Page 14 - ITLN May June 2023 Magazine

Cover Story
Sustainability

constant efforts by the government to
promote electric vehicles or alternate
fuels such as natural gas or green
hydrogen as the better transportation
fuel will only decrease carbon
emissions,” said Anand.
The need to reduce carbon emissions
from deliveries and shipping has
encouraged consumers to prefer
companies implementing green
logistics strategies over traditional ones,
according to a recent study published
in the Journal of the Transportation
Research Board by Singapore University
of Technology and Design (SUTD).
“India has huge potential when
it comes to green logistics. It is not
The need for sustainable transportation only in terms of consuming green
solutions has grown crucial, especially logistics and reducing the overall
given India's fast economic expansion carbon footprint in the country, but it
and the resulting increase in demand for is also in terms of being a supplier of
products and services. green logistics. We believe India could
As a result of the Covid-19 lockdown, be a key partner in transitioning from
there has been a growth of Ecommerce traditional maritime fuels to more
and direct-to-consumer channels, climate-friendly sustainable solutions
outpacing logistics and delivery services such as e-methanol. We are in a
across the country. While this is good and constructive dialogue with
beneficial to the startup community, the potential partners exploring a strategic
negative externalities in terms of carbon partnership about opportunities for
impact are concerning. green methanol production in India,”
“Green logistics in India is expected said Agarwal.
to grow significantly in the coming Our commitment Overall, green logistics is a developing
years. Logistics account for 14.4% to sustainability trend that is assisting the logistics sector
of India's GDP, and its growth is is reflected in the in reducing its environmental effect.
projected to continue at a 10-12% installation of solar Green logistics is expected to be a focus
CAGR, reaching $380 billion by 2025. panels across our for the sector in the coming years as
India is the third-largest carbon emitter corporations grow more concerned of
globally, producing 2.35 gigatonnes sites, reducing the their environmental effect.
of carbon emissions in 2021. The environmental impact The industry can adopt green
logistics industry is becoming more of our operations. We logistics by using both hydrogen and
environmentally conscious, and the also leverage real-time electric vehicles. In order to fulfil India's
government is paving the way towards data intelligence to 2070 net-zero goal, 79 percent of trucks
green initiatives through initiatives achieve sustainable fleet should be electric and the remaining
like Gati Shakti, National Master Plan, 20 percent should operate on hydrogen,
the GST reduction, and the Sagarmala operations. according to the Council on Energy,
Programme,” said Singhai. Vivek Juneja Environment, and Water (CEEW). As they
The ESG scenario in India is Varuna Group use power generated from renewable
quickly changing, increasing demand hydrogen, fuel cell electric trucks can
for sustainable solutions and their to grow by 24.3% in less than a decade. also be introduced to the market.
integration throughout the supply On the other hand, the market size The initiative can change the game
chain. The increased purchasing power of India Electric Vehicle industry is for logistics, where costs are currently
of younger consumers, along with a projected to grow from $3.21 billion at 13-14% of GDP in India. Led by the
movement in consumer desire to pick in 2022 to $113.99 billion by 2029 with NITI Aayog, the National Industrial
brands for social and environmental a CAGR of 66.52%. Initiatives such Corridor Development Corporation
values, notwithstanding cost premiums, as the Gati Shakti NMP have been Limited (NICDC) is developing this
has resulted in an overall change in the planned to combine all the multimodal platform by gathering all the milestones
Indian consumer's buying patterns. connectivity projects that will enhance under the Unified Logistics Interface
“EV has taken the world by storm the efficiency of the movement of Platform (ULIP), to help the logistics
with the global market being projected people and goods. This along with the sector grow. 
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