Volvo Logistics provides the entire Volvo Group and other customers with logistics solutions. All vehicles and transport services are insourced. Volvo Logistics also brings valuable knowledge and experience into Volvo Group's product development process. To minimize environmental impact, we focus on smart logistics, reduced emissions, renewable fuels, energy efficiency and knowledge-enhancement.
Carbon footprint reduced by 22%
Between 2006 and 2010, emissions of carbon dioxide from the rail, road and short sea land-based transportation of goods to and from the Volvo Group's plants in Europe, was reduced by 22%. A number of measures have been taken to decrease carbon dioxide emissions from transports.
Environmental surveys and audits of suppliers
Volvo Logistics requires suppliers of road transport solutions to demonstrate their preparedness with regard to engine emission requirements, fuel-efficient driver training and continuous improvements. These requirements are followed up by an annual Supplier Survey and random sample audits.
The data from the 2010 survey shows that 98% of the engines used in truck fleets in Europe are compliant with the Euro III or subsequent emission requirements — an improvement of 4 percentage points compared with the previous year. Some 42% of the trucks are compliant with Euro V and 20% were compliant with Euro IV.
In 2010, 75% of the major transport suppliers globally were certified in accordance with the environmental standard ISO 14001. Social and ethical requirements are included in supplier requirements specifications, in accordance with the Group’s requirements. Data for 2011 will be presented during the second quarter of 2012.
42% of the engines used in truck fleets for Volvo Group's inbound transports in Europe are compliant with the Euro V emission requirements – the most stringent requirements in Europe.
Calculating the environmental impact of transports
Volvo Logistics plans the logistics for material flows from suppliers to the Volvo Group’s plants and the transport of new vehicles from the plants to the dealers.
The EnvCalc tool is used to calculate emissions to air for new or changed transport routes or for choice of carriers. The calculation is based on the volume of goods, distance and mode of transport. The result is presented to the customer as Environmental Load Units (ELU) or broken down into the amounts of carbon dioxide, nitrogen oxide, sulphur oxide and particle matter emissions.
Volvo Logistics also offers customers a Logistics Emission Report for a specified transport scope, such as all inbound and outbound transports for a specific plant over one year.
Logistic Emission Reports were supplied to seven of the Volvo Construction Equipment plants in Europe, and to three Volvo Parts warehouses in 2011. These reports include a one-year compilation of all emissions from the inbound transports, as well as an analysis and recommendations of changes to reduce the emissions from the transports.
Volvo Packaging System
The Volvo Group uses a returnable packaging system to transport goods from suppliers to our plants, as well as for use within the plants. This packaging can be stacked, taking up minimal space when freighted and in turn minimizing environmental impact. The system comprises over 100 types of packaging in different materials such as wood, plastics, cardboard and metal.
Volvo Logistics has terminals around the world for collecting and cleaning packaging materials, which are reused until they no longer meet quality standards. All packaging is ultimately scrapped, with most parts being recycled into new materials or energy. Recycling is conducted by Volvo Logistics and through an outsourced operation.
Environmental impact is a vital aspect in the product development of new packaging. Volvo Logistics is using a Life Cycle Assessment tool to compare the environmental impact of different packaging materials.
Clean shipping and intermodal transports
A significant portion of our transports, measured in tonkilometers, are done by sea. Since 2010, all of our contracted sea carriers have been required to report the environmental impact of each of their vessels. The driving force of the Clean Shipping Project is a network of 30 of the largest export and import companies in Sweden, Germany and the Netherlands of which the Volvo Group is one.
The main objective of this project is to catalyze a process towards effectively functioning techniques for clean shipping and to place stringent but reasonable health and environmental demands on ship transport.
We clearly communicate environmental requirements for shipping operators in respect of chemicals, water, fuel and waste control, carbon dioxide, nitrogen oxides, sulfur oxides and particle matter, which have been formulated in a clean shipping index.
The Volvo Group is in favor of flexible truck combinations based on present vehicles modules where longer combinations are a possibility to increase transport efficiency. The maximum length for truck and trailer is 25.25 meters in Sweden, and 18.75 meters for the rest of Europe. Increasing the truck length in Europe would mean that two trucks could carry what is currently transported by three trucks. This would benefit the environment and reduce congestion on European highways.
Volvo Logistics uses the longest truck available in Sweden aimed at reducing carbon dioxide emissions. A 32 meter long vehicle shuttles between our terminal in Arendal, Gothenburg and the Port of Gothenburg. This means that two 40-foot-long containers can be transported instead of one, a reduction of 20 grams of carbon dioxide per tonkilometer.
Using a 32 meter long truck with two 40-feet containers results in a 20 gram carbone dioxide reduction per tonkilometer.