Representative pictureAmazon.com Inc has ordered hundreds of trucks running on compressed natural gas to clear the U.S. fleet of heavily polluting trucks, the company told Reuters on Friday.
The coronavirus pandemic led to an increase in delivery activity in 2020. The truck volume was on average above the level of 2019, while car traffic fell. However, this increase in road activity means more pollution as heavier trucks emit more greenhouse gases than passenger cars.
Transport companies build their stalls with electric vehicles to reduce CO2 emissions. Much of the country’s cargo is delivered via medium and heavy trucks, which, according to the US federal government, account for more than 20% of the industry’s greenhouse gas emissions, despite making up less than 5% of the road fleet.
“Amazon is excited to introduce new sustainable solutions for freight transportation and is working to test a number of new vehicle types, including electric, CNG and others,” the company said in a statement.
According to the company, Amazon has so far ordered more than 700 class 6 and 8 trucks for compressed natural gas.
The online retailer’s sales increased 38% in 2020; A climate-neutral business is to be operated by 2040.
The engines, supplied by a Vancouver-based joint venture between Cummins Inc and Westport Fuel Systems Inc, are set to be used on Amazon’s heavy-duty trucks that travel from warehouses to distribution centers. According to a source familiar with the situation, the supplier has ordered more than 1,000 engines that can run on both renewable and non-renewable natural gas.
According to the US Energy Information Administration, natural gas emits about 27% less carbon dioxide when burned compared to diesel fuel.
Electric motors are considered less profitable for heavy commercial vehicles than for the average passenger car.
In 2019, Amazon ordered 100,000 electric vehicles from startup Rivian Automotive LLC. The first of these transporters, which will be used for last-mile delivery to customers, is due to be delivered this year. The company also ordered 1,800 electric vehicles from Mercedes-Benz for its European delivery fleet.
Other transport companies are also experimenting with ways to reduce emissions.
In 2019, United Parcel Service Inc announced plans to purchase more than 6,000 natural gas-powered trucks over a three-year period and step up renewable natural gas (RNG) purchases as part of a $ 450 million investment to help reduce environmental impact reducing its fleet of 123,000 vehicles.
RNG and fossil fuel natural gas are both methane gases and can be used interchangeably. RNG is obtained from the breakdown of organic matter such as cow dung on dairy farms, food discarded in landfills and human waste in water treatment plants. It also prevents naturally occurring methane – a powerful greenhouse gas – from being released into the environment.
The Amazon share fell 0.1% in post-close trading. Cummins’ shares rose 4% while US-listed shares of Canada-based Westport rose 47% in the aftermarket.