Presentation of the CEC Secretariat's report on sustainable freight transportation in North America: Destination Sustainability. Executive Director Evan Lloyd presented findings and recommendations of the report on May 5, 2011 at the Toronto offices of Pollution Probe.

1. Evan
Lloyd,
Execu0ve
Director
Commission
for
Environmental
Coopera0on
5
May
2011
Pollu0on
Probe
-­‐
Toronto,
Ontario

2. The
Commission
for
Environmental
Coopera0on
supports
coopera-on
among
the
NAFTA
partners
–
Canada,
Mexico
and
the
United
States
–
to
address
environmental
issues
of
con-nental
concern,
including
the
environmental
challenges
and
opportuni-es
presented
by
con-nent-­‐
wide
free
trade.
Des$na$on
Sustainability
is
the
latest
independent
report
of
the
CEC
Secretariat.

3. DESTINATION
SUSTAINABILITY
Reducing
Greenhouse
Gas
Emissions
from
Freight
Transporta$on
in
North
America
Examines
the
environmental
impact
of
freight
transporta-on,
specifically
from
road
and
rail
modes
§ Challenges
§ Key
Findings
§ Recommenda0ons

4. DESTINATION
SUSTAINABILITY
Reducing
Greenhouse
Gas
Emissions
from
Freight
Transporta$on
in
North
America
Studies
and
organiza-ons

5. Summary
–
Conclusion
§ Vision—of
an
integrated,
intelligent,
freight
transporta-on
system
for
North
America—is
#1
requirement.
§ The
policies,
regula-ons,
incen-ves,
investments
and
technologies
necessary
to
accomplish
sustainable
freight
transporta-on—across
North
America—will
also
make
our
economies
more
efficient,
compe--ve,
and
energy-­‐secure.

6. Findings:
NAFTA
Transport
-­‐
Growth
§ NAFTA
popula0on
will
grow
from
460
m
to
540
m
by
2030
(600
m
by
2050).
§ North
American
economy
will
grow
by
70-­‐130%
between
2005
and
2030.
§ US
interstate
highway
travel
demand,
measured
in
VMT
is
forecast
to
increase
from
690
billion
(2002)
to
1.3
trillion
by
2026.
§ Addi0onal
1.8
million
trucks
on
the
road
by
2020
§ Total
freight
tonnage
is
expected
to
double
from
2002
levels
15,500
MT
to
34,000
MT
by
2035.

7. Findings:
NAFTA
Transport
–
Modal
Share
§ By
value,
88%
of
US
trade
with
Canada
and
Mexico
moves
on
land
§ Freight
trucks
are
the
dominant
mode
of
land
transporta-on
among
the
three
countries
§ By
tonnage
(2008):
Pipelines
35%
Trucks
33%
Rail
32%

8. Findings:
Canada
§ In
Canada,
the
transporta-on
sector
(all
modes)
is
the
second-­‐largest
contributor
to
GHG
emissions
ü Within
the
transporta-on
sector,
freight
transporta-on
accounted
for
approximately
38%
of
the
sector’s
GHG
emissions
in
2007.
§ The
magnitude
of
US
NAFTA-­‐related
land
trade
highlights
the
importance
of
north-­‐south
freight
transporta-on
corridors
ü In
2008,
approximately
half
of
the
total
truck
and
rail
traffic
by
value
in
North
America
was
handled
by
three
land
ports
of
entry:
Detroit/Windsor,
Buffalo/
Niagara
Falls,
and
Nuevo
Laredo/Laredos

9. Findings:
Trade
-­‐
Transporta0on
-­‐
Climate
Change
§ The
transporta0on
sector
in
North
America
is
second
only
to
electricity
genera-on
in
terms
of
CO2
emissions
produced.
§ CO2
emissions
account
for
95%
or
more
of
all
freight-­‐related
GHG
emissions.
§ Freight
is
the
fastest
growing
source
of
emissions
in
the
transport
sector.
§ US
freight-­‐related
emissions
increased
by
74%
from
1990
to
2008.

10. Findings:
Fuel
standards
aren’t
enough
Fuel
standards
alone
cannot
solve
the
problem
of
growing
freight
emissions
Projec-ons
for
the
US
show
lijle
growth
for
transporta-on
sector
emissions:
0.7%
to
2030
Modes
show
very
different
rates
of
growth
Despite
a
42%
increase
in
VMT
2007–2030,
light-­‐
duty
vehicle
GHG
emissions
are
projected
to
decline
nearly
12%
over
the
period
Freight
truck
emissions
are
projected
to
increase
20%
over
same
period
Source
US
DOT

11. CHALLENGES
1 Lack
of
internaliza-on
of
external
costs
of
freight
transporta-on
2 Inadequate
coordina-on
among
North
American
transporta-on
agencies
3 Lack
of
integrated
land-­‐use
and
freight
transporta-on
planning
4 Extensive
delays
in
truck
freight
movements
across
borders
5 Time
needed
for
turnover
of
inefficient
legacy
truck
fleet
6 Inadequately
funding
of
transporta-on
infrastructure
7 Absence
of
essen-al
transporta-on
data

12. KEY
RECOMMENDATIONS
1
Coordina0on
and
Networking
§ NAFTA
ministerial-­‐level
North
American
Transporta-on
Forum
to
work
in
coopera-on
with
industry
and
stakeholders
to
foster
an
integrated,
intelligent
freight
transporta-on
system
for
North
America

13. KEY
RECOMMENDATIONS
2
Carbon
Pricing
and
System
Efficiency
Strategies
§ NAFTA-­‐wide
carbon
price
signal
to
invest
in
efficiency
and
in
low-­‐carbon
fuel
alterna-ves.

14. KEY
RECOMMENDATIONS
3
Investments
to
Improve
the
Efficiency
of
the
Freight
Transporta0on
System
§ Re-­‐invest
in
road,
rail,
and
waterway
infrastructure
that
is
congested
and
deteriora-ng.
§ Incen-ves
for
advanced
fuel-­‐saving
technologies
and
the
adop-on
of
intelligent
transporta-on
systems.

15. KEY
RECOMMENDATIONS
4
Supply
Chain
Management
§ Supply-­‐chain
carbon
accoun-ng
§ Cross-­‐border
and
industry
collabora-on
to
reduce
“empty
miles”

16. KEY
RECOMMENDATIONS
5
Training
Eco-­‐drivers
§ Improve
the
training
and
equipping
of
drivers
to
op-mize
their
environmental
and
economic
performance.

17. KEY
RECOMMENDATIONS
6
Gathering
and
Sharing
Data
§ Enhance
the
quality
and
comparability
of
freight
data,
including
the
measurement
of
environmental
impacts,
con-nent-­‐wide.

18. Advisory
Group
Des$na$on
Sustainability
was
developed
with
the
assistance
of
an
advisory
group
of
representa-ves
from
transporta-on
industries,
nongovernmental
organiza-ons,
and
government
agencies.
Bruce
Agnew,
Execu-ve
Director
of
the
Cascadia
Freight
Corridor,
chair
of
CEC
Advisory
Group
Rob
McKinstry,
Manager,
Economic
Policy
and
Research
Canadian
Railway
Associa-on
Bob
Oliver,
CEO,
Pollu-on
Probe

19. www.cec.org/freight