Last week we looked at the ways small e-commerce businesses can utilise eco-friendly packaging to reduce their contribution to carbon emissions (an informative and helpful post - I hope!). This week we'll be diving head first into the transportation and shipping process of parcels, directly shedding light on the alarming impact traditional methods have on rising CO2 levels and explore the steps e-commerce businesses should take to ensure our future is not just brighter, but greener as well.
"E-commerce transportation accounts today for 3 percent of global greenhouse gas emissions but is on track to become 17 percent by 2050. How significant is 17 percent? Currently, global transportation activities (aviation, rail, shipping, heavy and light trucking) are responsible for about 17 percent of global greenhouse gas emissions" - Greenbiz, 2020
The ever-increasing surge in online transactions has resulted in an upswing of the number of parcels and transportation vehicles (Mucowska, 2021). This is likely to exacerbate issues related to environmental pollution, carbon emissions, and the use of non-renewable fossil fuels to power transportation fleets, thereby substantially adding to greenhouse gas (GHG) emissions (Schöder et. al, 2016).
There are several ways an e-commerce business can reduce their carbon footprint through their logistics channels. But just to name a few; they can choose a service that offers carbon neutral shipping, that they can then offer to their consumers and/or choose a service with a delivery transportation fleet of all electric/hybrid vehicles. These are some of the existing methods available but companies must continuously invest in new innovations for better alternatives.
What Can E-Commerce Businesses Do?
Offer Carbon Neutral Shipping Options
Carbon neutral shipping is a process companies adopt in their transportation methods that aims to completely eliminate carbon emissions, if this is not possible, they will further offset any further amount by purchasing credits in partnered environmental projects. By embracing carbon neutral shipping, e-commerce businesses can actively contribute to reducing greenhouse gas emissions and combat climate change.
An Australian shipping provider, Sendle is currently leading the industry by offering 100 percent carbon-neutral delivery. Sendle annually invests in environmental initiatives by calculating the CO2 emissions of each shipped package from the previous year. It then
purchases carbon offsets from South Pole, a global company specialising in emission reduction projects. Sendle involves its small business customers worldwide in the decision making process by allowing them to vote on the projects the company will support to offset its carbon footprint. Through this collaborative effort, Sendle has contributed to impactful environmental projects such as Boobera Native Forest Regeneration, Lower Mississippi Valley Reforestation, Madre de Dios Amazon Conservation, and Myamyn Conservation. As a result, Sendle has made over 21 billion miles of package deliveries carbon neutral to date. Sendle has set an ambitious goal to achieve net-zero emissions by 2030.
Choose A Shipping Service Sporting Electric/Hybrid Transportation Fleet
Some companies have recently started to implement electric/hybrid delivery vehicles to further cut their greenhouse gas emissions. Australia Post for example, first rolled out their electric/hybrid vehicle delivery fleet in 2019 - growing exponentially by the year. In 2022, they had 4100 fully electric vehicles being utilised around the country, of that included, 3100 three wheelers replacing their traditional red postie motorcycles, as well as 950+ electric bicycles. They had also converted 109 of their fleet cars to hybrid vehicles and introduced a newer innovation - 3 electric delivery trucks.
Electric and hybrid delivery vehicles produce lower or zero tailpipe emissions compared to traditional gasoline or diesel vehicles. By using these vehicles, e-commerce businesses can significantly reduce their carbon footprint and contribute to mitigating climate change.
But Why?
By choosing to use postal services that are conscious about the future of our environment, e-commerce businesses are able to successfully engage in the aid of decarbonisation. Each delivery shipped to consumer lessens the blow to CO2 emissions that have been swept under the rug many times in the past.
References:
www.greenbiz.com. (n.d.). The environmental awakening e-commerce needs | Greenbiz. [online] Available at: https://www.greenbiz.com/article/environmental-awakening-e-commerce-needs#:~:text=E%2Dcommerce%20transportation%20accounts%20today [Accessed 25 May 2023].
Mucowska, M. (2021). Trends of Environmentally Sustainable Solutions of Urban Last-Mile Deliveries on the E-Commerce Market—A Literature Review. Sustainability, 13(11), p.5894.
Schoeder, Dustin & Ding, Feng & Campos, Juliana. (2016). The Impact of E-Commerce Development on Urban Logistics Sustainability. Open Journal of Social Sciences. 4. 1. 10.4236/jss.2016.43001.
Sendle.com. (2014). Sendle: Courier delivery that’s cheaper than parcel post. [online] Available at: https://www.sendle.com/.
South Pole. (2019). South Pole is a leading provider of global sustainability financing solutions and services. [online] Available at: https://www.southpole.com/.
Team, S. (n.d.). The votes are in and nature wins: Our newest carbon offset projects. [online] blog.sendle.com. Available at: https://blog.sendle.com/2020-carbon-offset-project-winners [Accessed 25 May 2023].
NFWF. (n.d.). Lower Mississippi Alluvial Valley Restoration Fund. [online] Available at: https://www.nfwf.org/programs/forestland-stewards/lower-mississippi-alluvial-valley-restoration-fund#:~:text=The%20Lower%20Mississippi%20Alluvial%20Valley [Accessed 25 May 2023].
Amazon Conservation Association. (2020). madre de dios Archives. [online] Available at: https://www.amazonconservation.org/tag/madre-de-dios/ [Accessed 25 May 2023].
South Pole. (n.d.). Project Fact Sheet: Myamyn Lowland Forest Conservation Australia. [online] Available at: https://www.southpole.com/publications/project-fact-sheet-myamyn-lowland-forest-conservation-australia [Accessed 25 May 2023].
Auspost.com.au. (2022). Here’s how Australia’s largest electric delivery fleet is changing the way you receive parcels. [online] Available at: https://auspost.com.au/our-stories/inspiring-stories/sustainability/largest-electric-delivery-fleet.
Comments