The growth of online shopping was accelerated by the COVID-19 pandemic, and e-commerce revenue approximately doubled in the United States in the past 5 years. In the neighborhoods where new warehouses have been built to meet this increase in demand, the trend has brought noticeable changes, including emissions from large tractor-trailers that bring containers from nearby ports and vans that collect packages for home delivery. These vehicles emit harmful pollutants including fine particulate matter and a group of gases called nitrogen oxides (NO_x).

While the warehouses don’t emit pollution like a power plant, their operations mean that truck traffic and tailpipe emissions concentrate around them. Researchers have detected increases in air pollution in communities where new warehouses have opened.

We at the ICCT partnered with researchers from The George Washington University on a new nationwide study in Nature Communications that helps quantify how much warehouses worsen local air pollution in the United States. The study focuses on nitrogen dioxide (NO₂), which is associated with new asthma cases in children, respiratory symptoms such as coughing and difficulty breathing, and other adverse health impacts. NO₂ emissions also lead to the formation of fine particulate matter and ozone in the air, which increase the risk of dying prematurely from heart and lung diseases, cancers, and other conditions.

Our study analyzed NO₂ satellite data along with a database of nearly 150,000 warehouses in the contiguous United States. The figure below illustrates the pattern in annual average NO₂ pollution around a warehouse, averaged across all locations. It shows that there is a spike in annual NO₂ of nearly 20% associated with warehouses. The highest NO₂ concentration is around 4 km away from the warehouse in the direction of the wind. Additionally, larger numbers of loading docks or parking spaces were associated with more truck traffic and higher levels of NO₂.

Figure. Annual average NO₂ concentration in 2021 from TROPOMI satellite data averaged over all warehouses in the contiguous United States. Source: Kerr et al. (2024).

Like others, our study also found that census tracts with greater numbers of warehouses tended to have higher shares of residents of color. This aligns with results from previous studies which showed that racial and ethnic inequities in NO₂ exposure are largely attributable to diesel truck traffic. Clearly, warehouse-related truck emissions are important to understand when taking action to address air pollution exposure disparities.

Addressing the issue requires action at multiple levels. At the federal level, the U.S. Environmental Protection Agency (EPA) recently finalized standards that will reduce emissions from new trucks starting in model year 2027. Under these, new engines sold by manufacturers must meet NO_x emission limits more than 80% below current levels. Additionally, the Phase 3 greenhouse gas rule, finalized in 2024, will encourage the deployment of more efficient technologies like hybrids and zero-emission vehicles, further reducing NO_x emissions from trucks.

At the state level, California’s Advanced Clean Trucks and Advanced Clean Fleets rules require manufacturers to transition to 100% zero-emission sales for medium- and heavy-duty vehicles by 2036. The Advanced Clean Fleets rule also includes a zero-emission drayage registration requirement that will accelerate the adoption of cleaner vehicles at ports and warehouses. Both EPA’s greenhouse gas rule and the California Advanced Clean Fleets rule face legal challenges, but these rules need to stay in place to support the transition to cleaner vehicles and reduce air pollution near warehouses.

Regulations can also directly target warehouse-related pollution. The South Coast Air Quality Management District in California implemented an indirect source rule that requires large warehouses to reduce pollution, and credit is awarded for actions like transitioning to zero-emission and near-zero-emission trucks and installing charging infrastructure. New York City recently announced plans to implement a similar policy.

Lastly, addressing this issue requires action from both the private sector and regulated electric utilities. Amazon, the largest player in the e-commerce space, has committed to deploying 100,000 electric delivery vans by 2030. While a significant step, commitments to end diesel drayage contracting by 2030 and work toward implementing zero-emission service contracts with logistics operators and warehouse owners, and installing charging infrastructure at warehouses, would further demonstrate industry leadership. Prologis, the largest owner of warehouses in the United States, pledged to install 900 MW of charging capacity at its facilities. Simultaneously, electric utilities proactively planning grid upgrades and streamlining permitting for necessary charging infrastructure can help ensure the success of these initiatives.

Emissions from trucks have declined substantially in recent years thanks to regulations requiring more advanced emission control technology. With a nearly 50% increase in freight tonnage moved by trucks projected over the next 30 years, the new rules from EPA and California are key to continuing to make progress. The private sector, electric utilities, and other local rules also have important roles. The status quo is simply not enough. A commitment to delivering clean air requires action to address warehouse-related truck emissions.

This blog was original published on HindustanTimes.

As India develops standards for swappable electric bus batteries to ensure interoperability and ease of battery change, parallelly addressing range anxiety, there continues to be focus on creating common swapping stations for all electric buses. This will improve overall efficiency while reducing infrastructure constraints.

As of early July 2024, 8,583 electric buses were registered across India. That number is set to increase fairly dramatically soon as by 2030, the Indian government intends to replace 800,000 diesel buses with electric buses.

In an effort to boost the adoption of electric buses, the Central Government is planning to implement uniform battery standards for electric buses.

NITI Aayog’s draft Battery Swapping Policy primarily targets the electric two- and three-wheeler segments. However, introducing uniform battery standards for electric buses is expected to enhance interoperability and promote battery swapping within the electric bus sector.

While national schemes such as FAME, National Electric Bus Program, and PM e-Bus Sewa have supported State Transportation Undertakings (STUs) in increasing the number of electric buses in their fleets, electric bus adoption in the private sector is limited. Only a few established private operators with sufficient financial capacity are making noticeable progress.

Currently, there are central government subsidies for STUs to procure electric buses through gross cost contracts (GCC) that cover bus supply, operation, maintenance, charging infrastructure, and driver costs. But for the private sector, which constitutes 94% of the 2.39 million buses registered across India, if not through such subsidy, could battery swapping with certain financial incentives be a catalyst for faster adoption of electric buses?

The International Council on Clean Transportation (ICCT), supported by NITI Aayog, explored battery swapping for electric two-wheelers in India by analysing factors affecting total cost of ownership (TCO). That work provides a strategic framework from which to also explore adopting battery swapping in the private bus market.

Current context

All electric buses in India rely on plug-in charging. To attain a full charge, these typically take 20-40 minutes using DC fast charging or 6-8 hours using lower-powered slow charging. To support the 8 lakh buses by 2030, an overall investment of ₹1.5 trillion ($18 billion) is estimated be required, and this includes the power and upstream infrastructure across cities and on intercity routes. The estimate also includes large spaces for charging stations at every 100 km on each side of highways. The process of land acquisition India is often lengthy and costly, and installing fast charging brings challenges related to not only space and costs, but also power availability and continuous supply on isolated interstate routes in rural areas.

Benefits of battery swapping

Separating batteries from buses would enable battery swapping operators (BSOs) to own the batteries instead of the bus owner. This converts the battery into a variable cost and reduces the upfront capital cost of the bus dramatically, as batteries constitute 40%–50% of this cost. Battery swapping is about as fast as refueling a combustion engine vehicle and typically takes 1-3 minutes. Sun Mobility’s battery swapping station in Ahmedabad required only 33% of the energy and 60% less area than depot-based charging. The strategic deployment of battery swapping stations could help reduce range anxiety, and the short turnaround time of battery swapping instead of opportunity charging may benefit bus operators by lowering overall travel time and thus making the service more desirable to passengers.

The emergence of a battery-swapping industry in India

The industry has advanced towards battery swapping for electric two- and three-wheelers because of the Ministry of Power’s Battery Swapping Stations policy. Delhi led with purchase incentives for swappable EVs, and last-mile service aggregators are improving efficiency with low-cost, swappable vehicles.

In the Union Budget 2022–23, finance minister Nirmala Sitharaman announced plans for a national battery swapping policy with interoperability standards. NITI Aayog is working to standardize the policy across all vehicle segments, and the Heavy industry ministry is set to implement norms for electric buses

Purchase-subsidy based scheme and usage-linked incentives

The ICCT’s battery swapping report included a strategy framework for early policy that highlighted the potential of purchase subsidy and usage-linked incentives for electric two-wheelers. The framework may be considered for its potential to accelerate adoption of private electric buses. Under a purchase-subsidy based scheme, electric buses sold without pre-fitted batteries could qualify for certain financial incentives under national or state-level programs. The incentives could be given to manufacturers, which can then choose to pass them on to registered BSOs that meet safety standards.

Additionally, the usage-linked leasing scheme may allow bus operators to lease swap-capable buses rather than buying them outright. This allows operators to pay fees based on distance or usage, and Macquarie recently launched Vertelo in India, a $1.5 billion platform providing leasing, financing, charging infrastructure, fleet management, and end-of-life vehicle solutions for electric buses.

Battery swapping to potentially enhance electric bus operations

If a network of battery-swapping stations were developed across urban and peri-urban areas, private operators could procure battery-swappable buses and collaborate with a BSO as needed to ensure operational efficiency and reduce time and cost.

The expansion of the highway network, the unavailability of railway tickets, and high airfare also make intercity buses a convenient option, especially for passengers from Tier and Tier 4 cities. It was observed that ticketing for electric buses on Delhi Agra and Delhi Chandigarh routes surged by 150% in 2022. With rising diesel prices and improved electric bus technology, new electric buses can now travel 250–300 km per charge, covering 40% of India’s intercity trips. With less space requirements, battery-swapping stations can be strategically placed along highways and if interoperability is achieved, private operators could subscribe to highway-based battery swapping services from suitable BSOs.

In the case of BasiGo in Kenya and in Shenzhen, China, buses were procured without pre-fitted batteries. Shenzhen Bus Group (SZBG) in China did not ultimately opt for battery swapping due to a lack of battery standardization, safety concerns, and the absence of subsidies for BSOs. But for more than 2 million buses across India with over 26,000 private operators, interoperability through standardization of batteries and creating an ecosystem of battery swapping might hold the key for some. Prioritizing policies for battery standardization and interoperability through a consensus-driven approach would help build a solid foundation for scalable and efficient integration of electric buses into India’s transport systems.

This blog was originally published in ETAuto.

The Government of India is emphasizing the need to decarbonize road transport, and low-emission zones (LEZs), geographically defined areas where the operation of highly polluting motorized vehicles is restricted, can accelerate this transition toward cleaner mobility. LEZs also have the potential to improve quality of life for urban residents because of the health benefits they bring.

LEZs are becoming an increasingly adopted intervention to curb urban air pollution and traffic congestion, especially among European cities where more than 320 such zones exist. In addition to regulating the movement of polluting vehicles, LEZs also help spur mode shift from private vehicles to public transit and more active mobility alternatives like walking and cycling. As cities in India consider such interventions to address the issues of pollution and traffic congestion, and to meet decarbonization goals, how would upgrading transport infrastructure bring a range of benefits, including support for LEZs?

Enabling regulation of highly polluting vehicles

To identify vehicles that are contributing to most emissions, city authorities need vehicle-specific information like the fuels they run on, their years of manufacture, and the emission standards to which they are certified, for every vehicle plying in the city. While vehicle-specific information is available through the VAHAN database, the challenge lies in ascertaining polluting vehicles that are plying in the city and their travel patterns.

Vehicle registration data available with the Regional Transport Offices (RTO) that cover a given city is seldom considered a proxy to determine the motor vehicles plying in that city. However, the vehicles plying within a city could have been registered anywhere in the country, and the registration data from RTOs is not likely to be a complete representation of vehicles operating in that city. In 2016, for example, it was estimated that over 5 lakh personal passenger vehicles enter Delhi every day, which was more than the total number of vehicles getting registered in the capital in a year. An equal number could be traveling out of the city as well, deeming the registration data inept for determining polluting vehicles.

Installing closed-circuit television (CCTV) cameras, preferably those with the ability to read license plates, at strategic locations across the city is an ideal way to access real-time insights into vehicular movement. Using the vehicle registration numbers detected by this network of CCTVs, local authorities can determine the age, engine type, Bharat Stage emission standard, and other characteristics of each vehicle plying in the city to develop a vehicle emission inventory and identify vehicles that should be regulated by the LEZs.

While CCTVs are already extensively used in security surveillance and traffic and parking management, they are now being integrated with artificial intelligence and machine learning capabilities for many things, including crowd management, threat detection, and improving road safety. Bigger cities like Delhi and Bengaluru already have over 2 lakh CCTVs installed for improving law and order. Such a robust network of cameras in a city augments the eyes-on-the-street concept and can be used to enforce future LEZs, all while remaining compliant with the rules governing this equipment in India.

Encouraging alternative modes of travel

Alternatives to private vehicles include public transport modes like metro, light rail, and bus, para transit modes like feeder buses and auto-rickshaws, and non -motorized modes like cycle-rickshaws, cycling, and walking.

Public transport is especially crucial in metropolitan areas, where about half of all motorized trips are made via buses or metros. It’s also effective in moving more people and consumes less fuel per passenger kilometers travelled than private vehicles. Cycling and walking are the cleanest modes of travel, and the cheapest and healthiest. Across 27 cities in India, research found that the number of people cycling and walking ranges from 48% to 55%, depending on population size (large cities of more than 10 million people are on the lower end of the range).

It’s estimated that India operates only one-fifth of the buses it currently needs. With a few exceptions (Chennai, Mumbai, and Hyderabad), most cities with any form of rapid transit system (metro, bus-rapid transit, or light rail) operate at less than 20% of their estimated ridership. Most Indian cities lack adequate and safe infrastructure for non-motorised transport.

Efforts are being made at both national and subnational levels to improve the availability of and access to non-personal modes of travel. The PM e-Bus Sewa program aims to add 10,000 new electric buses in 169 cities. The operational network of metros in cities is expected to double in the next few years. While there is a clear need to increase availability, the barriers to using public transport, which include safety, accessibility, reliability, and comfort must also be addressed. This can not only encourage a mode shift from personal to public transportation, but also increase the acceptability of LEZs.

LEZs are not an isolated solution to a city’s deteriorating air quality but contribute towards the overall enrichment of the urban ecosystem. Studies show LEZs have helped reduce nitrogen dioxide emissions from road traffic by up to 46%. By integrating technological solutions and upgrading transport infrastructure, cities not only improve the efficiency of transport system but also add infrastructure that is a utility for other urban services. With the environmental and health benefits they bring, LEZs could be a valuable part of India’s vision for cleaner, healthier, and more liveable cities.