to ensure a fair and socially acceptable transition for all. In conclusion, the document “A Clean Planet for All” presents a comprehensive and ambitious long-term vision for a prosperous, modern, competitive, and climate-neutral economy. It emphasises the urgent need for decisive climate action and the significant opportunities and challenges associated with transitioning to a net-zero greenhouse gas emissions economy by 2050. ELTIS, (2019), Topic Guide: Sustainable Urban Logistics Planning The topic guide is developed in the framework of the NOVELOG project, funded by the European Union’s Horizon 2020 Research and Innovation Programme. It focuses on Sustainable Urban Logistics Planning (SULP) and provides comprehensive recommendations for its development within the context of the Sustainable Urban Mobility Plan (SUMP). The guide emphasises the importance of integrating urban logistics planning into the overall mobility strategy, acknowledging the significance of efficient freight transportation for urban economies. It highlights the need for comprehensive assessments, long-term vision, stakeholder cooperation, and robust monitoring and evaluation mechanisms to achieve sustainable urban logistics. The document outlines the eight key principles of SUMP in the context of a SULP, emphasising the strategic and integrated approach necessary for dealing with the complexity of urban transport. It addresses the challenges of urban logistics, such as balancing commercial requirements with environmental sustainability and