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Physical Internet through Cooperative Austrian Logistics

The Physical Internet is based on the idea that physical transportation can be performed similarly to sending digital data packets (in the digital internet). In other words, it envisions building a transportation network consisting of nodes (hubs) and connections (transport routes). Transport decisions are made in real-time and on a local basis. This means that while an initial transport plan exists, it is analyzed and adjusted at each node if the conditions have changed. This allows for flexible responses to incidents such as congestion or changes in transport costs. Importantly, the shipper does not intervene in this process but provides consent for packages and goods to be rerouted and delivered alternately when they initiate the transport order. However, the system guarantees the adherence to predefined parameters (e.g., guaranteed delivery times). Moreover, achieving the specified parameters while decarbonizing transportation becomes significantly easier since proactive responses to disruptions in transport can be made, enabling critical goods to be rerouted onto trucks in case of disturbances on rail or inland waterways. However, if no significant delays occur (as is the case in most instances), sustainable transport is ensured.

The PhysICAL project demonstrates this concept for the first time in Austria through four different pilots, aiming to gain insights into how to transform the current status quo into the logistics system of the future. Furthermore, the participation of the involved companies in good practices is intended to create a ripple effect that other Austrian companies will follow. To tackle this mammoth task, the project consortium includes representatives from both the scientific community and the implementing industry (transport demand providers, carriers and operators, intermodal terminals/container terminals, and service providers). Additionally, the concept will be demonstrated "from small to large" – from packages to containers. The integration of rail transport (both narrow-gauge for local transport and main transport corridors for transcontinental transport) is also ensured.

  • Within the PhysICAL project, AIT conducts research on optimizing the utilization of container trains and the cooperative use of warehouses to achieve a significant reduction in empty trips and overall transportation.

  • Furthermore, methodologies for assessing the environmental impact of freight transport, including emissions (greenhouse gases, particulate matter, noise, light), are being developed. This allows for an objective comparison of different modes of transportation, focusing on the use of highly accurate data specific to each transport mode, which represents a clear improvement over the conventional approach of using statistically derived averages.

  • In addition, AIT contributes to the efficiency improvement in last-mile delivery in the courier, express, and parcel (CEP) sector by scientifically supporting the development of delivery concepts that utilize reusable package boxes and openly accessible package walls.

  • Lastly, AIT leads the scientific evaluation of the demonstration activities.

Funding Tool

The PhysICAL project is funded by the Austrian Ministry for Climate Protection as part of the Future Mobility FTI program and managed by the Austrian Research Promotion Agency (FFG).

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