Manufacturing News

Cutting carbon emissions to reduce freight transport costs

EFFECTIVE action to cut freight transport greenhouse gas (GHG) emissions can also reduce business costs concludes a National Transport Commission (NTC) discussion paper, Freight transport in a carbon constrained economy.

NTC Chief Executive Nick Dimopoulos said policies to “sweat” Australia’s existing road and rail infrastructure assets harder, while improving freight links between ports, intermodal terminals and major distribution centres will deliver a ‘win-win’ for business and the environment.

“Fixing road and rail freight bottlenecks[1], mapping networks for safer and more productive trucks and improving the efficiency of road-rail-sea interfaces are sensible measures to cut carbon emissions, reduce freight delays and boost productivity,” he said.

Dimopoulos said COAG has already agreed to map networks for SMART trucks, B-triples, quad axle semi-trailers and B-doubles.

“If we are serious about reducing greenhouse emissions, improving safety and delivering real productivity gains, we need to ensure these trucks can operate on a wider network.”

The report says transport should be included in an emissions trading scheme (ETS) to encourage the right investment, mode and technology choices over the long-term.

But the effectiveness of an ETS would be improved with short to medium term measures to cut freight transport carbon emissions

“Funds from an ETS could be used to help transition the freight transport sector to a lower carbon future,” Dimopoulos explained.

Dimopoulos said transport is one of the fastest growing sources of carbon emissions and, internationally, the freight sector has been a policy blind spot.

“As emissions from the stationary energy sector reduce, transport will become a more significant source,” he said.

“Even if greenhouse gas emissions from the stationary energy sector could be reduced to zero by 2050, further cuts in other sectors are needed to meet the national target of a 60 percent reduction.

“Australia cannot afford to wait, we must start acting now.”

He said Australia’s Transport Ministers are showing leadership by developing a national transport policy and reform agenda, which includes action on climate change.

NTC is seeking public comment on the discussion paper by 29 August 2009.

The company will consider submissions in the development of a draft policy proposal for Australia’s Transport Ministers.

Click here to access the discussion paper.

For more information contact:

National Transport Commission

p – 03 9236 5027

w – www.ntc.gov.au

[1] Example: Upgrading the ‘last mile’ bottleneck to a regional cattle yard in WA would cost $150,000, but save more than two thousand tonnes of greenhouse gases a year and deliver an annual $750,000 efficiency dividend. (Source: Australian Livestock Transporters Association 2008)

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