Australia is set to revolutionise last-mile delivery with the introduction of 112 battery-electric vehicle (BEV) trucks, funded by a $12.8 million grant from the Australian Renewable Energy Agency’s (ARENA) Driving the Nation Fund.
Freight and logistics provider ANC will utilise this funding for the $45.5 million Project Spark, aimed at overcoming the challenges of electrifying the truck owner-driver segment and promoting fleet decarbonisation, the agency said in a news release.
ARENA CEO Darren Miller highlighted that Project Spark is the agency’s first venture into last-mile delivery, expanding on their investments in the electrification of buses and road freight logistics.
Miller emphasised the innovative approach of Project Spark, stating it combines supply and demand-side measures that are commercially viable and practically feasible.
He expressed excitement about the project’s potential to reduce the total ownership and operational costs of electric trucks, demonstrating their viability for last-mile delivery and addressing existing barriers to transitioning from internal combustion engines.
ANC will manage a network of owner-drivers providing delivery services to major Australian retailers such as IKEA, JB HI-FI, The Good Guys, and others.
The project aims to address the higher capital costs and limited charging infrastructure currently faced by owner-drivers considering BEV trucks.
Project Spark will leverage partnerships with companies like CarBon, Origin Energy, and SpotLumos to reduce the total cost of ownership through discounted truck leases, improved charging models, and new revenue streams.
The charging model, developed in collaboration with Origin Energy, will include overnight charging-as-a-service (CaaS) from home and fast-charging at depots and public locations to meet last-mile delivery requirements.
ANC CEO Joe Sofra praised the ARENA grant as a significant endorsement of ANC’s vision for a sustainable future, emphasising the project’s role in reducing emissions and advancing towards a net-zero emissions delivery ecosystem.
He noted, “We are poised to make a substantial impact on the market, and more importantly, on the environment. We thank ARENA for their support in helping ANC drive this pivotal shift in the industry.”
Meanwhile, ANC’s Chief Growth & Sustainability Officer, Mo Abbas, highlighted the company’s dedication to leading the energy transition and finding innovative solutions to urban challenges while minimising carbon emissions.
The Australian Government’s Driving the Nation Fund, with a $500 million investment in cleaner transport and fleet decarbonisation, supports initiatives like Project Spark.
