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Renewed agreement results in a 6,500 tonne reduction in annual carbon dioxide emissions

Press release   •   Jun 18, 2020 06:42 UTC

Four satisfied business partners are once again renewing their agreement to continue the sustainable freight transportation of wood chips and pulpwood from Norway to Sweden. The new three-year agreement between BillerudKorsnäs, Moelven, Grenland Rail and Green Cargo starts this December.

Shipments run seven days a week, carrying wood chips and pulpwood on alternative days. This is an efficient wagon and locomotive circulation that provides a time- and cost-efficient transportation solution that is also environmentally friendly. By choosing rail instead of road for shipping logistics, the partners are collectively reducing their freight’s climate impact by 94 percent and its annual carbon dioxide emissions by 6,500 tonnes.

“It’s exciting that we’re once again renewing our partnership to continue to deliver optimal solutions for the customers. Arrangements like these require a lot of planning with good, continuous communication. My colleague Oskar Andersson, Operational Account Manager, maintains a close and productive customer dialogue to proactively ensure that the daily deliveries go according to plan, and together we solve any problems that occur during shipment,” says Ricki Edin, Key Account Manager at Green Cargo.

A competitive market depends on reliable transportation for production and manufacturing to continue. Rail freight is therefore an important logistics solution to maintain the frequency and capacity required to meet customers’ needs.

“Complex as they are, our logistics arrangements are also efficient and environmentally sustainable. The concept is based on our close collaboration, where we actively work together to improve performance in the daily safe delivery of renewable raw materials from Moelven to BillerudKorsnäs,” says Anna Ahlgren, Head of Transportation at BillerudKorsnäs.

Four partners entails a complex logistics solution, which requires good relationships and communication. All parties work actively for good solutions and constant improvements, which is an important basis of the extended contract.

“Our collaboration is very positive. We work together continuously with improvements for stable and efficient logistics. We develop solutions together for reliable deliveries and using wagon and goods capacity efficiently. Through our concept, we’ve managed to bring out the best from all parties involved in a total concept, where the goods between our industries are transported smoothly over borders,” says Lars Storslett, CEO of Moelven Virke AS.

The transportation in Norway is carried out in partnership with Grenland Rail. Loaded wagons are collected from Moelven’s facilities and terminals in Norway and delivered to Kongsvinger, where Green Cargo takes over and transports pulpwood and wood chips to BillerudKorsnäs’s facilities in Sweden.

“All of our partners are doing what we’re best at. Green Cargo is ensuring that we have the best preconditions for efficient freight transportation in Sweden and we at Grenland are doing the same in Norway. We all want to help create efficient freight transportation where we use our resources optimally, including drivers, locomotives and wagons. This results in reliable, financially profitable and climate-smart freight transportation, not just for customers but also for society,” says Terje Wold, CEO of Grenland Rail.

Green Cargo is a sustainable logistics partner and crucial for Scandinavia’s trade and industry. Electric trains make up over 95 percent of our ton kilometrage, meaning the climate impact is next to zero. Every 24 hours, some 400 freight trains depart, replacing around 9,000 truckloads on the road network. We serve close to 300 locations in Sweden, Norway and Denmark through our network, and with our partners we reach all of Europe. Green Cargo is owned by the Swedish State. We transport 22 million tonnes of freight, have 1,800 employees and annual sales of about SEK 4.1 billion (2019). www.greencargo.com