DHL turns green
Hybrid and fuel efficient vehicles with a combination of fleet optimization helped the company improve its carbon foot prints says R S Subramanian, country manager DHL
Renjini Liza Varghese
DHL reduced its carbon emissions by nine per cent. Could you explain how the company managed to do this? What are the initiatives taken by the company as part of the project to ensure emission reduction? In India, the ‘Go Green programmeme’ was initiated in May 2008 with to reduce our carbon footprints as well as improving the efficiency of our logistics networks. In the past two years, our company has initiated several measures to reduce carbon emissions. Fleet optimization has been one of our key initiatives to improve carbon emissions. To increase fuel efficiency, we have replaced over 60 vehicles with 75 motorbikes. In addition, we have introduced hybrid and fuel-efficient vehicles for CO2 reduction. At the same time, we have implemented pick up and delivery optimization measures to further enhance our operational efficiency and service levels for customers. We also have initiated a host of other internal measures such as phasing out excess printers and photocopiers, reduction in air conditioning usage, using energy-efficient bulbs, auto hibernation of PC monitors, prudent use of material handling equipment (MHE) to optimize the energy consumption and utilization. We have substituted air routes with intercity road line haul.
What are the targets for the next two years?
We are the first major logistics provider to set specific and quantifiable CO2 targets that will be applied through a focused approach across four key functions – air, road, real estate and products and services. We have set stringent targets for reducing emissions per package sent, tons transported and square meters of real estate used by 10-12 per cent by 2012 and by 30 per cent by 2020. We plan to achieve these targets by using measures such as more efficient transport, optimized planning, alternative sources of energy and innovative technologies.
Which fuel have you opted for?
By clean fuel, we mean lower levels of vehicular emissions comprising hydrocarbons, nitrous gases, sulphur, carbon monoxide and particulate matter. DHL is the first logistics company to try hybrid vehicles in its operations. The entire DHL ground fleet has been converted to LPG. More than 250 vehicles have been fitted with the units. This fleet is proving to be cost and fuel efficient.
How do you calculate emission per parcel?
DHL calculates carbon emissions generated by transporting each specific customer shipment from the country of origin to destination, and offsets these emissions by reinvesting in certified carbon management programmemes such as alternative fuel vehicle technology, solar panels and reforestation projects. These projects have been identified through DHL’s dedicated carbon management function. Customers have the option to choose the Go Green service when ordering international express shipments and pay a three per cent premium on top of the standard delivery charges to ship carbon neutral. This money will go to the carbon management programmes. The programme is annually verified by an external certifying body, the Swiss based Societe Generale de Surveillance. Customers then receive an annual certificate from DHL stating the total amount of CO2 offset on their behalf during the year.
Elaborate on the alternate fuel vehicle technology used by DHL?�
We are using clean fuel vehicle technologies like electric, hybrid-electric in Europe and compressed and liquefied natural gas in India. Technologies such as alternative technology vehicles are allowing fleet operators to reduce fossil-fuel consumption and carbon emissions. The aim is to reduce fuel consumption and thus reduce CO2 emissions by setting up an environmentally-friendly transport and logistics network, and to gather important performance data to further develop the technology. We are operating 250 LPG vehicles. These fuels reduce particulate matter. Globally, we have introduced smart trucks which are equipped with RFid technology to control shipments while they are on board. The on-board unit automatically navigates the vehicle and draws up a stop list that takes into account current traffic data to avoid traffic jams. Our smart trucks demonstrate how modern technologies can help protect the climate. These trucks are deployed with a dynamic tour planning system that calculates the most efficient delivery route and cleverly manages traffic jams, detours and instant orders.
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