Digital Catapult hails shared infrastructure as route to decarbonisation for logistics sector

Digital Catapult claims that encouraging transport and logistics firms to collaborate more and share digital infrastructure could help the sector to collectively cut its carbon emissions and reduce its overall environmental impact.

This finding is based on the results of a successful pilot project overseen by Digital Catapult geared towards investigating whether encouraging firms in this sector to collaborate more closely and share information about their truckloads could help to reduce the number of empty vehicles on UK roads.

Digital Catapult enlisted the help of AF Blakemore & Son, the parent company of the SPAR convenience stores, to see if deploying a shared digital infrastructure could streamline the organisation’s vehicle slot filling, routing and tracking procedures.

The setup involved the use of distributed ledger technology (DLT) and internet of things (IoT) devices, combined with an algorithm developed by project partner Fuuse, to optimise route planning and truck use.

In turn, this allowed the organisation to match vehicle transport capacity with shipment needs across multiple UK organisations, resulting in a 37% decrease in transport costs and a 9% improvement in vehicle fill rates for the company.

Based on the results of this trial, Digital Catapult estimates deploying similar technology throughout the transport-logistics sector could cut its carbon emissions by 15-30% overall.

The project forms part of Digital Catapult’s wider Logistics Living Lab (L3) initiative, which is funded by the UK Research and Innovation (UKRI) organisation, and is looking at ways technology can help reduce the carbon emissions generated by the £163bn transport-logistics sector.

According to figures shared by Digital Catapult, the sector is responsible for generating 31% of all UK transport emissions, while data from the Department for Transport suggests that 30% of trucks on UK roads have empty loads.

Tim Lawrence, director of Digital Catapult’s digital supply chain hub, which is focused on using technology to make supply chains smarter, said the pilot’s success highlights the wider benefits its work could bring to the transport-logistics sector.

“When we launched the Made Smarter Innovation Digital Supply Chain Hub three years ago, we knew the potential of deep technologies for UK supply chains, but as we begin to see the results of the flagship projects like the Logistics Living Lab, we can start to realise potential into impact,” said Lawrence.

“The solutions built through this unique industry collaboration deliver a triple benefit to the UK logistics sector by empowering the organisations that make up our complex supply chains, to become more efficient, reduce costs to improve their bottom line and make a lasting environmental difference to positively contribute to the future of the planet.”

Phil Roe, president at trade association Logistics UK, said that the logistics industry is under great pressure to decarbonise, and pilots such as this highlight a way to achieve that.  

“Decarbonisation is the biggest challenge of the age and the pressure on the logistics sector to play our part is significant,” he said. “We must deliver this in line with our efforts to overcome challenges in trade, insufficient infrastructure and a shortage of skills.

“What the Logistics Living Lab project has demonstrated is that digital technologies and close industry collaboration can play a crucial role in accelerating the journey to net zero, allowing UK logistics businesses to focus on optimising their operations to contribute to boosting growth for the UK economy.”