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Decision Green SM

Decision Green SM. David Guernsey Sustainability @ UPS Presentation to IRMCO Conference Washington D.C. - March 2010. What Impacts the Carbon Intensity of the Transport Sector. What mode of transport is used Scale and density of the network Efficiencies of the network

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Decision Green SM

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  1. Decision GreenSM David Guernsey Sustainability @ UPS Presentation to IRMCO Conference Washington D.C. - March 2010

  2. What Impacts the Carbon Intensity of the Transport Sector • What mode of transport is used • Scale and density of the network • Efficiencies of the network • Efficiencies most energy intensive mode (air fleet) • Efficiencies of the ground fleet • Carbon Avoidance – strategies and results • Low carbon fuels (LCA perspective) • Advanced Technology Vehicles (HEV, HHV) • Capturing all carbon from origin to destination (scope 1, 2, 3) Relative Carbon Impact

  3. Network Efficiency 3 1 Scale & Density 2 4 100 Million Miles Saved One Driver – All Products 5 2000 vs 2009

  4. Aircraft Network Fuel Efficiency CO2 / Available Ton Mile Gallons / ATM Emissions / Payload Capacity 2020 goal to reduce our airline CO2/ATM by 42% from 1990 % of Fleet Meeting Stage IV • Early acquisition of efficient aircraft • Average age of fleet is 12.3 years • ADS-B – In flight aircraft visibility • SMS – Surface Management Systems • LIDO - Innovative routing technology • Continuous Descent Approach • Single engine taxi / Optimize fuel on-board • NEXT GEN Leadership

  5. Hybrid Electric: P70H (US) = 25 P100H (US) = 225 Electric: P100E (US) = 2 P50E (International) = 26 Liquid Petroleum Gas: LPG Vehicles (Korea) = 6 Compressed Natural Gas: 1,076 CNG Vehicles (US) 71 CNG Vehicles (International) Liquid Natural Gas: 11 LNG Tractors (US) Propane: 464 Propane Vehicles (International Package Cars & Shifters) 8 Propane Shifters (US) Alternate Fuels and Technology Total Alternative Fuel Vehicles (US & International) = 1,914 UPS Clearing the Air with New LNG Tractors Atlanta, February 22, 2011 Purchase Is Step Toward U.S. Energy Security Updated: 01/03/2011

  6. Over 39% of US Fleet Equipped with TelematicsOnboard Wireless Technology Telematics Technology utilizes Engine Data GPS Data Sensor Data DIAD Data Map Data • Automotive • Vehicle diagnostics • Fault codes • Conditional maintenance • Safety • Seatbelt • Bulkhead door • In reverse • Driving habits • Dispatch • Dispatch planning • Address validation • Performance • Analyze daily driver travel path for efficiency improvement • Process • Enhanced capabilities for work measurement processes Visibility on primary and behavioral characteristics that affect fuel consumption Seat belt off in travel Route overlap Speed Delivery while idling

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