The crucial role of logistics buyers

Logistics buyers can play a decisive role in creating a sustainable future for the freight sector by setting clear requirements and being willing to collaborate and experiment with new solutions.

While CO2 emissions from maritime shipping have decreased by one-third since their peak in 2020, they are still too high. According to data from the Swedish Environmental Protection Agency, CO2 emissions from maritime shipping to and from Sweden decreased from 8.31 million tonnes of CO2e in 2020 to 5.43 million tonnes. There is also a growing interest from logistics buyers seeking to find out how more sustainable shipping can help them achieve their overall sustainability goals.

Maria Huge-Brodin, Professor of Environmental Logistics Management at Linköping University, emphasises the critical role logistics buyers play in driving the transition towards fossil-free shipping: “All stakeholders in the system must play their part in tackling this significant, complex challenge. Transport companies need the know how and ability to become more sustainable, and we need effective regulatory frameworks to incentivise reductions in greenhouse gas emissions. But what is truly crucial is that customers are willing and able to set demands, collaborate and understand what really matters in their transport choices.”

Companies that purchase transport services have significant power to influence the market by demanding fossil-free alternatives and investing in long-term solutions. However, transports is often way down on the priority list. According to Maria Huge-Brodin, the challenge is that transport purchases often represent only a small part of a company’s overall operations, which means sustainability efforts often focus on areas with a greater climate impact.

Maria Huge-Brodin, Professor of Environmental Logistics Management: “While many large companies claim strong climate responsibility at a strategic level, it’s still mostly about cutting costs at the procurement level. Clear signals from the top are essential – bonuses should be based on environmental criteria, not just cost savings,” she says.

Many operators are investing in fuel-efficient solutions and alternative fuels such as biogas, methanol and hydrogen. Encouraging investments in electrification and the development of charging infrastructure for ships and trucks could also be important steps in building a more sustainable transport system.

“Collaboration is key. By working together, companies can lobby for expanded capacity and a more robust network of charging stations,” says Maria Huge-Brodin.

While setting sustainability criteria in transport agreements is another effective means to achieve sustainability goals, partners must also be prepared to work over the long term.

“New solutions require lasting partnerships and longer contracts. Annual procurements do not encourage investment. Requirements should be flexible and evolving, allowing room for development as technologies and economic conditions change,” says Professor Brodin.

She concludes: “The major transport buyers must take the lead and purchase sustainable transport solutions. They have the power to set the direction and the capacity to make investments.”

Select transport partners that invest in energy efficient solutions and alternative fuels like biogas, methanol or hydrogen. Demand emissions transparency and documented progress. Encourage investments in port electrification and shore power for ships and trucks. Support port electrification and shore power to reduce emissions and noise, and improve working conditions.

Companies can drive transition throughout the value chain by including sustainability criteria in procurement processes and rewarding suppliers who reduce their emissions. Demand fossil-free fuels, energy efficiency and emission reductions in every transport agreement.

Optimising transport flows can lead to significant emission reductions. Intermodal solutions enable more efficient route planning and help avoid unnecessary shipments, resulting in lower freight costs and reduced climate impact. Whenever possible, consider consolidating cargo to increase efficiency and minimise your carbon footprint. Partner with transport providers who use real-time data to optimise routes and reduce empty runs – this can lead to substantial savings in emissions and costs.