The Shippers’ Voice Seminars at Multimodal

1. The Shippers’ Voice Seminars at Multimodal

2. Green Freight Europe (GFE) - CO2 benchmarking in road freight and the green-carrier shopChaired by Dr. Andrew Traill, Communications and Business Development Director, European Shippers' CouncilColin Smith, Accreditation Manager - Transport, The Energy Saving TrustCharlie Pesti, Sales and Marketing UK, TRANSPOREONPeter Chivers, Group Environmental Manager, P&O Ferrymasters Nick Dixon, General Manager Tata Steel, P&O Ferrymasters

3. Green Freight Europe Programme Towards a multi-industry voluntary program for monitoring and reporting of carbon emissions in road transport Dr Andrew Traill Communications and Business Development Director, European Shippers’ Council Secretariat for Green Freight Europe Colin SmithCertification Manager, Transport Energy Saving TrustBenchmarking tool developer for Green Freight Europe

4. What is Green Freight Europe? • Green Freight Europe aims to be recognized as the leading independent voluntary program for improving environmental performance of road freight transport in Europe • The program drives reductions of carbon emissions by: • Establishing a platform for monitoring and reporting of carbon emissions, to assist in the procurement of transportation services and based on existing standards • Promoting collaboration between carriers and shippers in driving improvement actions and monitoring progress • Establishing a certification system to reward shippers and carriers who fully participate in the program • A platform to share best practices, promote innovations and communicate sustainability improvements on European road freight .

5. Sustainability brings new challenges to logistics operations Are you able to capture and improve the carbon efficiency of your road transport operations – including subcontracted transportation ? Is your company able to make sustainable procurement decisions ? Do you share your experiences regarding fuel efficiency and support your suppliers to become more efficient ? ? Do you have access to the latest technologies and tools that help to reduce fuel consumption ? Do you agree on the need for a common methodology to calculate and report transport emissions ? Can you meet the sustainability requirements of your customers ?

6. Is it getting more confusing with shippers demanding more data from carriers? 1) Logistic Service Provider

7. Green Freight Europe program will result in the harmonisation of carbon reporting 1) Logistic Service Provider

8. What is in it for Shippers and LSPs? • Single European Standard Database which is easy to submit to • Access to standardized and validated environmental performance of carriers • Enhanced brand recognition through program label • Benchmark of environmental performance against industry average • Insight into your LSP/carrier emission performance and benchmarking • Communication on CO2 emissions becomes far easier, more transparent and clearly understood, enhancing trust between shipper and carrier • Incorporate standardized sustainability criteria within the procurement of transport • Tools to measure and report carbon footprint of road transport services • Be one of the leaders developing the program and driving sustainable road freight transportation in Europe • Be part of the industry voice influencing European sustainability policies

9. What is in it for Carriers? • Creates a single European standard database that is easy to submit to • Reduces multiple approaches/methodologies for different customers • Only requires a limited amount of data to start providing results • Instantly comparable with every other company entering data. • Sharing such information far easier: with customers, peers, or other branches and divisions of the company • Transparency builds trust with the customer, and helps joint action to limit the environmental impact of the operation • Enables reduced fuel cost and carbon emissions • Benefit from sharing knowledge and best practices with other companies • Be recognised in the market as a ‘front runner’

11. Green Freight Europe Database - Inputs • Data fields can be divided into the following sections for both carrier and shipper • Company detail, location, depot, transport service type • Essential data for CO2 calculation • Essential data for CO2 efficiency measurement (normalisers) • Data required for useful “slice and dice” analysis • Outputs will be scored and benchmarked to varying levels of detail dependent recipient e.g. member, Green Freight membership, external stakeholders. • Secure data transmission via web provided by QuickBase application • the #1 global online database solution • Supports field-level permissions to restrict access to specific information giving 'just enough access' to specific users

12. Green Freight Europe Database – CO2 Calculation Methodology • Vehicle level detail for carriers • 5 tier “accuracy” CO2 calculation dependent on data available • Flexibility to accommodate members at varying levels of data quality • Choice of “normalisers” dependent on transport service provided • Standard set of conversion factors will be used (currently DEFRA) • Outputs will (must) be comparable

13. Tool Development 2 Dec 2011 Q1 2011 Q2 2012 Q3 2012 Phase 5 • Rollout Program • Roll out tool to all members • Training & guides • “Phase 2” developments (TBD) Phase 4 • Pilot Program • Pilot of tool with select group • Development Shipper/LSP side in progress • Reporting specifications Phase 3  • Start Development • Finalize Specification Shipper & LSP • Start Tool development • WG evaluates first version Phase 2  • Kick Off • Specification for Carrier side • General planning Phase 1 InitialWorking Group

14. What is the value of Green Freight Europe? • For companies that have a sustainability commitment to reduce their carbon emissions in distribution • to use Green Freight Europe as the vehicle to introduce sustainability into its road transport operations in Europe and drive carbon emissions reductions • to have a common language to communicate between shippers, LSPs and carriers that fosters transparency and joint actions to limit the environmental impact of transport operations by: • access to standardized and validated environmental performance of carriers and benchmark of environmental performance against industry averages • incorporate standardized sustainability criteria within the procurement of transport • Benefit from sharing knowledge and best practices with other companies • The motivation is CO2 reduction NOT driving down prices • To enhance a spirit of cooperation – helping supply chain partners to embed the mind-set into their business to deliver CO2reductions and improvements

15. For further information: www.greenfreighteurope.eu • To direct queries from carriers, please contact Green Freight Europe directly : • Andrew Traill • +44 7756 039 379 • Andrew.traill@shippersvoice.com

16. Green Freight Europe (GFE) - CO2 benchmarking in road freight and the green-carrier shopChaired by Dr. Andrew Traill, Communications and Business Development Director, European Shippers' CouncilColin Smith, Accreditation Manager - Transport, The Energy Saving TrustCharlie Pesti, Sales and Marketing UK, TRANSPOREONPeter Chivers, Group Environmental Manager, P&O Ferrymasters Nick Dixon, General Manager Tata Steel, P&O Ferrymasters

18. P&O Ferrymasters & The Environment • Location: Multimodal, Birmingham NEC • Date: 2nd May 2012 • Name: Pete Chivers, Group Environmental Manager • Nick Dixon, GM Tata & SHE

19. Company Structure Over 80 companies, 100 countries, 5 Continents, 50,000 people Worth over USD700 billion

20. P&O Ferrymasters Ltd P&O Road Troon Cairnryan Larne Turku Middlesbrough Oslo Dublin Hanko Liverpool Hull Tilbury Malmo Dover 13 Kiel P&O Sea P&O Rail Rotterdam Lubeck 26 Zeebrugge Coevorden Calais Cologne Dourges P&O Charter 545 Loads 570,000 Crailsheim Muizen Paris 4,500 Novarra Lyon Perpignan Barcelona Brindisi Rome Athens Patra

21. Reconciling the need Society Economic Growth CO2 reduction

22. Solutions Customer Customer Designed Solution

23. Intermodal CO₂ Reduced Emissions Higher Weight Capacity

24. Client specific carbon management +21,000 tonnes CO2 reduction

25. Clear Communication Customers Suppliers

26. Vehicle utilisation Changing pattern of demand Uncertainty about transport requirements Market-related Heath and safety regulations Vehicle size and weight restrictions Regulatory Delivery schedules Just-In-Time Inter-functional Nature of packaging / handling equipment Limited storage capacity at destination Infrastructural Incompatibility of vehicles and products Poor coordination of purchasing, sales and logistics Equipment-related Source: Heriot Watt University

27. Green Freight Europe initiative

28. Sustainable supply chain solutions Measurement Working with customers to achieve the most eco-friendly and cost efficient logistics solutions: that’s the P&O Ferrymasters pledge CO2 Ambitious Goals Efficiencies

29. Thank you

30. Green Freight Europe (GFE) - CO2 benchmarking in road freight and the green-carrier shopChaired by Dr. Andrew Traill, Communications and Business Development Director, European Shippers' CouncilColin Smith, Accreditation Manager - Transport, The Energy Saving TrustCharlie Pesti, Sales and Marketing UK, TRANSPOREONPeter Chivers, Group Environmental Manager, P&O Ferrymasters Nick Dixon, General Manager Tata Steel, P&O Ferrymasters

31. Transport Collaboration

32. Place: United Kingdon Date: 2010 Summer No of Participants: 4+1 No of Production sites: 9 No of FTLs: 2,591

33. Loading area r30 mil

34. Distribution Network

35. Trips with 3 or more legs • Round trips 2 legs C A B

36. Trips with 3 or more legs

37. Trips with 3 or more legs

38. Trips with 3 or more legs

39. Trips with 3 or more legs 38 %

40. Trips with 2 legs 20 %

41. Collaborators Trustedcarriers Shipper 1 Shipper 2 Shipper 3 Shipper 4

42. Collaborators Trustedcarriers Shipper 1 Shipper 2 Shipper 3 Shipper 4

43. Information gap >>> media break: ERP system and/or dispatch system timepressure paper fax phone e-mail

44. unlimited pool of carriers defined by shipper TRANSPOREON platform

45. Collaborators Group of carriers Shipper 1 TRANS- POREON Shipper 2 TRANS- POREON Shipper 3 TRANS- POREON Shipper 4 TRANS- POREON

46. Math Number of deliveries per week: 830 Total one way distance: 125,705 mi Average empty running per delivery (30%): 45.43 mi

48. 82, 761 miles

49. 203,323 tons CO2 emission

50. “We all understand the power of a decentralized network of shippers, independent voluntary programmes and transport service providers that share the passion for a greener future. They need to given access to key tools, information and also given the encouragement to use them”