CEVA Logistics is transitioning all its contract logistics and freight warehouses to low-carbon electricity by 2025.
It said that the commitment relies on a combination of purchasing low-carbon electricity (renewable and nuclear) from local utility providers and increasing its own production of electricity using rooftop solar panels, which the company will triple by the end of 2025.
In addition, CEVA expects to reach 100% LED lighting in its warehousing facilities by the end of 2023.
CEVA Logistics noted that it finished 2022 with LED lighting in approximately 80% of its contract logistics warehouses.
The company expects to reach 100% by the end of 2023 as part of its multi-million-dollar energy efficiency investments.
In addition to the lighting initiative, the company is implementing a range of heating and cooling projects to reduce its energy consumption.
CEVA is also increasing the size of its lithium-ion material handling equipment (MHE) fleet. The global logistics provider expects its global fleet to reach a 40% level 2023 of eco-MHE (lithium-ion and gel battery units).
Beyond the obvious emissions savings in moving away from diesel- or LPG-powered combustion MHE, the company is also seeing an average 16% emissions reduction during the charging process when switching from a lead-acid battery MHE to more eco-friendly lithium-ion batteries.
Commitment to energy transition in logistics
Through a joint investment with real estate partners of approximately US$180 million, CEVA plans to triple the surface area of solar panels covering the roofs of its contract logistics warehouses around the world.
It said that by the end of 2025, the company expects to have approximately 1.8 million square meters of solar panels installed at its facilities—an area 2.25 times the size of France's famed Palace of Versailles.
With this coverage area, the company estimates it will generate approximately 135,000 MWH per year.
In the UK, CEVA noted that it is already operating on 100% low-carbon electricity, and operations in Benelux produce more electricity than they consume. CEVA said it also opened a new zero-emission warehouse in Bogota, Colombia, in 2022.
Net zero goal by 2050
As part of the CMA CGM Group, CEVA is committed to protecting the environment. The Group is investing in research and development to help the emergence of low-carbon energy sources and technologies to reduce the impact of transport and logistics on the planet.
The CMA CGM Group aims to be net zero by 2050.
"The global logistics industry must find better ways to operate and ultimately reduce its impact on the planet from carbon emissions and energy consumption. These investments are the right thing to do, and they also make good business sense," said Mathieu Friedberg, CEO of CEVA Logistics.
"We will continue acting to build a more sustainable model through initiatives like these in our contract logistics operations and across our product lines in air, ocean, ground and finished vehicles," he added.