DHL takes a deeper dive into sustainable aviation

DHL Group is set to seek a new partner to help it achieve net zero emissions in its logistics operations by 2050.

The logistics giant is partnering with Chinese energy technology company Envision to further support its low-carbon initiatives, particularly in aviation.

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In this strategic partnership, Envision will supply sustainable aviation fuel (SAF) to DHL, in order to achieve its goal of increasing the SAF percentage of total fuel consumption to 30 percent by 2030.

SAF is a liquid fuel that claims to dramatically reduce greenhouse gas (GHG) emissions over its life cycle compared to petroleum-based jet fuel, while still providing the same flight performance. It can be produced from feedstocks such as waste oil and fats, green and municipal waste, and non-food crops.

“The partnership framework with Envision represents a further step towards global leadership in sustainability for DHL Group. By leveraging our unmatched logistics expertise and unique global network, we are committed to supporting Envision in their international expansion and logistics challenges,” said Tobias Meyer, CEO of DHL Group in a statement. “Together, we will lead the change in integrating green technologies and optimizing supply chains, setting new benchmarks for sustainable innovation and global environmental impact through the energy transition.”

Envision is just one of many companies working with DHL on SAF-related initiatives. Prada Group has signed an agreement with the company to use SAF credits.

As early as 2023, the Prada Group was able to save around 4,500 tonnes of CO2 equivalent thanks to the partnership with DHL, which corresponds to 7 percent of the Group’s total transport-related emissions.

Last October, DHL Express signed an agreement with sustainable aviation company World Energy to purchase 668 million liters of the alternative fuel through SAF certificates.

The certification system separates the environmental aspects of the fuel from the fuel itself, using a book-and-claim model. This aims to ensure that the emission reductions associated with each credit are accurately transferred and verified by a third party.

Last July, DHL Express and law firm Linklaters partnered to use SAF to reduce emissions from air freight shipments in Asia and the UAE. The month before, DHL Global Forwarding and IAG Cargo also partnered to purchase SAF.

The International Air Transport Association (IATA) estimates that SAF could contribute about 65 percent of the emissions reductions the airline industry needs to achieve net zero carbon emissions by 2050. But both the association and Envision warn that this will require a massive increase in production to meet demand.

“The aviation industry is currently lagging behind its targets, largely due to the high costs associated with green hydrocarbons and their derivatives,” Lei Zhang, chairman of Envision Group, said in a statement. “Envision can, through systematic innovation, reduce costs and revolutionize large-scale SAF production. The development of this ‘new oil’ will support global efforts toward carbon neutrality.”

Along with DHL, Flexport joined SAF late last year by partnering with climate action software platform Chooose, allowing customers to purchase SAF certificates when booking freight.

The DHL-Envision deal goes beyond sustainable fuel. Envision will provide comprehensive green energy transition solutions, including electricity, to support some of DHL’s other renewable energy goals through targeted green power purchases.

The agreement leverages DHL’s network in more than 220 countries and territories to support Envision’s goals of entering new renewable energy markets. As Envision’s preferred logistics partner, DHL will implement fully integrated logistics solutions to improve efficiency and quality, ensuring seamless global supply chain management and comprehensive support in navigating regulatory requirements and operational challenges.

Envision and DHL will also explore opportunities for the joint development and construction of a “Net Zero Industrial & Logistic Park” in various industrial sectors.

The “Net Zero Industrial Park” is a new class of industrial parks that are fully powered by a comprehensive clean energy solution and built to integrate the supply chains of various industries, such as electric vehicle and battery manufacturing.

The park concept aims to promote new electric energy models and stimulate green industrial ecosystems, ultimately accelerating the global green transition for customers across sectors.

The first park has already opened in Ordos, Mongolia, and with the support of DHL, Envision expects to expand its global presence in Europe and the Middle East.

Founded in 2007, Envision provides renewable energy system solutions to global enterprises, governments and institutions, with a focus on areas such as smart wind turbines, energy storage and green hydrogen solutions.