600 million euros in sustainability in 2022
Yellow mail is becoming ever greener
A year ago, the world's leading logistics company Deutsche Post DHL Group presented its sustainability strategy and outlined how Deutsche Post and DHL Paket in Germany intend to become more climate-friendly in the coming years.
Visible proof that the "yellow post" is becoming ever greener is the 20,000th electric delivery van in Germany, which the company put into operation today in Berlin. No other logistics service provider is investing as much in electromobility as Deutsche Post and DHL Paket in Germany. This year alone, the company is investing around 300 million euros. Deutsche Post DHL 2022 is investing a similar amount in the construction and conversion of climate-friendly operating facilities, for example CO2-free delivery bases, of which 100 are planned by the end of the year alone. The Post & Parcel Germany division is also purchasing more than 400 (bio)gas-powered trucks over the next two years to make the transport of shipments between parcel and mail centers greener. And with new "GoGreen Plus" products, the company is offering customers the opportunity for the first time to actively manage and reduce their CO2 emissions during transportation and to select climate-friendly rail transport.
Tobias Meyer, Deutsche Post DHL Group Board Member for Post & Parcel Germany, says: "Over the past twelve months, we have become even more climate-friendly at all levels of the logistics chain - from the product range to transportation and our buildings to last-mile delivery. We already emit significantly less CO2 per shipment than our competitors, as we make CO2-free deliveries in over 50 percent of our delivery districts thanks to the largest e-fleet on the market. If the framework conditions are right, a CO2-neutral, sustainable letter and parcel service for the whole of Germany will be feasible in a few years' time."
New "green" offers
Every shipment starts with the customer, whether it's a private online order or a business insurance notification. Since 2007, Deutsche Post and DHL Paket have been offering the GoGreen service to offset the CO2 emissions generated during shipping through certified climate protection projects (so-called "offsetting"). The projects are subject to high standards (Gold Standard) and are selected according to their benefits for the environment and the local community. For eleven years now, every private customer parcel in Germany has been automatically CO2 offset and from mid-2022, private parcel and package exports will also be fully CO2 offset. Since the beginning of 2022, CO2 emissions for the dispatch of all national and international letters from private and business customers have also been offset at no extra charge.
Now, with "GoGreen Plus", the company is creating an offer for the first time that allows business customers to avoid the resulting emissions directly in the logistics network by investing in additional reduction measures - so-called "insetting". For example, sustainable fuels are purchased and electric trucks are purchased and used. The shipments sent with GoGreen Plus are 100 percent climate-neutral. An initial pilot with individual customers in the areas of national goods shipments as well as advertising and press shipments has been running since February 2022; an offer for all customers is planned for 2023. A GoGreen Plus product is also expected to be launched for letter mail in the second half of 2022.
In addition, DHL private customers can now take advantage of a GoGreen Plus offer with the free additional "rail transport" service. When booking their parcels in DHL online franking and in the Post & DHL app, they now have the option of choosing whether their shipment should be transported by truck or by climate-friendly rail for some of the longer transport routes. The new service can be used at no extra charge for parcels and small parcels M within Germany and can be combined with selected services such as transport insurance, provided there is a suitable rail connection between the origin and destination of the shipment. Initially, the service is available on 144 of the longest transport routes between the 37 DHL parcel centers throughout Germany. Further connections are to be added in the future to enable climate-friendly parcel transportation for even more shipments. However, depending on the route, a shipment using the new "rail transport" service can take up to a day longer to reach its destination compared to transport by conventional truck.
Climate-friendly solutions in transportation: 400 new (bio)gas-powered trucks and rail transport
As most of the CO2 emissions in the postal and parcel sector are generated during the transport of shipments between the large parcel and letter centers - known as the main run in postal jargon - the Group is purchasing over 100 (bio)gas-powered trucks for the Post & Parcel Germany division this year; more will follow in 2023. In future, the fleet of these gas-powered trucks will consist of over 400 vehicles. These are significantly lower in emissions and quieter compared to conventional diesel engines. CO2 emissions as well as emissions of nitrogen, fine dust and particulates are significantly reduced.
Another environmentally friendly alternative in the main leg is parcel transportation by rail. Around 6 percent of the parcel volume is transported by rail from the point of departure to the respective destination, especially on the long transport routes. This corresponds to 120 million parcels per year. Each DHL freight train transports up to 100,000 parcels and thus saves 80 to 100 percent CO2 compared to road transport - a whole 1,200 tons of CO2 per month.
CO2-free business premises
Last year, Deutsche Post DHL announced plans to set up 280 CO2-neutral delivery bases (ZSP) throughout Germany by 2025. In 2021, 36 of these were put into operation. The aim is to operate a total of 100 locations by the end of 2022. From these ZSPs, the delivery staff will distribute letters and parcels to households in their district - usually using CO2-neutral electric vehicles. These new ZSP buildings are equipped with photovoltaic systems, heat pumps in conjunction with underfloor heating and building automation. Battery storage systems supplement the energy concept at individual locations; other locations are prepared for the retrofitting of battery storage systems that use the batteries of decommissioned Streetscooter vehicles.
In addition to these ZSPs, there were other construction measures on existing Post and DHL buildings last year, as well as new construction projects with green solutions such as PV systems and green roofs and facades. The ground-breaking ceremony for Germany's largest and most sustainable mail center in Germering near Munich, which will start operations at the end of 2023 and provide space for 1,300 employees, took place in November 2021. It will have a 1.5 megawatt photovoltaic system, a battery storage system and a green roof and façade. Heating and cooling will also be provided by a groundwater heat pump. The company also saves CO2 by using biogas and geothermal connections in its parcel centers. The proportion of green electricity has remained stable at 95 percent for years. These examples illustrate that Deutsche Post pursues a consistently sustainable construction concept at all its facilities.
Largest fleet of electric commercial vehicles worldwide
GoGreen Plus gives customers the opportunity to avoid CO2 emissions during collection and transport between sorting centers. Deutsche Post DHL is continuing to expand climate-neutral delivery for all shipments. This is done using one of the 20,000 electric vans or one of the 12,600 e-trikes. In 2021 alone, 63 million parcels were delivered via one of these electrically powered tricycles. By 2025, the e-fleet will grow further to 38,000 e-commercial vehicles. The range of vehicles will also be expanded to cover additional areas of application. This year alone, 1,300 vans of the new StreetScooter Gigabox type with a load volume of 12 cubic meters will be put into operation across Germany. Special feature: The Gigabox is a right-hand drive vehicle, i.e. the delivery staff get in and out on the kerbside - a plus for work and road safety. In addition, the loading area is accessible and equipped with shelves for around 160 parcels. The charging infrastructure will be expanded from the current 24,200 to 28,000 charging points at the operating sites by the end of 2022.
Packstation: better for the environment
Another climate-friendly delivery option is the delivery of parcels to Packstations. With more than 9,300 Packstations, DHL has by far the densest network of parcel machines in Germany, which also benefits the environment. Compared to door-to-door delivery, a Packstation shipment saves an average of around 30 percent CO2 over the last mile. This is because the delivery staff can drop off and collect several dozen parcels per stop at the Packstation. Deutsche Post DHL wants to increase the number to around 15,000 Packstations by the end of 2023. As recently as March, the company announced in the course of its cooperation with Deutsche Bahn that 800 of these parcel machines are to be installed at train stations, the majority of them this year. The expansion will also include an app-controlled version of the Packstation, which is powered by solar panels to support the targeted CO2 reduction.
Best wages and working conditions
As important as climate protection is, sustainability is more comprehensive and also includes social conditions. In addition to the highest wages in the industry, Deutsche Post DHL offers its employees a wide range of development opportunities, modern work equipment and comprehensive health management. The entry-level hourly wage at Deutsche Post AG is now 12.60 euros and over 14.30 euros in delivery. The average hourly wage for delivery staff is even just under 19 euros. This is remarkable because competitors of Deutsche Post and DHL Paket are even warning against the introduction of the minimum wage of 12 euros and threatening to cut jobs. According to Deutsche Post, this shows that the business model of many postal competitors only works through wage dumping and the use of subcontractor structures.
With the right political framework conditions for a CO2-neutral universal service
These examples illustrate how much Deutsche Post DHL invests in sustainability in the interests of society, customers and employees. But investments must also pay off for a private company. The framework conditions will determine whether and how quickly sustainable business models become established and when Germany can realize a CO2-neutral universal service for mail and parcel services. Tobias Meyer: "Unfortunately, we see time and again that sustainability plays no role in the practice of public sector awards, with price being the sole criterion. We also believe it is very important for the German government to make good on its announcement in the coalition agreement that the Postal Act will be realigned along ecological and social criteria."
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