How e-cargo bikes can more bring cost- and emission savings

Findings showed that the use of e-cargo bikes reduces the total cost per parcel compared to e-vans alone, regardless of the fleet mix and the city layout.

In the study’s baseline case, which assumes a delivery fleet with a 60 per cent share of e-cargo bikes and 40 per cent e-vans operating in a large, densely populated city, the total costs per parcel in 2023 would be €0.05 lower compared to a pure e-van fleet (€1.36 versus €1.41). By 2030, that difference on a per parcel base would increase to €0.20. For a large logistics player delivering two billion parcels per year, these cent amounts would translate to bottom line annual savings of around €95m today (2023) and ~€390m by 2030.

In an optimised scenario (80 per cent e-cargo bikes/20 per cent e-vans, operating in a medium-sized city) the savings in relation to a 100 per cent e-van fleet would be even more substantial:  €0.08, or 5.3 per cent, less costs per parcel today (2023) would add up to total annual savings of ~€156M for such large logistics provider. That cost difference per parcel would climb to €0.28, or 17.0 per cent, by 2030, equalling total savings of ~€554m.

“To harness the potential of mixed fleets, cities and logistics providers have a vested interest in working together. There’s great potential here for the development of public-private partnerships”

Importantly, these overall savings in all scenarios occur despite added costs incurred by mixed fleets, which primarily consist of increased personnel costs for parcel sorters at micro fulfilment centres and delivery riders.

In addition to cost savings, cities look to derive benefits from the use of mixed fleets. Study results indicate that the introduction of e-cargo bikes could reduce emissions from last-mile logistics by up to 80 per cent across Europe’s 100 largest cities, while reducing traffic congestion and competition for space by replacing up to 120,000 vans. Compared to 100 per cent e-van fleets, the study shows that mixed fleets reduce pressure on local grids, saving the equivalent of up to 850 households’ annual energy demand per city.

“To harness the potential of mixed fleets, cities and logistics providers have a vested interest in working together,” added Dungs. “There’s great potential here for the development of public-private partnerships to optimise infrastructure planning, ensuring that the full sustainability, space, and cost-saving benefits are realised. This study is designed to guide decision-makers in Europe through the challenges of managing growing parcel volumes, maintaining cost efficiency, and making last-mile delivery more flexible and sustainable.”

The complete study, Finding the Right Mix: The Hidden Costs, Complexities, and Benefits of Mixed Electric Fleets in Last-Mile-Logistics, can be downloaded here.