MANILA - FedEx Corp said Thursday it committed to pivot its global operations to become carbon-neutral by 2040, including electrifying its fleet for parcel pickup and delivery, among others.
In a statement, FedEx said it has allotted $2 billion (P97 billion) of initial investment in 3 key areas, namely vehicle electrification, sustainable energy and carbon sequestration.
It plans to have a global fleet with zero-emission electric vehicles by 2040 through replacements of existing vehicles, it added.
A pledge of $100 million was given to Yale University to establish the Yale Center for Natural Carbon Capture for carbon sequestration research.
“We have a responsibility to take bold action in addressing climate challenges. This goal builds on our longstanding commitment to sustainability throughout our operations, while at the same time investing in long-term, transformational solutions for FedEx and our entire industry," FedEx Corp chairman and CEO Frederick Smith.
It will also work with customers for end-to-end sustainability of supply chains through carbon-neutral shipping and sustainable packaging solutions.
FedEx said it would also continue to invest in alternative fuels to reduce aircraft and vehicle emissions. The company has a fuel conservation and aircraft modernization initiative which have so far saved a total of 1.42 billion gallons of jet fuel and avoided over 13.5 million metric tons of CO2 emissions, it said.
“While we’ve made great strides in reducing our environmental impact, we have to do more. The long-term health of our industry is directly linked to the health of the planet, but this effort is about more than the bottom line – it’s the right thing to do,” said FedEx chief sustainability officer Mitch Jackson.