Flying into a sustainable future

While sustainability efforts likely to require additional investments, they are worthwhile for achieving long-term results. By following our action plan, we can manage costs, while simultaneously reducing the environmental impact, say industry experts.

Ritika Arora Bhola & Abigail Mathias

It is heartening to see the global air cargo industry’s dedication and commitment towards achieving cent per cent carbon neutrality and net zero emissions by 2050. The development of long-term strategies to achieve sustainability is key to guaranteeing the future of air cargo. As part of this, airlines, airports, and cargo agents have taken various initiatives to cut down on carbon emissions.

For example, to enhance operational efficiency, Qatar Airways Cargo has signed an offtake pact to purchase 25 million gallons of certified SAF over a five-year period beginning 2028. The carrier has joined IATA Turbulence Aware data exchange platform to ensure a journey with lower fuel burn.

Similarly, Maastricht Aachen Airport has taken initiatives such as onsite solar power generation and swapping ground service equipment from diesel to electric by 2030. Infrastructural upgradation is underway at Maastricht to allow the transition to electric and hydrogen-powered flying.

WFS has also made great commitments, including converting 75 per cent of is fleet to EVs by 2030, adopting renewable electricity, increasing energy efficiency, and exploring alternative fuels such as hydrogen and biodiesel. Investing in improved data capturing and Artificial Intelligence is also being done worldwide. TIACA’s BlueSky sustainability verification program also aims to achieve an advanced rating against decarbonization criteria.

It promotes investments in deploying SAF, upgrading aerial fleets and ground vehicles to reduce carbon emissions. Airforwarders Association is continuously pursuing government funding to improve airport cargo areas to increase throughput, reduce truck idling times and therefore reduce excessive carbon emissions. A lot of technology companies have also introduced highly innovative solutions to improve efficiency, sustainability and reduce costs.

Pact to buy 25 mn gallons of SAF in next 5 years
Guillaume Halleux, Chief Officer Cargo, Qatar Airways Cargo
(member of Cool Chain Association)
As part of one world alliance, Qatar Airways has committed to net zero emissions by 2050, taking part in the common target to achieve carbon neutrality.

The alliance has committed to a target of 10 per cent SAF use by 2030. As part of this, Qatar Airways has signed an offtake pact to purchase 25 million gallons of certified SAF over a five-year period starting from 2028.

We are reaffirming our commitment by investing in the youngest fleet and advanced aircraft technology, while maintaining the lowest ratio of fuel burn.

Since 2015, we have implemented 70 optimization initiatives implemented through our Fuel Optimization Program. In 2020, we became the first Middle East carrier to join the IATA Turbulence Aware data exchange platform to ensure a journey with lower fuel burn.

Under our WeQare programme, we have so far launched four chapters:

Chapter 1-One million kilos: COVID accelerated the launch of this programme to transport one million kilos of aid and relief goods. We involved our customers by allowing them to allocate the space to charities of their choice.

Chapter 2-Rewild the Planet: This chapter was launched to offer free transport to bring wild animals back to their natural habitat.

Chapter 3-Let’s Stand Together: This chapter consisted of collecting donations for children, which were assembled in Doha and then distributed to charities worldwide.

Chapter 4-Diversity: This chapter celebrated our highly diverse team portrayed on an airplane livery with the slogan moved by people.

  1. Working closely with stakeholders in leading global efforts to reduce CO2 emissions.
  2. Meeting and exceeding industry standards for noise and air quality.
  3. Preventing pollution and meeting compliance obligations among others Qatar Airways Group subscribes to.
  4. Improving our performance through Environmental Management Systems.
  5. Raising awareness across the group and promoting the training of employees and stakeholders on our Environmental Policy.
  6. Maintaining a zero-tolerance policy for ferrying illegal wildlife and their products.

Optimize capacity, routes to boost efficacy
Vitaly Smilianets, Chief Executive Officer, Awery Aviation Software
Technology is better placed than anyone to assist in reducing emissions in the supply chain. Today, global load factors for air freight is 50-60 per cent. By making better use of capacity through tools such as Awery ERP, fewer flights are required to satisfy demand, which will reduce emissions. Awery is also helping to reduce spare capacity through our open access CargoBooking platform. The CargoBooking marketplace is freely accessible and enables airlines and General Sales & Service Agents (GSSAs)
to provide freight forwarders with real-time air cargo rate distribution, quotes, and booking options. By making it easier for stakeholders to share, find, and book cargo capacity, the industry can efficiently allocate its resources. We also help customers optimize their networks, further reducing their environmental
footprint. Resources are scarce and it is the responsibility of all of us to use them efficiently
and Awery provides for this. It is not merely a question of whether the industry is ready; it must be ready for a more sustainable future.

While there is currently a lot of talk about SAF, the air cargo industry has a while to go before SAF is widely used for commercial flights. The air cargo industry should prioritise optimising flight capacity and routes to enhance efficiency, and technology solutions such as Awery ERP and CargoBooking can help with this. Adopting a more open and collaborative approach to data sharing will also bring less wastage as errors are reduced and supply chain processes optimised.

Adopting solar power, electric kits by 2030
Jos Roeven, Chief Executive Offcer, Maastricht Aachen Airport
We are working hard at Maastricht Aachen Airport to ensure the sustainability and continued success of our cargo operations. We are on a mission to transform all of our operations into zero carbon forms, and we are doing this by introducing initiatives such as on site solar power generation and swapping all of our ground service equipment from diesel to electric by 2030.  Infrastructural preparation is also underway to allow for the transition to electric and hydrogen-powered flying.

Maastricht airport is currently Airport Carbon Accreditation (ACA) level two certified and is working toward level three certification. The air cargo industry is advancing toward a more sustainable future, but freighter fleet renewal is much slower than what we see with passenger aircraft. This puts us at a disadvantage, as the older models will have a higher carbon footprint. However, cargo operations can drive the way forward in other areas, such as the prioritisation of clean ground handling and the use of sustainable aviation fuel (SAF).

Investing in electric cargo planes, vehicles
Val M Karren, Sustainability Director, DANX Carousel
Building a carbon neutral service, especially when it comes to our in-night delivery, is a key focus of our sustainability strategy. We are doing this across our pan-European ops by implementing both fuel substitution and product replacement—prioritising carbon in setting rather than offsetting. In addition to the use of SAF, we are investing in the development of electric cargo planes, testing out electric vehicles, and trialling electric trains. We are determined to reach our target of slashing our emissions by 40 per cent before 2035. When I was first appointed as Carousel’s Sustainability Director, I was concerned about the pressing issue of climate change and the immense responsibility we in the industry must make the global supply chain sustainable. The more I learn about new innovations within the industry, the more optimistic I become. It is amazing what is going on at grassroots level—so I am hopeful for the future and believe we, as an industry, are focused on stepping up to the challenge in this critical moment.

Investing in changing 75% of fleet to EVs
Emma Deane, WFS, Regional Vice President, Business Development, AMEA
Sustainability is increasingly important at WFS. In 2022, WFS undertook a review of its ESG strategy with the help of an external Sustainability Team.  This involves a full materiality assessment, internal and external stakeholder interviews, a full document review and a series of strategy development workshops.

The new strategy ‘Our Sustainable Flight Path’ was launched in May 2022 along with new governance via a monthly Group ESG Committee. WFS has made several commitments. These include:

  1. Converting 75 per cent of our fleet to Electric Vehicles by 2030 (currently c. 26%).
  2. Continuing to reduce GHG emissions by switching to renewable electricity sources, increasing energy efficiency and exploring alternative fuels with our airport operator partners.
  3. Investing in improved data capture and tracking through Enablon’s ESG metrics suite. Aligning with the United Nations Sustainability Development Goals by joining the UN Global Compact in 2023.

Awareness is increasing across the industry. We can see this from the number of initiatives the players took during this year’s World Environment Day to implement longer-term sustainability measures. WFS recently joined forces with KLM Royal Dutch Airlines for The Sustainable Flight Challenge. The move is aimed to inspire the airlines and their partners to develop new ideas to influence future flying.

Sustainability can drive beneficial environment and financial outcomes as we continue to Reduce, Reuse and Recycle. Our BKK team has achieved a 55 per cent reduction in energy use by transitioning to energy-efficient LED bulbs in the warehouse, thereby saving 775,000 kWh per year.

Workforce skilled in sustainability needed
Nat Boonyavichkanont, Chief Executive Officer, Pattaya Aviation
Sustainability is of utmost importance to us. In this year, we have recognized that sustainability is crucial for the survival and success of the businesses.

As a leader in the aviation industry, we are committed to studying and implementing sustainable practices.

By taking a proactive approach to sustainability, we inspire positive change in the industry and contribute to a better future for the next generation. Some of our sustainable practices include:

Energy efficiency: We prioritize energy efficiency by assessing and upgrading our facilities and equipment to reduce energy consumption.

By adopting energy-efficient technologies, we aim to decrease our carbon footprint and contribute to a more sustainable aviation industry.

Waste management: We have robust waste management practices in place, including proper waste segregation, recycling programs, and responsible disposal methods.

We seek innovative solutions in order to minimize waste generation, maximize recycling efforts, and promote a circular economy.

Action plan with accountability: Setting clear and steadfast goals and ambitions and holding individuals accountable for their sustainability efforts. By measuring results and improving our sustainable practices, we create a momentum in our sustainability initiatives.

Employee engagement: We understand the importance of educating our employees about sustainability. Through training programs, our trained team understands the impact of their actions and encourages them
to contribute additional ideas for sustainability.

The air cargo industry is increasingly aware of the implications of not reducing carbon emissions. Carbon footprint has environmental consequences, including climate change, urban air pollution, and toxic acid rain among others.  As  a responsible ground handling company, we understand and comprehend the need to address and mitigate them.

Through practices such as reducing carbon emissions and adopting cleaner technologies, we can make a huge difference in minimizing the carbon footprint in the industry.

Feasibility

While sustainability efforts would require additional investments, such as training costs and acquiring new equipment, they are, however, worthwhile for achieving long-term results.

By following the action plan and committing to sustainability practices,  cargo industry can manage input costs, while simultaneously reduce the environmental impact.

Decarbonbizing air cargo is our commitment
Tim Isik, Vice President, Commercial, Etihad Cargo
While the air cargo industry is moving in the right direction, we are seeing an increase in demand for more sustainable options. There is still much to do if the sector is to reach its net zero targets by 2050. While achieving end-to-end sustainability in air cargo requires a holistic approach, we need to consider the entire air cargo supply chain, from the point of origin to the final destination.

While collaboration will be critical, Etihad Cargo is committed to accelerating the air cargo decarbonization through partnerships, thereby contributing to a greener future. Sustainability can and will be a game changer in the cargo industry, and the sector must be ready for it because the need is so great.

The global aviation sector is presently responsible for 2.5-3 per cent of all human-induced CO2 emissions worldwide, and this could increase up to 22 per cent of global emissions by 2050. As other sectors decarbonize more quickly, it is critical for the air cargo sector to act now to invest in sustainable solutions.

In line with Abu Dhabi Environment Vision 2030 and IATA industry targets, Etihad Cargo is committed to achieving our goal of net zero carbon emissions by 2050 and hence is adopting sustainable practices across
our operations.

The carrier was the first Middle Eastern airline to join TIACA’s BlueSky sustainability verification program, achieving an advanced rating against decarbonisation criteria, demonstrating our progress in investing in and deploying SAF, upgrading aerial fleets and ground vehicles to reduce carbon emissions, reducing energy consumption across its operations, and optimizing fleet utilization.

Etihad Cargo performs well in areas of partnerships and biodiversity protection. These results will act as an enabler for Etihad Cargo to advance our sustainability efforts, and we are targeting year on year progress.

Etihad Airways was recently named the Environmental Airline of the Year 2023 for the second consecutive year at the Airline Ratings Awards, demonstrating our commitment to sustainable aviation.

Govt & industry, must work together
Yossi Shoukroun, Chief Executive Officer, Challenge GroupW
e are embarking on a sustainable transformation journey that will help us in evolving into a purpose-driven company.

Driven by the ESG goals and taking into consideration our eight different business units, covering different areas of the supply chain, we started by defining our high-level ambitions.

For the Environment part, our ambition is to conduct a materiality assessment and a survey with internal and external stakeholders. We were able to bring down our ambitions, define priorities and set credible targets: improve fuel efficiency and energy consumption, decarbonize/reduce GHG emissions.

During several conferences last year, there was a call from the stakeholders to have guidance on how to build a roadmap in order to mitigate the widening gap between big players and small and medium players.

Adopt electric ground handling material
Geert Aerts, Chief Cargo & Real Estate Officer, Brussels Airport
Sustainability is one of the three pillars in our strategy Shift 2027. If aviation wants a future, it must be sustainable. Sustainability is, therefore, at the core of everything we do. Brussels Airport Company has been carbon neutral for its activities since 2018 and is working on achieving net zero carbon emissions by 2050 at the latest.

The airport makes every effort to be ready before the deadline. Within the European Stargate project with Brussels Airport as project leader, many initiatives for greening aviation will be taken in the coming years. Since 1 January, SAF is delivered to Brussels Airport in a secure way via the North Atlantic Treaty Organization (NATO) pipeline.

Brussels Airport is linked to this pipeline and has been asking to receive Sustainable Aviation Fuel (SAF) via this pipeline for some time. With our European Green Deal project ‘Stargate’, we work with a consortium of 21 partners.

Govt funding must to improve cargo areas
Brandon Fried, Executive Director, Airforwarders Association
Sustainability has become a key priority for the freight forwarding industry. In recent years, many forwarders have taken steps to reduce their environmental impact, such as investing in more fuel-efficient vehicles, including trucks, warehouse handling equipment, office lighting, and climate control systems.

The freight forwarding industry is committed to making the global air cargo industry more sustainable. With continued investment in new technologies and practices, the industry can reduce its environmental impact and operate more sustainably. Our industry faces pressure from the governments, customers, and investors to reduce its environmental impact.

The industry is still in the nascent stages of shifting to a more sustainable future, but there is a growing commitment to making this happen.

e-AWB increasing supply chain visibility
Jasraj Chug, Co-founder and Director, Cargoflash Infotech
Our commitment to sustainability is embodied in our core principle—go miles by going paperless. We have eliminated the need for physical paper documents using
digital solutions such as e-AWBs and electronic documentation systems.

This not only decreases our environmental effect, but also improves supply chain visibility allowing businesses to spot inefficiencies and opportunities for improvement. By optimizing asset utilization, we aim to decrease the carbon footprint, while improving its financial performance. Many companies are recognizing the importance of reducing their environmental impact and are implementing measures to achieve sustainability.

From adopting fuel-efficient aircraft, optimizing routes, utilizing digital solutions, and embracing alternative fuels, the industry is taking significant measures.

Carriers investing in fuel-efficient aircraft
Glyn Hughes, Director General, TIACA
In recent years, the industry has taken onboard sustainability concerns and introduced many new programs into their strategic and operational systems. From an environmental perspective, carriers are investing in SAF, partnering with major customers, working with partners to introduce more renewable energy-based equipment such as ground support equipment (GSE). They are accelerating the replacement of single-use plastic with biodegradable or recyclable alternatives.

But sustainability is not about emissions, it is also about reducing the effect of noise and creating a better working environment attracting and retaining a diverse workforce.  Going beyond their direct control, the industry is about creating connected markets enabling communities to distribute their products to global markets, enabling global prosperity to be enhanced. The topic is important as we have a collective responsibility to the global society and our colleagues within the air cargo community. All industries and all companies must establish a sustainability strategy.

We conduct an annual sustainability survey and one of the questions we ask is, for whom is sustainability important? The answers broaden each year and the data revealed it is important for employees, business partners, financial partners, customers, and regulators, so you could say improving sustainability credentials is a license to operate. As for TIACA, this topic has been placed at the top of the priority list. We recently launched a new programme, TIACA BlueSky, which provides a service whereby a company can have their sustainability practices independently assessed.

Implications

I think the industry is aware of the impact in terms of emissions and carbon footprint, which is why so many organizations are prioritizing investments in this area.  Sustainability is not an issue of choice, but an issue of necessity.  Improvements often require investments, but the consequences of no action are harmful to an organization’s reputation and ultimately bottom line. Particularly as mentioned previously, it is an area, which is critical for stakeholders.

Collaboration must to reduce carbon footprint
Vishnu Rajendran, Area Manager, Middle East, Cathay Pacific
One of our key initiatives is the Fly Greener Program, which allows our customers to take part in offsetting the CO2 emissions generated from air cargo transportation. Through this program, we offer customers the opportunity to purchase carbon offsets from high-quality projects focused on reducing or preventing CO2 emissions, with an emphasis on cleaner energy sources.

The Fly Greener Program is an extension of the initiative launched by Cathay Pacific in 2007 for passenger travel. Building upon the positive impact, we have achieved through offsetting 300,000 tonnes of carbon emissions, we have expanded the program to include air cargo, providing our customers with a more sustainable cargo solution.

To determine the emissions associated with cargo shipments, we calculate them based on the weight of the cargo. The monetary contributions attributed to these emissions are directed towards funding third-party validated projects that offset the emissions generated during the transportation process.

Significance of sustainability

Sustainability is of importance to Cathay Cargo. We integrate sustainable practices into every aspect of our cargo operations, acknowledging our responsibility to future generations. Our Fly Greener Programme engages customers in reducing their environmental impact through certified carbon offset projects. We invest in fuel-efficient aircraft, optimize flight routes, promote waste reduction and recycling, and foster sustainable partnerships.

Sustainability is embedded in our corporate culture, driving positive change within our organization. It is not just a box to tick, but a core value that guides our actions and sets us apart as a responsible cargo airline committed to making a meaningful environmental impact, while delivering exceptional services.

There is a growing recognition that the industry’s carbon emissions contribute to climate change and environmental degradation.

In recent years, the stakeholders have been working to address their carbon footprint. The airlines, cargo operators, and industry associations have been striving to reduce carbon emissions through operational improvements, such as
optimizing flight routes, reducing aircraft weight, and improving fuel efficiency.

IATA’s Carbon Offsetting and Reduction Scheme for International Aviation demonstrates the air cargo sector’s commitment to addressing the environmental impact. It aims to achieve carbon-neutral growth in global cargo by offsetting emissions using carbon credits.

Educate experts on sustainability
Celine Hourcade, Managing Director, Change Horizon
Sustainability being the core expertise of Change Horizon, we help our clients/customers to understand why it matters to their financial and commercial success, identify the regulations they need to comply with, help them define their sustainability priorities, ambitions, and action plans. We partner with the TIACA to drive the sustainability agenda, including the BlueSky assessment and validation program, the annual sustainability survey, and the report dedicated to the air cargo industry. This year, we have built a series of webinars titled ‘Do you speak ESG?’ to educate professionals on sustainability concepts. We are building a series of training on sustainability in air cargo,
both online and physical training sessions.

The air cargo industry is not ready yet, which is why it is important to raise awareness so as to help every company start their sustainable transformation journey. And that is the passion, mission, and commitment of Change Horizon.

Our aim is to achieve zero emissions by 2050
Allen Paxson, Vice President and General Manager Commercial Programs Strategy, GE Aerospace
The aviation industry is committed to the goal of achieving net zero carbon emissions by 2050, while also recognizing the need to accelerate efforts and ensure all key stakeholders are on the playing field. While GE Aerospace and our partner engines powering three-quarters of the world’s flights, we recognize the responsibility that we must meet that the industry ramps up efficiently for our customers.

Invest to avail the benefits of sustainability
Thomas Gregory, CEO & Co-founder, Fusion Specialized Shipping & Logistics
The airlines we are associated with adopt measures towards sustainability of which alternate fuels and carbon offsetting take center stage. The other measures undertaken towards sustainability include fleet modernisation, sustainable packaging, and effective ground operations.

Many airlines are conducting SAF test flights and collaborating with biofuel producers. Investing in projects that reduce or remove greenhouse gases, such as reforestation initiatives or renewable energy projects enable us to offset our own carbon footprint. Sustainability is crucial for our organization as it aligns our growth with environmental and social responsibility. Just like the pax airline industry, cargo carriers recognize the importance of sustainability and are taking steps to mitigate emissions. To manage their carbon footprint, cargo airlines often conduct assessments analysing the emissions, including direct ones from aircraft fuel combustion and indirect ones from ground operations and infra. These assessments help them identify areas of high emissions. While there may be some upfront investments required, the potential benefits and cost reductions related with sustainability initiatives can outweigh the initial expenses.

Fleet modernisation, SAF investment crucial
Magali Beauregard, Chief Customer Officer, CargoAi
From the beginning, our mission is not just to steer procurement transactions based on prices. With Cargo2ZERO, our sustainability solution, we are leveraging our position between the carriers and forwarders, to steer these decisions towards the sustainable options available per booking.

In a nutshell, there are two sets of solutions—the suite of sustainability data and the SAF purchase. Firstly, we offer CO2 solution calculations, embedded in all workflows powered by CargoAi. On a shipment level, we are providing data to inform clients about their carbon footprint and how optimized their procurement decision is, using CO2 efficiency score.

In late 2022, we announced a partnership with Neste, the leading SAF producer worldwide—our goal was to enable any forwarder access to SAF at the transactional level for one booking or for bulk purchase for any volume share, ranging from 1-100 per cent of SAF. Many small to middle-sized carriers have reached out to us to take a step forward with their own SAF offering. We are also working on a couple of projects to support the clients in refining the sustainability data they work with.

This year’s Tech Summer webinar will be focused on this topic, as we want to help educate the industry about the urgency needed for pivoting to radically more sustainable procurement decisions and give the clients tangible solutions to reduce CO2 emissions.

I believe that we are ready discounts the progress we have achieved, and frames the situation to look like we need to get “everything in place” before we begin. But this is not the case today. Many players have made strides to ensure the daily operations become more sustainable, and much of it has resulted in positive business results. Fleet modernisation and SAF investment are examples of the industry recognizing the importance of environmental stewardship. While the global air cargo industry is making progress, there is still more work to be done.  The combination of regulatory frameworks and industry collaboration must fill this gap.

SAF, electric vehicles & e-AWB used extensively
Lothar Moehle, Executive Director, Cargo iQ
Sustainability is not about being environmentally friendly, but about making the sector function effectively and efficiently. Cargo iQ’s work to enhance quality, standards, and visibility in shipment handling to prevent damage and loss of cargo is fundamental to improving the industry’s overall sustainability. The more smoothly the operations run, the fewer resources are wasted in rectifying mistakes.

Cargo iQ is working on several projects where our members aim to improve planning and control. With our Care Protocol initiative, our members will be able to combine schedule-based planning of processes with product-specific needs at the various interfaces and handling points. This could, for example, be the temperature control at transit station, where the GHA can not only offer, but be instructed to ensure that a pharma shipment will be kept in a temperature-controlled environment, customized for the product, while in the care of the GHA. Another project is our Road Feeder Services (RFS) optimization activity, where our members will be able to plan RFS legs and processes such as flight operations, to decrease dwell and waiting times for trucks at terminal forecourts. In all conferences and meetings, the SAF to replace kerosene is not only talked about, but several airlines and forwarders are offering their customers this option. Although SAF is expensive, forwarders and shippers are willing to invest in achieving a clear environment.

Besides SAF, many other actions are being taken as well, such as battery-powered vans and trucks, using environmentally friendly covers for pallets against rain and snow, replacing paper-based processes (e-AWB) with electronic devices, warehouses being equipped with LED lights, and landlords fitting photovoltaic modules to generate clean electricity.

These are just a few initiatives our members are fully engaged in. Many small puzzle pieces will lead to a full picture in the future, and I know from many discussions that the industry, and in particular our members, are not just talking, but acting.

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