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Effective Supply Chains to Support Low Carbon Transport

Effective Supply Chains to Support Low Carbon Transport. Liam Goucher Prof. Lenny Koh (Sheffield) Dr. Tony Whiteing (Leeds) Dr. Andrew Brint (Sheffield ). The Problem – An unsustainable transport sector.

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Effective Supply Chains to Support Low Carbon Transport

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  1. Effective Supply Chains to Support Low Carbon Transport Liam Goucher Prof. Lenny Koh (Sheffield) Dr. Tony Whiteing (Leeds) Dr. Andrew Brint (Sheffield)

  2. The Problem – An unsustainable transport sector • Global direct emissions from the transport sector amount to 5.6GT of CO2 (Stern, 2006) • Road based transport alone currently accounts for 22% of the UK CO2 emissions • This places the transport sector alongside energy generation and housing/ industry as a dominant contributor to the country’s carbon emissions. • The largest proportion of these emissions are from private domestic transport.

  3. The Problem – An unsustainable transport sector • There is a clear need to achieve measureable CO2 reductions in the domestic transport sector. • However: • Continued economic growth and development will exert significant upwards pressure on transport emissions In the coming years; and • It is unlikely that there will be any significant reduction in the growth of car ownership, at least in the short term (DfT, 2008) • Therefore, the most probable approach to cutting carbon emissions is likely to be through technological advancement and improvement in the carbon efficiency of the transport sector. • Based on current forecasts, it seems likely that Electric/ Plug-in Hybrid Electric Vehicles will play a key part in meeting these reductions.

  4. Electric Vehicles • TwoTypes of Electric Vehicles: • All Electric Vehicle (EV) • Plug-in Hybrid Electric Vehicle (PHEV) • Both have the potential to offer significant environmental  benefits compared with  existing internal combustion engine vehicles. • Due to vehicle development lead times, Electric Vehicles will initially be introduced into the UK market in low volumes with mass production and volume availability unlikely to occur before 2014.

  5. Challenges and Current Literature • Wide spread roll-out and uptake of EVs and PHEVs will require: • An increase in consumer confidence and education; • Improvement in battery performance and cost; • Charging infrastructure which keeps pace with demand; • Stimulation of the market through incentives which encourage uptake; & • A robust Supply chain to support them • Current literature can be divided into several categories. Technical studies Infrastructure Requirements Lifecycle/ Production Cost Analysis Strategic Analysis and Policy • Very little research on the supply chain challenges posed by this type of technology

  6. Links with the Energy Sector – The wider supply chain • The transport and energy sectors are already intrinsically linked. • However, a significant move towards EVs/ PHEVs will place even more pressure on UK electricity generation. • It is essential that the emissions reductions made in the transport sector are not simply pushed further down the supply chain. Impact on the Electricity grid operation: • DfT assessment of EV/PHEV impact on grid upto 2030 • Key finding:Sufficient national generating capacity to cope with uptake • Achieved through smart metering, charging& off-peak tariffs. • What about at a regional distribution level?

  7. Research Aims and Methodology Aims • How supply chains will need to be adapted to support the production, operation, and disposal of EVs/ PHEVs (the cradle to grave supply chain). • The implications significant EV/ PHEV uptake will have on the wider supply chain; specifically how a move away from traditional petroleum based fuels will affect the UK’s Electricity network. Methodology • Hybrid qualitative/ quantitative approach • Interviews and data collection from sources including: • Vehicle/ Component Manufacturers • National Grid • Regionalised Distribution Network Owners • Regional/ National Policy Makers Outcome • a detailed supply chain model and analysis of the key supply chain challenges alongside potential solutions. • A regional scenario analysis of the potential impacts of electric vehicles on the Regions energy networks.

  8. Thanksfor ListeningQuestions?

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