Market needs trump ‘green’ pressure

As South African logistics firms face global pressure to reduce carbon emissions and “green” the supply chain, for many companies that are facing difficult times due to the tough economic climate the environment is not always top priority. Road Freight Association acting CEO Gavin Kelly said operators who shipped, warehoused, consolidated, forwarded and transported goods through SA, Africa and to other regions were under “huge pressure” to curtail carbon emissions.  “This relates to direct emissions from transport engines (all modes), recycling of waste materials, and minimising energy consumption through heating, cooling, lighting and equipment power
consumption,” Kelly said. This meant firms had to dump fossil fuels and find ways of using green energy sources. “This has a direct impact on whether manufacturers and logistics providers will be accepted for business in the worldwide community. So there is tremendous pressure to meet minimum requirements and conform to greening processes and objectives dictated by a first world economy,” Kelly said. One such global firm that is serious about greening the supply chain and dictating industry trends is Deutsche Post DHL Group which met its goal to become 30% more carbon efficient by 2020, compared to 2007, four years early at the end of 2016. Spokesman David Stöppler said that by 2025 the firm aimed to increase
carbon efficiency of its own activities and those of transport subcontractors by 50% globally, compared to 2007. “At the local level, the group aims to improve the lives of people right where they live and work using clean transport solutions. The company will make 70% of its own first and last mile services with clean pick-up and delivery solutions, such as bicycles and electric vehicles,” Stöppler said. He said the group aimed to reduce net logisticsrelated emissions to zero by 2050.
“The use of vehicles with alternative drives and technologies plays an important role in this regard, which is why DHL is testing and implementing various concepts worldwide,” Stöppler said. One such concept is the use of the solar energy TRAILAR innovation on trucks. “Thin film, flexible solar mattings on the truck roof feed energy into the vehicle battery or into additional storage batteries on board. This reduces carbon emissions and lowers fuel consumption by 5%, whilst at the same time increasing

engine efficiency and longevity,” he said. Kelly added that the RFA could assist transporters to identify changes that needed to be made and help them implement processes to reduce carbon footprint. Industrial Logistic Systems chairman Martin Bailey said the main pressure on local operators was the drive to reduce cost. “Some companies are really keen to reduce their carbon footprint but most organisations in SA really just want to survive criminal, political, social, labour and economic pressures.” Bailey said the first step operators could take to reduce carbon footprint was to improve existing processes. “Less touches equals less travel which equals less fuel consumption. 


Clearly, the ideal would be to move to more freight on rail; this typically reduces consumption by a factor of five.  That’s got to be the biggest influence on the national carbon footprint but that is only going to happen when Transnet Freight Rail gets its act of the western world, we are going to end up with 30% plus goods going via e-commerce.  Add lots of product proliferation and we end up with many more small deliveries, consuming much more fuel.  We are driven by market needs and that may be very different to our desire to improve operational efficiency and “green” the world.

CAPTION: If  we follow the rest of the western world, we are going to end up with 30% plus goods going via e-commerce. – Martin Bailey