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Robèrt, M. (2009). International Journal of Sustainable Transportation Vol. 3, No. 1
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What is CERO? Developed for an energy sector with large complexity: a) travel behaviour needs to be modelled explicitly to get a bottom-up perspective of key players b) need for tailor-made cost-benefit assessments of alternative travel policies c) Applicable for benchmarking to spread good examples Engages a broad range of experts and researchers: –Statisticians –Economists –Behaviourists –Travel managers –Technical implementers Developed in a doctoral thesis at KTH: ”Mobility Management and Climate Change Policies”
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Developed with empirical support from large organizations
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Macro economic effects from 10% traffic reductions in Stockholm county (Robèrt och Jonsson, 2006) -750 MSEK accident costs -360 MSEK emission costs -570 MSEK in vehicle time costs ( = 1,68 Billion SEK/year)
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Large organizations are important actors Decision-makers Individuals Can facilitate market-oriented traffic planning Can utilize positive ”group mentality” Motivated to spread good examples
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Why climate targets and travel strategies?
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“In today’s global market, companies would only do this for two reasons: to cut costs, and to improve marketing advantage” Rye (1999)
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Travel costs and emissions walk hand i hand - Short-term cost cut potential: 200 000-500 000 Euro/1000 employees and year
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- “Indirect values” of showing best practice IT-sector, energy sector, transport sector, public authorities…
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- Corporate Social Responsibility (CSR)
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CERO is based on backcasting Travel policiesMappingTarget
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Why backcasting? If we know the target, why not use it? Avoid “path-dependency”, focusing on current obstacles and constraints We might well approach a paradigmatic shift where traditional forecasting is insufficient
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Target description “X% CO2 reductions in consistency with travel cost reductions and employee acceptance”
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Mapping
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Benchmarking
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Internal benchmarking (LFV)
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Problem with climate targets: % - reductions are appropriate for emission audits but hard to follow-up in policy terms %CO 2
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Designing target-oriented travel policies %CO 2
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Transforming the backcasting target
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Why transforming the emission target? Facilitates efficiency rankings, cost-benefit analyses and follow-ups between alternative policies Reduces the level of “fuzziness” regarding potential emission impacts Helps strategic planning by keeping track on factors that might change over time (u 1, u 2, N, s, Y…)
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Modules of tailor made 1% CO2-reductions (commute trips) 31 car commuters switch to public transport Train tickets to 4 commuters with longest commute distance Encourage 38 car commuters to renewable fuel cars Allow telecommuting at least once a month Offer eco-driving to at least ¼ of staff Encourage at least 191 car commuters with commute distance 0,5-6km to cycle
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Replace 7% of business trips by car to public transport Annual cost reduction 1,1 Mkr Replace 4% of business trips by car to virtual meetings Annual cost reduction 2,3 Mkr Replace all business trips with private car to car sharing Costs unchanged Replace 2% of aviation trips abroad to virtual meetings Cost reduction 540.000 kr Replace 3% av domestic aviation to train Cost reduction 215.000 kr Modules of tailor made 1% CO2-reductions (business trips)
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A policy package targeting 40% CO 2 -reductions…
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Labour productivity effects
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Climate compensation as a last step… + Could increase profitability from emission reductions - Could pacify good local initiatives and ideas Renewable energy use Climate compensations Energy use Year
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The CERO process
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Some success factors –lessons learnt…
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1. Launch a start-up meeting and invite top- management and a variety of executives -Environment-, economy-, purchase-, staffmanagement,… -The ones forgotten might turn against you! -Help them make friends: -Who does what and why? -Reach consensus and make them want this!
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“Is your boss a role model?” 2. Influence group mentality -competitions, campaigns, follow ups
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- Concerns individuals, municipalities, companies, countries… 3. Why should I when everybody else…?
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-economy -health benefits -time savings -working conditions -image, PR … 4. Focus on other “utility aspects”
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To sum up: - Make climate travel targets tangible - Identify economically optimized strategies - Emphasize employee benefits - Apply benchmarking to spread ”best practice”
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Thank you! jesper.l.johansson@wspgroup.se +46 70 630 51 50 jesper.l.johansson@wspgroup.se
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