How to achieve less emissions from freight transport in Sweden

Abstract

Purpose For the case of Sweden, this paper aims to determine how a range of different infrastructure fees and taxes influences modal split, port throughputs, air emissions, societal costs of greenhouse gas (GHG) emissions and air pollution, as well as logistics costs. Design/methodology/approach The Swedish national freight model is used to simulate a range of different proposed infrastructure fees, one by one and in combination. The volume of emissions of CO2-equivalents, NOx, SOx and PM under the different scenarios is calculated in both volume and monetary terms, by applying national emission factors and EU values for external costs. Findings Road user fees are calculated to have the largest impact on the modal split, GHG emissions and air pollution. The impact increases slightly when road user fees are combined with higher fees for sea and rail and/or gate fees in all Swedish ports. The imposition of gate fees over €30 per truck in all ports leads to shifts in cargo to land-based modes and to ports outside Sweden. The logistics costs in Sweden are found to be three to ten times higher than the benefits of reduced GHG emissions and air pollution, although other benefits to society need to be considered as well. Research limitations/implications Methods which attempt to evaluate alternative approaches to the internalisation of the external costs caused by transport need to be further developed. In particular, they need to encompass a more holistic perspective on “benefits to society”, other than merely reductions in GHG emissions and air pollution. To facilitate international acceptance and adoption, such methods require agreements to be reached on common definitions and routines. Practical implications The results can be used as basis for policy-making. They illustrate the environmental impacts of the fees and taxes one by one and in combination and to what extent these reinforce each other and should be co-ordinated. Social implications The outcomes are relevant to national and international policymakers and authorities, as well as port authorities, shippers and transport companies who need to determine unilateral strategies on how to reduce GHG emissions and air pollution, without undermining their wider business objectives. Originality/value The approach is original in facilitating the testing of policies which impact on the transport system and the environment across different dimensions. The work has additional value in informing policy because of its use of Sweden’s national freight transport model.