The place of electricity in the logistics of tomorrow

Urban Logistics

Valentin DILLENSCHNEIDER Co-Founder RedE Group
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Changing logistics

Logistics is changing, that’s undeniable. Each of the innovations in the sector tends to better understand the challenges of tomorrow and to evolve in this direction.

The growth of e-commerce and express delivery are forcing everyone to review their copy. We must now deliver as quickly as possible, and be as close as possible to the customer to improve the customer experience, this is THE key: the e-retailer must deliver faster to break the internet barrier and physical stores do not have no choice but to go for it.

But let's take a little perspective here by trying to decipher the place of electricity in tomorrow's logistics.

 

An environmental necessity

The transport of goods today represents more than 25% of global pollution and 29% in France. This figure may seem insignificant but it takes on its full meaning when we know that pollution is responsible for 1 in 6 deaths.

The emergence of express delivery and the boom in e-commerce means more trucks, more traffic jams, more pollution. For example, a gasoline scooter dedicated to delivery pollutes 2000 times more than a diesel vehicle.

The logistics of tomorrow must therefore be decarbonized.

 

Industrial and digital developments

In just 10 years, there have been considerable developments in electric power to take into account these issues linked to eco-responsible logistics.

Starting with the battery: today the ranges offered are increasingly greater on two-wheel or four-wheel vehicles and really correspond to these new delivery methods in city centers.

Today, almost all two- or four-wheel electric vehicles offer positive TCOs.

The rise of digital technology also makes it possible to better manage and optimize routes and thus be able to integrate electricity into discussions on logistics in urban areas.

To get an idea and understand that the vehicle of tomorrow will be electric, just take a look at autonomous vehicle projects around the world: they are all designed and thought out to be electric (see Renault EZ-Pro).

 

Constraints

Electricity has evolved a lot and will become tomorrow's solution for urban logistics, but it remains faced with a major problem: today the charging infrastructures – electrical network – could not accommodate a fleet of 100% electric vehicles.

In addition, the minerals that make up these electric batteries are very rare and are expected to become more and more rare, therefore increasing the price of the components and necessarily that of electric vehicles.

We are therefore faced with a very complex equation to resolve: increasing the share of electricity in logistics while taking into account the issues of charging infrastructure and raw material supply.

 

The electric of tomorrow

Hydrogen is today a solution that makes it possible to solve part of the equation: better autonomy, shortened charging time. Hydrogen is also closely linked to the electric motor, which means no problem.

However, hydrogen is a solution that can only develop if the entire eco-system tends towards more virtuous models.

The efficient SmartCity will probably be the key to moving towards a fleet of 100% electric vehicles. Indeed, it is this which will make it possible to regulate the different flows by acting intelligently to make the link between the needs linked to logistical activities and the capacities of electrical resources.

 

The electrification of the vehicle fleet in logistics is a major challenge and requires a global approach in order to pool the added values of each person so as not to have know-how stolen by other countries.

Read all the « Urban Logistics » articles on the SprintProject blog

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