Decarbonizing the Freight and Logistics Sector

Abstract

Are examples of innovative logistics decarbonization initiatives available in some LDCs that could be more widely adopted?This discussion paper explores the initiatives being adopted, implemented, and proposed in each of the three subsectors in a logistical chain, the maritime subsector, the interurban freight and logistics subsector, and the urban freight and logistics subsector.9 The paper describes the initiatives, and more importantly, how they may need to be adapted and financed to achieve the decarbonization of the freight and logistics sector, while meeting the needs, opportunities, constraints, and the broader climate change-related and development challenges of LDCs and SIDS.The following section provides an overview of the main technical issues, commencing with the maritime subsector, then the interurban subsector, and finally the urban subsector.The third section will highlight some of the interventions needed, and where possible the required policy actions and financial implications, with the final section proposing some final thoughts about the way forward and summarizing key recommendations.Notes 1. Defined here as including the terrestrial and maritime modes only.Air freight is excluded reflecting the subsector specific issues, which are worthy of a separate paper.2. Since trucking is by far the dominant mode of domestic surface transport it receives most of the attention in this paper.Extensive reference is also made to rail freight operations.In most less developed countries waterborne accounts for a small percentage of domestic ton-kilometers and domestic air cargo for a tiny fraction.Accordingly, there is little discussion of these modes.3. The cruise sector is omitted from the scope of this chapter. United Nations Conference on Trade and Development (UNCTAD). 2019. Review of Maritime Transport. Available

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