New survey finds almost half major logistics companies fail to measure emissions

Despite all the green hype, many major logistics companies have yet to commit to measuring carbon emissions, the first step towards meeting net-zero targets.

A survey undertaken for the Foundation for Future Supply Chain has found that a large proportion of the world’s leading logistics companies have yet to start measuring and publishing their carbon emissions, let alone set any targets for becoming carbon neutral. This comes at a time when the industry’s commitment to net-zero emissions is under scrutiny by governments as never before.

The survey, undertaken in collaboration with the Foundation’s research partner, Ti Insight, found that of 184 of the world’s largest transport and logistics companies, only 105 measured and published carbon emissions data, just 57% of the total.

Commenting on the findings of the survey, Ti’s CEO and the founder of the Foundation for Future Supply Chain, John Manners-Bell, said, ‘Until companies start measuring emissions, it is impossible to initiate greenhouse gas reduction programmes. Given that the logistics industry’s success in reducing emissions will be critical to meeting governmental net-zero targets, that such a large proportion of industry leaders have yet to start measuring their emissions is of major concern.’

The sample provided a cross-section of the industry worldwide, comprising the largest companies in each of the following industry sectors: Trucking/Road Freight, International Freight Forwarding; Contract Logistics; Express & Parcel; Postal Operators and Shipping.

The majority of the companies in the sample had revenues of over $1bn and so the low proportion publishing carbon emissions data cannot be put down to cost or lack of resources, as might be assumed for small and medium-sized operators. Instead, it is likely due to the low priority given to the issue by management; the lack of pressure from customers and weak or absent regulation by governments.

The survey did contain some better news. Although there is a way to go, the number of industry-leading companies measuring emissions data has risen significantly since 2016 as the concept of disclosure is increasingly embraced. In 2016 just under a quarter of logistics companies were publishing carbon emissions data (23%), increasing by 34pp to its present level (57%).

Source: Transport Intelligence, May 27, 2021

Author: Transport Intelligence 

This brief has been taken from a larger paper, ‘The challenge of measuring & meeting climate change targets’ by Ti’s CEO, John Manners-Bell. The survey is also contained as part of the paper. This paper is available exclusively to GSCi subscribers. Each week, Ti’s team of senior analysts and industry experts deliver analysis covering the latest logistics and supply chain trends exclusively to users of GSCi.