Assessing the cost-effectiveness of electric trucks in Indian food supply chains

Abstract

Fostering green sustainable transportation in the Indian food supply chain with the adoption of electric trucks (ETs) is seemingly a promising alternative. However, before widescale adoption, a thorough cost-benefit analysis is essential for making an apt decision towards transitioning to ETs. Utilizing data of 13 ETs, a total cost of ownership (TCO) model has been developed that outlines the economic benefits of ETs by evaluating the impact of factors like energy consumption, charging strategy, annual driven distances, route optimization, etc. With acquisition costs of ETs constituting 50–55 % of TCO the study outlines that ETs have significantly lower energy costs of 6–12 % (50–58 % for IC-engine trucks) and maintenance costs of 6–8% (13–18 % for IC-engine trucks), thereby reducing the overall TCO. Subsequently, a fleet-level analysis of ET adoption in a food supply chain comprising of four heavy-duty trucks and 16 medium-duty trucks has been performed with emphasis on assessment of supply chain-specific parameters like battery-mass penalty, level of utilization, etc. Overall, this study provides insight for fleet managers, policymakers and industry leaders to promote sustainable through an extended use of ET in the present scenario for the food supply chain.