IDEAS home Printed from https://ideas.repec.org/a/gam/jlogis/v8y2024i3p64-d1423506.html
   My bibliography  Save this article

Zero-Emission Heavy-Duty, Long-Haul Trucking: Obstacles and Opportunities for Logistics in North America

Author

Listed:
  • Paul D. Larson

    (Department of Supply Chain Management, University of Manitoba, Winnipeg, MB R3T 5V4, Canada)

  • Robert V. Parsons

    (Department of Supply Chain Management, University of Manitoba, Winnipeg, MB R3T 5V4, Canada)

  • Deepika Kalluri

    (Department of Supply Chain Management, University of Manitoba, Winnipeg, MB R3T 5V4, Canada)

Abstract

Background : Pressure is growing in North America for heavy-duty, long-haul trucking to reduce greenhouse gas (GHG) emissions, ultimately to zero. With freight volumes rising, improvement depends on zero-emissions technologies, e.g., battery electric vehicles (BEVs) and fuel cell electric vehicles (FCEVs). However, emissions reductions are constrained by technological and commercial realities. BEVs and FCEVs are expensive. Further, BEVs depend on existing electricity grids and FCEVs rely on steam–methane reforming (SMR) or electrolysis using existing grids to produce hydrogen. Methods : This study assembles publicly available data from reputable sources to estimate breakeven vehicle purchase prices under various conditions to match conventional (diesel) truck prices. It also estimates GHG emissions reductions. Results : BEVs face numerous obstacles, including (1) limited range; (2) heavy batteries and reduced cargo capacity; (3) long recharging time; and (4) uncertain hours-of-service (HOS) implications. On the other hand, FCEVs face two primary obstacles: (1) cost and availability of hydrogen and (2) cost of fuel cells. Conclusions : In estimating emissions reductions and economic feasibility of BEVs and FCEVs versus diesel trucks, the primary contributions of this study involve its consideration of vehicle prices, carbon taxes, and electricity grid capacity constraints and demand fees. As electricity grids reduce their emissions intensity, grid congestion and capacity constraints, opportunities arise for BEVs. On the other hand, rising electricity demand fees benefit FCEVs, with SMR-produced hydrogen a logical starting point. Further, carbon taxation appears to be less important than other factors in the transition to zero-emission trucking.

Suggested Citation

  • Paul D. Larson & Robert V. Parsons & Deepika Kalluri, 2024. "Zero-Emission Heavy-Duty, Long-Haul Trucking: Obstacles and Opportunities for Logistics in North America," Logistics, MDPI, vol. 8(3), pages 1-35, June.
  • Handle: RePEc:gam:jlogis:v:8:y:2024:i:3:p:64-:d:1423506
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2305-6290/8/3/64/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2305-6290/8/3/64/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Liimatainen, Heikki & van Vliet, Oscar & Aplyn, David, 2019. "The potential of electric trucks – An international commodity-level analysis," Applied Energy, Elsevier, vol. 236(C), pages 804-814.
    2. Julius J. Andersson, 2019. "Carbon Taxes and CO2 Emissions: Sweden as a Case Study," American Economic Journal: Economic Policy, American Economic Association, vol. 11(4), pages 1-30, November.
    3. Gunawan, Tubagus Aryandi & Monaghan, Rory F.D., 2022. "Techno-econo-environmental comparisons of zero- and low-emission heavy-duty trucks," Applied Energy, Elsevier, vol. 308(C).
    4. Bushnell, James PhD & Muehlegger, Erich PhD & Rapson, David PhD, 2021. "Do Electricity Prices Affect Electric Vehicle Adoption?," Institute of Transportation Studies, Working Paper Series qt7p19k8c6, Institute of Transportation Studies, UC Davis.
    5. Robert V. Parsons, 2021. "Canada as a Case Study for Balanced Presentation to Address Controversy on Emission Reduction Policies," Sustainability, MDPI, vol. 13(14), pages 1-21, July.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mengqi Fu & Yanyan Yang & Yong Li & Huanqin Wang & Fajun Yu & Juan Liu, 2023. "Beijing Heavy-Duty Diesel Vehicle Battery Capacity Conversion and Emission Estimation in 2022," Sustainability, MDPI, vol. 15(14), pages 1-14, July.
    2. Missbach, Leonard & Steckel, Jan Christoph & Vogt-Schilb, Adrien, 2024. "Cash transfers in the context of carbon pricing reforms in Latin America and the Caribbean," World Development, Elsevier, vol. 173(C).
    3. Rohan Best & Paul J. Burke, 2020. "Energy mix persistence and the effect of carbon pricing," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 64(3), pages 555-574, July.
    4. Kruse, Tobias & Atkinson, Giles, 2022. "Understanding public support for international climate adaptation payments: Evidence from a choice experiment," Ecological Economics, Elsevier, vol. 194(C).
    5. Katsuyuki Nakano & Ken Yamagishi, 2021. "Impact of Carbon Tax Increase on Product Prices in Japan," Energies, MDPI, vol. 14(7), pages 1-19, April.
    6. Heider, Florian & Inderst, Roman, 2021. "A Corporate Finance Perspective on Environmental Policy," EconStor Preprints 253669, ZBW - Leibniz Information Centre for Economics.
    7. Runst, Petrik & Höhle, David, 2022. "The German eco tax and its impact on CO2 emissions," Energy Policy, Elsevier, vol. 160(C).
    8. Sterner, Thomas & Ewald, Jens & Sterner, Erik, 2024. "Economists and the climate," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 109(C).
    9. Johan Lilliestam & Anthony Patt & Germán Bersalli, 2022. "On the quality of emission reductions: observed effects of carbon pricing on investments, innovation, and operational shifts. A response to van den Bergh and Savin (2021)," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 83(3), pages 733-758, November.
    10. Niklas Potrafke & Fabian Ruthardt & Kaspar Wuthrich, 2020. "Protectionism and economic growth: Causal evidence from the first era of globalization," Papers 2010.02378, arXiv.org, revised Mar 2022.
    11. Martinsson, Gustav & Sajtos, László & Strömberg, Per & Thomann, Christian, 2022. "Carbon Pricing and Firm-Level CO2 Abatement: Evidence from a Quarter of a Century-Long Panel," Misum Working Paper Series 2022-10, Stockholm School of Economics, Mistra Center for Sustainable Markets (Misum).
    12. Olayiwola Alatise & Arkadeep Deb & Erfan Bashar & Jose Ortiz Gonzalez & Saeed Jahdi & Walid Issa, 2023. "A Review of Power Electronic Devices for Heavy Goods Vehicles Electrification: Performance and Reliability," Energies, MDPI, vol. 16(11), pages 1-25, May.
    13. Jia, Zhijie & Lin, Boqiang, 2020. "Rethinking the choice of carbon tax and carbon trading in China," Technological Forecasting and Social Change, Elsevier, vol. 159(C).
    14. Korberg, Andrei David & Skov, Iva Ridjan & Mathiesen, Brian Vad, 2020. "The role of biogas and biogas-derived fuels in a 100% renewable energy system in Denmark," Energy, Elsevier, vol. 199(C).
    15. Angela Köppl & Stefan Schleicher & Margit Schratzenstaller-Altzinger & Karl W. Steininger, 2020. "COVID-19, Klimawandel und Konjunkturpakete," WIFO Research Briefs 1, WIFO.
    16. Mao, Jie & Wang, Chunhua & Yin, Haitao, 2023. "Corporate responses to air quality regulation: Evidence from a regional environmental policy in China," Regional Science and Urban Economics, Elsevier, vol. 98(C).
    17. Egor V. Dudukalov & Galymzhan O. Spabekov & Liudmila V. Kashirskaya & Andrei V. Sevbitov & Olga Yurievna Voronkova & Lidia Vasyutkina, 2020. "Fiscal goals of regulating the activities of the institute of controlled foreign companies in the digital economy," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 8(2), pages 972-983, December.
    18. Runst, Petrik & Thonipara, Anita, 2020. "Dosis facit effectum why the size of the carbon tax matters: Evidence from the Swedish residential sector," Energy Economics, Elsevier, vol. 91(C).
    19. Jannik Hensel & Giacomo Mangiante & Luca Moretti, 2023. "Carbon Pricing and Inflation Expectations: Evidence from France," CESifo Working Paper Series 10552, CESifo.
    20. Nathan Delacrétaz & Bruno Lanz & Jeremy van Dijk, 2020. "The chicken or the egg: Technology adoption and network infrastructure in the market for electric vehicles," IRENE Working Papers 20-08, IRENE Institute of Economic Research.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jlogis:v:8:y:2024:i:3:p:64-:d:1423506. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.