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DHL Supply Chain Invests EUR 80M in Biomethane for Irish Transport

DHL Supply Chain to drive biomethane use in its Irish transport network with EUR80 million investment in production

DHL Supply Chain Invests EUR 80M in Biomethane for Irish Transport - Supply Chain Tribe by Celerity

The company's goal of net-zero emissions by 2050 will be mostly accomplished with the aid of biomethane truck deployment and domestic biomethane energy generating investments.

DHL Supply Chain today revealed plans to start running trucks powered by biomethane after investing €80 million in Stream BioEnergy's specialized biomethane production facility in Cork. One renewable gas that has the potential to be carbon neutral is biomethane. Up to 150 trucks can be fuelled by the new plant, which will reduce annual carbon emissions by 15,000 tons, or more than 38 million miles driven by an average passenger car running on gasoline.

Together with Tesco Ireland, Ireland's top food store, DHL has pledged to decarbonize the country's transportation system. DHL intends to subsidize the biomethane from other sources in order to assist the initial vehicle roll-out and during the period of increased production. Following the completion of the new plant, Tesco's nationwide network will employ 92 DHL locally powered biomethane trucks.

A sizable section of Ireland's retail transportation market is being radically decarbonized by DHL, and they plan to expand this strategy to all other industries in which they do business, including consumer, technology, aviation, life sciences, and healthcare. Considering the scope of the implementation, this will fundamentally alter the Irish transportation sector.

Stream BioEnergy owns and operates a biomethane production station at Little Island, Cork. It processes 90,000 tons of food waste per year from industry and consumers that would have otherwise gone to landfills. Given its ability to be carbon neutral, the widespread deployment of biomethane doesn't necessitate improvements to Ireland's current gas system. Instead, biomethane offers a flexible and affordable means of reducing the carbon footprint of commercial road transportation.

The project is a reflection of DHL's worldwide GoGreen initiative and its dedication to providing sustainable logistics solutions. The company's goal of net-zero emissions by 2050 will be mostly accomplished with the aid of biomethane truck deployment and domestic biomethane energy generating investments.

"We are extremely proud to be enhancing renewable energy production here in Ireland," stated Ciaran Foley, Managing Director of DHL Supply Chain, Ireland. "Our collaboration with Tesco marks a significant step in our shared journey towards achieving net-zero emissions." Our capacity to make alternative fuels a reality will allow us to demonstrate our worth as a strategic partner. Our clients' transportation networks are a critical area of attention when considering how they might meet their overall sustainability goals."

"We have one of the most sophisticated distribution networks in the country, and improving its efficiency and environmental impact will play an important role in our journey to net zero," stated Ian Logan, Retail and Distribution Director at Tesco Ireland. In order to support our expanding network of 166 stores around the country, our present HGV transport fleet makes over 2,000 trips every week. Switching to cleaner fuel throughout our value chain will be essential to reaching this goal.

Our own steadfast dedication to adopting sustainable practices and reducing our emissions complements DHL's track record in utilizing renewable transportation options. We both share a commitment to advancing global environmental goals and achieving net zero in our value chain by 2050, as well as in our own operations by 2035.