Transport contributes to 20% of global greenhouse gas emissions as per World Bank
Railways offer an efficient solution for meeting logistics needs with a lower carbon footprint. However, small and medium-sized enterprises (SMEs) with smaller shipment volumes often cannot benefit from the economies of scale that rail transport provides. Additionally, railways are still heavily reliant on road transport for the final leg of delivery, limiting their efficiency for smaller shipments.
AI-driven route optimisation tools clearly demonstrate how AI can support the circular economy. Singular Intelligence LogisticsAI has the ability to implement multimodal route optimisation, enabling SMEs with low-volume shipments to leverage rail transport. This helps reduce the carbon footprint by optimising the use of more sustainable transportation options.
The solution benefited RailX – An online booking platform in UK by:
30% reduction in the transportation cost
Helped SME’s leverage economies of scale provided by railways
Carbon savings of over 60 tonnes achieved in Yorkshire which when applied across the UK, it can result in 1.3K tons of carbon reduction
These outcomes contributes to sustainable use of resources (the vehicles) and helps companies reduce waste (fuel and unnecessary trips) contributing to a circular economy.
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