FedEx Report Shows 15.1% Fleet Fuel Economy Improvement as of 2010

MEMPHIS, TN – FedEx released its 2010 Global Citizenship update, which provided insight into how the company is improving its fleet’s fuel economy, the alternative-fuel vehicles it’s using and related CO2 emissions reductions, and the benefits the company's routing system offers.

The company’s report shows it was able to reduce the amount of fuel consumed by 276,000 gallons with its fleet of 408 electric-vehicle and hybrid-electric vehicles. This also reduced CO2 emissions by nearly 2,800 metric tons. In terms of overall fleet fuel efficiency, the company was able to improve its fuel economy by a total of 15.1 percent in 2010 since it started focusing on this effort in fiscal-year 2006. The company's goal is to have improved fleet fuel efficiency by 20 percent by 2020.

The company also recently announced that it is rolling out 4,000 new trucks for its FedEx Express division (primarily BlueTEC clean diesel Sprinter vans), which is part its efforts to meet its fuel-efficiency goals.

One of the more interesting items mentioned in the report is the company’s routing technology, which it calls Route Optimization and Decision Support (ROADS). The company said this helps it streamline everything in its FedEx Express operations, from sorting and loading packages to delivering them. The computer-assisted planning provided by ROADS helps FedEx Express station managers change vehicle routes daily regardless of the volume of incoming packages. The system also creates “what-if” scenarios to help managers alter their delivery zone boundaries. The system is also used to help train new employees by helping them make better routing decisions. The company said it uses the ROADS system when a region experiences weather that disrupts normal routes to redraw territory boundaries, for example in areas hit by flooding, tornadoes, snowstorms, or other types of inclement weather.

The report also discussed its Eco-Driving program that it began in Japan. FedEx collaborated with Isuzu to create the program. The program identified 20 actions that can decrease fuel use and emissions, including gentle acceleration, flat speed, early-off acceleration, careful use of air-conditioning, and idle-time reduction. The report said FedEx is using stickers in the vehicles to help reinforce program principles. FedEx said it plans to roll out this program globally but will first use it in the near future in Asia.

Originally posted on Automotive Fleet