Summary

Launched
2022
Estimated duration
2 Years
Estimated total value
$3,200,000.00
Regions
Africa, Asia, Europe, Latin America & Caribbean, Northern America
Locations
Tanzania, United Kingdom, United States
Partners
AllChiefs, Amazon.com, Incorporated, CALSTART, HP Inc., Implement Consulting Group, Microsoft, Nestle, PepsiCo, Procter & Gamble, The Climate Group, Unilever, World Economic Forum

Launching the SFBA’s Collaboration Catalyzer

Summary

In 2022, Smart Freight Centre (SFC) committed to launch the Sustainable Freight Buyers Alliance’s Collaboration Catalyzer. The Collaboration Catalyzer will serve as a hub for corporate freight buyers to partner on concrete emissions reductions projects across their business operations. When launched, the Collaboration Catalyzer will drive systems change across the freight and logistics sector and will provide SFC’s members a critical set of tools that will enable them to drive aggressively toward their own emissions reductions goals over the coming years.

Approach

In order to expand its efforts to address this challenge, the Smart Freight Centre (SFC) commits launching the Sustainable Freight Buyers Alliance’s (SFBA) Collaboration Catalyzer. The Collaboration Catalyzer will serve as an online and offline platform that will enable SFBA’s members – who are corporate freight buyers – to collaborate with peers and partners on freight emissions reduction projects. Through this platform members will be able to suggest project ideas or join existing, concrete projects thereby sharing costs and risk. In addition, they receive assistance with project development from SFBA and its partners.

SFBA’s Collaboration Catalyzer will create a center of gravity for collaboration across the sector aimed at driving systems change in the freight and logistics sector and will enable SFBA’s members to take greater action toward the achieving the SFBA Charter pledge – a 50% freight and logistics CO2 intensity reduction or a 35% absolute emissions reduction by 2030.

In order to be included in the Collaboration Catalyzer, a project will have to fulfill three criteria:
1. the project requires collaboration between shippers to succeed and can’t be done by one company alone.
2. the project must be action-oriented with measurable and significant results based on the Global Logistics Emissions Council framework.
3. the project is scalable across the globe as learnings are properly captured and shared.

Collaboration on identified projects will be guided by a formal review and approval process that will be coordinated by the SFC team who will be analyzing proposed projects on factors of maturity, ambition, resource level, etc.

Action Plan

2022: Q3
– September: Launch the online Collaboration Catalyzer platform for members to join collaborative freight decarbonization projects, during Climate Week NYC. For this event, we expect the majority of our current 12 members to be represented (e.g. PepsiCo, HP Inc., P&G, Unilever) together with relevant partners (Maersk, The Climate Group, CALSTART, Aspen Institute) and potential observers/prospective members.
– Hold one sustainable procurement workshop

2022: Q4
– By the end of 2022 recruit min. 15 members
– List min. two concrete new projects on Collaboration Catalyzer, coordinated by SFBA
– List min. three projects from partners on Collaboration Catalyzer
– Start actively tracking GHG emissions for minimum one project, based on the GLEC Framework
– Publish a set of support materials for sustainable freight procurement
– Hold one sustainable procurement workshop

2023: Q2
– May: Hold second Smart Freight Week, to bring together all members, partners and key stakeholders in freight and logistics industry. Deliver lessons learned from SFBA’s initial collaboration projects and provide a platform to recognize success via first “SFBA Award”
– Hold one sustainable procurement workshop

2023: Q3
– Present relevant projects at NY Climate Week.
– Hold one sustainable procurement workshop

2023: Q4
– Put forward first collaborative policy recommendations on behalf of SFBA Members and Partners at COP28 in UAE.
– Collect feedback and further improve online Collaboration Catalyzer platform.
– SFBA to support the development of a minimum of 3-4 collaboration projects. Partners will lead the development of additional projects.

2024: Q1
– Launch “Smart Freight Centre of Excellence/Academy” to provide all stakeholders with tools to accelerate their action to reduce logistics GHG emissions and meet Paris Climate Agreement and Sustainable Development Goals.

2024: Q2
– May: At Smart Freight Week 2024, present the status and findings of the first cohort (wave) of projects from the Collaboration Catalyzer in 2023. Announce second cohort to start in 2024.

2024: Q4
– In 2024, SFBA to support the development of at least 4 additional projects in the “second cohort”. Partners will lead the development of additional projects.

Background

According to the International Transport Forum, freight transport accounts for 8% of global CO2 emissions and by 2050, direct CO2 emissions from logistics are set to rise by 42%. Barriers to addressing this critical challenge include a fragmented sector with small owners lacking the technical expertise and resources to implement solutions, large multinationals unclear how to make changes themselves, and a lack of clarity and direction from policymakers to address the issue.

In order to accelerate climate action and address the decarbonization challenge of freight transport, the logistics sector must collaborate in order to share technical expertise, identify best-in-class solutions, scale those solutions via multinational companies, coordinate on tracking and reporting progress, and jointly work to enable innovative freight decarbonizing policies.

Progress Update

The Sustainable Freight Buyers Alliance launched the Collaboration Catalyzer as an online platform for collaboration and knowledge exchange between member companies. After a trial period, they pivoted and expanded its scope beyond the platform to include one-on-one conversations (including detailed Supply Chain interviews with members) , online and offline convenings, and events to truly understand what companies were seeking in terms of logistics decarbonization solutions. Where the Alliance saw overlap between various companies, they acted as ‘matchmaker’ to help plan and execute pilots. The biggest success of this process has been the Fleet Electrification Coalition, which has now become its own standalone program at SFC. Pilot projects for Heavy Duty Truck electrification are now ongoing in the US and Poland. Future pilots are set to commence in India, Eastern Africa and Brazil.

The Alliance has also expanded their work to bring together members in sector-specific groups—such as fashion, pharmaceutical and chemical companies—to help them work on solutions to industry-specific issues. This stems from the recognition that collaborating with competitors can be both good for the environment and not affect their bottom line. SFC’s role as a neutral arbiter and convenor is key here, and helps these companies who might otherwise be competitors, come together with the assurance that their interests are not compromised. At their annual flagship conference, Smart Freight Week 2025, the Alliance convened members in their respective groups to advance the discussion on identifying collaboration opportunities.

As part of the Collaboration Catalyzer, the Alliance is also working on profiling and benchmarking companies’ roadmaps for decarbonizing logistics. They are also working on building a fund that will provide capital for companies working on green solutions for logistics emissions. This work will continue for the rest of the year and beyond.

Partnership Opportunities

To increase our capacity to support the development of concrete collaborations SFC is looking for the following resources:
– Monetary support of 500.000 USD, to support extending the SFBA team
– Concrete freight emissions reduction projects, where further shippers/cargo owners are welcome to join. These projects are checked against our SFBA project criteria, before approving them to be showcased on the SFBA online platform. The more impactful projects our members can join, the more valuable it will become SFBA for members and partners.
– Best practice examples and case studies about collaborative freight decarbonization projects are always welcome. They can be very inspiring for our members and can lead to new collaborations.

NOTE: This Clinton Global Initiative (CGI) Commitment to Action is made, implemented, and tracked by the partners listed. CGI is a program dedicated forging new partnerships, providing technical support, and elevating compelling models with potential to scale. CGI does not directly fund or implement these projects.