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National Logistics Policy – All You Need to Know

India’s all-new National Logistics Policy (NLP) is set to revolutionise the logistics sector in the country. But what is the fuss all about? Let’s find out.

Fossil fuel-driven transportation has put the entire globe in peril with its greenhouse gas emissions.  No country in this world is immune from the impacts of carbon emissions released from an ICE vehicle.

The government of India has introduced the much-awaited National Logistics policy to support the ever-growing logistics sector in India. It seeks to drive down the cost of logistics, making it accessible and preferred by the masses.

Symbolic launch of The National Logistics Policy. 

The launch of NLP was on the same day as the reintroduction of the cheetahs in India. Both occasions bringing out a new India to the World. This is to tell the world that this is a global India that is at the forefront and is ready to move away from the shackles of tyranny instead will move towards the center of a global economy and lead the way forward. That is where we needed the National Logistics Policy.\

We are grateful to the Government of India for introducing the much awaited #NationalLogisticsPolicy. We firmly believe EVs will play a pivotal role in helping the nation reach its goal of reducing the logistics cost from 14-15% of GDP to 8%.

— Omega Seiki Mobility (@OSMobility_IN) September 17, 2022

The National Logistic Policy seeks to reduce the cost of logistics. EVs are the most cost-effective approach, and this strategy has been fine-tuned by NITI AAYOG. According to a report by Niti Aayog Transportation costs are a major driver which is 62% of overall logistics costs in India, accounting for 14% of India’s GDP. Compared to ICE Vehicles, EVs are less expensive to maintain and have operating costs that are 50% lower.

EVs could be a “Song of triumph” for NLP

Electric vehicles are the market’s hidden treasure that exists but is still underutilised. Putting other factors aside, their zero-carbon emission feature makes them the most responsible and sustainable alternative to ICEs. The new National Logistics Policy will be a success as EVs are cheap to run, almost 1/5th of that of ICE vehicles. They are more efficient to run than ICEs and have way a smaller number of moving parts. Most of the parts are digitally operated and they can be easily updated on the go. All the more, they do not contribute to polluting the environment. 

Consequently, to meet the demands of the National Logistics Policy, switching to an EV will help reduce the negative impact on the climate and reduce air pollution. It negates the production of almost 16 tons of CO2 emissions which is equivalent to growing 261 trees seedlings. It is an enormous number considering the current environmental issues prevailing around the globe. By choosing to switch to an electric vehicle you even contribute to reducing less particulate matter and 70 kilograms of NOx. 

Team at OSM has been crunching some numbers and believes EVs are the perfect fit for the National Logistics Policy. If we convert all the deliveries in India from ICE/diesel/petrol to EV, we will be saving forty tons of co2. Unquestionably, that’s a huge amount to reduce global warming. That’s like planting 2.2 million trees and you also reduce particulate matter.