Preparing Your Shipping Processes for Upcoming Climate Regulations

As regulations begin to mount for the reduction of carbon emissions in transportation, the logistics industry is facing heightened scrutiny and businesses are seeking solutions within their supply chains.

According to the International Energy Agency, a Paris-based autonomous intergovernmental organization, transportation accounts for 28% of all emissions, with 12% of global emissions attributed to freight and logistics.

“The carbon intensity of [over-the-road] freight is way different than some other types of freight,” said Hayden Pirkle, Account Management Lead at Patch, a platform for negative emissions that integrates with businesses to calculate their carbon footprint and systematically compensates by funding verified carbon removal projects. “It is 100 times more carbon intensive than shipping via cargo ships, which is where the bulk of freight is delivered.”

To address these emissions, government agencies at the state and federal levels have been preparing regulations aimed at the transportation industry, which includes businesses in over-the-road shipping. While many of the rules go into effect in a few years, Shippers and 3PLs need to plan now to get ahead of the changes.