Carbon efficiency key, says DP DHL study

Deutsche Post DHL has released a new study addressing how pursuit of sustainability will transform the logistics industry. The quest for sustainability will affect business models as well as the range of advanced solutions and technologies that will be used, “Delivering Tomorrow: Towards Sustainable Logistics” reports.

The study is based on in-depth research and contributions from international experts as well as a representative survey of 3,600 business customers and consumers worldwide.

“We want to take a significant step forward to improving carbon efficiency and do our part to facilitate a low-carbon economy. The study provides valuable insights how our industry can achieve this goal,” said Frank Appel, CEO of Deutsche Post DHL.

“Sustainability, especially the reduction of carbon emissions, is already a central aspect of our business and an integral part of our corporate strategy. Customers worldwide increasingly demand greener logistics and are thus the best indicators for us that we are on the right track.”

Deutsche Post DHL was the first logistics company worldwide to commit to a carbon efficiency target – 30% improvement by the year 2020 compared with 2007.

According to the study, the logistics industry will be key to comprehensive carbon reduction efforts in most sectors due to its unique expertise and positioning along the supply chain.

Sixty-three percent of business customers believe that logistics will become a strategic lever for CO2 abatement.

In addition to its strategic economic importance, logistics will increasingly be seen as essential to achieving lower carbon emissions across the economy.

“The logistics industry can achieve significant carbon reduction results today by making distribution networks more efficient, using the right modes of transportation and by managing load capacities and routes more efficiently,” said Appel. “Our aim with the study is to create a more focused debate. The report aims to show how business innovation and green demand can drive a carbon-efficient industry and lead to a low-carbon economy.”

The study also shows that carbon pricing mechanisms will accelerate a market-based dynamic toward more sustainable solutions. Once there is a real price tag attributed to carbon emissions, the environment will be an integral part of investment decisions.

Especially customers in Asia are ready to accept that sustainable solutions may cause higher prices, the study shows. For example, 84% of consumers in China, India, Malaysia and Singapore say they would accept a higher price for green products – compared to only 50% in Western countries.

The sense of urgency regarding climate change is strongest in Asia (India, China), where 70% of consumers asked rated it as one of the world’s most serious problems.

Deutsche Post DHL has seen over the past years that both factors, the acceptance of higher prices and the sense for climate protection, influences its business. For example, the number of CO2 neutral shipments by Deutsche Post DHL almost quintupled from 2008 to 2009 – from 145m to 704m.