Our recent $420M funding investment allows project44 to go beyond providing real-time visibility of in-transit shipments and to start leveraging our platform data for innovative projects. One of those will be a product I’m personally extremely passionate about — helping companies address the issue of measuring accurate, accredited carbon emissions to achieve their reduction in supply chains.
As more corporations embrace sustainability as part of their corporate social responsibility to fight climate change, they’re looking for ways to reduce their emissions of greenhouse gases in their supply chains, particularly carbon emissions that result from fossil fuel usage in freight transportation.
But companies can’t take steps to reduce carbon if they don’t have a clear understanding of the amount of greenhouse gas emissions they produce in their logistics. Up to this point, determining emissions in the supply chain has been impossible because companies don’t have the necessary information to do the calculations. project44 is ready to help.
Supply Chain Major Source of Greenhouse Gases
It’s estimated that supply chain activities account for 60 percent of an individual company’s global carbon emissions, which includes methane, carbon dioxide, sulfur hexafluoride, and other greenhouse gases. These fall into the Greenhouse Gas Protocol (GHG) category of Scope 3 emissions. (For more on Scope, see our blog “How project44 can Help Companies Measure Greenhouse Gases in Logistics” https://www.project44.com/blog..)
Now companies can only make rough guesses as to how much carbon is produced in transporting goods. Determining shipping emissions is no easy task. For starters, there are many types of equipment used in the different modes of transportation, each of which has its own carbon footprint. To address that issue, the Global Logistics Emissions Council (GLEC) has developed the GLEC framework, the industry standard methodology for companies to calculate carbon emissions across the global multi-modal supply chain.
High-Quality Data Essential to Calculations
But models based on that methodology are of no value to a company for measuring carbon emissions unless a company has actual and accurate data on its shipments. By having specific shipment data, companies would be able to calculate the carbon emissions for their freight transportation across all modes. Companies would then have accredited and actionable information that they could use to measure, track, and reduce their logistics carbon footprint.
Visibility into Carbon Emissions
Companies are facing a tough challenge for meeting lofty goals and mandates from governments, board members, and most importantly, their customers. The Smart Freight Center has said that businesses need to make an 80 percent reduction in their transportation emissions by 2050. To achieve that goal, companies need to act now.
Over the coming months, project44 will begin releasing carbon emission visibility reports with carbon insights into shipping activities. With this information, a company can make data-informed decisions that will produce significant results in reducing their supply chain carbon footprint.
It’s not easy being green. But project44’s new initiative to offer visibility into carbon emissions gives businesses the data to undertake “green transportation” and meet carbon reduction goals. The team at project44 looks forward to helping companies move along their journey to a greener supply chain.
Learn more about project44’s latest technology initiatives.