The world's leading logistics company Deutsche Post DHL Group has announced that it is increasing the pace of its planned decarbonization of the company.
The Board of Management and Supervisory Board of Deutsche Post DHL Group will propose to shareholders at the next Annual General Meeting that the remuneration system for the Board of Management will be aligned even more closely with sustainable business development. In the future, the achievement of ESG targets will be taken into account when calculating the remuneration of the Board of Management – a clear signal that the commitment to sustainable business is a top priority at Deutsche Post DHL Group.
"As the world's largest logistics company, it is our responsibility to lead the way and guide the logistics industry into a sustainable future. We are turning our yellow Group into a green company and making an important contribution to our planet and society," says Frank Appel, CEO of Deutsche Post DHL Group.
"I am convinced that by focusing even more on our ESG goals, we will remain the first choice for customers, employees and investors – and thus lay the foundation for long-term economic success."
A commitment to sustainability is an integral part of Deutsche Post DHL Group's corporate culture. Since 2008, the group has had ambitious sustainability targets, for example with regard to CO2 efficiency. In 2017, the group became the first logistics company in the world to set a target of reducing its greenhouse gas emissions to net zero by 2050. To this end, the company offers numerous innovative solutions to make supply chains more sustainable and help its customers achieve their environmental goals. With "Strategy 2025" introduced in 2019, sustainability has become a fundamental component of the corporate strategy.
Appel said: "Covid-19 has once again reinforced the major megatrends of our time: globalization, digitalization, e-commerce and sustainability – the four drivers of our 'Strategy 2025'. Of these topics, sustainability is the most pressing challenge. With our sustainability roadmap, we are stepping up our efforts and explicitly promoting the Sustainable Development Goals of the United Nations."
Billions invested in alternative fuels
To achieve this, Deutsche Post DHL Group will invest around EUR 7 billion (Opex and Capex) in climate-neutral logistics solutions by 2030. The expenditures arising from this up to 2023 have already been taken into account in the guidance up to 2023 communicated on March 9. For short distances and the last mile, the group is continuing to drive forward the electrification of its vehicle fleet. By 2030, 60 percent of global delivery vehicles for the last mile are to be electrically powered, hence more than 80,000 e-vehicles will be on the road. In 2020, the figure was 18 percent.
On longer routes, especially in air transport, electric drives are not an alternative for the foreseeable future. That is why Deutsche Post DHL Group is pushing for the development and use of fuels produced from renewable energies: By 2030, at least 30 percent of fuel requirements in aviation and line haul are to be covered by sustainable fuels. In addition, the Group is investing in environment friendly properties (office space, mail and parcel centers, and logistics warehouses): All new buildings will be climate-neutral.
Appel said: "Sustainable, clean fuel alternatives are elementary for climate-neutral logistics in a globalized world. In air transport in particular, these could help reduce CO2 emissions. That's why we will engage even more intensively in initiatives and strengthen cross-industry exchange to develop a global strategy and standards here. One thing is certain: Only by joining forces – across countries and sectors – will we achieve truly sustainable progress in all areas."
In addition, the group has set itself the goal of maintaining the approval rating in the "employee engagement" category in the annual global employee survey at a consistently high level of above 80.
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