Can the environmental policies of transport and logistics enhance their economic viability?

Transport and logistics organisations have been struggling to find practical and effective ways to achieve net-zero carbon. Multiple environmental policies that could help them do so have been proposed, but their impacts on the economic viability of such organisations have not been fully explored. Hence, this research investigates the probable impacts of these policies on such viability. The difference-in-differences average treatment effect on the treated models were created to explore how known environmental policies, if implemented by transport and logistics organisations, would influence their economic viability. The results of this study suggest that environmental policies have the capacity to exert a considerable effect on economic performance. To dig deeper into this phenomenon, the policies in question were classified into three types – eco-technological, eco-collaborative, and eco-operational – of which the third type was found to perform the least well. These findings have critical policy ramifications, including the consolidation of environmental policies centred on eco-technology and eco-collaboration, the provision of financial subsidies to mitigate the financial encumbrance of adopting a green policy, and the differentiation of environmental policies between transport and logistics. This ground-breaking study has developed the first effective difference-in-differences average treatment effect on the treated models of environmental policies’ economic impact on transport and logistics, including their timelines.