Sustainability strategies for city logistics
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- Bernadette Young
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1 1 Sustainability strategies for city logistics 14 Chapter summary Urban areas require large quantities of goods and services for commercial and domestic use. The growing importance of urban freight transport is related to increases in urban populations and continued economic growth in urban areas. Urban freight transport and logistics involves the delivery and collection of goods and provision of services in towns and cities. It also includes activities such as goods storage and inventory management, waste handling, office and household removals and home delivery services. Freight transport in cities responds very effectively to the requirements of modern urban economies. However, it is a major contributor to environmental impacts, particularly to local air pollution and noise. Urban freight activities raise numerous economic, social and environmental issues and can result in conflicts. Moving towards a more sustainable urban freight system requires change and innovation in the public and private sectors. The chapter describes the rise in interest in city logistics and growth in research on public policy and private sector options. A number of best practice initiatives are identified. The importance of improving urban freight efficiency is discussed introducing some important issues such as the complex range of stakeholders involved in urban freight decisions. The role of transport operators has received considerable attention. However, the chapter notes that it is essential to include receivers in strategies to improve the efficiency of urban freight. Several specific initiatives in city logistics are reviewed including urban consolidation centres, collaboration between the public and private sectors and city environmental zones (where emission limits are set and enforced).the chapter concludes by reflecting on the need for more coherent policies. Strategies designed by the public and private sectors to increase load consolidation and/or reduce delivery frequency (such as the use of urban consolidation centres, fiscal measures to improve load factors, or company-led supply chain innovations to improve the
2 2 Sustainability Strategies for City Logistics efficiency of distribution) have the potential to reduce the number of goods vehicle trips quite considerably. To achieve increased levels of load consolidation public policy makers should avoid the unnecessary use of weight and time restrictions on goods vehicle operations, confining such restrictions to specific local situations as required. A lecture based on this chapter could focus on the following topics: Rationale for the growing importance of city logistics in the context of sustainability Trends in city logistics research and the link to best practice Classification of city logistics initiatives Examples of specific initiatives: consolidation, partnerships, environmental zones Importance of consistent and logical regulation to avoid unintended consequences
3 Sustainability Strategies for City Logistics 3 Table 14.1 Key characteristics of selected UCCs Centre Location Sector Status Terms of use Bristol (Broadmead) Sheffield (Meadowhall) London (Construction) UK Retail Active Optional UK Retail Active Optional UK Construction Closed* Optional Monaco Monaco/ France All Active Compulsory** Stockholm (Hammarby) Sweden Construction Closed Compulsory** Notes: * concept now applied to new site; ** with certain exceptions
4 4 Sustainability Strategies for City Logistics Table 14.2 Main advantages and disadvantages of UCCs Main advantages environmental and social benefits resulting from more efficient and less intrusive transport operations within urban areas better planning and implementation of logistics operation, with opportunity to introduce new information systems at same time as consolidation centre better inventory control, product availability and customer service can facilitate a switch from push to pull logistics through better control and visibility of the supply chain potential to link in with wider policy and regulatory initiatives theoretical cost benefits from contracting out last mile public relations benefits for participants potential to allow better use of resources at delivery locations specific transport advantages opportunity for carrying out value-added activities Main disadvantages potentially high set up costs (and sometimes high operating costs) difficult for a single centre to be able to handle the wide range of goods moving in and out of an urban area, for example due to different handling and storage requirements can result in an increase in delivery costs due to an additional stage in supply chain which imposes a cost (and often a time) penalty, though this clearly depends on how well the centre is integrated into the supply chain and the extent to which all costs and benefits are considered a single consolidation centre for an urban area may be unattractive for some suppliers flows due to the degree of diversion required from normal routes lack of enforcement of regulations for vehicles not included in the consolidation scheme loss of the direct interface between suppliers and customers Source: Browne et al, 2005
5 Sustainability Strategies for City Logistics 5 Table 14.3 Issues addressed by selected London FQPs London sub-regional FQP Work carried out Central South West East (Thames Gateway) Study of out-of-hours deliveries Working groups addressing: Urban consolidation centres Loading/unloading provision Out-of-hours deliveries Vans, servicing and utilities Freight industry stakeholder surveys Feasibility studies for urban consolidation centres Reviewing loading/unloading provision on high streets Identify Penalty Charge Notice hotspots Setting up a trial of night-time deliveries Organizing seminars Providing an information system for deliveries Improved signage for drivers in several locations Improved loading provision in Ealing Town Centre Producing Delivery and Servicing Plans Reviewing overnight parking provision Carrying out delivery and servicing studies in Brent and Harrow Review of fly-tipping Urban freight study in Bexleyheath resulting in hotspot identification Freight study in Belvedere industrial estates resulting in hotspot identification, lorry map and improved signing Mapping expected construction projects Mapping existing lorry parking facilities and determining demand for these in the medium to long term Developing pilot project for River Thames
6 6 Sustainability Strategies for City Logistics Table 14.4 Key aspects of current Environmental Zones in Europe Key aspects of EZs Objectives of the EZ Geographical area covered by the EZ Times at which the EZ is in force Vehicles included in the EZ restrictions Emissions standards required by the EZ Practice in current EZs in Europe The objective of an EZ is to improve environmental standards in the area in which the EZ is implemented. The main environmental goal is to reduce vehicle pollutant emissions and thereby improve air quality (helping to reduce fatalities and health problems caused by poor air quality). In addition EZs can also help to improve other environmental standards by reducing traffic noise, and improving road safety. Range from small, historic city centres (eg the city centre of Bologna which is 3.2 km 2 ) to entire cities (eg virtually all of Greater London which is approximately 1580 km 2 ). The vast majority of existing EZs are located in urban areas (as this is where air quality levels tend to be worst), but there are examples of EZs on motorways in Italy and Austria. Of the EZs already implemented all, with the exception of some of the Italian schemes, operate 24 hours a day, 365 days a year. Some of the Italian schemes are only in force for certain hours per day during winter months. All current EZ schemes cover heavy goods vehicles over 3.5 tonnes. All EZs, with the exception of the Dutch schemes, also include buses and coaches. The London EZ also includes vans over 1,205 tonnes (unladen) and minibuses with over 8 seats. The German EZs cover all vehicles except motorcycles. Many of the Italian schemes include all vehicles. The inclusion of vans is currently being considered in some other existing EZs. Goods vehicle emissions standards required by EZs are based on Euro engine standards. Some EZs require heavy goods vehicles to meet Euro 1 and 2 standards, while others require Euro 3 or Euro 4 standards. Some schemes permit older vehicles to be retrofitted in order to meet the required emissions standards, while others do not.
7 Sustainability Strategies for City Logistics 7 Table 14.4 continued Key aspects of EZs Enforcement approaches used in the EZ Fines imposed on non-compliant vehicles entering the EZ Practice in current EZs in Europe Some current EZs use manual enforcement, while others use automated systems. Manual systems typically involve vehicles having to register and then stickers having to be displayed on windscreens which are manually checked by police. Automated systems make use of fixed and mobile camerabased ANPR (automatic number plate recognition) and number plate checking with the relevant national vehicle registration body. Range from 40 (and one point in the national traffic penalty register) in Germany to 500 1,000 in London (approximately 600 1,200).
8 8 Sustainability Strategies for City Logistics Table 14.5 Country Austria Czech Republic Denmark Germany Planned and existing Environmental Zones in European cities and regions (as at May 2012) Existing and Planned EZs One scheme on the A12 motorway started in There is also a scheme in Graz and many other larger towns in the Steiermark area. An EZ exists in Prague. EZs have been operating in centre of Copenhagen and in Frederiksberg since 2008 and in Aalborg since EZs also started in Arhus and Odense in EZs have been operating since 2008 and are currently in force in approximately 70 towns and cities. Hungary An EZ started in Budapest in Italy The Netherlands EZs operate on the A22 motorway, in Bologna, Brescia, Florence, Milan, Napoli, Palermo, Parma, Rome, Torino and Verona as well as in towns and cities in the following regions (during winter months and specified hours per day): Emilia-Romagna, Lombardy, Piedmont, Venetia, Bolzano- Bozen, Valle d Aosta, Toscana, Trentino and Umbria. EZs have been operating in 7 cities since 2007, another 2 cities since 2008 and further 4 cities since Arnhem is also introducing an EZ in Norway EZs are planned in Bergen, Oslo and Trondheim for Portugal One EZ has been operating in Lisbon since Sweden UK EZs have been implemented in Stockholm, Gothenburg, Lund, Malmo, Helsingborg, Uppsala and Molndal. An EZ is starting in Umea in An EZ was implemented in London in It covers virtually the whole of Greater London and is the largest EZ in Europe. A small EZ operates in Norwich city centre and Oxford is also planning to start an EZ by 2014 but these two schemes are only intended for buses. Source: Based on information in CLARS, 2014; Tuero, 2008; and the authors own knowledge
9 Sustainability Strategies for City Logistics 9 Figure 14.1 Range of potential logistics and pre-retail activities at UCC and possible benefits Remove stock, waste, defects and returns from shop Less unpacking, display and pricing work, pricing, waste handling and returns processing in shop Greater product range (breadth) Greater number of product variants (depth) Opportunity to redesign store (improve image/atmosphere) Improved waste handling Use of low-impact vehicles Improved load consolidation reduced total time delivering at shops Use of UCC storage space More sales space available in-store Use of UCC transport features Less vehicle trips/km Greater vehicle utilization Fewer vehicles needed Scope for non-road modes Less unloading time But increases in handling costs Improved returns service Fewer stockouts Availability of products Use of UCC pre-retail services More shop staff time available More time to assist customers More time for staff training Less queuing at checkouts Improved sales/ profitability Reduced traffic and environmental impact Improved customer satisfaction/shopping experience UCC features Operational benefits Outcomes Source: Browne et al (2005) Economic, social and environmental effects
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