Freight Forwarders Focus on Environment

November will be seen in the British International Freight Association’s (BIFA) history as an auspicious month with the first meeting of its new Sustainable Logistics Policy Group, managed by Mike Jones, policy advisor for sustainability and environment.

For many years BIFA has been monitoring the legislation, tracking any new regulations, and delivering advice to its corporate members on various environmental issues such as plastic packaging and the problems surrounding its disposal, as well as the development of different fuel types and their respective merits and de-merits.

Environmental and sustainability issues are not new and, over time, the environmental agenda within freight and logistics has developed. Whilst the focus is often about carbon emissions, there are other wide-ranging generic issues.

With all of the above in mind, BIFA felt the need to establish a policy group to help identify and report to the Association and its Members on environmental-related issues which may in the future have an impact upon their businesses, or in fact are already doing so.

At the meeting, attendees discussed how the policy group could work to provide guidance to the association in order to deliver meaningful support on environmental and sustainability issues as they impact the UK and the international freight services industry. Future meetings will discuss how to agree and set the association’s policy on all matters concerning environmental matters.

The date of the meeting also marked ‘Use Less Stuff Day’, which seemed like an appropriate time for the first meeting of a policy group established to help BIFA assist all of its members, whatever their size, meet the ever-increasing challenges associated with environmental and sustainability issues within freight and logistics.

Sustainability expert and consultant to BIFA Kelly Hobson of Shape Tomorrow gave a presentation about the wider business case and requirements of any supply chain, whilst Lucinda Maxwell, founders’ associate, from Pledge delivered an interesting overview about calculating freight emissions and sustainability regulations.

At the meeting, Director General, Steve Parker emphasised the significance of this new policy group and urged members that were present to encourage other members to engage with the group and attend future meetings.

He said: “All BIFA members are at different stages of their journey in regards to the development of policy that addresses environmental and sustainability issues within the supply chains that they manage. By participating in this policy group, members will be able to help shape best practice guidance; and influence how BIFA can represent members’ interests on this subject in our interaction with Government and other stakeholders that are developing legislation on the matter.”

Give Warehouse IT Hardware a Second Life

Green warehouse IT involves much more than a paperless office. Green IT also means, among other things, responsible handling of procurement and disposal, or ideally the recycling of used corporate hardware. The Leipheim-based company Wanzl, which recently joined the world’s largest voluntary sustainability initiative, the UN Global Compact, is now working with the IT refurbisher AfB social & green IT. AfB is a multi-award-winning inclusion company where people with and without disabilities work together in the regular labour market. This promotes the social participation of people with disabilities. It specialises in the environmentally friendly and resource-conserving remanufacturing of IT hardware.

”We are very pleased to be working with AfB social & green IT,” said Andreas Starzmann, Chief Technology Officer at Wanzl. “This collaboration not only gives us a sustainable and environmentally friendly way to recycle the equipment we have decommissioned, but also an opportunity to support AfB’s work and support people with disabilities.” Nicolai Gräff, Partner Manager of AfB social & green IT, is also delighted with the new partnership: “On behalf of AfB social & green IT, we welcome Wanzl as a new partner and thank them for placing their trust in our services. By collaborating with our more than 1,600 IT partners, we are working together to advance our mission of inclusion in the labour market and environmentally friendly IT recycling.”

In modern corporate IT, large quantities of old equipment regularly accumulate – from laptops to smartphones to power supply units. It is a challenge to repurpose them professionally in accordance with the requirements of data protection and information security, and therefore involves a considerable amount of work. “Scrapping has always been something I’ve been personally opposed to and no longer fits in with today’s times. Our warehouse of old devices is constantly growing in the hope that it will be possible to put them to use again,” said Dierk Meissner, Senior Vice President Global IT at Wanzl, and adding: “Many of the devices are well suited to a second life after professional use, as they were often only replaced due to expired manufacturer warranties or to standardise infrastructure. Collaboration with AfB is the solution to this.”

Recently, the first trolleys from Wanzl, which are compliant with dangerous goods regulations, were brought to the nearest AfB branch with discarded notebooks, monitors, PCs and smartphones. The used hardware, which is usually still fully functional, is refurbished there, all data is deleted and the devices are equipped with the latest operating system and sold. This extends the useful life of a smartphone, for example, from around two to four years. Avoiding new production reduces emissions and conserves valuable resources. Devices that cannot be remarketed are properly disassembled and recycled.

Beyond this ecological contribution, used hardware at AfB is not only “green”, but also “social”. This is because it is a non-profit inclusion company. Of the approximately 650 employees, around 49 percent are severely disabled. Hence the name “AfB”: Arbeit für Menschen mit Behinderung (translation: work for people with disabilities). For this exceptional business model that successfully combines environmental and social sustainability, AfB was awarded the IT Business Distri Award Gold for Refurbishing & Remarketing 2023, the German SDG Award 2022 and the German Sustainability Award 2021.

Through the partnership with AfB, Wanzl is taking an important step towards contributing to the achievement of the 17 Sustainable Development Goals (SDGs) and assuming its responsibility for the environment and society. AfB contributes to seven SDGs through its socio-ecological IT services. The partnership between Wanzl and AfB strengthens the impact of these SDGs and contributes, among other things, to increasing awareness of environmentally friendly recycling of IT hardware.

Transforming the Supply Chain for Sustainable Future

As the world becomes more focused on sustainability, businesses across all industries are exploring ways to reduce their environmental impact by driving revenue, reducing operational costs, improving business reputation, building consumer perception, and fulfilling corporate social responsibility, writes Varun Visruthan. Traditional oil-producing countries are moving towards electrical-based production, and businesses are increasingly adopting innovative strategies to make their supply chains more sustainable.

Green logistics, also known as sustainable logistics, is a growing trend that focuses on reducing the environmental impact of extensive transportation and distribution of goods involved in maintaining global commerce. Companies must embrace a range of green logistics strategies to achieve a sustainable supply chain. These include the use of electric or hybrid vehicles for transportation, optimizing routes to minimize fuel consumption and emissions, and implementing waste reduction and recycling programs. Additionally, companies can use automation to improve the efficiency and accuracy of their intralogistics operations, such as by implementing real-time tracking and monitoring systems.

Storage, transport, and inventory management are three important aspects of warehouse operations. With the adoption of robotics and automation systems such as the Automated Storage and Retrieval System (ASRS), companies can consider using efficient motor drives (IE3 or IE4 level), reusing the energy from braking, and using the latest battery technology (LTO) with the longest life cycle. In addition, this is a way for warehouses to utilize the cubic meter vertical space of a warehouse, thereby reducing the overall footprint of the facility. With the advantage of the cost of buildings and land, there is also less area to heat or light up, resulting in energy savings. This is even more critical in applications of frozen warehouses, where there are fewer walls and roofs to absorb heat from the outside, resulting in lower refrigeration costs. This is evident in the Middle Eastern market. Each country, be it in the UAE, Saudi Arabia, Kuwait, Oman, Qatar, or Bahrain, has its own set of challenges due to its proximity to the sea or being placed in the midst of a location far away from electrical transmission lines.

With real-time inventory updates from advanced Warehouse Management Software (WMS), warehouse managers can easily effectuate FIFO (the first-in-first-out) method to reduce inventory wastage with fixed shelf lives. AI-powered software provides analytics to predict demand and accordingly creates inventory. Inventory can also be managed at forward locations such as smaller warehouses or micro-fulfilment centres (MFCs) to not only improve consumer experience but also reduce on-road transportation of vehicles or reduce vehicles with suboptimal capacity utilization. Smart Fleet Management Systems (FMS) and Truck Management Software can combine inventory management with efficient transportation by planning inventory routes, task allocation, and scheduling. With such collaborative and intelligent transport systems, supply chain managers will reduce transition times, leading to energy savings. It also ensures the optimal capacity utilization of vehicles, reducing overall carbon emissions.

A fully automated warehouse can be seen as a lights-out (dark) warehouse with almost no human involvement. When space is better utilized, operations are optimized to every bit, and wastage is reduced significantly; there is less space to illuminate, less distance to transport, and less waste to process. In addition, it increases the efficiency, reliability, and accuracy of warehousing operations.
An automation solution provider with both hardware and software capabilities, such as Addverb, can offer all of these require a higher upfront investment but pay off in energy consumption and is better for the environment.

The future of logistics is green, and companies that embrace sustainable practices are better positioned to succeed in the long run. By reducing their environmental impact and building a reputation for sustainability, companies can attract customers and partners who share their commitment to a sustainable future.

Decarbonization of Logistics: Data Start-up

shipzero enables transport and logistics companies to create transparency about their emissions data and manage decarbonization throughout the supply chain. The Hamburg-based data platform has received seven-figure growth funding for further product development and internationalization. Through the data-based processing and analysis of transport data, the startup identifies and supports its customers in concrete decarbonization projects. The investors include the Munich-based VC investor “Rethink Ventures”, which specializes in mobility and logistics, the sustainability-focused investment company “zu na mi” and the London-based climate tech investor “Rainmaking Impact”.

“With the funding, we will further expand the functionality and analytics capabilities of our data platform. We want to radically simplify emissions reporting, make it more accurate, and enable data-driven decisions and investments to accelerate decarbonization in specific projects within the transportation sector,” says Tobias Bohnhoff, co-founder and CEO of shipzero.

The awareness of a necessary transformation in the industry has grown steadily over the past two years. This is also reflected in the sharp rise in demand for the shipzero data platform. The team of logistics and data experts is now being requested by companies ranging from owner-operated freight forwarders to major corporations. Companies such as the Nagel Group, BLG Logistics, Lanfer Logistik and BSH Hausgeräte already rely on the expertise of the 23-strong team.

Transport and logistics companies are facing major challenges. Manufacturing companies, which purchase high volumes of transport, are demanding greater transparency and the ability of their service providers to report information on emissions data. Meanwhile, legal regulations are increasing the obligations for comprehensive CO2 reporting on the transports carried out.

At the same time, many companies struggle with the consolidation of their transport and order data from the various systems even before the actual CO2 calculation. “We notice repeatedly, the biggest challenge is getting access to the most complete information possible. There is a lack of a holistic view of all movement and consumption data and a reliable quality of the data,” says co-founder and data expert Mirko Schedlbauer. shipzero integrates primary data from diverse fleets and systems, including those of external logistics partners, into its platform. The CO2 calculation is thus not only based on projections, but on the actual energy turnover of the means of transport.

According to Bohnhoff, the coming financial years will be characterized by increasingly ambitious goals on the path to climate neutrality and the investments required to achieve them. The two founders know the specific challenges of the transport and logistics industry and have specialized the data platform and the team behind it in the complex logistics business. “In the coming years, billions will be invested in alternative engines, fuels and infrastructure. Today, only a few companies can tell on a data basis where and when exactly this investment will pay off for them, and that’s exactly what we want to change with shipzero,” explains Tobias Bohnhoff.

shipzero is a data platform that enables effective emissions tracking and reduction in global freight transport. Shippers, logistics service providers and carriers can use shipzero to manage transport emissions and to move towards net-zero logistics. Appanion Labs was founded in Hamburg in 2018. The team combines experts in data management, logistics and sustainability. The emissions data platform shipzero was launched in 2021 and has been growing continuously. It tracks over 30 million transports in more than 70 countries and is connected to thousands of data generating logistics assets.

Global Network Becoming Carbon Neutral

Arvato Supply Chain Solutions has switched the energy supply of five more distribution centres in the USA to green electricity from wind and solar energy, aiming to be carbon neutral. Following the warehouse in Pleasant Prairie, Wisconsin, four distribution centres located in Louisville, Kentucky, and one in Valencia, California, now also obtain electricity from renewable sources. This will reduce annual greenhouse gas emissions by an average of around 3,100 metric tons of CO2. This is a further step in the sustainability strategy of the supply chain and e-commerce service provider, which, together with its parent company Bertelsmann, aims to be carbon neutral by 2030.

“To enable us to achieve this ambitious goal, all Arvato sites worldwide will be converted to green electricity,” says Mitat Aydindag, President of Arvato North America, explaining the strategy. “It underscores our company’s commitment to environmental protection and the responsible use of natural resources. It’s important to us that our success is measured not only by economic figures, but also by the measures we’ve implemented to build a more sustainable organization.”

In general, however, the supply of “true” green power, i.e. power from renewable sources such as solar and wind, is still very limited in the U.S., and making the switch is sometimes very difficult, depending on the region. That’s why Arvato Supply Chain Solutions in Louisville, Kentucky, is working with two local electric utilities, LG&E and East Kentucky Power Cooperative. Both companies offer a green power program that buys “green” energy to offset the electricity consumed on-site. “Because our distribution centres in Louisville are among the first in the U.S., we are especially proud that these sites are now purchasing green electricity to support the expansion of renewable energy in the region,” says Rachael Miller, Site Director for Arvato’s Louisville campus.

The Valencia, California, site, on the other hand, relies on the Clean Power Alliance. Clean Power Alliance is the locally operated not-for-profit electricity provider for 30 cities across Los Angeles County and Ventura County, as well as the unincorporated areas of both counties. Here, the traditional utility provides transmission and distribution of the electricity, while a third party purchases the green power on behalf of program participants. In 2020, 70 percent of the electricity provided came from solar power and 30 percent from wind power. “It’s very encouraging when businesses make the leadership decision to select 100 percent renewable energy as their preferred power option,” said Matthew Langer, Chief Operating Officer at Clean Power Alliance. “When companies like Arvato choose to use renewable energy in their operations, it can help spur demand for more renewables in the market and contribute to the renewable energy transition.”

This view is shared by Stephan Hackert, Vice President and Industry Lead Healthcare U.S. at Arvato: “All of our employees in the U.S. are very proud of this commitment – after all, we are successively sourcing more and more of our country-wide electricity needs from clean, renewable sources.” These kilowatt hours make an important contribution to the targeted climate neutrality. “Having already made a decisive contribution to achieving our climate protection targets with these measures, we will now look at the remaining emissions and consider which measures we can use to compensate for them,” adds Aydindag.

At the beginning of the year, Arvato’s newest location in Las Vegas was officially opened. Following the ambitious decision to become climate-neutral by 2030, Arvato placed a high value on sustainability while designing the warehouse. The logistics centre, for example, was designed with a reflecting roof that absorbs only a small amount of direct sunlight. It effectively prevents the building from overheating, lowering energy usage for air conditioning. The highly efficient LED lighting with connected occupancy sensors deployed throughout the building also contributes to energy savings. Furthermore, the warehouse has around 250 skylights that allow plenty of daylight into the building, thereby reducing the power consumption.

“Sustainability is a continuous improvement effort,” highlights Aydindag. Arvato Supply Chain Solutions has a total of 87 warehouses on five continents with more than 27 million square feet of storage space. In the US, the warehouse network includes a total of 10 locations in Ontario (CA), Valencia (CA), Las Vegas (NV), Pleasant Prairie (WI), Louisville (KY) and Memphis (TN), where comprehensive logistics services are provided to numerous customers in the consumer tech and healthcare industries.

Sustainable Solutions: Cleaner Alternative to Red Diesel

In June 2019, the UK became the first major economy in the world to pass laws guaranteeing an end to its contribution to global warming by 2050, requiring the UK to bring all greenhouse gas emissions to net zero by this date. This will inevitably have an impact across industries and companies as they start to research and deploy new solutions to fall in line with government targets. To meet its ambitious goals, the government will introduce several initiatives over the coming years, so organisations must prepare now – not just to support global warming reduction efforts, but also reduce their costs and reap the resulting productivity benefits. Alexander Baal, Directors Sales Operations, Jungheinrich UK Ltd., explains how Lithium-Ion battery technology in the material handling industry will be an instrumental solution in supporting the government’s aggressive environmental targets, while also delivering valuable productivity gains.

Reducing red diesel

Part of the government’s initiative to tackle climate change and improve the UK’s air quality involves changing laws around the use of red diesel. From April 2022, the government plans to remove business entitlement to use this type of fuel, except for agriculture, rail and non-commercial heating. At present, businesses gain a significant benefit from using red diesel, paying a duty of just over 11p per litre, compared to almost 58p per litre for using white diesel. At Budget 2020, the Chancellor, Rishi Sunak brought attention to the fact that the sectors using red diesel are some of the biggest contributors to polluting air quality and the red diesel scheme was essentially “a tax relief on nearly 14 million tons of carbon dioxide every year.”

Despite calls by a coalition of construction trade bodies for an extension on the abolishment of red diesel to at least 2023 to allow for time for economic recovery after the pandemic, the fact remains that red diesel has a detrimental impact on the environment. In order to achieve the UK’s climate change goals, businesses will inevitably need to adapt to using cleaner sources of energy. Many will therefore need to overhaul their diesel equipment and consider more energy efficient power alternatives, such as Lithium-Ion. Addressing these issues now will increase efficiency and sustainability in the long-term, preventing any damage to business operations and ensure continuity.

A cleaner alternative for MHE

Separate to the plans around red diesel, research by Calor found that 38% of forklift users are facing pressures to reduce their carbon emissions, and although 54% of those surveyed recognised that carbon reduction was a very important consideration, there were other priorities ahead of this. Above carbon concerns were cost, fuel efficiency, machinery downtime, security of supply and level of customer service from the fuel provider.

Lithium-ion batteries offer many operational and commercial benefits compared to diesel or gas-powered trucks or even lead-acid batteries. Increased efficiency and reliability is achieved as Lithium-ion delivers energy for multiple shift applications without the need for battery changes, due to its rapid charging times and the possibility of opportunity charging during short breaks. Additionally there is a very small drop in remaining capacity experienced over the entire lifecycle of the battery. Savings are made as no maintenance is required and no period of battery resting is needed after each charge. During the recharge process, less energy is wasted as heat, thus saving money, and during the truck’s operational shift, energy is harvested through direction changes and braking – resulting in lower energy costs.

An electric forklift may have a higher initial cost than its diesel or gas counterpart, however, it also benefits from lower maintenance costs as fewer service items are involved. This means the total cost of ownership can be significantly lower, especially when considering the stability of the price for electricity compared to red diesel.

Not only does Lithium-ion prove cost effective with the added benefit of having rapid return on investment (ROI), but it has the ability to support most 24×7 logistics operations with its fast charging capabilities, meaning operators won’t need to be concerned about machinery downtime.

Conscious compliance

Sustainability is key to the future of the industry and protecting the planet. The government will continue to introduce schemes, such as the impending red diesel initiative, to reduce carbon emissions in order to meet its targets and protect the environment – but the compliance of industry is essential to achieving this.

Organisations have the opportunity to proactively prepare for a sustainable future and not be caught off-guard. While it may seem like a significant undertaking to upgrade materials handling equipment, there are solutions available now that can support this shift in addition to delivering significant cost, efficiency and productivity benefits. Not only does the changing legislation around red diesel provide companies with the perfect opportunity to act, employing Lithium-Ion as an energy-efficient solution will also protect organisations against future legislative changes and work towards a more sustainable future, while ensuring business productivity and success.

LSP Awarded a CDP B Rating for Effective Climate Action

GEFCO has enthusiastically responded to the CDP questionnaire, which provides a framework for companies to provide information on their climate action performance, including governance and policy, risks and opportunity management, environmental targets and strategy, and scenario analysis. GEFCO progressed in several of the CDP’s 14 categories and achieved a higher score than the industry average.

In particular, GEFCO advanced in the business strategy category, as highlighted by the launch of its Operations Excellence and Sustainability Department (OES) in 2020. The Group was also recognized for its tangible improvements in emissions reduction initiatives through its commitment to 2% CO2 avoidance. These initiatives include testing natural gas trucks in several European countries and using mega trucks in Spain for larger loads and greater efficiency. Moreover, GEFCO gained traction in value chain emissions management by working proactively with suppliers to reduce its environmental impact. The company also improved its disclosure of risks and governance.

“It’s extremely motivating to be recognized for our progress in several key categories and to receive insights on where we can strengthen our commitments,” commented Anne-Brigitte Spitzbarth, Vice President of Operations Excellence and Sustainability (OES). “We’ve also recruited Aldo Diaz-Sanchez, a carbon strategy expert, to help us define and accelerate a robust carbon reduction strategy starting in 2021. Our continued participation in the CDP carbon disclosure system offers us a tremendous opportunity to learn, benchmark and identify areas where we can make a difference to our employees, partners and customer in our environmental journey.”

Property Companies Team-up to Raise Net Zero Carbon Understanding

Two of the UK’s leading logistics property companies, Prologis and Tritax Big Box , have joined forces to share best practice for net zero carbon development in the sector and highlight the important role it can play in minimising the impacts of climate change.

Both companies have developed their own pathways to net zero carbon over more than a decade and have come together to share their learnings in a new report, entitled ‘Net zero building in action’. As well as challenging other property developers and logistics companies to take action to reduce and mitigate ‘embodied carbon’ when designing and constructing new buildings, the report shares distinct methodologies for achieving net zero carbon, in line with the UK Green Building Council’s (UKGBC) Net Zero Carbon Buildings Framework Definition.

Simon Cox, UK sustainability officer for Prologis in the UK believes that key to achieving net zero is understanding that while steps can be taken to reduce ‘embodied carbon’ prior to and during construction, it can’t be eliminated from new buildings altogether. It must, therefore, be mitigated, either through an accredited carbon offset scheme or an alternative carbon mitigation scheme. The pathway to net zero carbon devised by Prologis in the UK has seen the property company work with sustainability certification programme, The Planet Mark, for the past 12 years to measure, reduce and mitigate the whole-life embodied carbon footprint of each new building, based on robust Carbon Lifecycle Assessments. Prologis then goes over and above the Planet Mark Certification Scheme to mitigate five times the unavoidable carbon emissions in its buildings by working with climate change charity, Cool Earth, to protect rainforest. Over the past 12 years, this initiative has protected over 12,500 acres of rainforest, locking in 3.7 tonnes of co2 and protecting over 3.4 million trees.

The pathway to net zero carbon devised by Tritax Big Box , along with its dedicated logistics developer, Tritax Symmetry, is similarly robust. Together they have developed a unique analytical model to measure the embodied carbon of each of the materials and products used during construction, in order to identify the building’s lifecycle carbon impact. This innovative carbon model is currently being piloted on two ongoing developments – a new distribution facility for DPD at Bicester and another for the Co-op Group at Symmetry Park, Biggleswade. On completion, each building will be independently verified as net zero carbon in accordance with UKGBC’s Framework Definition. Carbon offset arrangements will be undertaken at this stage to address any residual embodied carbon using one of the UKGBC’s recognized schemes.

The pathways to net zero carbon followed by both Prologis and Tritax Big Box are aligned with UKGBC’s Framework Definition. The report describes the construction of two specific developments by Prologis and Tritax Symmetry – Internet Fusion’s new HQ at Prologis Park Kettering and DPD’s new UK distribution centre at Bicester, respectively.

Simon Cox, First Vice President and UK Sustainability Officer at Prologis, said: “The carbon mitigation scheme we have developed at Prologis provides clear metrics to our customers, so they know that the buildings they are using are certified as net zero carbon and support their own sustainability credentials. Working with The Planet Mark and Cool Earth, our activities are helping to fund rainforest restoration programmes and protect the planet against the ravaging effects of climate change. Crucially, we don’t just aim for net zero, our carbon mitigation scheme is deliberately weighted to over-compensate for the residual embodied carbon of any new building, delivering a net environmental benefit.”

Helen Drury (pictured), Sustainability Lead at Tritax Big Box, said: “The logistics buildings we develop today will be here in 2050 and, therefore, we have a responsibility to ensure they are net zero carbon when we hand them over to our customers. The model we have developed is an important sustainability asset and we will continue to refine it to take account of new building products and methods.”

Karl Desai, Senior Advisor – Advancing Net Zero at UKGBC, added: “These companies have come together to share their knowledge and experience in a transparent way and this is exactly the kind of initiative that is needed to increase the pace of change across the wider construction sector. Embodied carbon in the built environment accounts for around 11% of global greenhouse gas emissions and this must be tackled now.”

Red Sea Gateway Terminal Wins Sustainability Award

Red Sea Gateway Terminal (RSGT), has been named winner of the 2020 Sustainability Award at the 17th Annual Seatrade Maritime Awards, Middle East, Indian Subcontinent & Africa, hosted virtually from Dubai. RSGT was selected in recognition of “the exceptional initiative that supports sustainable maritime commerce” by the judging panel of independent industry experts.

“We are very proud to have been selected by our peers for this award,” stated RSGT CEO Jens Floe, who added, “we remain dedicated to pursuing environmentally sustainable operations at Saudi ‘Arabia’s largest container terminal, through our CSR program, constant investment in new, low emission and efficient equipment, procedures, and the extensive training of our personnel”.

RSGT is currently commissioning two new latest-generation electric-powered STS cranes and 10 new technologically advanced hybrid-Rubber-Tyred Gantry cranes (RTGs) delivered in November, into the i’ ‘facility’s container handling operations. The use of electric cranes eliminates emissions of CO2 and other greenhouse gases resulting from diesel-powered cranes; the hybrid-RTGs switch from diesel to battery power depending upon usage needs, also reducing diesel-related emissions, while improving fuel efficiency. RSGT has also established artificial reefs just outside the port area in support of biodiversity and marine life.

Over the 30-year term of the concession agreement signed last year with the Saudi Ports Authority (Mawani), RSGT will be investing USD 1.7 billion in new terminal infrastructure and equipment to improve operational efficiencies and reduce greenhouse gases and other emissions, as the terminal expands annual container throughput capacity to 8.8 million TEU. RSGT incorporates programs and training in support of sustainable terminal and port operations, and environmentally-conscious conservation planning, reflecting a core philosophy of the ‘company’s business model.
“Our commitment to sustainability and protection of the environment and natural resources of the Red Sea Region is shared by all of our staff, and is a guiding principal in our daily operations, as well as our long-term strategic planning”, noted Mr. Floe.

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