Recent catastrophic flooding in the United States and Europe, wildfires in Australia, record-breaking heat waves around the globe, water shortages in Africa and South America, and major storms that are lingering longer over parts of Asia and elsewhere all have their roots in or are being exacerbated by climate change. Climatic anomalies are wreaking havoc on every industry in every corner of the world, and the mobility industry is not immune.
Workers considering relocation to states like California and Florida, for example, must consider the risks linked to wildfires and hurricanes. Ports and flights are being impacted by violent storms, delaying the transit of goods and passengers. Insurance costs in flood-prone areas are climbing or coverage is disappearing entirely, pushing housing out of reach for many.
Mobility professionals have an opportunity to limit their industry’s carbon footprint. How they choose to do so can take several shapes, and emerging technology will play a key role. The movement of goods and people offers numerous opportunities to turn to sustainable solutions or ones that limit the industry’s contributions to emissions.
The Role of Greener Transportation
Using a family of four’s move from Paris to Beijing as an example, AGS Relocation quantifies the carbon cost for relocations. Shipping a 10-ton, 40-foot container will be responsible for 3.14 tons of CO2 emissions, while flying the expat and their family to Beijing will emit 10.7 tons of CO2. Air freight for the family will lead to about 1.34 tons of emissions. When it comes to helping reduce this carbon footprint, what options are available to the talent mobility industry?
While demand for electric vehicles (EVs) is waning among consumers in many areas of the world, it remains robust within the global trucking industry, reports Fleet Equipment. The publication cites a survey, commissioned by WEX, of trucking companies in Europe, North America, and the Asia-Pacific region. Nearly 50% of respondents said that by 2030, half or more of their fleet would consist of EVs. Choosing such solutions to move goods will greatly reduce the mobility industry’s carbon emissions footprint.
Shipping also offers an opportunity to reduce emissions. The high-energy needs of ocean shipping makes battery power an unrealistic solution, at least in terms of today’s technology. Energy-dense sustainable fuels like methanol, ammonia, and liquefied hydrogen are necessary, but much of the technology and infrastructure needed for vast rollouts does not yet exist, according to McKinsey. Despite this, McKinsey’s analysis indicates that by 2030, a 40%-50% reduction in logistics emissions is possible with existing technology.
According to The Wall Street Journal, shipping giant A.P. Moller-Maersk plans to add new vessels to its fleet that will run on liquefied natural gas (LNG), part of a gradual transition toward greener ships. LNG ships emit about a quarter less carbon than ships running on traditional burning bunker oil. Maersk previously purchased its first 25 green-methanol ships, which emit net-zero greenhouse emissions, but delays in delivery from Chinese producers forced it to scale back its plans. Many of Maersk’s competitors, including France’s CMA CGM and Germany’s Hapag-Lloyd, have also ordered dozens of LNG-powered ships as they move to transition toward cleaner ships.
Technology also plays a role in reducing the need to use transport during the search for housing. For example, as Graebel explains, the 20 kilograms of CO2 emissions that would be produced by a 50-mile round trip visit by car to conduct a pre-move household goods survey could be avoided through the use of a virtual survey. Relocation management companies (RMCs) can encourage workers to take advantage of virtual tours and closings for property transactions, notes TRC Global Mobility. Virtual technology can also be used for language and cultural training, says Global Mobility Solutions, as well as support for banking and destination country registration.
One can’t discuss technology today without thinking about artificial intelligence (AI). And while the energy and water needed to feed AI’s continued evolution and use can’t be overlooked, its potential to offset those needs likewise shouldn’t be ignored either. AI is already being used to bring efficiencies to supply chains through route optimization. Walmart, for example, uses the technology to map more efficient routes for trucks making deliveries to stores, reports Bloomberg.
The Smart Grid Leads to Smart Energy Choices
Technology also plays a role in the greening of energy distribution, which RMCs can take advantage of to reduce housing- and office-related emissions. Smart grid technologies, for example, are only beginning to realize their potential. This form of technology uses sensors and other technologies, including AI, coupled with the data it produces to bring about more efficient energy supplies. It requires heavy infrastructure investment whose fuller benefits will be realized down the line.
The U.S. Department of Energy estimates that AI and other improvements to the existing grid could free up as much as 100 gigawatts in transmission and distribution capacity in three to five years, reports The Economist, without the need to build new lines. That translates into about 13% of current U.S. peak demand. The Economist also shares details on Octopus, an upstart utility that currently serves a quarter of Britain’s retail electricity customers and is expanding in Europe and America. Octopus’ AI platform Kraken simplifies energy consumption optimization for households through a smartphone app.
Smart grids that use smart metering allow users to shape their energy consumption habits and even sell excess energy generated from rooftop solar panels back to utilities. Yet the rollout of the technology has been slow. In the European Union (EU), for example, 10 member states have smart meter rollouts below 30%, with six of them having below 10%, according to a report cited by Smart Energy International. The report notes that the slow rollout limits consumer choice, as does the fact that nearly 75% of EU households are on regulated fixed and market-based fixed electricity contracts, with few alternatives available.
Collectively, We Can Make a Difference
While individual actions may seem small in the grand scheme of things, collective efforts can make a significant impact over time. For instance, a single person choosing an electric vehicle might have a limited effect on global emissions, but when companies and industries adopt greener practices at scale, the impact becomes more substantial.
In the mobility industry, where millions of people are involved worldwide, making use of sustainable transportation, distribution, and energy options can present a real opportunity for meaningful change. By integrating these solutions and encouraging broader participation, the industry can contribute to a more sustainable future. While progress may require time and collaboration, every step forward helps move us in the right direction.