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Open freight data exchange should cut carbon emissions 22% by 2050 and eliminate 2.5 billion barrels of oil a year, says a Coalition for Reimagined Mobility report
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Less carbon emission and the huge amount of unburnt fuel add to benefits of data sharing that include better operating efficiencies and fewer cargo stuck at ports
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ReMo calls for global policy action, including how to share critical data among freight sector stakeholders as condition for port access
An open freight data exchange standard would cut carbon emissions 22% by 2050 and eliminate 2.5 billion barrels of oil a year, says a report by Coalition for Reimagined Mobility (ReMo), which seeks to shape policy for more equitable and sustainable movement of people and goods.
Less carbon emitted and the huge amount of unburnt fuel, in addition to better operational efficiencies in the supply chain and reduced piles of cargo stuck at global ports, would result from data sharing, London-based ReMo said in a press release.
The report includes new modeling from the International Transport Forum (ITF), which has found that data sharing can improve the sustainability and reliability of the global supply chain.
Freight data exchange standards are open or freely available technical specifications that define how to share critical information to facilitate global freight logistics seamlessly, ReMo said.
Standardizing the exchange of freight data will support a transition to widespread software-enabled communication that will form the backbone of better stakeholder coordination across the global supply chain, the group said.
“We need a comprehensive plan of action to decarbonize our global freight sector,” said Mary Nichols, co-chair of the Coalition for Reimagined Mobility.
“Business as usual is not an option. As we transition to increasingly lower-carbon fuels, vessels and vehicles, we must also rapidly deploy technology solutions that will drive operational efficiencies – and critically needed climate benefits – across the global supply chain.”
ReMo partnered with ITF to use its globally renowned freight emissions model to quantify emissions reductions that could be achieved by data exchange to share logistical data in near real-time and streamline the supply chain.
The said the impact is significant, including:
- A reduction of sea freight emissions by 280 million tons of carbon per year and road freight emissions by 360 million tons of carbon per year;
- Elimination of 2.5 billion barrels of oil per year; and
- A 6% cost savings per ton-kilometer.
“Digitalization of the freight sector has lagged as market and regulatory failures have created barriers to change. The time for action is now,” the coalition said as it called on policymakers to take the following steps immediately:
- Require the use of freight data exchange standards as a condition for accessing ports.
- Deploy freight data exchange standards that communicate near real-time operational data.
- Allocate authority to national governments and ports to require the use of freight data exchange standards.
- Allocate seed funding to ports and industry stakeholders to deploy data exchange standard pilots and projects.
- Initiate and fund targeted intermodal exchange and smart steaming programs to realize near-term emissions reduction benefits.
“The world’s largest shippers and major supply chain players must work together to forge a new path to decarbonization and resilience by embracing digitalization and a globally accepted freight data exchange standard,” said Michael Hynekamp, chief operating officers of Wallenius Wilhelmsen ASA.
“We, alongside members of the Coalition, are committed to reimagining the freight system in collaboration with private and public organizations around the world. Digital transformation is the way towards our sustainable future.”
