Inside XPO’s Deployment of HVO and Electric-Powered Vehicles
As one of the largest providers of asset-based less-than-truckload (LTL) transportation in North America and Europe, XPO is no stranger to blazing a trail in the logistics arena.
What might be less apparent is the organisation’s unwavering commitment to leading the industry when it comes to developing sustainable solutions that benefit both the planet and its tens of thousands of customers.
One recent example of this is XPO’s successful deployment of hydrotreated vegetable oil (HVO) and electric-powered vehicles within its 4PL and transport control tower operations, which is said to be an industry first and represents a significant sustainability achievement.
“Sustainability is an important strategic pillar for all our customers,” explains Paul Hayes, Director of Asset Light Solutions at XPO Logistics Europe. “Together, we are exploring options to accelerate the supply chain's decarbonisation.
“This unique deployment and implementation of alternative fuel technologies in our 4PL operation is a leap forward for our customers on their sustainability journey.”
XPO’s decarbonisation strategy
Headquartered in the US state of Connecticut, XPO and its 38,000 employees serve approximately 50,000 customers across 563 locations.
On European soil, XPO Logistics is a leading innovative supply chain company, offering end-to-end solutions that combine full-truckload, less-than-truckload, pallet distribution, last-mile delivery, global freight forwarding and warehousing services.
Solutions are tailored to the specific needs of customers across a wide range of industrial and consumer sectors, with proprietary technology responsible for moving goods efficiently throughout the company’s network.
In its bid to deploy HVO and electric-powered vehicles, trials were initially implemented across test routes comprising almost 3,000 miles in the UK and Ireland. The result was an emissions reduction of more than 4,000kg of CO2.
Expanding the uptake of emission solutions in the managed transport sector aligns with XPO’s broader decarbonisation strategy, which includes increasing its use of alternative fuels. At the same time, newer low- and zero-emission vehicles are set to enter the market.
Dan Myers, Managing Director for the UK and Ireland at XPO Logistics, says it has been “hugely satisfying” to witness the business expanding its use of alternative fuels.
Enhancing the customer delivery experience
It’s been a busy few months for XPO Logistics, which recently extended its existing partnership with TotalEnergies – already active in France and Iberia – to the UK.
The industry giants’ latest long-term contract will see them work together to improve operational efficiencies and enhance the customer delivery experience.
XPO will provide end-to-end services, including inbound transportation, shared user warehousing and value-added services, as well as outbound distribution of packaged lubricants from finished goods production to TotalEnergies’ UK customer base.
Transport services include inbound, full-truckload freight (FTL) from France, Belgium and the UK, customs brokerage and shared user network distribution.
TotalEnergies is set to benefit from a multi-client warehousing solution in one of XPO’s UK locations, while plans are afoot to provide the energy powerhouse with the ability to utilise its XPO Connect system, further enhancing the customer experience.
******
Check out the latest edition of Supply Chain Magazine and sign up to our global conference series – Procurement and SupplyChain LIVE 2024.
******
Supply Chain Digital is a BizClik brand.