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Nestlé invests in logistics innovations to reduce greenhouse gas emissions

For its international water brands S. Pellegrino, Acqua Panna and Perrier

Nestlé is investing over CHF 100 million by 2030 in low-carbon logistics for its three international water brands S. Pellegrino, Acqua Panna and Perrier. This investment will focus on optimizing logistics routes and accelerating train transport, increasing the use of alternative fuels and transportation options and testing innovative alternative transportation options. By eliminating unnecessary journeys and shifting towards alternative modes of transport, Nestlé's international water brands will be able to reduce their total greenhouse gas emissions and contribute to Nestlé's 2050 net zero commitment.

The vast majority of Nestlé's international water brands' emissions come from logistics and packaging (scope 3), according to a lifecycle assessment peer-reviewed by Quantis, a leading environmental sustainability consultancy. These brands have already reduced their total greenhouse gas emissions by an average of 10 percent over the last decade and had set the goal to achieve carbon neutrality by the end of 2022. Nestlé Waters will prioritize further emissions reductions as the most impactful way these brands can contribute to the Nestlé Group's net zero ambition and achieve the greatest long-term emissions impact, instead of carbon neutrality certification. Reducing greenhouse gas emissions in logistics requires systemic change and collaboration across the supply chain.

Together with its logistics partners and customers, Nestlé Waters is reducing the number of truck journeys by optimizing payloads and routes. It will provide customers with fewer, but bigger, shipments and use more rail transportation across Europe, the continent where Nestlé Waters has its biggest environmental footprint.

More, together with its logistics and fuel suppliers, Nestlé Waters is scaling up the use of biofuels, including Bio-LNG (liquefied natural gas made from processed organic waste), in trucks and other types of biofuels in ocean freight logistics to North America. Using biofuels requires a shift to bio-LNG -powered vehicles and the development of supply and refueling infrastructure. Partners of Nestlé Waters in Italy and Germany have started incorporating this technology in their logistic operations.

"Transportation options like these can be a game-changer for the logistics industry, as up to now, electric solutions have been confined for use in smaller vehicles", said Svante Palebo, head of Supply Chain for Nestlé's water category in Europe. "Through investments in innovations that bring together businesses across the value chain, we will help the whole sector drive the systemic change needed to significantly reduce emissions in the future".

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EFA News - European Food Agency