Intelligent CXO Issue 01 | Page 62

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FEDEX COMMITS TO CARBON-NEUTRAL OPERATIONS BY 2040

FedEx , home of the world ’ s largest cargo airline , has announced an ambitious goal to achieve carbonneutral operations globally by 2040 .

To help reach this goal , FedEx is designating more than US $ 2 billion of initial investment in three key areas : vehicle electrification , sustainable energy and carbon sequestration .
This includes a pledge of US $ 100 million to Yale University to help establish the Yale Centre for Natural Carbon Capture , accelerating research into methods of carbon sequestration at scale , with an initial focus on helping to offset greenhouse gas emissions equivalent to current airline emissions .
“ We have a responsibility to take bold action in addressing climate challenges ,” said Frederick W . Smith , Chairman and CEO , FedEx . “ This goal builds on our longstanding commitment to sustainability throughout our operations , while at the same time investing in long-term , transformational solutions for FedEx and our entire industry .”
Key steps toward reaching the carbon neutral goal include :
Vehicle electrification . By 2040 , the entire FedEx parcel pickup and delivery ( PUD ) fleet will be zero-emission electric vehicles . This will be accomplished through phased programmes to replace existing vehicles . For example , by 2025 , 50 % of FedEx Express global PUD vehicle purchases will be electric , rising to 100 % of all purchases by 2030 .
Sustainable customer solutions . FedEx will work with customers to offer end-toend sustainability for their supply chains through carbon-neutral shipping offerings and sustainable packaging solutions .
Sustainable fuels . FedEx will continue to invest in alternative fuels to reduce aircraft and vehicle emissions .
Fuel conservation and aircraft modernisation . FedEx will build on its successful FedEx Fuel Sense initiatives designed to reduce fuel consumption in its aircraft . Since 2012 , the FedEx Fuel Sense and Aircraft Modernisation programmes have saved a combined 1.43 billion gallons of jet fuel and avoided over 13.5 million metric tons of carbon dioxide ( CO 2 ) emissions .
Facilities . FedEx will continue efforts to make its more than 5,000 facilities worldwide more sustainable through continued investment in efficient facilities , renewable energy and other energy management programmes .
Natural Carbon Sequestration . FedEx funding will help to establish the Yale Centre for Natural Carbon Capture to support applied research into natural carbon sequestration solutions . The FedEx commitment builds on a history of sustainable practices . Since 2009 , the company ’ s efforts have contributed to an approximately 40 % reduction in CO 2 emissions intensity across the enterprise while package volume increased 99 % during that period .
Recently , FedEx was ranked first in its industry on JUST Capital ’ s 2021 list of ‘ America ’ s Most Just Companies ’ in the environment category and first in the travel , transport and logistics sector of Newsweek ’ s ‘ America ’ s Most Responsible Companies 2021 ’.
“ While we ’ ve made great strides in reducing our environmental impact , we have to do more . The long-term health of our industry is directly linked to the health of the planet , but this effort is about more than the bottom line – it ’ s the right thing to do ,” said Mitch Jackson , Chief Sustainability Officer , FedEx Corp . “ At FedEx , we are committed to connecting people and possibilities resourcefully and responsibly . The steps we are taking today will contribute a positive impact for generations to come .” x
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