Unlock New Opportunities for Thought Leadership with SB Webinars

FedEx Delivers on Fleet Fuel Efficiency Goal Years Ahead of Schedule

FedEx has trimmed its fleet’s cumulative fuel economy by more than 22 percent, exceeding its goal of a 20 percent reduction by 2020 seven years early.

FedEx has trimmed its fleet’s cumulative fuel economy by more than 22 percent, exceeding its goal of a 20 percent reduction by 2020 seven years early.

The global courier says it has pursued multiple avenues to achieve its efficiency goals, including advanced technology, engaging experienced manufacturers and optimizing vehicle operations. FedEx saw the biggest impact on overall fuel efficiency from its strategy of matching the right vehicle to each route, which saves time, energy and money. The company expects to save 20 million gallons of fuel each year from this strategy.

“FedEx follows a three-tiered strategy to improve the fuel efficiency of its fleet: Reduce, Replace and Revolutionize,” said Dennis Beal, vice president of Global Vehicles, FedEx Express. “This holistic approach to fleet management allows us to develop vehicle technologies for the future while maximizing the conventional vehicles we operate today.”

By the end of its fiscal year 2013, FedEx will have increased the size of its advanced alternative-energy vehicle fleet to include a total of 360 hybrid-electric vehicles and 200 electric vehicles. To date, these vehicles have traveled more than 15 million miles in revenue service.

FedEx also has accelerated its efforts in fuel conservation through the purchase of vehicles with right-sized engines such as Mercedes-Benz Sprinter vans. The company currently has more than 10,000 such vehicles in service, comprising more than 35 percent of its U.S. pick-up and delivery fleet. Each Sprinter-type van is about 70 to 100 percent more fuel-efficient than the original truck it replaces.

Approximately 35 percent of the FedEx Express diesel vehicle pickup and delivery fleet has already been converted to more efficient and cleaner emission models that comply with 2010 U.S. Environmental Protection Agency diesel emission standards.

The company has announced a revised goal of 30 percent improvement in fuel efficiency for its global vehicle fleet by 2020, representing a 50 percent increase over the original objective.

Last May, FedEx reported it was well ahead of schedule to meeting its 2020 target with a 16.6 percent improvement in fuel efficiency from a 2005 baseline.