Carbon Footprint Measurement for 3PLs

Beatriz Torres Rodrigo

Key information

Authors:

Beatriz Torres Rodrigo (Beatriz Torres Rodrigo)

Supervisors:

Susana Isabel Carvalho Relvas (Susana Isabel Carvalho Relvas); Pierre Semal

Published in

November 5, 2021

Abstract

The climate change emergency has led various regulatory agencies to impose legislation to limit greenhouse gases (GHG) emissions to achieve carbon neutrality. Consequently, since logistics activities are the primary sources of GHG emissions within a supply chain (SC), it places third-party logistics (3PLs) in a strategic position in the global warming fight. The research highlighted the challenges to establishing a harmonised methodology to calculate and report carbon footprint in 3PLs, given their wide range of operating activities, along with the considerable importance of measuring those logistics activities environmental performance in order to successfully build a mitigation action plan targeting the ones with the highest negative externalities. Accordingly, within this framework, the present dissertation arises by developing a standard methodology for carbon footprint measurement and a respective calculation tool for 3PL providers based on the GHG Protocol. The methodology covers the Portuguese 3PLs’ primary activities, namely road freight transport and logistics facilities operations, aiming to support organisations to calculate and monitor their environmental performance. Besides, it also enables 3PLs with similar profiles to benchmark their environmental performance and enhance cooperation on data exchanging. It was verified that implementing the developed standard methodology is within most Portuguese 3PL providers reach. Nevertheless, organisations must continue to generate more and more accurate activity data, especially concerning road freight transport, as well as collect input data from primary sources. Moreover, 3PLs strengthen external relations and transparency on data exchange, particularly when outsourcing road freight transportation’s services to common carriers.