Transport Transformation - Is it one easy way?! (1/3) Alternative Fuels

Transport industry witnesses unprecedented movement in all business aspects. From alternative fuels to connectivity and at the summit of the pyramid the automation. In the upcoming 15 to 20 years many well proven technologies will be obsolete?and to be replaced with new ones. Due to the accelerated research and development activities, many professionals expect paradigm shift to happen faster.?

Environmental care is a global trend, cutting CO2 emissions became a target to OEMs and policy makers.?Some OEMs set ambitious plans to stop delivering fossil fuel driven commercial vehicles by 2040. Commercial vehicles for very long time used Diesel as solo source of power, however now it is about to get changed. New alternative fuels came up with some advantages and so many challenges yet to overcome.

alternative fuel development is not a new topic, it started in late 1970s, unfortunately with no clear vision.

Despite fuel price is not the same across the globe, yet fuel is considered main component of transport economy, and affect operation costs directly. This push OEM’s to invest heavily in R&D of alternative fuels and its suitable powertrains. Today gas powered technologies like CNG, LNG, BIO-LNG get matured. Electromobility is evolving quickly, battery electric commercial vehicles start to be seen on roads and fuel-cell electric is under development.

At first glance Fuel canvas is getting richer, however it seems like a mess for many reasons will be evaluated.

- Emission Legislation:

Electric vehicles is getting faster developments than gas powered?and diesel powered vehicles , however it is not supported by legislation. Many OEM’s invest in Electromobility while Euro 7 standard is in the corner and may be implemented soon. There is no mutual vision between OEM’s and Legislation authorities, as a result OEM’s get confused to reallocate R&D resources related to product development.?

- Local Regulations:

To prepare a national transport strategy, national governments and local transport authorities required a well defined legislative framework and product development roadmap to be able set its local incentives for greener more environmental friendly transport systems.

- Cost of Fuel:

Cost of fuel has a great impact on local regulations, it maybe equal to legislative frameworks if not greater. Each country has a unique gifted resource’s, hence cost of fuel production, or import indeed will direct policy makers to focus on one or more fuel type.?

- Infrastructure:

Average first ownership lifetime of heavy commercial vehicle is approx. 14 years. To deploy any new technology, some perquisite infrastructure should be available.?Unfortunately each of those fuel technologies has its own infrastructure. Multi-fuel stations is a faster and cheaper solution,?subsequently new investments with different ROIs is required.?

- Transport Segment:

Light , Medium, and Heavy commercial vehicles have different transport assignments, integration will be always needed, as no one of them will replace the other.?Each of them has a unique business footprint, and most likely they can operate?on different fuel technologies. Size of each segment in the national economy will have an impact on setting national plans and strategies.

?- Human Resources:

Either fuel is diesel, gas, or electric, markets need skillful human resources for the operation and service. Educational and training institutions should involved delivering competent manpower who is qualified to deal with new technologies. It should be a mutual plan between OEM’s and academic entities to invest and set up suitable trainings supporting the targeted technologies.

Conclusion:

Deployment of new technology being treated as Hen-Egg dilemma. Many sees governments to setup and incest in infrastructure, well built mature product should exist, while others believe infrastructure should be available before delivering mature product.?I Believe transformation Journey should go hand in hand, legislation makers, policy makers and OEM’s.

I Believe each country has a unquie blend of resources and if so while setting up a local strategic Transport following factors to be considered:

- Environmental Vision

- Availability of different type of fuel

- Cost of fuel

- Cost of electricity and how it is produced

- Required Infrastructure?

- Public and private sector role

- Market acceptance.