Fully-Electric HGV Added to Fleet

Kinaxia Logistics has added the first fully-electric Volvo HGV to its fleet as the company continues to invest in its environmental and emissions reduction strategy and help customers to decarbonise their supply chains. The new Volvo FM 4×2 tractor unit, which has a range of 200 miles and is powered by six batteries and three electric motors, was supplied by award-winning Volvo dealer Thomas Hardie Commercials.

It is being deployed to move stock for Vaillant, which manufactures heat pumps and high-efficiency boilers to help decarbonise home heating in the UK. The zero-emissions vehicle, which replaces a diesel truck, is being used to transport goods from Vaillant’s manufacturing plant in Belper, Derbyshire, to a national distribution centre seven miles away at Denby.

Kinaxia says the tractor unit will reduce delivery emissions for Vaillant by more than 21,600kg CO2e a year. The electric truck complements other eco-friendly vehicles in Kinaxia’s fleet which are powered by compressed natural gas and hydrotreated vegetable oil, as part of its mission to help customers remove carbon emissions from their supply chains and meet environmental targets.

Simon Nelson, managing director of Kinaxia’s contract logistics operations, said: “We announced at the start of the year that we would be investing further in sustainability measures, and this new electric vehicle sits alongside other recent initiatives, including our greater use of technology and our K-Link distribution network which reduces delivery miles and emissions for customers. This upgrade supports Vaillant’s goal to halve its carbon emissions by 2030 and there are great synergies between both businesses, as we drive decarbonisation of our customer supply chains and Vaillant supports the decarbonisation of home heating through the design and manufacture of low-carbon systems.”

Nick Bennett, supply chain director at Vaillant Group UK & Ireland, said: “We’re delighted to have invested in a more efficient fleet, launching our very first fully- electric lorry which supports us on our journey to net zero. At Vaillant, we are driving the transition to decarbonising home heating with our heat pump technology, so this new vehicle moves us forward in a positive way whilst we consider how we further decarbonise the whole supply chain. Partnering with Kinaxia and Volvo has allowed us all to work together with a shared sustainability vision. We see this as the first of many electric vehicles yet to be introduced into our fleet.”

Kinaxia, which has its headquarters in Cheshire, has 1,600 staff nationwide and operates a fleet of 1,000 vehicles transporting goods for the retail, leisure, food and drink and manufacturing sectors.
The company’s national network of hubs provides a full source-to-shelf logistics service. It has 2.7 million sq ft of strategic national warehousing facilities offering contract packing, e-fulfilment, returns management, storage services and a complete distribution service.

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Pathway for Reducing Vehicle Emissions

Geodis has pledged to reduce its scope 1 and 2 greenhouse gas (GHG) emissions by 42% and reduce the carbon intensity of subcontracted transport (scope 3) by 30% by 2030 compared to 2022.

Confronted with the climate emergency, GEODIS is committed to a process of reducing its carbon emissions through the application of a science-based approach (the Science Based Targets initiative, or SBTi), in compliance with the goal of the Paris Agreement to limit global warming to 1.5° C. This commitment concerns both direct and indirect emissions.

GEODIS has set targets of 42% for the reduction of the GHG emissions generated by its fleets of vehicles and its buildings (scopes 1 and 2) and 30% for the carbon intensity of subcontracted transport (scope 3) by 2030, by comparison with the base year 2022. These targets have been submitted to the SBTi for approval.

Marie-Christine Lombard, Chief Executive Officer of GEODIS, said: “For many years, GEODIS has been working seriously alongside its customers and partners on measuring and reducing its impact on the climate. Our new goals will further speed up the process, and they establish GEODIS as one of the most committed companies. This new phase is fully in line with the Group’s ambition to make its lines of business more sustainable and to provide our customers with innovative, sustainable and ethical logistics offerings.”

To achieve these ambitious objectives, GEODIS has defined pathways for each Line of Business and geographic region, and has taken account of all the levers necessary for decarbonization.

With regard to its own fleet, GEODIS plans to continue the transition towards alternative vehicles and modes using carbon-free or bio-sourced energies and installing suitable infrastructures for refueling and charging. Collaborative innovation is key to these transformations. As far as last-mile deliveries are concerned, GEODIS has already set a target of providing low-carbon delivery services in 40 French cities by the end of 2024.

Alongside the transition of its own fleet, GEODIS is carrying out measures to reduce GHG emissions on all forms of transport involved in its operations. Its plan entails the use of sustainable marine fuel (SMF) and sustainable aviation fuel (SAF), giving support to customers seeking to optimize their flows and implement appropriate modal shifts, and permanent optimization of the efficiency of the resources employed (the latest generation planes, ships and vehicles; optimized loading and itineraries). This transformation depends on selecting subcontractors on the basis of their practices and commitments, and on supporting small road transport companies to help them carry out their own technological transition.

Reducing the carbon emissions of sites assumes a 40% improvement in overall energy efficiency as well as the availability of a minimum of 90% of low-carbon energy. Projects for new sites incorporate the most stringent environmental requirements.

Measures to achieve optimization, whether they concern routing, loading or the energy efficiency of vehicles or sites, make heavy use of increasingly sophisticated digital tools that are very much part of GEODIS’s ongoing innovation projects.

This transformation relies greatly on the commitment of GEODIS teams. A vast awareness campaign has given them a thorough understanding of climate issues, the principle being the more they understand, the better they will act. Meanwhile, the Group’s senior executives already have a climate criterion incorporated into the variable portion of their remuneration. In addition, environment-related criteria are taken into account in decision-making processes associated with acquisitions and investments.

Adopting EV Fleets Presents Challenges

EV is fast becoming a top priority for many businesses, fuelled by the significant benefits that can be realised through making the switch, writes Dee Humphries (pictured), Managing Director, Equans EV Solutions. With reduced carbon emissions, financial savings, increased sustainability credentials, improved productivity, enhanced employee experience – the benefits of transitioning to an electric fleet are undeniable.

Whilst there are clear benefits on paper, it’s important to acknowledge that transitioning a fleet to EV can come with challenges. In fact, many businesses are presented with multiple barriers when they begin to adopt EV that can sometimes halt the process. However, the solution isn’t to simply admit defeat, but rather to navigate and manage the challenges effectively to ensure the transition is seamless, enabling the gain of long-term benefits.

Here, Dee Humphries, Managing Director of Equans EV Solutions, highlights some of common challenges businesses are facing when it comes to adopting EV, with the strategy to overcome them – alongside a proven framework for EV adoption.

Challenges and solutions for businesses adopting EV

A common challenge fleet operators face in the early stages of their EV transition is a lack of internal buy-in. This can come in the form of resistance from those who do not understand the benefits of EV, as well as from those who see EV as an unnecessary business cost. This is typically prevalent in industries that have historically been dependant on conventional fuel options.

To overcome this barrier, it’s important to ensure these stakeholders are engaged from the offset and the programme is aligned to the business’ overall goals. Overcoming this barrier doesn’t need to be complex, but rather about education and demonstration. Consider sharing success stories of similar businesses via case studies, reports or testimonials. This can help bring the benefits of transitioning to life, building the case for EV adoption.

Another challenge is having the capital to invest in both the required vehicles and charging infrastructure. This can be particularly challenging if EVs weren’t accounted for in long-term budgeting. However, it’s important to think of EVs in terms of total cost of ownership, instead of initial investment costs. Whilst transitioning to EV might be expensive initially, the long-term savings through lower fuel costs, reduced maintenance costs and an extended vehicle lifespan make the investment more than worthwhile. There are also ample government initiatives and schemes that are available for both infrastructure and vehicle costs, plus leasing options available, to make EVs more economically viable.

As with most things, failing to properly plan and prepare is a challenge many businesses will face as this will result in an ineffective EV integration strategy. Transitioning to EV requires an in depth understanding of new technologies, assessing operational requirements and much more. However, often resources to develop this knowledge are limited – meaning hesitations can occur, halting the transition. The solution here is to bring in the experts. This means a specialised organisation who can develop a detailed and tailored EV transition strategy that is aligned with the goals and needs of your business. This will remove any uncertainty and ensure the transition is smooth and successful.

Why now is the time to transition your fleet to EV

Despite the challenges that transitioning to EV presents, the reality is that businesses who don’t start to make the transition will get left behind. The time to start the transition is now and thankfully, with the right strategy and approach, these challenges can be overcome – meaning there’s never been a better time to do so. EV adoption has become more convenient than ever for businesses across the UK. Recent electric commercial vehicle ownership stats highlight many have already implemented EV for their fleets, with vans up 67.3%, buses and coaches increasing by 34.9%, and the number of zero emission trucks almost trebling since last year.

Concerns that would usually be front of mind for businesses looking to adopt EV their fleet would be cost and range. Both of these are steadily becoming worries of the past. Take cost – battery prices have plummeted by 89% over the past decade, making EV models increasingly competitive against petrol and diesel vehicles. There are also multiple incentives for EV adoption and charging infrastructure from the government, offering a breadth of financial support to meet the needs of all businesses.

Range capabilities have expanded considerably meaning the average modern EV can now travel over 200 miles on a full charge. This has significantly reduced the concern of range anxiety for fleets and means EV is no longer a barrier for businesses that need to travel hundreds of miles on a daily basis. Infrastructure has also grown and improved, offering a solution to keep drivers on the move when required. It’s been noted that there are now 77,531 charging connectors in 29,709 locations across the UK. This is a 194% increase compared to 2019 – meaning charging convenience has substantially improved for drivers.

A Proven Framework for Electric Vehicle Adoption

To navigate this transformative shift in fleet management, Equans EV Solutions has released a whitepaper that addresses the common questions and obstacles faced by logistics fleet operations. Drawing on over a decade of industry expertise, the whitepaper adopts a barrier-to-solution approach, focusing on challenges such as how to gain internal buy-in for EV adoption, the considerations required for designing an appropriate charging solution, and how to pilot the necessary operational and organisational changes to make EV charging a triumph.

Backed by more than 10 years of industry expertise, this whitepaper delivers critical insights logistics operators need to transition to EVs confidently and effectively. The key features include:
• Completing a comprehensive financial analysis to realise the true total cost of ownership for an electric fleet.
• Creating a strategic EV integration plan that covers organisational adjustments, infrastructure development, fleet management and training needs.
• Adopting transparent communication and assigning ‘EV champions’ to illuminate the long-term benefits of EVs to internal stakeholders which align with environmental and operational gains.

With this strategic, yet adaptable, approach towards fleet management, Equans is not only solidifying the position of businesses that adopt EVs, but also shaping a promising and eco-responsible future for the global transportation industry.

DPD Launches new EcoLab

DPD is looking for companies that specialise in sustainable solutions to reduce carbon emissions in transport, delivery, and buildings for their first EcoLab.

DPD is partnering with L Marks to launch an EcoLab to discover additional sustainable solutions for their business. This initiative will be centered around carbon reduction in transport, delivery, and buildings, with the goal of minimising DPD’s environmental impact. The EcoLab will bring together experts in sustainability, technology, and innovation to develop and test new ideas that can help DPD further reduce its carbon footprint. This partnership is a key step towards DPD’s goal of reaching net zero by 2040.

Tim Jones, Director of Marketing, Communications & Sustainability DPDgroup UK commented, “We are delighted to be partnering with L Marks to launch this EcoLab. The project will play a key part in shaping our sustainability strategy and helping achieve our stated aim of being the most sustainable parcel delivery company in the UK. Investing in and developing new sustainable technologies and innovations is crucial in the next few years to ensure we can reach net zero, and partnering with experts in this way can accelerate that progress.”

L Marks will scout and identify businesses to apply for a unique opportunity to take their innovative ideas to the next level. The EcoLab will be a ten-week immersive programme where participants will have the opportunity to validate their solutions, access to DPD’s network and resources, and mentorship from industry experts.

Applications open on the 12th of June 2023 seeking to solutions in the following areas:

Carbon Emission Reduction in Transport: Fleet Decarbonisation
DPD has over 1,000 Heavy Goods Vehicles (HGVs) operating on the roads across the UK every day. DPD has greatly improved their HGVs’ environmental impact but wants to reduce their fleet’s carbon footprint further. The company is looking for solutions around alternative fuel sources, electric batteries and alternative delivery methods.

Carbon Emission Reduction in Collection & Delivery
In order to be the UK’s most sustainable delivery company, DPD is investing heavily in their all-electric delivery fleet, which currently consists of 3,000 electric vehicles in their operation’s Collection and Delivery area. DPD is looking for solutions to make driving electric vehicles easier for drivers. Solutions may include EV charging stations and alternative electric vehicles.

Carbon Emission Reduction in Buildings: ‘Hub of the Future’
DPD operates across a network of more than 100 buildings, including depots, hubs, and offices. As this number is constantly growing, reducing the carbon footprint of these buildings and the operations that take place within them is essential. DPD wants to find the leading solutions and innovations that can be retrofitted into their current depots and/or installed in their future depots.

Looking further out, DPD is also looking to design and build depots in the ‘greenest’ way possible moving forward.

“We are excited to be working with DPD on this important initiative,” said Daniel Saunders, CEO of L Marks. “The EcoLab is a testament to DPD’s commitment to sustainability and their willingness to embrace new ideas and technologies to achieve their goals. As the world becomes more conscious of the impact of carbon emissions, companies like DPD are leading the way in finding innovative solutions that safeguard the planet for future generations”.
Applications will close on 16/07/23.

Fast-track HGV Decarbonisation with Renewable Biomethane

CNG Fuels, Europe’s leading supplier of renewable biomethane for heavy goods vehicles (HGVs), today announces it will acquire a majority stake in Renewable Transport Fuel Services Limited (RTFS), the largest renewable biomethane sourcing company for UK transport.

A new holding company, ReFuels, has been established to better reflect the growing scope of the business. ReFuels combines CNG Fuels’ rapidly growing UK network of public access Bio-CNG refuelling stations with RTFS’s upstream biomethane sourcing activities to create one of Europe’s largest fully integrated renewable biomethane suppliers for heavy transport.

Philip Fjeld, CEO of ReFuels and CNG Fuels said: “Running trucks on Bio-CNG has now become “business as usual” for fleet operators and CNG trucks are being adopted en masse UK-wide as fleet operators recognise Bio-CNG as the most cost-effective and lowest carbon alternative fuel to diesel available today. In 2022 alone, we saw dispensed volume increase by 62% compared to 2021 and we expect to surpass this growth rate in 2023.

“Acquiring a majority stake in Renewable Transport Fuel Service enables us to become a fully-integrated supplier of 100% sustainable and renewable biomethane – from the producer down to the dispenser nozzle. Under our new ReFuels structure, we are very well-positioned to accelerate our sustainable growth rate and help the sector decarbonise even faster”.

ReFuels will keep the CNG Fuels brand name for its Bio-CNG refuelling station network, to maintain its dominant UK brand profile. The company serves more than 80 individual customer fleets, including household brands such as Amazon, Royal Mail, Aldi, Waitrose, Warburtons and EVRi, amongst many others. Around 1,300 HGVS refuel at its stations daily and this number is expected to reach more than 2,000 trucks by this time next year based on confirmed orders from its customers.

CNG Fuels currently has ten stations in operation, enabling low carbon deliveries from Inverness to Cornwall. Three further sites are in construction, with four more going into construction by the end of Q3 2023. Most sites are owned in its successful joint venture with Foresight Group, CNG Foresight. The 10 existing sites can refuel around 5,000 high mileage HGVs per day, and the new sites will increase total capacity to around 8,500 HGVs per day by the middle of 2024, enabling 5% of the UK’s heaviest truck fleet to access biomethane along the UK’s major trucking routes.

The acquisition of RTFS will further strengthen the business’s capability to meet its customers’ growing appetite for bio-CNG and will also provide significant benefits to biomethane producers who will now have long-term direct access to the downstream customer demand.

CNG Fuels was established in 2014 and is today the UK market leader for the supply of Bio-CNG (renewable and sustainable biomethane fuel) for commercial vehicles. Its gas is sourced entirely from renewable and sustainable biomethane, which is cheaper and emits less carbon well-to-wheel than any other HGV fuel. The biomethane is made from a waste feedstock, approved under the Renewable Transport Fuel Obligation RTFO), and generates Renewable Transport Fuel Certificates (RTFC).

Later this year, the company will offer carbon neutral biomethane derived from manure at the same price as the renewable biomethane fuel it currently supplies. It also consulting on how its network of refuelling stations can best accommodate low-carbon hydrogen and battery electric technologies for HGVs, so that it can support customers when these become commercially viable.

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