A not-for-profit load board called Empty Miles will soon be launched in Canada.

Currently operating in the U.S., it’s built around a web portal developed by the GS1 standards organization to help some of North America’s biggest fleets eliminate unwanted backhauls.

Conceived when oil prices were going through the roof, the Empty Miles program was designed to reduce shipper costs, reduce the number of empty trailers on the road, deliver more goods per gallon of diesel, and improve efficiencies throughout the supply chain.

And according to GS1’s latest case study reports, it’s working.

In its first year of operation, it reduced Schneider’s empty miles by 25 percent and cut Macy’s freight bill by about $25,000.

In Canada, Empty Miles will be run by GS1 Canada, the non-profit organization that, among other things, ensures bar codes are consistent, effective, and well-managed.

Paul Osland, vice-president of industry relations with GS1 Canada says it’s all about matching empty trailers with freight on existing lanes.

“Down in the U.S., some are saying that close to 30 to 40 percent of trucks on the road are empty. That has a huge impact on driver shortages, fuel costs, and the environment,” he says.

To develop a solution to the problem, GS1 Canada and GS1 U.S. worked with the Voluntary Inter-industry Commerce Solutions (VICS) – a non-profit group that works with member corporations to improve supply chain efficiency and effectiveness. Their members are suppliers, retailers, manufacturers and shippers – all of whom had a vested interest in collaborating to minimize empty miles and co-ordinate efficient back hauls.

“Empty miles are extremely expensive,” says GS1 Canada’s Tim White. Speaking at the PackEx show held in Toronto earlier this year, he said the U.S. program started in spring of 2008 and now solves capacity problems for companies including Wal-Mart, Target, Best Buy, Nestle, Johnson & Johnson, and JCPenney.

“Our focus is on long-term relationships,” he said.

Here’s how it works: normally, shippers pay carriers upfront for the return trip, even if the trailer is empty. Using the Empty Miles portal, shippers can co-ordinate with other companies to fill that back-haul at a discounted rate. The shipper receives payment for the return trip, passing the bulk of it to the original shipper as a refund. Consequently, shippers get money back that would otherwise have been kept by the carrier for running empty.

Shippers have to go through a registration process to join; everyone is vetted by the Empty Miles admin team. To participate, you need to be either a VICS member or be referred by a VICS member.

Osland says the system is like a dating service, with an eye on marriage.

“We’re not going to be helping people looking for a load next Tuesday. We want to help people looking for a load every Tuesday,” he says.

To that end, he advises carriers who want to get in on the action to be prepared to register with the Empty Miles Board.

“Some boards,” he says, “have 10,000 members and you never know who you’re going to be dealing with,” he says. “With Empty Miles, it’s like a family. That’s a word we use a lot around here.”