Ecological Impact: The Noose Tightens Around the Most Polluting Vehicles [2/2]

In a previous post, we looked at the immense challenge that decarbonizing freight transport represents. Faced with the overwhelming dominance of combustion engines and diesel, “zero-emission” technologies seem set to become the norm. However, the transition promises to be long and costly…

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Lucie Monnot

Content Marketing Manager

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Letau se resserre autour des vehicules polluants Partie 2

Electric vehicles struggle to take off...

Particularly relevant in France, where electricity production is largely decarbonized, battery-powered electric vehicles are currently the best “zero-emission” option (setting aside the issue of battery production and recycling). But let us be clear: the share of electric vehicles among heavy goods vehicles is currently negligible, even when hybrid solutions are included.
The much-heralded takeoff, as announced by the media and manufacturers, is simply not reflected in the figures. Over the past 14 months (December 2019 to January 2021), only 280 electric and hybrid heavy goods vehicles were sold in France (source: OIE / AAA data). That is 20 units per month. The Covid-19 crisis has certainly not helped, but at this pace, it will take 30 or 40 years before electric powertrains begin to have even the slightest impact on the sector’s CO2 emissions.
The figures are only slightly more encouraging for light commercial vehicles (LCVs). The electric and hybrid fleet has multiplied tenfold between 2011 and 2020, and cumulative sales over the past 14 months stand at 11,000 units. In a fleet of 6 million vehicles, this remains a drop in the ocean.
Why is the transition not faster, given that electric powertrains have existed for decades? There are several reasons:
  • Even though all the major manufacturers have committed to electrification (at least on paper), the current offering does not meet the expectations of hauliers, particularly in terms of range. This is especially true for road tractors. Experts at Carbone4 consider that “battery electric powertrains are not available for this type of vehicle.” To date, only prototypes or, at best, early production runs are on the road (Tesla, Nikola One, Hyundai). For LCVs, where the majority of use cases can accommodate shorter ranges, the offering is more mature.
  • Despite conversion subsidies (from the state and local authorities), the purchase cost is significantly higher than that of combustion engine vehicles. Due to the price of batteries, the greater the range, the higher the price. Assuming these models were available in France, the Tesla Semi with a range of 480 km is priced at $150,000, rising to $180,000 for the 800 km version.
  • The network of refueling stations is not yet sufficient to meet demand, particularly for rapid charging. The Corri-Door network (200 fast-charging stations), half-funded by the European Commission, was shut down in March 2020. Tesla is investing and currently operates 77 stations in France with 10 charging points per station. Total plans to equip 300 of its stations with ultra-fast charging points by the end of 2022.
  • The pump price of diesel is relatively low, which does not incentivize investment and slows fleet renewal, particularly in a context where many transport companies are in serious financial difficulty as a result of the Covid crisis.

Hydrogen: yes! But when?

The share of hydrogen in road freight transport is currently non-existent. Manufacturers are positioning themselves one after another in this market, and governments are putting billions on the table to develop this “energy of the future.” Hydrogen fuel cell technology has been mastered for over a century and offers two major advantages: it emits very few local pollutants — and in particular no CO2 — and delivers a higher yield than combustion engines.
Given these advantages, one might wonder why hydrogen-powered electric motors have not already established themselves everywhere. The answer lies in the characteristics of hydrogen itself:
  • Unlike fossil fuels, hydrogen does not exist in its native state: it must be produced. Obtaining hydrogen — whether through hydrocarbon cracking, water electrolysis, or water thermolysis — requires a great deal of energy. In terms of carbon footprint, the process is only beneficial if that energy is itself decarbonized.
  • Hydrogen cannot be liquefied at ambient temperatures. It is also highly flammable. But above all, it has very low density and must be compressed, making its transport and storage problematic, energy-intensive, and costly.
For these two reasons, the most skeptical experts regarding the large-scale development of hydrogen technology have a phrase that is difficult to translate: “Hydrogen is the fuel of the future, and it always will be.”
However, the resources being committed should help overcome these barriers. It can therefore be considered that, while not a viable option for passenger cars, hydrogen is today the most promising and “greenest” energy solution for heavy vehicles — provided it is produced from decarbonized energy sources (nuclear and renewables) and that a genuine distribution network is established. That network remains embryonic, due to the absence of a viable business model (high investment / extremely low demand). This will take years, particularly as the best-performing models coming to market carry near-prohibitive price tags: the Nikola One, with a claimed range of 2,000 km on paper, is priced at $375,000.
 
What will accelerate the energy transition in transport
The current rate of fleet renewal is insufficient to meet greenhouse gas reduction targets and achieve carbon neutrality by 2050. Beyond corporate commitments, several factors can contribute to accelerating fleet transformation:
  • Strengthened European regulation — In December 2020, the European Commission presented its “Sustainable and Smart Mobility Strategy”, an action plan comprising 82 initiatives aimed at reducing sector emissions by 90% by 2050. In June 2021, the Commission will propose a revision of CO2 emission standards for cars and trucks, which will increase pressure on the transport supply chain.
  • Strengthened local regulations — Local authorities are becoming increasingly restrictive regarding the access of polluting vehicles to dense urban areas. These measures, and the subsidies accompanying them, are encouraging the leading last-mile delivery players to invest in electric LCVs.
  • Manufacturer commitments — In December 2020, 7 major manufacturers (Daimler, Scania, MAN, Volvo, DAF, Iveco, and Ford) signed a joint document in which they committed to halting the sale of diesel-powered vehicles before 2040. They thus committed to promoting the construction and sale of battery-powered, hydrogen-powered, or “clean fuel” trucks and commercial vehicles.
  • The consequences of the crisis — A study by the International Road Transport Union (IRU) shows that SMEs in the sector have barely benefited from the rescue plans put in place during the pandemic. The IRU is forecasting a wave of bankruptcies that will hit these small companies — which are very numerous in the sector — first. The largest and financially healthiest companies will emerge stronger and, having the means to invest, should redouble their efforts to “green” their fleets and meet the growing ecological requirements of shippers.

Continuing to tackle inefficiencies

The focus on changes in powertrain and fuel type must not overshadow other means — far less costly than buying new vehicles — that allow transport and delivery companies to reduce their carbon footprint right now, in particular:
Eco-driving — By training all their drivers in eco-driving principles, companies achieve reductions of 15% to 20% in fuel consumption. For large fleets, this represents not only very significant cost savings, but also a meaningful reduction in greenhouse gas emissions, since, logically, the less fuel burned, the less is emitted.
Route and journey optimization — Companies using Nomadia’s optimization solutions significantly reduce the number of kilometers traveled by their vehicles and, consequently, their fuel consumption and CO2 emissions. They achieve savings of up to 30%, while maximizing vehicle utilization and driver scheduling. Mastering the geographic dimension naturally means mastering one’s environmental impact as well.
In a context where many companies are under strain, no efficiency gain can be overlooked. This is particularly critical for last-mile players who, in a context of exploding e-commerce deliveries, must absolutely improve their first-attempt delivery rate to protect their profitability. As William Béguerie, road transport expert, highlights in this white paper: “Increasing the efficiency of urban deliveries is essential in terms of cost, but also in terms of acceptability. The noose is tightening around the most polluting vehicles. Electric vehicles are becoming a very serious option. […] Resolving last-mile inefficiencies will therefore remain an important objective for logistics companies in 2021. Understanding the influence of geography on urban delivery will be key to improving distribution in cities.”
Understanding the influence of geography on an activity — we have all the tools for that. And to support you, experts who know your business and understand your challenges.

Frequently Asked Questions

FAQ – The Most Frequently Asked Questions About Nomadia

Why Choose Nomadia?

As France’s leading publisher of Smart Mobility SaaS solutions, Nomadia supports more than 175,000 field professionals every day. Our solutions are easy to use, quick to deploy, and deliver significant and immediate return on investment.

Drawing on the expertise of both a software publisher-integrator and a consulting firm, Nomadia’s teams provide tailored support, from data consulting to the deployment of mobile devices. Finally, our technical support team is available 24/7 to assist you.

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Nomadia solutions support the digital transformation of all mobile professionals: field sales representatives, delivery drivers, technicians, auditors, healthcare workers, inspectors, service providers, security patrol officers, experts, and more.

Whether for SMEs or large enterprises, our solutions adapt to businesses of all sizes and across all industries.

How Much Does It Cost?

Nomadia Delivery offers transparent and flexible pricing, which primarily depends on the number of users (for example, planners and dispatchers) rather than a fixed cost per parcel.

Thanks to this model, you can control your delivery costs based on the number of resources (users) involved in route management, providing great flexibility to adjust your subscription according to the size of your fleet and your operational needs.

Is It Compatible with My Current ERP System?

Yes! Nomadia Delivery has been designed to integrate quickly and easily into your existing environment thanks to our powerful and secure APIs. Our solution is compatible with most ERP systems on the market. API integration enables the automatic synchronization of your transport orders, customer orders, and customer information, ensuring smooth and error-free delivery tracking. The solution also offers user-friendly import capabilities with data validation controls, as well as export options in multiple customizable formats.

Is It Suitable for Our Delivery Volume?

Yes, Nomadia Delivery is ideal for companies that manage a high volume of deliveries and want to optimize their routes, create balanced territories for their drivers, and ensure precise tracking of every parcel. Nomadia Delivery adapts to fleets of all sizes!

Can Multiple Warehouses or Depots Be Managed?

Yes, our solution allows you to manage multiple warehouses or depots. It centralizes data and optimizes routes or service operations for each of them.

Is There a Limit to the Number of Stops in Route Optimizations?

No, there is no strict limit to the number of stops in route optimizations. Our solution can handle large volumes of stops and quickly calculate optimized routes.

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