The Development of Net Zero Emissions Execution Roadmap and Tools for Sustainable Logistics and Parcel Delivery Service (Thailand Post)
The Development of Net Zero Emissions Execution Roadmap and Tools for Sustainable Logistics and Parcel Delivery Service (Thailand Post) is a research project by the Center for Sustainable Logistics and Supply Chain Management, Faculty of Environmental Management at Prince of Songkla University. The project has received research funding from Program Management Unit for Competitiveness Enhancement (PMU-C), with Thailand Post Company Limited as the corporate co-funding partner.
The project is led by Dr. Janya Chanchaichujit; an Associate Professor in Logistics and Supply Chain Management; Director of Center for Sustainable Logistics and Supply Chain Management in the Faculty of Environmental Management and she is also an Assistant President for Promoting of Foreign Affairs at Prince of Songkla University in Thailand.
Overview of the research
Environmental responsibility is a significant issue that all countries worldwide prioritize, especially regarding environmentally friendly business practices aimed at achieving net-zero greenhouse gas emissions. This topic has been recognized globally as a “Global Agenda.” In Thailand, greenhouse gas emissions reached 253,895.61 thousand tons of carbon dioxide equivalent in 2020, with the energy sector contributing the highest share at 42.63%, followed by transportation at 26.89% (Thailand Third Biennial Update Report UNFCC, 2020). The transportation and logistics industry are not only directly involved in goods transport but also plays a role, both directly and indirectly, in the supply chain of Thailand’s major industries, which include energy and transport, waste management, and agriculture.
These sectors are outlined in Thailand’s Long-Term Low Greenhouse Gas Emissions Development Strategy as part of the nation’s Nationally Determined Contribution (NDC), which aims to achieve the following goals: 1) a 40% reduction in greenhouse gas emissions by 2030; 2) carbon neutrality by 2050; and 3) net-zero emissions by 2065. These commitments were reaffirmed during the 27th Conference of the Parties to the United Nations Framework Convention on Climate Change (COP 27). Future regulations or laws regarding Thai exports may impact the supply chains of these products, such as the European Union’s Carbon Border Adjustment Mechanism (CBAM), which is set to officially commence in 2026 for certain industries.
These trade regulations will require Thai transportation and logistics companies to adapt their operations to reduce greenhouse gas emissions and provide clear carbon emissions reports. Although these goals are currently voluntary, they are expected to become mandatory compliance requirements in the future, similar to existing regulations in European countries. Furthermore, leading global freight and logistics companies like DHL, A.P. Moller-Maersk, APL Logistics, DB Schenker, as well as large corporations like Unilever and Procter & Gamble (P&G), have committed to achieving net-zero emissions to ensure organizational sustainability and mitigate climate change impacts.
Research objectives
To meet these targets, these companies must report their greenhouse gas emissions across their entire supply chain encompassing all transportation and logistics activities. Thai operators within these global supply chains must comply with these requirements as well. Consequently, it is evident that Thailand’s transportation and logistics industry must adapt and prepare for pressures stemming from: 1) future trade regulations; 2) supplier demands; and 3) consumer expectations that prioritize environmental responsibility and sustainability in business practices.
Therefore, this research project aims to: 1) develop an execution roadmap; 2) create tools and operational strategies for managing GHG emissions reduction; 3) establish greenhouse gas emission data reporting for organizations; 4) enhance organizational competitiveness in light of evolving legal requirements and customer demands focused on environmental issues; and 5) contribute to Thailand’s goal of achieving net-zero emissions and finally to foster sustainable initiatives by implementing sustainable practices through partnerships between universities and industry stakeholders.
Dr. Danan Suphatthaphan Managing Director of Thailand Post, commented on the research project and collaboration, saying: “This is a significant starting point for driving the country’s logistics business with environmental considerations. Our goal is to drive net zero greenhouse gas emissions by establishing strategic operational plans across short, medium, and long-term horizons to reduce and eliminate greenhouse gas emissions from various activities in Thailand Post’s value chain.”
Dr. Danan continues saying that we aim to develop a systematic data collection platform that aligns with international standards and supports sustainable development according to our ESG (Environmental, Social, and Governance) principles, particularly focusing on environmental dimensions. We are also committed to developing environmentally friendly work systems with the ultimate objective of becoming the country’s first postal and logistics service provider to fully advance towards the Net Zero goal through the collaborative initiatives of this project.
Head of this research project, Dr. Janya Chanchaichujit reiterated that through this partnership and the creation of a definitive roadmap for achieving Net Zero Emissions within the parcel delivery industry, there are strategic solutions to sustainable parcel delivery.
The Environmental Impact of Parcel Delivery
Did you know that each parcel delivered to your doorstep generates approximately 82 grams of carbon dioxide emissions? Statistics indicate that the average person receives around 86 parcels each year. This means that, collectively, we could be responsible for producing about 6 kilograms of carbon emissions annually—equivalent to the impact of cutting down one tree.
Now, consider the global population. With a population of 70 million, this means we could unintentionally contribute to the loss of 70 million trees each year. This situation calls for urgent action to address our environmental footprint.
Addressing Emissions from Parcel Delivery
Statistical analysis reveals that emissions from parcel delivery break down as follows: 17% originates from company operations, 18% from packaging and its production, and the largest share—65%—comes from transportation. While logistics service providers have developed strategies to reduce emissions related to their operations, a key question remains: how can universities collaborate with the private sector and logistics companies to mitigate these emissions?
Focusing on Packaging Emissions
Researchers of this project are actively addressing the 18% attributed to packaging. Since 2019, Thailand Post has implemented the “Re-Box” campaign, which gained momentum during the COVID-19 pandemic. At that time, hospitals faced shortages of essential supplies, including patient beds. In response, parcel boxes were recycled into patient beds and other critical items.
Therefore, this research aims to extend the Re-Box campaign to universities, fostering a culture of reuse and recycling among staff and students.. All donated boxes will be recycled into furniture such as cabinets, chairs, and tables for co-working spaces and classrooms. This initiative not only raises awareness among students about the value of donated packaging but also demonstrates that these materials can be repurposed rather than discarded. Furthermore, it is planned to extend these efforts to benefit local communities as well.
Tackling Transportation Emissions
The initial research finding says that transportation accounts for a significant 65% of emissions in parcel delivery. One of the solutions involves transforming the university into a hub for parcel delivery. For instance, at Prince of Songkla University, which has approximately 30,000 students on campus, research conduct has done a survey regarding parcel deliveries and found out that about 40% of students have parcels delivered to their homes. However, since they are on campus daily for work and study, many deliveries occur when they are not at home.
By optimizing last-mile delivery through the university as a central hub, we can significantly reduce the number of individual deliveries to student residences. This approach has the potential to create a substantial impact on reducing transportation-related emissions in our community.
The Impact of Our Green Parcel Initiative
We have the potential to reduce carbon emissions by at least 50%. Although the project has yet to be implemented, we have a solid plan in place for its launch at Prince Songkla University.
Once the project begins, we will engage with stakeholders, including consumers, e-commerce platforms, and logistics service providers. This collaboration will guide us toward a new business model known as “Green Parcel,” which aims to establish the first carbon-neutral parcel delivery system. This initiative exemplifies the coordination between universities and the private sector and is set to launch soon.
Consumer Options and Future Goals
Currently, we offer express delivery services, but in the near future, consumers concerned about the environment will have access to the green parcel option. This green parcel initiative is not just a business model; it serves as a platform for young innovators dedicated to advancing sustainable parcel delivery practices. Moreover, its principles can be expanded across the entire logistics sector.
Replicable Solutions for Broader Impact
The beauty of this solution lies in its simplicity and replicability, allowing its impact to be magnified. The Re-Box campaign can originate from Prince Songkla University and be shared among other universities. It can also be implemented in additional educational institutions and adapted in countries facing similar challenges in parcel delivery.
The status of this research is still ongoing and one may find more information about its current updates on https://www.logsys-psu.com/2127/
