Regulatory framework impacting sustainability in logistics
While there are few regulations aimed directly at sustainability in the logistics industry, the broad scope of most transport
and emissions regulations has meant that the logistics industry has been indirectly impacted by such legislations. Of
particular importance are the EU schemes on road vehicle emissions and emission targets for the aviation sector, both of
which have forced logistics firms to rethink their transport network strategy.
When it comes to sustainability regulation in aviation, both the International Civil Aviation Organization and International Air
Transport Association have been looking to create a common approach and set targets to reduce emissions in the industry.
While this has not gone much beyond the planning state, the EU has already jumped ahead and set up emission targets for
the sector in 2009, at 10% below 2005 levels by 2020. These will be further reviewed and strengthened in 2013. The
consequence of this is that logistics firms have to try to increase the efficiency of air freight as well as reduce the use of the
same.
The EC has also released a set of strategic objectives for the maritime transport sector until 2018. The objectives call for
increase efficiency and research into environmentally sound marine transport. There are also a slew of measures underway
to standardize road transport pricing in the EU. The objective is to create an even balance between road and rail by
providing incentives for rail transport. Developments in rail and maritime transport due to such legislation could help
logistics firms restructure their transport network by having a greater amount of less carbon intensive technologies in rail
and marine transport, and a smaller amount of road and air transport.
The EC has also implemented several "greening transport" initiatives to promote sustainability within transport and to make
sure costs reflect integral cost to the society. There have also been many localized laws passed across the globe that put
additional taxes on high-polluting vehicles, increase tolls for heavy goods vehicles and so on. Countries have also created
financial incentives like grants, subsidies, and low taxes and low-interest loans for low emission vehicles, as well as
lowering duties on alternative fuels