Green logistics in last mile delivery (B2C E-commerce)

Many actions have been recently carried out within European cities with the aim of reducing the negative impacts on traffic and environment caused by home delivery such as: traffic congestion, reduction in road capacity and pollutant emissions. Beside the negative externalities, Last mile delivery is one of the most expensive and inefficient activities within the overall delivery process. Furthermore, due mainly to tough competition in E-commerce business, it has been offered highly customized delivery service which in return produces complex routes, and inefficient delivery process. Therefore, the introduction of alternative solutions to overcome all these issues is crucial importance. Thereby, BEV is one of the promising solutions which is able to defeat most of these obstacles in sustainable way. Consequently, the aim of this work to check up the whole situation around last mile delivery in order to make an attempt to participate in future solutions by creating innovative ideas in general. and particularly, to assess the original situation in which we could operate by BEV, in last mile delivery service for B2C E-commerce, without any kind of intervention such as: governmental (i.e. incentives for BEV or more tax on conventional vehicles), moreover using average prices for all variables affecting the competition between BEV and conventional vehicle (presented by diesel-powered vehicle) to not make superior situation for one of them and make our model as general as possible to be applied wherever in Europe. Furthermore, we have checked how the shape of the competition will change by using supercharge stations which is able to charge 80% of the battery in 30mins. For this purpose, we carried out our assessment by developing Total Cost of Ownership model (TCO) to achieve ultimate accuracy and build up a comprehensive overview. However, our sensitivity analysis shows that TCO is subject to the development of vehicle and operating costs and thus uncertain. Furthermore, sensitivity analysis shows that total cost of ownership of BEVs can become equal or even lower than diesel vehicles depending on their utilization, future market conditions or government support.

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