Low Carbon Distribution & Logistics Solutions Explored.

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Low Carbon Distribution & Logistics Solutions Explored

Transcript of Low Carbon Distribution & Logistics Solutions Explored.

Page 1: Low Carbon Distribution & Logistics Solutions Explored.

Low Carbon Distribution & Logistics

SolutionsExplored

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Distribution, Logistics & SMART technologies: Carbon saving opportunities• Whole Systems approach• Lean production• Efficient vehicles and efficient

driving• Low Carbon Packaging• Smart ordering and delivery

systems (Richard covered)

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Whole Systems Approach

• Whole system management: review process from supplier to customer, identify key issues eg. Sustainability Management System (SMS)• Suppliers: Clarify, quantify and

agree expectations with suppliers & other stakeholders• Customers: understand their

habits, adopt systems to help them contribute to carbon savings.

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Lean Production• Lean production: management approach

focuses on cutting out waste, whilst ensuring quality, whole system approach, design to distribution • What is Waste? Any activity that does not

add value from customer’s perspective. • 7 Deadly Sins: Overproduction, Waiting,

Transport, Motion, Overprocessing, Inventory, Defects, + 8th Unused human potential - lost motivation, creativity, ideas – management responsibility!

www.leanproduction.com

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Electric VehiclesBenefits: Fuel costs approx. 6x more p/100 miles than electric (= approx. 1 charge); Road Tax exempt; free urban parking; Free London Congestion Charge; Lower maintenance costs, Free charge points (IKEA), Home charging -overnight cheaper electricity Av CO2 Emissions: mid-sized electric 80g/km (well-to-wheel), mid-sized combustion engine 147-161 g/kmCosts: Approx £8K more, but current Grants of 25% <£5,000 electric car; 20% <£8,000 electric van (NB vehicle categories change after 1 April 2015)Good time to buy? Incentive schemes will have a limited shelf life, so good time

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Efficient driving & vehicles• GHG / Pollution: Transport sector currently

responsible for 27%• Eco-Driving Techniques: Drive smoothly, shift

up early, step off accelerator, avoid excess speed & braking, keep tyres inflated, lose weight.• ULEVs vehicles that produce less than 75

grams of carbon dioxide (CO2) p/km. No of tax benefits for both private and business ULEV users.• 3 Types: Hybrid (HEV), Battery Electric (BEV),

Plug-in Hybrid Electric (PHEV)• Which Vehicles? Electric viable short urban

journeys, hybrid for longer journeys

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Distribution: Electric Vans • Emissions: less than 1/3 carbon of diesel

van• Solar Charged: medium range electric

van (Renault Kangoo ZE) now available from Sunlight Future - Bristol Based renewable energy company

• Cost: Purchase & Battery - exempt road tax & congestion charge eg. Nissan e-NV200 Acenta van, outright on-the-road price £16,562.20, including the £8000 grant, est. saving on running costs £2.5K p/yr

• Would you make the switch to electric car and/or van?

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Case Study: Bristol & Bath freight consolidation service

• 2 smith newton 9ton electric vans• Load Factor: 5 ton (equiv to 8 pallet

spaces or 15 cage spaces)• 120km (72.5miles) per charge• Speed: 50mph max (norm. 20 – 40

mph)• Noise: Very quiet, could pose

pedestrian danger!

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Case Study: Reasons & Benefits

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Case Study: Bristol & Bath Freight Consolidation

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Low Carbon Solutions: Packaging• Pros: Protects products, minimises waste, can

reduce the carbon footprint of produce. Cons: Expensive, becomes waste product, disposal

• Legislation: EU Packaging & Waste Directive, min 60% recovered, 55-80% be recycled

• 3 R’s: Saves money, Less energy/Co2, increase profits, reduce distribution costs, environmental benefits, consumer expectations, marketing, meet legislative & sustainable procurement demands. Biodegradable or compostable will benefit carbon balance of farm business.

• Food Waste: Amount of packaging balanced with preservation of produce, reducing spoilage & carbon footprint, prevent waste going to land-fill, so food can be kept fresher for longer.

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Sustainable Packaging Options• Materials: Important to use recyclable materials along

with decreasing the amount of packaging. Lowest carbon footprint from minimal & basic packaging eg. paper bags, cardboard boxes

• Recycling packaging: environmental benefits by preventing waste to landfill & reduces the extraction and use of new raw materials.

• Eco-Friendly disposable packaging: Low carbon alternative for food industry, reduces waste & costs.

• Bioplastics made from plants, can include wheat, soya, tapioca, cornstarch or even algae.

• Manufacturing bio-plastics: Less energy than traditional plastics, with plants absorb CO2 through growth, which is then maintained within the product.

• Wood: Trees absorb carbon and wood will therefore store carbon. Well-managed forests will produce a greater yield of wood per hectare and absorb CO2

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Case Studies: Packaging Reduction (WRAP) • Marks and Spencer: changed the plastic

tray to protect its beef to a thin skin pack wrapped tightly around the product. Cut packaging 69% extended shelf life 4 days.

• Coca-Cola: reduced weight of cans by 5%, saving 15,000 tonnes of packaging p/yr, rep approx. 78,000 tonnes of CO2 –equiv of taking 25,000 cars off the road.

• WRAP’s Glass Rite Wine project: how to reduce packaging used to get wine from the vineyard to the consumer. Importing in bulk & using lighter bottles, cut CO2 emissions by est. 28,300 tonnes, equiv. of taking 8,500 cars off the road.

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Conclusions• Sustainability Management System

and Reporting to ensure key issues are identified and managed (ref: Sustain-Live event on Wednesday 22 April)• Electric vehicles now viable options,

worth considering whilst grants available, esp. in light of LEZ’s and air pollution• Explore collaborative purchasing,

marketing & distribution options with others, producers & suppliers in value chain & geographic area• Packaging efficiencies and materials

are also an important consideration