Sustainable Development | Carbon Reduction Saves Costs

Author Name: Tiffany Lee – Marketing Analyst at FreightAmigo

Reducing carbon emissions and energy consumption will not only help the environment, but also help businesses to save money.  For example, in the logistics industry, an environmentally friendly logistics model and smart logistics route planning can minimize carbon emissions while reducing costs for businesses. In 2018, over 5,500 suppliers reported reducing carbon emissions by a total of 633 million metric tons, resulting in a cost reduction of $19.3 billion.

Reduce Carbon Emissions and Daily Operational Costs

Container shipping is one of the largest sources of carbon emissions in logistics industry. An efficient green logistics route planning can help companies in optimizing fleet schedules and delivering goods in the most cost-effective and efficient manner. It can also help reducing the number of empty trucks on the road. It lowers both carbon emissions and truck wear and tear cost, allowing businesses to save costs on fuel and maintenance.

Follow Environmental Regulations and Avoid Heavy Penalties

Furthermore, with green logistics, businesses can easily figure out the shortest transportation route. The total amount of carbon dioxide generated is minimized by reducing the overall number of miles travelled. As a result, the companies will avoid paying high fines or penalties for violating air pollution control regulations. For example, violators of Taiwan’s Air Pollution Control Act may be fined. Companies that commit environmental damage will be prosecuted under Australia’s Environmental Protection Act, which carries fines and license revocation as punishments.

International Corporate Carbon Reduction Policies ─ DHL and Microsoft

DHL: Zero Emissions Target by 2050

DHL, the world’s leading logistics company, established their own ambitious sustainable development targets 4 years ago. DHL promised to reduce carbon emissions below 29 million tons by 2030 and reach net-zero greenhouse gas emissions by 2050. In terms of sustainability, they believe that they have the responsibility to take the lead. DHL currently adopts strategies such as deploying zero-emission e-vehicle fleet, promoting alternative aviation fuels, and investing in climate-neutral buildings to meet the company’s and the International Paris Climate Agreement’s carbon reduction targets. DHL believes these strategies can help improving operational efficiency and reducing operation costs in long-run.

Microsoft: Carbon Negative by 2030

Microsoft announced objectives in 2020 to become carbon-negative by 2030 and to remove the company’s total carbon emissions since its establishment in 1975 by 2050. Microsoft intends to deploy 100% renewable energy in its data centers, buildings, and campuses, electrify vehicles on its global campuses and invest in carbon reduction and elimination technology.

FreightAmigo: AmiGo Green achieves carbon emission reduction goals for business clients

With carbon emission calculator and effective green freight route planning, AmiGo Green logistics technology solution assists companies in selecting a more environmentally friendly logistics mode. We can achieve energy savings and emission reduction goals. Operating costs can also be lowered, thus increasing operational efficiency! AmiGo Green has reduced over 120,000 tons of carbon dioxide emissions in just one month, which is equivalent to the amount absorbed annually by almost 727 trees!

Let’s achieve carbon emission reduction goals with FreightAmigo, make trade greener!

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