The green transition of road transport in Europe is in full swing, and the paradigm shift has already taken place, in case anyone was in doubt. The EU has adopted a wide range of rules to reduce greenhouse gas emissions by 55% by 2030 compared to 1990 levels. In short, EU legislation encourages a shift to zero-emission vehicles in the form of battery- or hydrogen-powered trucks.
This is done, among other things, by making fossil fuels more expensive from 2027, when road transport will become part of the EU’s CO2 quota trading system (ETS II). At the same time, the new CO2 reduction requirements for truck manufacturers mean that 45 percent of new sales must be zero-emission in 2030, 65 percent in 2035 and 90 percent in 2040. In other words, a de facto phasing out of trucks with combustion engines.
The problem is that several factors still need to be in place before it makes sense for individual haulier to invest in electric and hydrogen-powered trucks. For the equation to work, there must be sufficient charging infrastructure along the roads and sufficient capacity on the electricity grid so that truckers can charge the trucks in their own terminals. And electric trucks must not least be available at competitive prices.
If a haulier looks at the map and the market and finds that these factors are not in place, he or she will naturally choose other solutions. The current AFIR regulation, which obliges EU countries to install a minimum number of charging stations along the main road network, is a step in the right direction, but it is by no means sufficient.
Decarbonisation is a team sport that requires cooperation between electricity distributors, recharging installers, ministries, politicians and the industry. It is particularly important to ensure greater capacity on the electricity grid so that transport companies can charge their trucks at the company terminal. This takes time and costs money. It requires municipal permits and excavation work to lay out a new electricity grid, which can take several years. Transport companies cannot bear that bill alone.
Let ETS II finance the rollout of more electricity grid
Therefore, the Nordic Logistics Association (NLA) calls on the governments of the Nordic countries to use the revenues from ETS II to support the expansion of the electricity grid. In this way, the use of fossil fuels is used to finance the green transition. This makes infinitely more sense than, for example, using the proceeds for elderly checks or similar, as has been seen previously. The potential is enormous. Carbon Market Watch estimates that ETS II will bring in almost 260 billion EUR between 2027 and 2032. We now have a unique opportunity to help hauliers get off to a good start with the green transition. By ensuring good competitive conditions for hauliers, we also create good conditions for growth in the Nordic region. The road freight transport sector contributes with 1.4% of the EU’s GDP on average, and in the Nordic region the figure is significantly higher.
The work should start now, so that we are ready to accelerate the green transition when ETS II is rolled out in 2027. Hauliers are ready for the challenge and to do our part to ensure that we succeed with the green transition. Now it requires everyone to work together so that the conditions for doing business with zero-emission vehicles are in place.
