Carbon budget highlights more government action is needed, says Logistics UK
Wednesday 26 February 2025
Responding to the publication today (26.02.2025) of the Seventh Carbon Budget by the Climate Change Committee, which sets national carbon emission targets for 2038 to 2042, Logistics UK Director of Policy Kevin Green says the report rightly recognises the incentives and government policy that is needed to support the sector achieve net zero:
“The logistics sector is already embracing the decarbonisation agenda and is committed to playing its part to help the UK achieve net zero. Today’s report from the Climate Change Committee highlights a strategy is needed to deliver commercial vehicle charging infrastructure, speed up new grid connections, alongside incentives to tackle higher vehicle costs. Without this, the industry feels it is being set up to fail.
“It is critical that alternative fuels such as Hydrotreated Vegetable Oil (HVO) that can be used in diesel engines without any modifications are incentivised by government. Its use effectively means the industry could reduce carbon emissions by 80% overnight. And while there are some challenges to address regarding HVO production, these are not insurmountable and significantly easier to achieve than installing electrification infrastructure and replacing every commercial vehicle on the road in the short to medium term. Our members have long been calling for a coherent strategy for the role low carbon fuels can play in the transition to net zero, but the government continues to overlook the opportunity that these present.
“The decarbonisation of the logistics sector must be underpinned by an agreed roadmap to net zero and the phase-out of fossil fuels, based on the availability of technology, infrastructure investment, regulatory reform and tax incentives. We believe this is the only way to ensure a fair transition to net zero which protects the UK’s supply chains, while helping drive the government’s growth agenda.”
Logistics UK is one of the UK’s biggest business groups, representing logistics businesses which are vital to keeping the UK trading, and more than seven million people directly employed in the making, selling and moving of goods. With decarbonisation, Brexit, new technology and other disruptive forces driving change in the way goods move across borders and through the supply chain, logistics has never been more important to UK plc. Logistics UK supports, shapes and stands up for safe and efficient logistics, and is the only business group which represents the whole industry, with members from the road, rail, water and air industries, as well as the buyers of freight services such as retailers and manufacturers whose businesses depend on the efficient movement of goods.