José Holguín-Veras, William H. Hart Professor Director of the VREF Center of Excellence for Sustainable Urban Freight Systems

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1 Enhancing Freight Mobility? Correction: Enhancing Freight No, We Mobility? Need to Enhance the Economy José Holguín-Veras, William H. Hart Professor Director of the VREF Center of Excellence for Sustainable Urban Freight Systems jhv@rpi.edu

The CoE-SUFS 2

New York City, Albany, USA London, UK Santander, Spain Rotterdam, Netherlands Gothenburg, Sweden Osaka, Japan México City, México Toronto, CA Beijing, China Santo Domingo, Dominican Republic Barranquilla, Bogotá, Medellín, Colombia Sao Paulo and Belo Horizonte, Brazil Rome, Bologna, Italy Abu Dhabi, United Arab Emirates Mumbai, India Delhi, Pretoria, South Africa India Chennai, India Singapore, Singapore Shanghai, Nanjing, China Melbourne, Australia

It ain't what you don't know that gets you in trouble. It's what you know for sure that just ain't so. Mark Twain

Freight. The Good, The Bad, and the Ugly (and the Key)

A complex system, complex impacts 6 The Good Freight activity is the key physical expression of the economy Impeding freight activity Impeding the economy New York City, US Beijing, China Medellin, Colombia Port-au-Prince, Haiti 45 kg/person-day 35 kg/person-day 25 kg/person-day 8 kg/person-day The Bad Freight activity produces externalities Pollution, Congestion, Pavement damage, etc. The Ugly See JHV Principle The key: Maximize benefits, minimize negatives

The JHV Principle: In complex problems, obvious solutions are always wrong

NAICS NAICS Industry Sectors 8 Freight-intensive Sectors (FIS) Non-freight-intensive Sectors (non-fis) 11 Agriculture, Forestry, Fishing, Hunting 51 Information 21 Mining, Quarrying, Oil / Gas 52 Finance and Insurance 22 Utilities 53 Real Estate and Rental and Leasing 23 Construction 54 Professional,Scientific,Tech. Services 31-33 Manufacturing 55 Management of Companies / 42 Wholesale Trade 56 Administrative,Support,Waste Manag. 44-45 Retail Trade 61 Educational Services 48-49 Transportation and Warehousing 62 Health Care and Social Assistance 72 Accommodation and Food Services 71 Arts, Entertainment, and Recreation 81 Other Services 92 Public Administration

Totals for ALL MSAs: Freight Intensive Sectors 9 NAICS Description Establishments Employment Number % Number % Freight Intensive Sectors (FIS) 11 Agriculture, Forestry, Fishing 15,614 0.22% 142,779 0.12% 21 Mining, Quarrying, and Oil and Gas 21,929 0.31% 543,042 0.46% 22 Utilities 14,643 0.21% 616,818 0.52% 23 Construction 613,873 8.72% 6,240,668 5.25% 31-33 Manufacturing 271,633 3.86% 10,606,778 8.93% 42 Wholesale Trade 397,026 5.64% 6,301,619 5.31% 44-45 Retail Trade 990,533 14.07% 16,475,243 13.87% 48-49 Transport and Warehousing 195,853 2.78% 4,276,935 3.60% 72 Accommodation and Food Services 633,191 9.00% 13,494,478 11.36% Sub-Total 3,154,295 44.81% 58,698,360 49.42% 45% of commercial establishments are in FIS About half the employment depends on freight deliveries and services

Large Traffic Generators 10 In Manhattan: - 80 buildings and large traffic generators produce 4-8% of the total freight traffic - Restaurants and drinking places (10,000) produce four times the freight traffic produced by the port

Thousands FTG at Metro/Micro-politan Areas 11 1500 1000 500 Total FTG Total of establishments Total employment FTG = 0.065 * Population FTG = 2.517 * Establishments FTG = 0.154 * Employment 0 Population (Millions) 0 2.5 5 7.5 10 12.5 15 17.5 20

The Severity of the Problem in Developing Countries Funded by the Inter-American Development Bank: Methodology to Analyze and Quantify the Impacts of Congestion on Supply Chains in Latin-American Cities

0.00 6.59 9.57 11.07 11.21 14.81 17.97 18.68 18.78 21.36 22.53 24.06 25.19 26.68 30.46 34.01 38.13 45.00 51.88 COST ($) Santiago, Chile Typical Congestion 13 Additional Time Additional Cost This Route 0.91 hours (34%) 57% City Min 0.02 (3%) 2% City Max 5.23 (69%) 167% City Average 1.12 (38%) 43% 800,000.00 700,000.00 600,000.00 500,000.00 400,000.00 300,000.00 200,000.00 100,000.00 0.00 DISTANCE (km)

Santiago, Chile Typical Congestion 14

Cost Sao Paulo, Brazil Typical Congestion 15 Additional Time Additional Cost This Route 3.59 hours (50%) 89% City Min 0.09 (2%) 11% City Max 4.72 (65%) 210% City Average 2.82 (39%) 93% 400 350 300 250 200 150 100 50 0 0 10 20 30 40 50 60 Distance (km)

Sao Paulo, Brazil Typical Congestion Costs 16

17 What Could Be Done To Foster Sustainable Urban Freight Systems in Developing Countries? From NCFRP Report 33 Improving Freight System Performance in Metropolitan Areas

Communities Receivers Other users: cars, buses, bikes Carriers: Air, trucking, rail Shippers A lot, many initiatives underused, many actors 18 Environmental agencies Federal government City government State government Ports, airports

NCFRP 33: Improving Freight Systems 14 Planning Guide: http://onlinepubs.trb.org/onlinepubs/ncfrp/ncfrp_rpt_033.pdf Interactive version: http://coe-sufs.org/wordpress/ncfrp33/ Initiative Selector: http://coe-sufs.org/wordpress/initiativeselector/ FTG Estimator: https://coe-sufs.org/wordpress/ncfrp33/appendix/ftg/

Thanks!