RFID-based CO2 emissions allocation in the third-party logistics industry

Abstract

This study introduces a rational approach to allocate the CO2 emissions to consignors in a third party logistics environment compromising joint transport. First, we propose a model that allocates the CO2 emissions according to the cargo weight percentage among consignors. Second, we implement an information system to support the CO2 allocation model. In order to calculate the amount of CO2 emitted during transport, the fuel consumption and transport distance are collected by using a digital tachometer. In addition, the EPCglobal network, which is the de-facto standard for RFID implementation in order to support open supply chains, is used to identify the weight of cargo load on a truck. This study will support third party logistics companies in making rational responses to the carbon tax system, which is expected to be introduced in many countries, and in establishing a green logistics system by reducing CO2 emissions through continuous monitoring and management.