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Haulage industry to miss government CO2 targets

3rd September 2009
Page 8
Page 8, 3rd September 2009 — Haulage industry to miss government CO2 targets
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Which of the following most accurately describes the problem?

THE HAULAGE industry needs to work harder to cut carbon emissions if it is to meet government climate change targets, argues Professor Alan McKinnon, director of the Logistics Research Centre at Heriot-Watt University, The government has set a target to reduce CO, emissions across the economy by 34% before 2020.

However, the road transport industry is likely to miss this target. if current trends continue.

McKinnon says that the UK road transport industry will produce 10% less CO, while carrying 20% more freight by 2020. Better use of vehicle capacity, improving fuel efficiency and switching to lower carbon fuels will reduce emissions, he says, while the government and businesses will have to intensify their efforts to "decarbonise" the movement of freight by road in order to meet government targets.

Increases in fuel duty. which the government claims help meet climate change targets, could even hamper progress, says Simon Chapman, chief economist with the Freight Transport Association. "You cannot tax and then expect ithe industry] to invest in low-carbon technologies."

While government incentives, such as capital allowances, could offer some help towards reducing emissions across the haulage sector, they are transitory in their effect, Chapman says. More strategic help, on longer semi-trailers and flexible delivery times, could create ongoing reductions in carbon emissions, he adds.

On the other hand, measuring and reducing CO, emissions could be a way of winning new business, believes Professor McKinnon.

He says: "It's going to become • an important competitive differen ▪ tial. Hauliers and third-party logis tics providers that have systems in ▪ place to measure carbon emissions can work with clients to cut them out of the supply chain."

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