The State of Alternative Energy and Transportation Decarbonization
By: John McCaw
The transportation industry is one of the largest contributors to global greenhouse gas emissions (GHG), and companies are facing mounting pressure from governments, peers and consumers to reduce emissions.
According to new research from a 2024 State of Transportation Report, 63% of shippers have set goals to achieve specific sustainability certifications or standards. The number one way shippers are fulfilling the requirements for these initiatives is by evaluating the potential emissions impact of alternative energy sources like EVs, renewable diesel, and renewable natural gas.
Transportation emissions reduction is a national priority
This priority is being propelled by stricter regulations and policies targeting transportation emissions reduction. At the federal level, the current administration set the first-ever national goal of zero emissions for the freight sector and announced nearly $1.5B to support the transition to zero-emission heavy-duty vehicles. This strategy will propel developments to reach infrastructure targets set for 2024 through 2027.
States and local governments are also taking proactive action. California’s Advanced Clean Trucks (ACT) initiative mandates that by 2035, 75% of all medium and heavy-duty truck sales in the state must be zero-emissions. Collectively, these efforts underscore the national push toward sustainable transportation and have accelerated interest in alternative energy for transportation.
Alternative energy developments
As efforts to understand the emissions impact of alternative energy continue, renewable natural gas, battery electric, and hydrogen are gaining traction. In addition to emerging alternatives, biodiesel and renewable diesel are two of the most widely proliferated alternative energies in transportation. Several factors influence adoption:
- Total cost of ownership
- Availability
- Infrastructure
- Policy and tax laws and incentives
Alternative energy developments continue to emerge, and as a result, shippers are adopting a polyfuel strategy to pilot what best suits their individual transportation networks while also curbing emissions.
The path to emissions reduction
The path to achieving these reductions involves a multifaceted approach to alternative energy and transportation decarbonization. With mounting pressure from governments, consumers, and peers to reduce GHG, the transportation industry is at the forefront of this endeavor. Achieving actual reductions requires not only technological advancements but also transparent partnerships and data connectivity throughout the supply chain to ensure visibility into total lifecycle emissions. This collective effort underscores a commitment to steering transportation toward a sustainable future to pave the way for a more efficient industry.
by Editor