Memorandum submitted by BT
INTRODUCTION
1. BT is pleased to have this opportunity
to submit comments to the Committee's Inquiry into Reducing Carbon
Emissions from Transport. The press release announcing the Inquiry
suggests a number of topics on which the Committee is seeking
views, mostly relating to the performance of the DfT in relation
to carbon reduction targets. Rather than responding directly to
the issues mentioned by the Committee, this input looks at some
ways in which communications technology can be used to avoid unnecessary
journeys and, thus, help reduce transport-related carbon emissions.
THE PROBLEM
2. The UK has the worst traffic congestion
in Europe and it is growing. Moreover, traffic emissions are a
major contributory factor to climate change—the RAC estimates
road transport makes up around 21% of total man-made CO2
in the UK.
3. According to the RAC, the cost of traffic
congestion could double in the next decade if the problem is not
addressed and others have argued that the UK transport crisis
is deterring investors. The CBI has estimated that congestion
is costing employers £20 billion per annum and projected
that £300 billion needs to be invested over the next ten
years in the UK transport system.
THE ROLE
OF TECHNOLOGY
4. While additional investment is undoubtedly
necessary, there is a consensus that no conceivable level of construction
would be able to satisfy potential demand for road space.
5. Technology offers a way ahead. Technology
underpins the London congestion charge and global positioning
satellites will be a fundamental part of road charging. GPS technology
already allows transport companies to track and more efficiently
deploy their fleets. Radio-frequency-identity-disks (RFIDs) will
enable even smarter distribution. For cars, it is possible to
envisage a future when most have GPS technology linked to real-time
traffic management systems that can dynamically alter routes and
also direct drivers to available parking spaces.
6. The UK collectively travels over 300
billion miles every year. Four-fifths of the miles are in cars
and taxis and almost three-fifths (59%) of these miles are accounted
for by a combination of commuting (25%), business mileage (15%),
shopping trips (12%) and personal business (7%). A 10% reduction
in these categories would yield a 6% reduction in car and taxi
mileage and BT believes that this is a realistic target to substitute
with communications technology. Achieving this target would represent
a saving equivalent to more than 14.5 billion miles per year,
equal to about three years growth in car and taxi traffic at current
rates.
7. A quarter of miles driven are commuting
miles. Achieving a 10% reduction in this area will require a commitment
by employers to support and encourage appropriate flexible and
remote working. Government statistics show that in Spring 2005,
around 2.4 million people in the UK (8% of the workforce) were
teleworkers, using a telephone and computer to carry out their
work, double the rate in 1997. However, this is still less than
half the level achieved in countries like Sweden, Finland and
the Netherlands and, indeed, by BT itself. Research carried out
by NOP in 2003 found that among internet users who travel to work
every weekday, 23% would like to have the option of working from
home but that the proportion of employers prepared to allow them
to do so was lower, at 13%. BT estimates that commuting mileage
could be reduced by 10% if those people who do not currently work
from home but would like to were permitted to do so.
8. Business mileage accounts for 15% of
the total and BT also believes that 10% of this could be eliminated
by conferencing (audio, video and web). At the moment, less than
5% of the 1.9 million businesses in the UK actively purchase phone
conferencing for use across their businesses as a regular alternative
to travelling. Yet the savings are demonstrable: BT saved £129
million and avoided 47,000 tonnes of CO2 through such
activity last year, for example. We believe Government departments
should be setting an example here, yet with 20% of the UK's workforce,
revenues from this area are very small—in the order of 5%
of total revenues from conferencing.
9. Turning to shopping, which accounts for
12% of car and taxi mileage, the projected growth of e-commerce
shows the potential to deliver a 10% reduction in this area. NOP
research shows that in December 2004, 24.0 million adults used
the internet and 12.7 million (53%) of them made a personal purchase.
An earlier study showed that on average, an online purchase saved
a journey of 9.1 miles by car, 7.1 after the impact of substitutional
journeys ie journeys made in place of trips saved. Of course some
of these savings are offset by extra home deliveries but a lot
of these vans would be rolling anyway. Moreover, the internet
has enabled some products like music, video, news and catalogues
to be distributed digitally, thereby eliminating the need for
some physical distribution altogether.
10. Internet shopping accounts for around
10% of retail sales and it is bound to increase. More than half
(56%) of online shoppers expect to increases their purchases this
year and just 7% of them expect to buy less. Satisfaction with
online shopping is extremely high, indicating that companies providing
e-commerce services are coping well with the increased volumes.
11. It is plausible to assume that broadband
facilitated travel substitution could reduce car usage for personal
business (7% of car mileage) by 10%. Many other car trips could
also be impacted by activities such as online banking, distance
learning, telemedicine, video-telephony and video-on-demand.
12. There is some debate as to the extent
to which travel substitution reduces congestion. There is some
evidence that there are compensatory journeys generated and that
to an extent it shifts the problem in time rather than solving
it. However, time shifting alone is a great help in keeping congestion
below a critical level, beyond which delays increase disproportionately.
A VISION FOR
THE FUTURE?
13. The Office of Science and Technology's
Foresight Project: Intelligent Infrastructure Futures (IIF) has
provided a challenging vision on how we might move goods and people
in the future. Information and communication technology has an
important role to play in this future vision and so it is essential
that the Government is coherent and co-ordinated in its follow-up
work. This is particularly important given the long term nature
of transport and planning policies. It is also essential that
stakeholders are involved fully in the next steps phase of the
IIF project.
14. It appears that many of DfT's polices
are "downstream" or "end of pipe" solutions,
for example, the use of ICT to make existing transport systems
more efficient. This is important but more attention should be
given to "upstream" solutions, such as reducing the
need to travel through increased take up of teleworking. Upstream
solutions are not within the gift of DfT to deliver and so it
is essential that the Government joins up policymaking in a co-ordinated
way across all departments, regions and local authorities.
15. Behavioural change is essential to reduce
congestion, dependence on the car, limit the production of carbon
dioxide, conserve energy, etc. One way to promote behavioural
change is to make information about the real cost of activities
available to people at the point of use and to provide viable
alternatives to historic behaviour. We need to make more use of
ICT to bring together, process and distribute the information
required to help people manage their consumption and impact on
the environment.
CONCLUSION
16. The congestion problem across the UK
is real and getting worse. Road building and other traffic management
measures alone will not redress the balance, requiring all of
us to examine alternative strategies. Setting realistic targets
for what can be achieved, together with a commitment to addressing
the issue by all and exploiting available technology, could pay
real long term dividends. Tackling congestion by encouraging substitution
for travel would have the major benefit of reducing carbon emissions.
17. The Government needs to lead by example
and view communications as a complimentary network to traditional
transport systems. A holistic integrated approach that leverages
both the innovative opportunities of technology and the motivation
of users is essential.
18. Green travel policies should work in
practice, not just be a tick in the box on a department or council's
CSR strategy statement. One of the most difficult areas to tackle
may well be the practice of paying employees for driving their
private cars. This generates literally millions of miles of travel.
High profile use of video conferencing and targets for teleworking
would send the right signals to other economic sectors.
19. Achieving a 10% reduction in commuting,
business, shopping and personal business would deliver an overall
saving of 6% in car and taxi mileage undertaken, a significant
contribution towards alleviating both congestion and carbon emissions.
March 2006
| 
