Unilever intends to reduce the CO2 emissions of its logistics chain by 15 to 20 percent by working with transport companies that use LNG.
“Wherever possible, we will be moving our transport contracts to companies that operate LNG-powered trucks and ships,” explains Paul de Jong, who bears responsibility for Unilever’s European logistics. De Jong was speaking at the meeting of the National LNG Platform hosted by the environmental protection agency DCMR Milieudienst Rijnmond.
Unilever’s adoption of LNG is intended to help the corporation achieve its environmental target of a 40% reduction in CO2 emissions as a result of its worldwide logistics activities by 2020 compared to 2008.
“We have already realised 20% of this reduction through more efficient logistics and fuel-efficient transport solutions. Realising the remaining 20% is rather more complicated. This means that we will embrace every opportunity to further reduce our carbon footprint.”
Over the next few years, we can expect an increase in the number of transport firms operating LNG-powered trucks and ships, says De Jong, whose company deploys some 10,000 trucks worldwide per day, of which 3,000 to 4,000 on European roads.
In addition, Unilever relies on sea-going vessels and inland vessels for the transport of raw materials and finished products to and from the group’s 250 plants. In 2015, the British-Dutch multinational, which specialises in detergents and food products, achieved a turnover of EUR 50 billion. In the years ahead, the corporation intends to increase this turnover to EUR 70 billion.
Transport contracts
“We want to have 100 LNG trucks on the road by the end of 2016, and this is only the beginning of our LNG voyage,” says De Jong. “LNG can reduce CO2 emissions produced by trucks and ships by 15-20%, and as such significantly contribute towards the achievement of our targets in this area.
”As a shipper, we will be demanding LNG propulsion whenever we enter into a new transport contract. To ensure that this is a viable alternative, it is crucial that blue corridors are developed along the European Union’s North-South and West-East transport corridors. There need to be sufficient stations along these routes to allow for heavy LNG-powered transports across long distances. By investing in LNG as a shipper, we hope to set the LNG flywheel in motion and accelerate the realisation of a network of refuelling and bunker stations. Because of course, no matter where they are, LNG-powered vessels and vehicles shouldn’t have any trouble refuelling.”
In the Netherlands, this flywheel seems to be gaining considerable momentum. At the end of last year, the Netherlands already had 15 LNG refuelling stations for road haulage, and at least 12 new stations will be added in the course of 2016. According to Cees Dikker, Downstream LNG Business Development manager at Shell, things will even go faster than expected.
“To avoid waiting times, it was decided to construct a second terminal for loading LNG tanker trucks at Maasvlakte’s Small-Scale LNG Facility straight away rather than wait. And we ourselves realised four LNG refuelling stations last year, with three new stations in the pipeline for 2016.”
This year, the Marine sector will also gain a Small-Scale bunker terminal on the water. This facility is suited for filling LNG bunker ships, which can proceed to refuel sea-going and inland vessels in the ARA region and offload LNG at bunker stations along Europe’s main rivers. “We are also constructing our own EUR 50-million LNG bunker ship, which will become operational in 2017.”
Climate-neutral
By 2020, Unilever wants 40% of the power used in its plants to be generated by sustainable means. During the recent climate summit in Paris, the group gave this ambition even greater focus by adopting the new targets ‘100% green energy by 2030’, and even ‘carbon-positive after 2030’.
Other major corporations like DSM, IKEA, Coca-Cola, KPN, Philips, La Poste, Google and Microsoft have also adopted these targets. These companies are presently working together in the renewable energy initiative RE100. The intention is for at least 100 major multinational firms to join this group, which already has 40 members. To achieve their environmental targets, these companies – like Unilever – will need to embrace sustainable transport solutions.
This presents new opportunities for pioneering companies in the sea and inland shipping sectors that operate clean, energy-efficient vessels. The question remains whether clients are prepared to pay a reasonable price for this extra-green transport. To ensure that transport is truly 100% climate-neutral by 2030, biofuel may offer a solution.
And by 2030, Unilever may be supplying biofuel of its own. In the British Marmite plant, Unilever recently started converting vegetable production waste into biogas with the aid of an on-site anaerobic digester.
Source: Port of Rotterdam
