Green Transformation Lab, a collaboration between SMU and DHL, is a supporting partner of the non-profit association Green Freight Asia. The association which includes global leading corporations such as DHL aims to tackle freight emissions in the region, following the launch of Green Freight in Europe a few years ago.
The founding members of Green Freight Asia include DHL, UPS, global home furnishing retailer IKEA, technology leaders HP and Lenovo. They are supported by partners, Green Transformation Lab, a collaboration between DHL and Singapore Management University, and Clean Air Asia, the premier air quality network for Asia by the Asian Development Bank, World Bank, and USAID.
Stephan Schablinski, the newly appointed Executive Director of Green Freight Asia, explained: "Logistics costs as percentage of GDP range from about 14% in India and 18% in China to 24% in Indonesia, compared to about 10% in the US, Europe and Japan, according to the Economist Intelligence Unit. Fuel scarcity and rising fuel prices pose a higher risk to economies in Asia."
In Asia, only 9% of vehicles are trucks but they generate 54% of CO2 emissions and a similar proportion of particulate emissions, Robert Earley, Transport Programme Manager of Clean Air Asia, said. “By orienting shippers, carriers and other players in the logistics industry to focus on improving fuel efficiency and reducing emissions from trucks, Asian countries can help address climate change while also making their economies stronger and the air in cities cleaner.”
Green Freight Asia will work with its members to develop and promote tools for measuring and reporting fuel consumption and emissions from road freight. It will also identify technologies and strategies that will be most effective for carriers to reduce fuel consumption, such as low rolling resistance tires, equipment to reduce aerodynamic drag, alternative fuels, fleet management and driver training.
The association plans to develop a benchmarking scheme to evaluate and recognise the sustainability efforts of manufacturing companies, freight logistics companies and carriers and make these achievements visible to consumers and investors. It will also work with Asian governments to develop national green freight programmes.
Green Freight Asia is open for companies to join as members and is interested in working with other organisations sharing the same vision to accelerate the adoption of sustainable supply chain practices across Asia.
The predecessor of Green Freight Asia, Green Freight Europe was launched to provide a single platform to which shippers and carriers input operational data needed to calculate, validate and benchmark the environmental performance of their transport operations.
Green Freight Europe now comprises over 100 companies including multinational shippers, carriers, retailers and associations and aims to grow to 250 members. Apart from the initiators of the programme DHL, TNT, Heineken and The Dow Chemical Company, it counts other leading logistics players such as FedEx Express, UPS, GeoPost, DPD, Geodis, Austrian Post, Swiss Post and PostNL.