Now more than ever, the chemical distribution industry is faced with greater expectations on how companies are meeting sustainability challenges and optimizing supply chain operations. Although chemical distribution is one of the safest and most efficient industries, enhancing sustainability practices has become a greater focus among customers, stakeholders, and employees.
For companies of all sizes, these initiatives have trickled downstream to varying facets of business, particularly with the increased spotlight on the production, storage, management, and delivery of essential chemicals. Environmental, social, and governance (ESG) has become a set of guiding principles for business decision-making.
In an effort to drive meaningful change and demonstrate its continuous commitment to these principles, NACD member and global distribution company, Univar Solutions, set out to define its ESG goals to better serve its customers, employees, and partners. Within this outline, Univar Solutions committed to reach a 20 percent absolute reduction in CO2 emissions by 2025, and 40 percent by 2030 with net-zero direct emissions by 2050.
“At Univar Solutions, we aim to own the last mile of distribution,” said Travis Vedral, Senior Director of Transportation: Systems and Strategy at Univar Solutions. “We are responsible for not only seeing that our products get to our customers safely and effectively, but we must do so through a collaborative transportation system to ensure that we have reliable service at an efficient cost. We do this by minimizing our miles, investing in efficient equipment, and targeted training for our driver force to develop a best-in-class, vertically integrated transportation.”
One core pillar of Univar Solution’s long-term sustainability strategy is investing in low-emissions technology and infrastructure. Following extensive research, pilot programs, and product rollouts, Univar Solutions recently added Nikola Motor Company battery electric vehicles (BEV) to its trucking fleet. One of which was showcased at NACD’s ChemEdge Conference this August.
“We’ve made tremendous progress in prioritizing alternative fuel vehicles,” said Vedral. “These efforts increase our fleet’s overall average mile-per-gallon (MPG) and prepare our fleet to meet the needs of the future. Our Nikola BEV models provide extra safety parameters, including greater visibility for our operators, a tighter turn radius, which is especially important when driving through distribution facilities, and shockingly surprising power, making it safer to enter highways and change lanes with greater control.”
Through its three-pronged sustainability approach to transportation, Univar Solutions is improving the mileage of its fleets, optimizing its payload and network, investing in more efficient equipment, and enhancing its workforce training. This all plays into its effort to build a smarter, safer, and cleaner transportation system for communities across the nation.
As critical supply chain partners, chemical distribution experts play an important role in applying innovative solutions-based approaches to storing, handling, and delivering chemicals. Implementing these values into business models will better prepare our industry to mitigate risks, comply with new government regulations, and remain nimble in the future. While not every distribution can invest today in these new technologies, utilization of a sustainability strategy allows businesses of all sizes to create tremendous value, drive growth, innovation, competitiveness, and ensure operational safety in the years to come.
To learn more about NACD’s Responsible Distribution Sustainability code, click here.
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