Cargo consolidation in port-hinterland container transport: A spatial economic assessment for inland waterways

Abstract

Inland waterway transport (IWT) stands out as one of the most sustainable modes of freight transport for port-hinterland connections. However, the full potential of IWT remains underutilized in Europe due to logistical inefficiencies. Specifically, the low loading factors of vessels and containers result in the need for more services to transport the same level of cargo, leading to increased costs and travel time, thereby diminishing market competitiveness. The aim of this paper is to develop a spatial-economic assessment of a cargo consolidation strategy for IWT, leveraging a discrete event simulation model that accounts for network characteristics, modal competition with road and rail services, travel time, and costs. It employs an evaluation framework that focuses on cost savings per TEU of different implementation scenarios. A case study on container flows in the Rhine-Alpine Corridor was conducted, evaluating three strategic locations for deploying a container freight station. Compared to the baseline scenario, only one implementation location resulted in positive cost savings, contingent on the annual proportion of less-than-container-load units eligible for consolidation. The study offers insights for infrastructure planning decision-making by identifying a convenient location for the container freight station and determining the necessary conditions of container flows that would enable the policy to be beneficial.