Source: Steering the decarbonisation of India’s logistics sector, The Hindu, April 19
India’s carbon-intensive logistics sector, responsible for 13.5% of national greenhouse gas emissions, must undergo urgent decarbonisation to meet its 2070 net zero goal by transitioning to rail freight, electrified road transport, cleaner maritime fuels, and energy-efficient warehousing.
With supportive policies and innovations like electric highways and LNG-powered vessels, India has the opportunity to build a sustainable, future-ready logistics ecosystem.
Transport Sector and Emissions
- Significant Emission Share: This sector is a major contributor to carbon emissions, largely due to burning oil, accounting for nearly 13.5% of India’s total greenhouse gas emissions (IEA, 2020).
- Road Transport Dominance: Over 88% of emissions from this sector are linked to road transport activities.
- Passenger and Freight Dependence: Close to 90% of passenger travel and 70% of goods transport rely on roadways.
- Truck Emissions: Trucks are responsible for 38% of carbon dioxide emissions in this sector (IEA, 2023).
- Minor Emission Sources: Domestic aviation contributes around 4%, while coastal and inland shipping have smaller but notable emission levels compared to road freight.
- Government Expansion Plans: Policies aim for a threefold increase in passenger and cargo traffic on inland waterways by 2030.
- Coastal Shipping Growth: Coastal cargo movement is projected to expand by 1.2 times during the same period.
- Economic and Environmental Goals: These developments are designed to boost the economy while staying aligned with sustainable practices.
- Warehousing Impact: The warehousing industry, which supports freight transport, is also a significant source of emissions.
- Need for Balance: The combined impact of freight and warehousing highlights the urgent need to balance development with sustainability.
Do You Know?
IMO Targets
The International Maritime Organization plans to reduce global shipping emissions by 50% by 2050 compared to 2008 levels.
Strategies for Decarbonising Freight Transport
- International Examples: Countries like China and the U.S. demonstrate successful transitions from road to rail for freight transport.
- Emission Benefits of Rail: Rail freight produces significantly lower emissions compared to road-based transport.
- China’s Rail Investment: China has extensively developed its railway infrastructure, with rail carrying nearly 50% of freight.
- U.S. Shift to Rail: The United States has prioritized rail as one of its first low-emission freight solutions.
- India’s Rail Opportunity: Increasing the rail share in India’s freight sector can cut emissions and enhance efficiency, as rail transport is already largely electrified and close to zero carbon.
- Need for Road Freight Reforms: Road-based freight still plays a key role and requires substantial structural changes to become more sustainable.
- Electric Highway Pilot: India has launched a pilot project on the Delhi-Jaipur highway using overhead electric lines to power electric trucks — a significant step by the Ministry of Road Transport and Highways.
- Waterway Potential: Inland and coastal water transport hold vast promise for reducing emissions.
- Cleaner Maritime Fuels: The industry is moving toward fuels like ammonia, hydrogen, LNG, biofuels, methanol, and electricity.
- India’s Maritime Innovations: The adoption of LNG-powered ships, solar-supported electric vessels, and barges running on biofuels or electricity can accelerate India’s green shipping goals.
- Aviation Challenges: The aviation sector is difficult to decarbonize due to its dependence on refined fuels, making changes costly.
- Offsetting Aviation Emissions: Progress in sustainable aviation fuels and gains in efficiency across other transport modes can help balance out aviation-related emissions.
- Warehousing Emissions: Warehouses also contribute significantly to emissions because of their high energy demand.
- Renewable Energy for Warehousing: Switching to solar, wind, or geothermal energy can sharply reduce the carbon emissions from warehousing operations.
India’s Net Zero Carbon Emissions Goal
In 2021, India’s Prime Minister set an ambitious target to achieve net-zero carbon emissions by 2070. This goal is part of the country’s long-term strategy to reduce its environmental impact and combat climate change.
Pathway to 2070: Key Steps
The International Energy Agency (IEA) has outlined a scenario in which India’s energy sector aligns with the 2070 target. According to their Announced Pledges Scenario (APS), the following actions could significantly reduce emissions:
- Energy Demand Reduction: India could cut its energy demand by 30% by 2050 compared to current policies. This would save around 70 million tonnes of oil equivalent, which is 80% of the sector’s current energy needs.
- CO2 Emission Reductions: CO2 emissions are projected to peak in the mid-2030s and then decrease to about 20% below today’s levels by 2050. This reduction could prevent up to 4 gigatonnes of CO2 from being released into the atmosphere between 2021 and 2050.
Key Drivers of Emission Cuts
Until 2030: The first phase of reductions will come from three main areas:
- Improving energy efficiency in vehicles with internal combustion engines (ICE).
- Accelerating the adoption of electric vehicles (EVs).
- Increasing the use of biofuels.
After 2030: In the later phase, the biggest impact will come from the electrification of transportation, especially in the car and truck sectors. This shift will play a major role in further emission reductions.
Source: IEA