Electrifying last-mile deliveries for a more sustainable supply chain

At present, last-mile delivery is far from optimal, both in terms of the drivers’ experiences and the businesses that rely on them.

EV

By Akash Gupta

In our pursuit of a cleaner and more environmentally responsible future, the concept of sustainability has taken center stage. One of the pressing challenges we face is the rising pollution caused by conventional modes of transportation. As urbanization continues to grow, so does the demand for efficient last-mile deliveries, making it crucial to address this issue at its core. Here, electrifying last-mile deliveries can significantly contribute to a more sustainable supply chain while simultaneously benefiting businesses, drivers, and the environment.

Pressing need for electrification of last-mile deliveries

Last-mile mobility and deliveries collectively account for a staggering 66% of all daily trips in our country. To put this into perspective, each day witnesses a total of 300 million trips, out of which 200 million are last-mile deliveries. Unfortunately, last-mile deliveries are the major contributors to increasing pollution. The correlation is evident – the more kilometers traveled, the greater the environmental toll. Since electric vehicles are a cleaner, greener, and energy-efficient alternative to conventional internal combustion engine (ICE) vehicles, a shift towards electrifying fleets can reduce pollution drastically. 

At present, last-mile delivery is far from optimal, both in terms of the drivers’ experiences and the businesses that rely on them. The current approach, where individual drivers handle deliveries for various brands using their own vehicles, leads to inefficiencies. Drivers lack the foresight to predict which brand will have a higher demand at a given time and location. Consequently, they juggle multiple apps to secure orders from food delivery, cab-hailing, and grocery-delivering platforms, among others. This not only results in a challenging and tiring experience but also wastes valuable resources, time, and money. It is neither environmentally friendly nor economically sustainable.

Fleet electrification for sustainable supply chain 

The automobile industry across the globe is going through a paradigm shift, trying to switch from fossil fuels to alternative energy sources. With the rising pollution and depletion of natural resources, environmentally-conscious countries are opting for electric vehicles. In the past few years, the electric vehicle industry has seen substantial growth. With the vision to achieve zero net emissions by 2070, India is strongly working towards electrifying more than 30% of new vehicles by 2030. Here, enter tech-enabled companies that are revolutionizing the game by offering Electric Vehicles (EVs) as a service. Their innovative platform approach aims to achieve sustainability across the board.

Transitioning to 100% electric vehicles can significantly reduce the carbon footprint associated with ICE bikes, which are otherwise used to facilitate last-mile deliveries. At the same time, tech-enabled companies are transforming the driver experience. They’re creating an ecosystem where drivers can seamlessly switch between different brands based on demand, optimizing vehicle usage and boosting driver earnings. AI-embedded platforms nowadays help streamline vehicle charging and battery swapping. Concerns about charging infrastructure and battery availability are being tackled through real-time notifications. It guides drivers on when and where to charge or swap batteries, making the process seamless. This, in turn, tackles the range anxiety. 

Way forward

The benefits of electrifying last-mile deliveries are manifold. Not only does it drastically reduce carbon emissions, especially in comparison to traditional petrol-powered bikes, but it also significantly lowers operating costs over time. Electric vehicles contribute to cleaner air and quieter streets, all while ensuring that the wheels of commerce keep turning. This transition aligns seamlessly with India’s ambitious electrification goals, which aim to electrify a substantial portion of the country’s vehicle fleet by 2030.

Fleet electrification, especially in the context of last-mile delivery, presents a golden opportunity to redefine sustainability in logistics. It’s not just about embracing new technology; it’s about creating a future where environmental consciousness and business viability coexist. By electrifying last-mile deliveries, we can breathe cleaner air, operate more efficiently, and build a truly sustainable supply chain that benefits us all. As we step into this electrified future, we’re not just transforming deliveries; we’re paving the way for a brighter, greener tomorrow.

The author is Co-Founder & CEO, Zypp Electric.

Disclaimer: Views expressed are personal and do not reflect the official position or policy of Financial Express Online. Reproducing this content without permission is prohibited.

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This article was first uploaded on September three, twenty twenty-three, at eighteen minutes past one in the afternoon.
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