DHL Supply Chain, a division of the DHL Group, is investing €80 million (USD$85 million) in a new biomethane production facility in Cork, Ireland, in partnership with Stream BioEnergy, a biogas developer. This investment supports DHL’s plan to operate biomethane-fueled trucks for the next decade. The facility will supply fuel for up to 150 trucks, resulting in an annual reduction of 15,000 tonnes of carbon emissions.
Biomethane, also known as renewable natural gas (RNG), is crucial for cleaner energy solutions, especially in sectors where wind or solar energy isn’t as practical, such as transportation. Biomethane is chemically similar to fossil-based natural gas and can decarbonize hard-to-abate sectors like road transport and heavy industry without needing to overhaul existing infrastructure.
Stream BioEnergy, founded in 2009, specializes in large-scale biogas projects using anaerobic digestion technology to convert organic waste into renewable energy and biofertilizer. Their Cork-based biomethane production site will process 90,000 tonnes of food waste annually, diverting it from landfills.
DHL’s adoption of biomethane trucks and investment in biomethane production align with its 2050 net-zero emissions goal outlined in its 2021 Sustainability Roadmap, which includes a €7 billion investment over ten years to reduce CO2 emissions. DHL is expanding its zero-emissions fleet, exploring alternative aviation fuels, and constructing climate-neutral buildings.
Additionally, DHL is collaborating with Tesco, planning to operate 92 biomethane trucks in Tesco Ireland’s network once the new biomethane facility is fully operational.
Ian Logan, Retail and Distribution Director at Tesco Ireland, emphasized the impact on their distribution network’s efficiency and environmental footprint, especially considering their extensive HGV transport fleet serving 166 stores nationwide. Switching to cleaner fuels is a crucial step in their journey towards net-zero emissions.
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