Analysis of Competitiveness of Freight Tricycle Delivery Services in Urban Areas

Abstract

This research analyzed the competitiveness of freight tricycles, low-capacity freight delivery vehicles, as compared with diesel vans in urban areas. Freight tricycles, also known as electric-assisted trikes, are low-emission vehicles powered by a combination of human effort and an electric engine. This research developed a cost model that incorporated vehicle ownership and operation models as well as logistics constraints such as time windows, cargo capacity, fuel consumption, and energy use. Unlike previous research efforts, the model was tailored to the unique characteristics of freight tricycles and diesel van deliveries in urban areas. The model was used to analyze the competitiveness of freight tricycles against diesel-powered delivery vans. Cost breakeven points and elasticity for several vehicles and route-related variables were estimated. Results provided new insights on the last-mile delivery characteristics and logistical constraints that could affect tricycle competitiveness. Freight tricycle competitiveness was sensitive to urban policies and design variables such as on-street speed limits and parking policies. Tricycle competitiveness was also greatly affected by drivers’ costs but barely affected by electricity or diesel costs. In contrast with the use of electric trucks, the competitiveness of tricycles was not driven by the value of the vehicles and their use.