GoGreen action areas
There are many ways to improve energy efficiency in logistics chains. Savings potential can be found in all parts of the supply chain and there are ways to minimize emissions regardless of their source. This applies to our road, ocean and air transport as well as to warehousing in logistics centers. Major efficiency gains can also be achieved by optimizing our logistics networks.
Our main focus, of course, is on reducing greenhouse gas emissions. In addition to this, we implement measures to minimize all other environmental impacts of our business activity.
In logistics, a significant portion of greenhouse gas emissions occur during transport. As a result, the composition of the transport fleet is a major factor in determining carbon efficiency.
Our road vehicle fleet consists of approximately 92,000 vehicles worldwide. We rely on a wide range of measures to improve the carbon efficiency of our fleet operations - measures which also help reduce fuel consumption. Solutions here focus mainly on aerodynamics and eco-chiptuning technologies, but also include lightweight vehicle design and telematics. In addition to making technical modifications to conventional fuel vehicles, we also rely increasingly on the use of alternative drive technologies and alternative fuels to further reduce our greenhouse gas emissions. This includes mainly electric and natural gas powered vehicles for short distances, as well as sustainably produced, advanced generation biofuels for long-haul transport. Out of approximately 92,000 road vehicles deployed worldwide, we have already enhanced roughly 20,500 vehicles with some 25,600 technical modifications. By the year 2025, we want to operate 70% of our own first and last mile services with clean pick-up and delivery solutions, such as bicycles and electric vehicles.
As one of the world's leading providers of international express services, Deutsche Post DHL Group maintains a fleet of over 250 dedicated aircraft comprised of 190 cargo planes and a number of smaller feeder aircraft. Our air fleet serves approximately 500 airports worldwide via 19 main regional hubs and three global hubs in Leipzig, Cincinnati and Hong Kong. In line with our Burn Less principle we continually upgrade the aircraft in our fleet. And in keeping with our Burn Clean approach, we also support the use of alternative aviation fuels. However, at present not enough is known about how these fuels impact air operations and the environment, ruling out their large-scale deployment. We are currently working together with other companies as part of the Aviation Initiative for Renewable Energy in Germany e.V. (aireg) to improve the viability of such alternative aviation fuels.
Unlike our express business, our air and ocean freight business does not deploy its own fleets; instead we act as the facilitator between customers and freight carriers. When selecting transport partner we also consider environmental criteria.
We maintain over 12,000 sites worldwide, including office buildings, mail and parcel centers and logistics warehouses. We inspect and assess every site individually before developing a site-specific efficiency concept to improve energy management.
All solutions are designed to be commercially viable within the occupation period of each building, depending on whether the property is leased or owned by us.
In line with our Burn Less principle, our facility management relies mainly on solutions such as LED lighting, smart meters and energy efficient heating and cooling systems. In addition we use electricity from renewable energy sources such as wind, hydropower, solar and biomass (Burn Clean). More than 60% of electricity used at our sites comes from renewable energy sources. In Belgium, Germany, France, Ireland, Italy, the Netherlands, Norway, Sweden, the UK, and the US, we refrain almost entirely from using electricity from conventional energy sources and obtain over 90% of our energy needs from renewable sources.
By optimizing the design of logistics networks, supply chains can make carbon efficiency gains even without making technical modifications to vehicles. This includes optimization measures on several levels: operational, tactical and strategic.
On the operational level the most important lever is capacity optimization - achieved, for example, by demand-based vehicle modifications as well as optimized packaging and load carriers.
On the tactical level we leverage savings potential by adjusting to customer-specific volumes and delivery cycles or by planning pick-up and delivery at nighttime when traffic is light. We also improve our carbon efficiency through multimodal transport solutions, route optimization and careful selection of transport subcontractors.
On the strategic level we are committed to continuously optimizing the carbon efficiency of our logistics networks. This includes carefully selecting sites for hubs and distribution centers, as well as optimizing international routing.
Other environmental impacts
Our system of environmental management extends beyond CO2 and other greenhouse gas emissions. We also address other negative environmental impacts and work to develop measures to mitigate them. The impacts include local air pollutants such as mono-nitrogen oxides, sulfur dioxide and particulate matter, as well as noise pollution. Delivery by bicycle or electric vehicle is thus a core element of our environmental protection strategy.
But reducing emissions is just one aspect of sustainability, which is why we also work to minimize our consumption of natural resources such as wood and water and engage on behalf of biodiversity. We also develop waste-reduction and recycling solutions to mitigate the environmental impact of waste disposal.