The use of large delivery vehicles in urban areas can result in problems with air pollution, noise pollution, congestion, curbside conflicts, and road safety issues. To address these freight-related issues, the City of Toronto has been supporting courier companies to replace their delivery trucks and vans with electric cargo bikes when conducting last-mile-deliveries in the urban core. One of the ways the City has been facilitating cargo bike use within the freight industry is by allowing for the operation of On-Street Logistics Mini-Hubs (‘Mini-Hubs’).

Delivery truck unloading packages into the back doors of an On-Street Logistics Mini Hub An On-Street Logistics Mini-Hub is a small structure located in the right-of-way that is used by a courier company to aid in their last-mile cargo bike operations. Mini-Hubs function as both micro-distribution centers (small scale package storage and sorting facility) and as an overnight storage facility for a courier company’s electric cargo bike fleet. Mini-Hubs may also have additional features and services, such as a walk-up retail store front window. 

Pedestrian delivering a package to the Mini Hub through the sidewalk service window In partnership with the University of Toronto and Purolator, the City of Toronto piloted Toronto’s first ever On-Street Logistics Mini-Hub for an 18 -month period between autumn 2022 and spring 2024. The pilot was approved by Council on June 15, 2022 and the location was made permanent on June 26, 2024.  

The pilot Mini-Hub is a repurposed, 40-foot shipping container. The structure occupies five former pay-and-display parking spaces within a parking layby on St. George Street, which is situated in the University of Toronto’s downtown campus. There are three primary functions of the St. George Mini-Hub pilot location: it acts as a distribution center for Purolator’s last-mile cargo e-bike delivery operations, it serves as an overnight storage and charging facility for Purolator’s cargo e-bike fleet, and it also provides a full retail storefront window for customers to pick up and drop off packages.

The purpose of the pilot period was to investigate the capabilities of using cargo e-bikes for sustainable last mile deliveries in downtown Toronto. Key goals of the pilot include reducing emissions and congestion, increasing rider and pedestrian safety, and optimizing courier efficiency. 

Key Stats of the Pilot

  • 5 pay & display parking spaces were repurposed into a multifunctional Mini-Hub
  • 3 electric assist cargo bikes operated out of the pilot Mini-Hub location (including using the structure for overnight storage and charging)
  • 12 months of the year, Purolator used the pilot Mini-Hub to deploy their fleet of e cargo bikes

An image of a bicycle with a Purolator storage unit on the back to carry packages. The operations of the Mini-Hub pilot were monitored by City staff and researchers at the University of Toronto over the 18-month trial period. Research showed that the Mini-Hub pilot location had positive impacts on operational efficiency and air quality.

Key Findings

  • Research results showed that a single cargo e-bike was able to replace the operations of a delivery van, within the same service area, without compromising efficiency.
  • Replacement of one delivery van with one cargo e-bike serving a ‘delivery area’ neighbourhood can eliminate about 3.1 to 5.5 metric tons of greenhouse gas (GHG) emissions and reduce oxides of nitrogen (NOx) emissions by 7.8 to 9.8 kilograms annually.

Awards

The Mini-Hub pilot was the recipient of numerous awards including:

  • The University of Toronto’s Sustainable Action Award (2023)
  • Institute for Transportation Engineers – Project of the Year (2023)

Applying for an On-Street Logistic Mini-Hub

In 2024, Toronto City Council announced that Mini-Hubs would be allowed to operate across the city. Mini-Hubs that are located in the right-of-way are regulated by Transportation Services at the City of Toronto.  Courier companies who wish to operate a Mini-Hub in the right-of-way can apply by contacting Doolin O’Reilly at Doolin.O’Reilly@toronto.ca


Suitability Criteria

In order to be approved for a Mini-Hub, courier companies must comply with certain suitability criteria. This criteria is based on lessons learnt from the pilot project and includes (but is not limited to) the following:

  • Mini-Hubs should not be placed in locations that would have an adverse impact on cyclists or snow plowing activities.
  • Mini-Hubs should not replace existing permit parking spots or curbside space that is currently designated for loading activities.
  • Mini-Hubs should be located on low-vehicle volume roads, such as non-residential local and collector roads.
  • Mini-Hubs which provide multiple functions are strongly preferred. This includes functions of storage and deployment of cargo e-bikes, as well as the incorporation of publicly accessible store frontages.
  • Mini-Hubs should be in locations which are deemed acceptable by the relevant Ward Councillor.

Criteria may be amended or added by the General Manager of Transportation Services.


2024 Fees

Description of Fee Fee Basis Fee (Annual)
On-Street Logistics Mini-Hub Permit Per parking space repurposed $6,401.80 + HST
On-Street Logistics Mini-Hub application fee Per Mini-Hub area requested $218.20 + HST (non-refundable)

 

Courier companies will also be required to pay the Toronto Parking Authority (TPA) a one-time ‘close-off’ cost if the Mini-Hub area permanently removes on-street paid parking spaces. This additional one-time cost is determined by the TPA.

Companies who are operating an On-Street Logistics Mini-Hub:

  • Purolator

Additional companies will be added to this tab once they are successful in their application to operate a Mini-Hub in the right of way