Efficient Distribution and Logistics - Case: Coop, Sweden
IN-SHOP: Efficient Distribution and Logistics
Objective: To reduce GHG emissions by changing from road to rail transport
Description of initiative: In late 2008, Coop built partnership with Green Cargo towards changing the mode of good’s transportation from road to rail. The solution is special Coop trains with truck trailers, which run long distances throughout the country. Each trains can transport 36 truck trailers.
The change affects all freight to Coop's terminals, shipments that were previously handled mainly by suppliers. It also means that the Coop now has better control and can manage the entire logistics chain, from suppliers to stores. The new solution is initially expected to reduce COOP’s overall CO2 footprint from transportation of goods by more than 10%, which is equivalent to 8000 tonnes of CO2.
Coop's own truck drivers are trained in eco-driving, aiming towards efficient run of vehicles and reduction in fuel consumption. Newly purchased vehicles purchased have also better environmental performance than the existing vehicle fleet, what further contributes to efficient transportation system and helping to reduce associated environmental impacts.
Effect of initiative: The result of the modal shift from trucks to trains is equivalent to avoidance of 120 lorry journeys per working day between Helsingborg and Umeå. And with one northbound and one southbound train a day, five days a week, the company is ‘removing’ 350 trucks from the E4 highway every week, thereby converting 30% of road to rail.
Time period: 2008 – to present
Future work: The long term goal of the company is to reduce GHG emissions from in-house operations, as well as emissions from supplier’s shipments by 40% by 2020 compared to 2008. Also by 2020, Coop will be climate neutral by offsetting its emissions of GHGs. As a first priority, Coop will continue to focus on improving its rail services.
Contact: Fredrik Persson, Managing Director of Coop Logistik AB, Solna, Sweden