A Financial and Technical Analysis of Alternative Heavy-Duty Trucking Options in Canada

Abstract

Canada’s long-distance road freight transportation sector will require massive decarbonization efforts for greenhouse gas (GHG) emission reductions in line with Canada’s targets of 30% by 2030 and 80% by 2050, relative to 2005 levels. Alternative fuel sources present a tangible pathway that is increasingly economically and operationally viable. Additionally, the Clean Fuel Standard (CFS) will likely lead to higher penetration of alternative fuels in Canada, as carbon intensity levels of fuel is enforced. The analysis in this study compares alternative technologies that may be used to transition diesel freight vehicles to low carbon or zero carbon freight vehicles. Despite the high initial costs, lithium-ion battery electric freight trucks have the lowest cost of carbon abatement among the options studies, depending on the carbon intensity of the electricity generated. The lifecycle emissions, total cost of ownership and cost of avoided emissions are compared amongst six scenarios.