Energy Storage to be Major Challenge for Logistics Industry in 2025

In its latest report, Toyota Material Handling emphasizes that energy storage will become a critical concern as electrification gains momentum.

High-Capacity Batteries: The Future of Energy Infrastructure

The Trends in Logistics 2024 report from Toyota Material Handling stresses that as companies transition to electric vehicles and battery-powered equipment, effective energy storage will be vital. The report argues that high-capacity batteries could play a crucial role in the UK’s future energy strategy, potentially powering entire industrial sites—or even cities—during times when renewable sources aren’t available.

“There is no doubt that high-capacity batteries will become a part of the overall energy landscape,” said Gary Ison, product development manager at Toyota Material Handling. “Battery manufacturers and OEMs are racing to develop batteries capable of powering electric vehicles like forklifts for extended periods while also storing renewable energy for when the sun isn’t shining and the wind isn’t blowing.” The technology could be compared to Tesla’s Powerwall systems, but on a much grander industrial scale.

The Race to Develop New Battery Technologies

The report highlights rapid advances in battery technology, pointing out that materials such as silicone, graphene, and sodium are gaining attention. Despite this, the much-hyped solid-state batteries—widely considered the future—remain expensive and difficult to produce, delaying their widespread use. This situation echoes the electric vehicle market, where models like the Tesla Model 3 and Nissan Leaf continue to rely on traditional lithium-ion batteries despite the potential of newer technologies.

Alternative Fuels Gaining Traction

In addition to advancements in batteries, Toyota’s report also highlights the growing interest in alternative fuels. Hydrotreated vegetable oil (HVO) and hydrogen are becoming popular among operators of large fleets. Hydrogen fuel cells, for example, are already in use in high-demand environments such as Amazon warehouses, where fast refueling and emission-free operation are critical. Ison explained, “For companies with access to on-site hydrogen supplies, fuel cells can be refueled in just a few minutes and enable emission-free operations.”

Grid Capacity and Renewable Energy Availability Remain Concerns

Despite the optimism around new technologies, the report warns of ongoing concerns regarding grid capacity and the availability of renewable electricity. These issues are familiar in the UK, where rising electric vehicle adoption has sparked fears of grid overload during peak times. Similar concerns could slow the logistics sector’s transition to electric power, potentially hindering the UK’s net-zero targets.

“Transitioning to sustainable energy sources is one of the most significant issues facing the supply chain sector,” said Ison. “While the shift from internal combustion engines to electric vehicles is well underway, grid stability and reliable electricity generation remain challenges.”

Navigating a Changing Energy Landscape

Toyota’s Trends in Logistics 2024 offers a snapshot of how the logistics industry is navigating the complexities of decarbonization and technological innovation. As the sector strives to balance ambitious climate goals with practical challenges, the report suggests that energy storage will be at the heart of the industry’s future.

Read Similar…

What stops Logistics Companies Achieving Sustainability?

Switch to Tow Tractor is Sweet

Histon Sweet Spreads Ltd (part of the Hain Daniels Group) produces some of the UK’s best known preserve brands, including such staples of the British breakfast table as Robertson’s ‘Golden Shred’ marmalade and Hartley’s jam.

The company’s production facility in Cambridgeshire is in operation 24/7 and some one million cases – or 1500 tonnes – of product is manufactured at the site each and every week. With residential property bordering the busy operation Histon Sweet Spreads go to great lengths to minimise the amount of noise generated by arriving and departing delivery vehicles and other essential activities that might disturb or disrupt their neighbours.

“A certain amount of noise from commercial or industrial premises is to be expected but we have always been very aware of the fact that excessive or unreasonable sound could constitute a problem for the people that live in the houses nearby, especially if the noise continues through the night,” explains Danny Ivatt, Histon Sweet Spreads’ Site Services and FLT Supervisor.

When a resident of one of the domestic properties that adjoin the production site’s boundary drew Histon’s attention to the noise created by a lift truck that uses an unmade road to shuttle between different areas of the site, Histon Sweet Spreads immediately set about finding a way to nullify the problem.

The company consulted its long-term materials handling equipment provider Toyota Material Handling (UK) for a solution. Studies undertaken by Toyota highlighted that it took the lift truck six minutes to cover the distance between the site’s ‘jelly line’ and the finished goods warehouse. Once a pallet of ‘jelly’ had been deposited within the finished goods store, the forklift made the return journey – which involved another six minutes of travel time.

With loads coming off of the ‘jelly line’ at a rate of 5 or 6 per hour the lift truck’s 12 minute return trip to the storage unit and back via the rough surface of the road often meant the truck operator was up against the clock. Toyota recommended replacing the forklift with a tow tractor. Because a tow tractor fitted with a trailer allows several loads to be transported by one vehicle, the number of journeys between the ‘jelly line’ and the finished goods store has been cut to one every hour, instead of the five or six 12 minute forklift trips that had previously been necessary.

Furthermore, an immediate noise reduction dividend comes courtesy of the elimination of the sound produced when the forklift’s mast is raised or lowered, due to the simple fact that a tow tractor doesn’t have a mast!

The tow tractor supplied is a Simai 4-wheel sit-in model with an 8-tonne capacity. The electric-powered machine’s robust design is better suited to the terrain of the unmade link road than the fork truck, which means Histon’s monthly service costs have been reduced. And, because the tow tractor is only required to make one return trip per hour, it is also being used to manage the movement of waste and empty raw material barrels around the site. This has allowed Histon to cut the number of hours each of the six trucks in its gas-powered counterbalanced forklift fleet has to work in and around the yard area – further reducing noise pollution.

Toyota report that, driven by changing manufacturing trends, sales of tow tractors are increasing across its business. “Many manufacturing companies are reconfiguring their internal logistics systems to maximise efficiency of lineside parts delivery processes,” says Toyota Material Handling Senior Sales Executive, Ronnie Finney.

He continues: “In a lot of cases, manufacturers are adopting the ‘milk run’ principle as the most efficient way of getting parts to the production line. This involves delivery of parts on a defined route around the factory, often to a set timetable. In simple terms, tow tractors leave the warehouse with a full load of parts. They drop off a full SKU of parts at the production line and take-away an empty SKU for replenishment. This system was first used in the automotive sector but is being adopted by smaller companies across a range of industries as the ‘scheduled’ parts delivery service approach gives greater structure to the production process.”

read more

More Towing Capacity on Offer with Tow Tractor Range

 

Automated Lift Trucks Bear Fruit

As part of its strategy to streamline intralogistics processes and reduce the impact of the labour crisis on its business, Primafruit – a leading name in the fresh produce industry – has introduced a fleet of fully automated counterbalanced lift trucks from Toyota Material Handling’s Autopilot range at its Vale of Evesham-based production and storage facility.

The Toyota automated guided vehicles (AGVs) are utilised at every stage of Primafruit’s mission critical storing and packing operation. Fresh fruit arrives at the 41,000 square metre site from Primafruit’s suppliers and grower partners across Europe and South America and is taken by the automated trucks from the goods-in bay to the chilled very narrow aisle storage area.

The AGVs are then deployed to transfer palletised loads of fruit from the chilled storage system to the facility’s packhouse area where two production lines – one for packaging citrus fruits and another dedicated to processing berries, such as grapes, strawberries etc – are in operation. From the packhouse the automated trucks take palletised loads of individually packaged fruits to the building’s despatch bay where orders are loaded into vehicles by manual trucks for onward delivery.

In all Primafruit operate seven Toyota Autopilot OAE120CB counterbalanced trucks at the Vale of Evesham site. The models specified have a 1.2 tonne load capacity and a lift height of 4.15 metres.
All models in the Toyota Autopilot range are programmed to complete tasks and work alongside manual operators in total safety. The trucks use built-in safety scanners and obstacle detection units to negotiate obstructions, while load sensors and multiple sensor devices further ensure accurate and safe load handling.

The trucks are controlled by Toyota’s in-house T-ONE automation software. Capable of working as a standalone system or as a communications layer in tandem with the client’s warehouse management and production systems, T-ONE tracks goods storage, orders, traffic and flow thanks to its intelligent fleet control functionality and its ability to integrate with the user’s ERP/WMS if required to do so.

Since switching to automated forklift technology, Primafruit report that the Vale of Evesham facility has become a more serene working environment, as the company’s general manager, Jordan Beckley, explains: “The implementation of the Toyota Autopilot AGVs has certainly had a calming effect on our operational areas due to the controlled manner in which they complete the work,” he says. “We have also seen the system reduce a huge amount of manual pallet movements around the site, which has allowed our teams to focus on other more profitable tasks,” Jordan continues.
Automated pallet handling equipment has been shown to consume less energy than driver-operated forklifts – a benefit which, along with the other advantages that the technology brings, contributes to a typical return-on-investment time of less than two years.

Toyota provided the automated counterbalanced trucks on a rental package with full ongoing service back-up and technical support included in the monthly fee. “We chose to work with Toyota because of their reputation in the industry and the comprehensive package they offered to us. The Toyota team worked closely with us to implement a flexible solution which can adapt to the constantly changing challenges that our industry presents,” adds Beckley.

Subscribe

Get notified about New Episodes of our Podcast, New Magazine Issues and stay updated with our Weekly Newsletter.