Charging ahead: An evaluation of BESS in DB Schenker’s electrification journey

Abstract

As the electrification of vehicles progresses in Sweden, logistics providers can face difficulties in ensuring a reliable power supply for charging their fleets. This study explores the feasibility, business case and implementation process of battery energy storage systems (BESS) as a potential solution to support the electrification journey. The research focuses on the context of DB Schenker and takes a qualitative approach with a wide data collection primarily stemming from interviews with 19 participants. A quantitative case analysis is also conducted on three selected distribution terminals to investigate the impact of various preconditions on the overall business case. The findings illustrate the current landscape for BESS and the business network of necessary actors, resources and activities involved in an implementation. This network is characterized by a lack of clear regulatory guidance and a complexity stemming from the interconnectedness and changing roles of actors. For the business case, while participating in balancing markets currently offers a lucrative revenue stream, uncertainties persist regarding future revenue generation. The study also identifies several factors influencing the feasibility of BESS implementation such as the current grid connection or usage patterns of electricity. The managerial implications emphasize a need for strategic collaboration and developing knowledge while the policy implications call for increased regulatory guidance to enable more standardized best practices.