Green Cargo, Sweden’s longest-running rail freight operator, has been awarded a contract for a twice-weekly service carrying propane gas for energy supplier E.ON. The long-term agreement will see services operating between Karlshamn and SSAB’s steel production facility in Borlänge.

Propane gas is a key component in the manufacture of steel, which places stringent requirements on delivery and capacity. SSAB must always have propane gas available, so that production does not suffer. The new contract adds to Green Cargo’s ever-growing portfolio of cargoes carried, both domestic and international, which is known for its diversity.

Favourable solution

Lennart Andersson, Salesperson at Green Cargo, said: “Last spring, SSAB chose a new supplier of propane gas for their production facility in Borlänge. Their new supplier, E.ON, contacted us to ask if Green Cargo could provide them with freight transportation between Karlshamn and Borlänge. We have had a long and productive partnership since 1989 and, of course, we organised a favourable logistics solution for E.ON between these locations.”

Green Cargo runs some 400 trains a day, serving 270 locations in Sweden and Norway. In partnership with other operators, it also transports goods across Europe, ranging from furniture to Haparanda on the Swedish-Finnish border, newsprint to Frankfurt and road truck cabs to Ghent.

Solid expertise

“It was a logistical challenge to meet the customer’s requirements, where delivery reliability and transportation capacity are two essential elements,” said Andersson. “However, due to our solid expertise in the transportation of hazardous materials, combined with Green Cargo’s network and specialised freight transport, we can deliver in line with the customer’s requirements.”

Christopher Thelin, Logistic Manager and Chief Engineer at E.ON Gas Sweden, added: “This is the largest propane delivery we have ever made. It means that our business approach is correct and that customers appreciate our logistics solutions with the large storage facilities in Karlshamn, and the close collaboration with the customer and Green Cargo.”

New IT system

This latest contract announcement came as the firm also launched a new IT system for managing the logistics of its entire domestic rail traffic in neighbouring Norway. It began with the Alnabru-Trondheim route, and means Green Cargo now has standardised digital working methods for bookings to deliveries that provide status updates for customers’ freight wagons and units. A key feature is that Green Cargo can now offer both online and EDI (Electronic Data Interchange, or system-to-system) bookings including track & trace.

Helena Wetterwik, Senior Project Manager and Project Leader at Green Cargo, said: “In response to customer demands for Bane NOR – formerly Jernbaneverket – and Green Cargo to modernise our procedures, we chose a digital solution with PICit to replace our previous procedures based on Excel. Our new IT system provides an improved interface for online and EDI bookings with a track & trace system that shows the location status of our customers’ units in the transportation chain. Bane NOR’s requirements included a more reliable system that facilitates the traceability of our rail freight, and which we can now ensure.”

Information flow

The IT system will compile all transportation and freight data and make it accessible for all parties in the transportation chain, from booking, planning trains, matching train capacity, terminal handling services, invoicing and follow-up. It will manage and control the information flow from the moment the goods leave the sender until their arrival at the recipient.

Henrik Højen Andersen, CEO of PICit, added: “Over and above the internal operative and administrative advantages, the system also integrates with other systems, which is an additional gain for Green Cargo, its customers and their operating environment. We are very proud that this system is now operational and we look forward to continuing the positive partnership with Green Cargo.”