Reliant Logistics Institute

CLIMATE CHANGE AND ITS EFFECTS ON LOGISTICS INDUSTRY

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A weather or natural disasters are unpredictable to certain extend, but prediction of timing and severity of any event has become more difficult due to climate change, thus it is very challenging to manage supply chain in several other fronts.

Climate change can overturn supply chains in evident ways, like sudden floods, flash fires, and migration of laborers or need for the modification of infrastructure. These situations along with others directly or indirectly like disruptions to logistics, input supplies and customers will affect a company’s bottom line.

Logistics operators are the ones directly aware of the deterioration taking place,affected sea routes, change in weather systems, freak storms and environmental transformation make a big impression on their activities, by which the established business patterns and trading routes are forced to be changed, altered or even dropped.

Impact of Land Transportation

Heat waves,high humidity, heavy rainfalls leading to flooding and storms, harsh snowfallsetc. are the few examples caused due to climate changes, leading to landslide,flooding of roads, slippery of the snow, reducing visibility, the infrastructure of the roads are threatened. All these causes the movement of goods from one place to another.

Impact on Air Transportation

The climate changes has its impact on Air transportation too by affecting air travel and infrastructure.

Due to high heat /temperature there is a restriction on the weight of cargo, due to heavy snow, rainfall, and even thunderstorm can make the airports to be closed. High heat causes the tiers of the planes to burst. All these and few other reasons decrease the time and movement of the goods.

Impact on Sea Transportation

Sea/ marine transportation has also felt the impact of climate change in both positive and negative ways.

 The melting of glaciers causes the rise in sealevel affecting the sea currents, this change causes change in weather conditions too. But change in sea levels can also be taken as a positive way asnew passages or pathway are provided to intrusive species transport and survival. Large ships can be accommodated and even inland waterways can be resumed where the water level has gone down. Weather changes can causeflooding, slit and debris getting accumulated in less accessible and shallow channels, this could cause the channels to be closed and repair on ships. Allthese can affect the transportation of cargos from one place to another.

Impact on Ports and infrastructure

Most of the coastal infrastructure, like harbor facilities, docks and bridges have to undergo a change as per raise in sea level, tides, tropical storm and hurricanes, causes significant disruptions and damages. Many ports in the world around has been vulnerable and affected very badly due to storms and hurricanes.

Response to the impact:

Response from the Industry- All the governments around the world are signing up toglobal energy policies addressing to reduce the use of fossil fuels, preserveresources and improve efficiency over less waste and greater recycling, apositive response has been seen from the logistics industry.

Responsefrom the International Shipping- The International Maritime Organization (IMO)has agreed to cut carbon emission and to enforce an improvement in ship efficiency by the coming years. Individual shipping companies too have committed to reduce the carbon footprint of new vessels. Regulations is reduction of Sulphur emissions and research for an alternative to fossil fuels are the new pressures that the shipping industry is going through.

Response from Aviation- Aviation industry is also into an intensive research of developing an optimized designs and new propulsion systems.

Changes don’t happen overnight, but through innovation and vision will suppress new energy policies.

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