Impacts of energy use on demand for freight transport: past development and future perspectives

Andreas Pastowski, Wuppertal Institute for Climate, Environment and Energy

Keywords

freight transport, maritime freight, decoupling of economic activity and freight transport, energy use, fossil fuels, renewable energy

Abstract

Decoupling of transport and economic growth has gained some significance as a political and scientific issue. Yet there are substantial doubts as to whether it may become a reality. Putting decoupling of freight transport into practice requires to take a closer look at what is being transported for what reasons. The potential for decoupling may vary substantially depending on the kinds of goods considered.

Transportation is extremely dependent on fossil fuels, namely on oil. At the same time most energy use requires transporting fossil fuels from deposits to the places of use. The share of fossil fuels still makes up more than 50 per cent of global transport activity in maritime freight. The absolute volumes have constantly been growing since the end of the second rise in the oil price. Besides volume of energy use, transport of fuels is primarily determined by the location of supply and demand and the kind of primary energy used. Fossil fuels often have to be transported over enormous distances while in many cases renewable energies like the wind or solar radiation are just there.

This contribution takes stock of the relationship between energy use and freight transport. Moreover, it deals with potential future changes in the supply and demand of energy and likely impacts on related transport activity. It takes a look at potential repercussions of business-as-usual-like developments in the demand and supply of fossil fuels as well as a shift towards a higher share of renewable primary energy on demand for freight transport.