Decarbonising Transportation and Logistics: A Practical Approach
Karunjit Kumar Dhir
Co-Founder @ Saarthi GreenTech, Co-Founder @ SRKAY Consulting Group & Partner @ Kuber Ventures | Board Director | Angel Investor | Talks about Sustainability, GCC, Startups & Leadership
Transportation and logistics are vital sectors that keep global supply chains functioning. Yet, they are also some of the largest contributors to carbon emissions worldwide. As governments and corporations commit to climate goals, it’s critical to address these emissions through sustainable solutions. One of the most practical approaches to decarbonizing transportation is the adoption of hydrogen-based technologies. In this article, we will explore the role of transportation and logistics in global emissions, how GreenDrive is helping logistics companies reduce their carbon footprints, and success stories of industries adopting hydrogen hybrid technology.
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Transportation and Logistics: A Major Contributor to Carbon Emissions
The transportation sector accounts for a significant share of global carbon emissions, and the logistics industry—dependent on heavy-duty trucks, freight carriers and trailers, shipping vessels, and air freight—plays a key role. Diesel engines continue to dominate, especially in heavy-duty applications, leading to large amounts of greenhouse gases (GHGs) being released into the atmosphere.
For instance, in the United States, the transportation sector is responsible for 28% of total greenhouse gas emissions, with heavy-duty trucks contributing a significant portion. As of 2022, there were approximately 12 million heavy-duty trucks on U.S. roads, heavily relying on diesel and contributing to harmful pollutants like nitrogen oxides (NOx) and particulate matter.
In India, which is one of the largest diesel consumers, the transportation sector is a major contributor to emissions. India’s diesel consumption in August 2024 reached 6.5 million metric tons. Although diesel demand dropped by 2.5% year-on-year due to seasonal factors, the dependence on fossil fuels remains a significant challenge for the country’s logistics sector. In the UK, diesel-powered commercial vehicles are similarly a major source of NOx and other pollutants, contributing to the country’s environmental concerns.
The situation is no different in Africa, where industrialisation and urbanisation are driving up diesel consumption. The Middle East and Africa diesel fuel market is projected to grow at a compound annual growth rate (CAGR) of 3.96% from 2023 to 2030, further emphasising the importance of finding greener alternatives in these regions. Australia also faces similar challenges, where the transportation sector remains a significant contributor to diesel consumption and emissions.
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How Saarthi GreenDrive Can Help Logistics Companies Reduce Emissions by Up to 40%
Saarthi GreenTech’s GreenDrive solution represents a breakthrough in decarbonising the logistics and transportation sectors. Saarthi GreenDrive is a hydrogen hybrid technology that can be retrofitted to existing diesel engines, transforming them into cleaner, hydrogen-powered hybrid systems. This retrofit technology allows companies to reduce their carbon emissions by up to 40% without needing to replace their fleets with entirely new vehicles—an option that requires high capital expenditure and significant infrastructure changes.
Retrofitting diesel engines is a cost-effective bridge technology that helps companies move toward clean energy without the need for extensive structural changes or investments in new charging networks, as seen in electric vehicles (EVs). GreenDrive offers a much faster path to decarbonisation, especially in regions where diesel reliance is heavy and EV infrastructure is underdeveloped.
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The potential savings in emissions and operational costs are immense. By adopting this hydrogen-based retrofit solution, logistics companies can align their operations with global climate goals while avoiding the substantial costs associated with fleet replacements or infrastructure development.
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Aligning with Global Policies on Transportation Decarbonization
Many countries are setting ambitious targets for reducing transportation-related emissions. The European Union has set a goal of reducing greenhouse gas emissions by 55% by 2030 compared to 1990 levels, while the United States aims for a 50-52% reduction in emissions by 2030. India is making strides toward becoming carbon neutral by 2070, and hydrogen technology will play a key role in achieving this goal.
Hydrogen-based solutions like GreenDrive fit perfectly into these policy frameworks, offering a scalable and immediate solution to decarbonisation without the high capital expenditures required by alternatives like EVs or natural gas vehicles. In markets such as Africa, where diesel consumption is expected to continue growing, hydrogen retrofits offer a practical path to mitigating emissions while still supporting economic growth.
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Success Stories from Industries Adopting Hydrogen Hybrid Technology
The global push toward hydrogen-based energy solutions has gained momentum, with several countries and industries leading the way. For example, in Japan, hydrogen is already being used in various sectors, including logistics and public transportation. In Germany, companies are investing in hydrogen-powered heavy-duty trucks to reduce emissions across the logistics sector.
Closer to home, in India and Australia, Saarthi GreenTech has already begun implementing GreenDrive retrofits in industries such as transportation & logistics, construction and mining, farm equipment, where diesel engines are heavily used. These retrofitted engines have not only reduced emissions but also improved fuel efficiency, offering significant cost savings.
In the United States, logistics companies are beginning to explore hydrogen as an alternative to diesel, with several pilot projects underway to retrofit fleets. These early adopters are seeing significant reductions in both emissions and operating costs, providing a clear blueprint for other companies to follow.
By focusing on hydrogen hybrid retrofits through Saarthi GreenTech’s GreenDrive, the logistics and transportation sectors can take immediate, meaningful steps toward decarbonisation. With governments and corporations committed to reducing emissions, the time is right for industries to explore cost-effective, scalable solutions that not only help the planet but also improve their bottom line.