UPS No. 1 Shipper on ‘Climate Counts’ Scorecard for Third Year in a Row

For the third year in a row, UPS has earned the top score in the consumer shipping sector on the annual “Climate Counts” scorecard. UPS also shared the 11th highest score across all industries alongside Sony, Nokia and AB Electrolux among 144 ranked companies.

UPS ranked No. 1 in the consumer shipping sector with a score of 80, remaining ahead of competitors Deutsche Post World Net/DHL, the U.S. Postal Service and FedEx, which ranked second, third and fourth, respectively.

Climate Counts, an organization that works to bring consumers and companies together in the fight against global climate change, ranks the world's largest companies based on 21 criteria that focus on measuring and reducing climate impact, corporate support of public policy initiatives on climate change and openness and transparency in reporting.

Climate Counts issues a shopping guide to help consumers “support companies that take climate change seriously and avoid those that don't,” according to the non-profit organization.

“This recognition is significant because Climate Counts rigorously evaluates performance rather than corporate marketing claims,” said Scott Wicker, UPS’s chief sustainability officer. “The Climate Counts shopping guide provides consumers with a signpost for companies that are truly committed to environmentally-responsible business practices.”
           
The Climate Counts ranking is just the latest in a long list of honors for environmental leadership awarded to UPS. Other recent honors include: Highest score in the Carbon Disclosure Leadership Index (tied with three others); No. 1 in the Carbon Disclosure Project S&P 500 and tied with three others in the Global 500; Interbrand Top 50 Best Global Green Brands, and Fortune’s Most Admired Companies list.
           
“UPS’s repeated and consistent top ranking in the shipping segment highlights our efforts to measure, manage and reduce our carbon footprint while offering consumers more choices that support their commitment to the environment,” Wicker added.

The Climate Counts scorecard can be found at http://www.climatecounts.org/. More information about UPS’s sustainability initiatives is available at http://ups.com/responsibility.

UPS Installs Biodiesel Tanks for Ground Support Equipment

UPS installed two biodiesel storage tanks on the Worldport property in Louisville, on Monday, April 11.  The installation was part of UPS’s goal to reduce their carbon footprint 20% by 2020.  Bill Jacob, Vice President of Air Group Ground Support Equipment and Jaime Vincent of the Kentucky Soybean Association were on hand to talk with the media.

The 30,000 and 5,000 gallon tanks will enable UPS to provide biodiesel usage in ground support equipment.

President Visits UPS to Highlight Private Sector Energy Solutions

UPS Becomes Charter Member of National Clean Fleets Partnership

Speaking to a crowd of more than 300 employees and representatives of major American companies at the UPS (NYSE: UPS) facility here, President Barack Obama praised efforts to reduce the environmental impact of corporate trucking fleets, noting the potential of alternative fuel vehicles to lower the nation's dependence on oil and drive savings both from an environmental and business standpoint.
"If you're a business that needs to transport goods, I'm challenging you to replace your old fleet with a clean energy fleet that's not only good for your bottom line, but good for our economy, good for our country and good for our planet," said Obama.

Chairman and CEO Scott Davis welcomed President Obama to UPS, which with its "rolling laboratory" of nearly 2,000 alternative fuel vehicles was chosen to host the event. Pepsi-Frito Lay, Verizon and AT&T also showcased their alternative fuel fleets for the President. Those companies joined UPS and FedEx today in becoming charter members of the National Clean Fleets Partnership.

As members of the partnership, the companies - operators of more than 275,000 vehicles combined- pledged to support the Administration's energy security efforts and to develop new alternative fuel technologies in tandem with the government. The combination of private sector innovation with public sector support is seen as a way to drive efforts to lower America's dependence on foreign oil while growing the domestic economy and contributing a significant cost-savings to companies.

Making the transition to a clean energy economy will help us... in two very important ways," Obama added. "First, it reduces the chance that our families, our businesses and our economy will be held hostage to the whims of the oil market. Second, investments in clean energy have the potential to create an untold number of new jobs and new industries right here in the United States."

During today's event, UPS Chief Sustainability Officer Scott Wicker guided President Obama, Energy Secretary Steven Chu and Transportation Secretary Ray LaHood on a tour of UPS vehicles, including plug-in all-electric and compressed natural gas trucks. Those technologies make up only a fraction of an alternative fuel fleet that includes hydraulic hybrid, electric hybrid, propane and liquefied natural gas for heavy trucks.

"Though many hurdles still remain and the path to success will not be easy, the sustainable business benefits of alternative fuels cannot be under-emphasized," said Davis. "We must deal with the short-term problems of cost differentials and infrastructure to prepare for our long-term future."

UPS's alternative fuel fleet recently hit a milestone of 200 million miles traveled since 2000 and for the first time, there now are alternative fuel and technology choices for virtually all forms of trucks on the ground. As Wicker noted to President Obama during their tour, there is no one-size-fits-all solution currently available for every situation. Investment in a broad spectrum of choices is vital to ensuring long-term program viability and to making real reductions in foreign petroleum consumption.

Obama's focus on private-public interaction may bode well for companies that approach energy security and sustainability campaigns as a natural part of business planning. Though technologies like liquefied natural gas can help to conquer even the most demanding conditions at a significant cost-savings, government incentives are still important to offset the initial high cost of vehicle and infrastructure investment. Economies of scale will develop over time as demand increases, making it a win-win situation for all parties involved.

On Wednesday, Obama urged Congress and members of the American business community to embrace a series of long-term energy security goals. Obama's strategy is closely aligned with many initiatives already underway at UPS and if achieved, would result in more alternative fuel vehicles on the road as well as additional fuel-efficiency standards.

From the introduction of its first electric vehicles in 1935 to the establishment of the industry's first sustainability report in 2003, UPS has consistently paved a path of innovation and growth potential in the environmental arena. The company pursues a balance of economic prosperity, social responsibility and environmental stewardship. This integrated approach guides the company as it develops strategy, sets goals, measures performance and takes action.

UPS Clearing the Air with new LNG Tractors

Purchase Is Step Toward U.S. Energy Security

UPS (NYSE:UPS) today announced it has purchased another 48 heavy tractor trucks equipped to run on Liquefied Natural Gas (LNG), bolstering its continuing effort to reduce the emissions of its truck fleet while taking a step toward energy security.

The vehicles, to be deployed this year in the western United States, will replace older generation diesel vehicles. These LNGs are expected to produce 25 percent fewer greenhouse gas emissions compared to the older trucks and use 95 percent less diesel fuel than the vehicles they replace.

“This is an important step not only from an environmental standpoint but from the viewpoint of U.S. energy security,” said Mike Britt, UPS’s director of vehicle engineering.  “Liquefied natural gas is a cheaper, cleaner-burning fuel that is better for the environment and more sustainable than conventional diesel.  And it’s also a fuel that’s in abundant supply inside the United States; it doesn’t have to be imported.”

According to Britt, there are multiple technologies and alternative fuels being explored or deployed today to provide propulsion for small- and mid-sized trucks.  “But at the moment, LNG is the only suitable alternative to diesel for the really heavy, long-haul tractor trailers you see on the highway,” he added.  “As a fuel, LNG is very dense, providing a large amount of energy for the amount of space it occupies.  This makes LNG an excellent potential fuel for large trucks that need to travel a long distance before refueling.”

Manufactured by Kenworth, the LNG tractors are powered by Westport HD Systems and initially will pull trailers on a transit lane linking Ontario, Calif., and Las Vegas, Nev., along with UPS’s 11 existing LNG tractors.  UPS is the only private delivery company using this technology in its fleet and now has more than 1,100 natural gas-powered vehicles in service.

UPS operates one of the largest private fleets of alternative fuel vehicles in its industry – 1,914 in total.  Since 2000, UPS’s “green fleet” has traveled more than 185 million miles.  Besides LNG, UPS has deployed Compressed Natural Gas, propane, electric and hybrid electric vehicles in the United States, Canada, France, Germany, Brazil, the United Kingdom and Hong Kong. 

LNG technology uses natural gas as the main fuel with a small amount of diesel delivered at high pressure to the combustion chamber.  Westport estimates approximately 95 percent of the diesel fuel usage is replaced by energy generated from the natural gas.  The U.S. Department of Energy (DOE) estimates that this displacement will amount to about 1.25 million gallons of petroleum annually.

“The added advantage of LNG is it does not compromise the tractor’s abilities, fuel economy or drivability, and significantly reduces greenhouse gases,” added Britt.  “These trucks have a solid 600-mile range and with reliable fueling infrastructure make an excellent alternative fuel system.” 

UPS currently bases its 11 LNG tractors in Ontario, from which they can make the round trip to Las Vegas on one tank of fuel.  UPS is working closely with the DOE’s Clean Cities program to construct a LNG fueling station in Las Vegas.  Once that facility is completed in 2011, UPS will base the 48 new tractors in Las Vegas and dramatically expand the number of long-haul routes in the West on which they’re used.

“UPS has shown environmental leadership in expanding its natural gas fleet of delivery vehicles to a fleet of heavy-duty interstate trucks powered by Westport HD,” said Clark Quintin, President of Westport HD.  “Connecting California’s existing LNG fueling stations with developing ones in Utah will create valuable LNG capability on a busy goods movement corridor.”

UPS pursues a wide range of socially responsible and sustainable business practices designed to reduce its impact on the environment and improve communities around the world.  Learn more about UPS's responsible business practices at www.ups.com/responsibility.