How is being green affecting the logistic industry? 

With the continued rise in global warming, consumers are being more selective when it comes to paying for products and services, favouring those who make an effort to minimise their carbon footprint and maintain ethical practices. This has led to a constant drive within the logistics industry to make all processes as sustainable and eco-friendly as possible. In this blog we outline four areas which parcel delivery companies are tackling to adapt to the demands of consumers. 

Optimisation with software

With developments in the fields of technology and machine learning, companies in the logistics industry have been implementing software tools that can help improve efficiency and increase sustainability. For example, tools that predict demand trends are helping companies, like UPS, anticipate packaging requirements so only the supplies necessary are ordered in. This minimises waste and maximises storage capacity. The location of warehouses and storage facilities are also being optimised with the help of software to minimise the distance travelled, and emissions produced, by transport vehicles.

Alternative forms of power

Finding alternative forms of energy that can be used to power vehicles packed with heavy goods over long distances is not an easy task. There are multiple green technologies being developed by the logistics industry, including hydrogen fuel cells and electric batteries. For example, Amazon have invested in 100,000 electric delivery vehicles which have started to be deployed for parcel delivery in the US. As well as renewable technologies, companies are looking at utilising different fuel options. Low carbon fuels go through additional pre-processing to remove as many toxic impurities as possible, including sulphur, to reduce the negative impact of emissions produced. Sustainable aviation fuel is becoming increasingly popular with air cargo carriers, and can be produced using waste products such as agricultural residues and waste oils.

Fuel efficiency

There are multiple methods being adopted by parcel delivery companies to increase fuel efficiency during transport, from vehicle redesign to route optimisation. Sea transportation companies are developing more streamlined ship hulls that cut through the water more effectively, reducing fuel consumption. Running at lower speeds, or ‘slow steaming’, is another method used to maximise efficiency, which is a very simple but effective way of minimising carbon emissions. Lighter loading pallets and containers are being developed by manufacturers for the aviation industry, which reduce the weight being carried and therefore the fuel being consumed. 

Sustainable packaging

Cargo transport vehicles often reach max. volume capacity before they reach max. weight capacity, and as a result the use of bulky protective packaging is slowly being replaced with space-saving alternatives. Changing the packaging used to store and ship goods is another way that companies in the logistics industry have been trying to become more ‘green’. UPS are trying to develop and implement sustainable packaging that can be completely reused and will not require disposal. This is something that has the potential to significantly reduce the amount of waste generated, especially if applied across the parcel delivery industry. 

These are just some of the ways that companies in the logistics industry are making an effort to be more ‘green’. And as well-being driven by consumer demand, there is also additional regulatory pressure with the aim of increasing the sustainability across the industry. For example in June 2021, The International Maritime Organisation (IMO) devised a formal system of rating the energy efficiency of ships, with incentives for higher rated vessels. This is all part of their strategy, which aims to halve annual greenhouse gas emissions from shipping internationally by 2050. Contact our team here to find out about how we’re trying to reduce our carbon footprint and become more ‘green’.