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In this report: Sustainable Ground Freight Issue 31 December 5, 2011 Latest Developments Adoption by Business Products, Programs and Policies Q&A with Kraft Foods

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In this report: Sustainable Ground Freight

Issue 31 • December 5, 2011

• Latest Developments

• Adoption by Business

• Products, Programs and Policies

• Q&A with Kraft Foods

EL Insights | © 2011 Environmental Leader LLC. Single license EL PRO subscription can be used by one person. For multiple users, purchase

an enterprise license by emailing [email protected] for information.

EL Insights: Sustainable Ground Freight

Sustainable Ground Freight at a Glance

Transportation emissions account for 29 percent of U.S. GHG emissions, of which freight trucks account

for 19 percent.1 And these emissions are a growing problem. Since 1990, GHG emissions from medium

and heavy-duty trucks have increased 77 percent, three times the rate of increase for light-duty vehicles.

While the efficiency of passenger vehicles has been improving, that of medium and heavy-duty trucks is

actually decreasing, and demand for freight trucking is increasing. According to the Department of

Transport, economic deregulation of the trucking industry in the 1980s, increasing congestion and ―just-in-

time‖ practices by manufacturers and retailers have helped to push up freight-related emissions, as has

the economy’s move to lower-weight, more time-sensitive shipments.2

Meanwhile, while train engines must meet emission requirements, they still emit large amounts of nitrogen

oxides and particulate matter.3

This report will focus on what companies can do to reduce the environmental impacts of the freight they

send over land, whether by truck or by train.

1 U.S. Department of Transportation, ―Transportation’s Role in Reducing U.S. Greenhouse Gas Emissions, Volume 1: Synthesis Report.‖ April

2010. http://ntl.bts.gov/lib/32000/32700/32779/DOT_Climate_Change_Report_-_April_2010_-_Volume_1_and_2.pdf

2 Ibid.

3 http://www.epa.gov/otaq/locomotives.htm

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Technologies and Methods: Road Freight

By the far the most significant and promising technologies for reducing freight-related CO2 reductions lie

in the area of road transportation.4

Companies use a wide variety of approaches to reduce the GHG emissions of their shipping, often in

combination. These fall roughly into the following categories:

Alternative fuel technologies

Fuel efficiency improvements

Idle reduction

Vehicle retrofits/replacements

Operational efficiencies

A list of initiatives within these categories can be found in the chart, Summary of Truck and Rail GHG

Mitigation Strategies, on p.4. Here, we focus on a few of the most popular approaches:

Low-carbon or alternative fuel: Natural gas-fueled trucks have been gaining in popularity. This fuel

produces significantly fewer harmful emissions than gasoline does. About 37 percent of compressed

natural gas vehicles in the U.S. are medium- or heavy-duty. There are also about 3,000 liquefied natural

gas (LNG) vehicles in the U.S., mostly heavy-duty trucks and buses.

Hybrid technology is being used by at least three major parcel delivery companies, who expect it to

deliver about a 40 percent improvement in fuel economy. The EPA says hybrid powertrains are actually

4 Deutsche Post AG, Delivering Tomorrow: Towards Sustainable Logistics. http://www.dp-

dhl.com/content/dam/logistik_populaer/trends/StudieSustainableLogistics/study_towards_sustainable_logistics.pdf

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Summary of Truck and Rail GHG Mitigation Strategies

Strategy Truck Rail

FUEL

TECHNOLOGIES

• Low-carbon fuel • Compressed natural gas (limited applications) • Plug-in hybrids (future potential)

• Ultra-low-sulfur diesel (with caution) • Electrification • Low-carbon fuel • Compressed natural gas

VEHICLE

TECHNOLOGIES

Fuel Efficiency

• Auto tire inflation systems • Wide & low–rolling resistance tires • Aerodynamic improvements • Low-viscosity lubricants • Lighter tractors and trailers

• Improved AC systems & waste heat recovery

• Track lubricants • Low-friction bearings • Lightweight cars • Lubrication improvement • Aerodynamic improvements

Idle Reduction

• Bunker heaters & auxiliary power units • Thermal storage units • Automatic shut-down/start-up systems • Electrified truck stops

• Idle reduction policies

• Auxiliary power units • Diesel heat system • Automatic engine start/stop • Switchyard idle reduction programs

• Plug-in units

Retrofit/Replacement

• Diesel oxidation catalysts & particulate filters • Selective catalytic reduction systems • Engine upgrade/replacement, e.g., direct injection, reduced engine friction, waste heat recovery

• Truck replacement with newer or hybrid vehicles

• Locomotive replacement with newer cleaner units • Locomotive remanufacturing • Hybrid rail yard switchers • Switchyard idling reduction measures

SYSTEM

OPTIMIZATION/

OPERATIONAL

EFFICIENCY

• Movement optimization: decentralization of supply chains, reduced packaging & shipment frequency, advance clearance, real-time traffic information, reduced empty mileage & circuitous routes, real-time

parking/truck stop management • Longer/heavier combination trucks • Speed restrictions • Grade crossing separation • Advanced technology and logistics • Improved local distribution • Intermodalism & mode shift to water or rail

• Eco-driving technology & driver education

• Movement optimization: rail congestion mitigation measures, reduced empty mileage & circuitous routes • Longer & double stacked trains

• Line-haul speed restrictions • Advanced technology and logistics • Port access improvements • Train clearance improvement • Electric movement of containers from ports to inland distribution centers • Intermodalism & mode shift to water (with caution)

Source: Commission for Environmental Cooperation (CEC), "Destination Sustainability: Reducing Greenhouse Gas Emissions from Freight Transportation in North America," adapted from H.C. Frey and P.Y. Kuo, Potential Best Practices for Reducing Greenhouse Gas Emissions in Freight Transportation.

EL Insights | © 2011 Environmental Leader LLC. Single license EL PRO subscription can be used by one person. For multiple users, purchase

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more efficient in heavy vehicles than in cars, because a greater mass creates more potential energy for

the system to recapture.5 But Deutsche Post says hybrid systems are better suited to smaller trucks,

which make many stops and have low average daily mileage.6

Most hydrogen vehicle technologies are at an early stage of development. There were only about 300

hydrogen vehicles in the U.S. in 2008, and most of these were light-duty cars.

Another developing area is biofuels. Some trucks are now running on the first generation of biofuels, but

the market is still immature so they are not supported by a widespread infrastructure. However, some

biofuels can run on trucks without modifications, meaning upfront costs are limited.7

For the most part, alternative fuel systems are less developed for heavy-duty trucks than for passenger

vehicles. For more on alternative fuels, see EL Insights no. 18.

Wide or low-rolling resistance tires: Tires’ rolling resistance accounts for nearly 13 percent of energy

use in combination trucks. The standard set-up of two sets of wheels on each axle results in high rolling

resistance. Replacing double tires with a single set of wide tires can save from 800 to 1,000 pounds off a

truck’s weight, improving fuel economy by two to five percent, while further cutting costs, since fewer tires

need to be replaced. However, fleet operators with non-tandem axle combination trucks should check

inch-width laws in their states, because wide-based tires may not comply.8

5 http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA-420-F09-035.pdf

6 Deutsche Post AG, Delivering Tomorrow: Towards Sustainable Logistics. http://www.dp-

dhl.com/content/dam/logistik_populaer/trends/StudieSustainableLogistics/study_towards_sustainable_logistics.pdf

7 Ibid.

8 http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA-420-F10-041.pdf

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Auto tire inflation systems: Improperly inflated tires have higher rolling resistances, wasting fuel. Truck

tires can lose up to 2 psi per month, making it difficult to keep them properly inflated. Automatic tire

inflation systems monitor and continually adjust tire pressure, even while the truck is moving. The EPA

estimates that such systems can improve fuel economy by nearly 1 percent, saving $380 in fuel costs per

year for a typical long-haul combination truck. Installing such a system costs up to $800, meaning the

investment is generally recouped in just over two years. Properly inflated tires also get fewer punctures

and therefore have a longer life expectancy.9

Aerodynamic improvements: Aerodynamic drag is responsible for 40 percent of the fuel consumption of

heavy duty trucks at motorway speeds.10 Manufacturers offer aerodynamic models, and these are much

improved over models available a few decades ago. But carriers can also improve trucks with add-on

devices such as roof fairings (air deflectors mounted on top of the cab), side exterior fairings (which

reduce the gap between tractor and trailer), side tank fairings, aerodynamic front bumpers (which reduce

air flow beneath the truck) and aerodynamic mirrors. Placed on a classic combination truck, these can

increase fuel economy by up to 15 percent.11

Low-viscosity lubricants: Conventional lubricants may be too viscous and heavy, creating energy

losses and friction losses. Low-viscosity lubricants, often sold as ―fuel economy‖ blends, can improve fuel

economy by up to five percent. Some of these lubricants are synthetic or semi-synthetic blends, which

typically cost more than mineral oil lubricants, but even with that added cost, they can save over $500 per

truck per year.12

9 http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA420F09-033.pdf

10 Deutsche Post AG, Delivering Tomorrow: Towards Sustainable Logistics. http://www.dp-

dhl.com/content/dam/logistik_populaer/trends/StudieSustainableLogistics/study_towards_sustainable_logistics.pdf

11http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA-420-F00-036.pdf

12

http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA-420-F09-041.pdf

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Longer tractors/trailers: A typical combination truck consists of a three-axle tractor pulling a two-axle,

53-foot trailer. Longer combination vehicles (LCVs) use two or three trailers in various combinations of

lengths, reducing the fuel consumed per ton-mile. For example, a Rocky Mountain Double – a 53-foot

long plus a 28.5-foot long trailer – consumers 13 percent less fuel per ton-mile than a typical combo truck.

Other types can save 21 percent. However, 29 states do not allow LCVs, and those that do allow LCVs do

not allow all types. LCVs also have stability limitations, so should only be driven by experienced drivers.13

Idle reduction technologies/policies: Many truckers idle their engines at night to provide heating and air

conditioning, generate power for appliances, and avoid cold starts. But with typical idling ranging between

five and eight hours per day, 300 days per year, one truck’s idling ends up consuming between 900 and

1,400 gallons of fuel per year, as well as increasing engine wear and shortening engine life.

Several technologies can avoid this waste. Auxiliary power units, mounted externally on the truck cab,

provide electricity for heating, air conditioning, and electrical accessories. Direct fired heaters provide heat

in the cab. Automatic engine shutdown systems start and stop the truck engine automatically to maintain

a specified cab temperature or minimum battery charge. Some truck stops also include electrification,

where drivers can plug into an electrical outlet for their heating, air conditioning and accessory needs.

Some types of electrified truck stops require that trucks come equipped with special internal wiring,

inverter and HVAC systems, and others provide all the necessary equipment.14

Optimizing routes: In some fleets, 10 percent or more of truck mileage may consist of non-revenue-

generating, empty truck loads. This can add up to 10,000 miles a year and over 1,200 gallons of fuel for a

typical long-haul truck. Other inefficiencies in routing can include use of long or congested routes,

unnecessary idling, and poor loading and unloading practices. To alleviate this waste, trucks can haul

successive loads in a triangular pattern. Freight brokers or logistics companies can match shippers with

empty carriers, and trucking companies in different areas can coordinate their loads. Electronic data

interchange systems can help dispatchers, drivers and customers communicate logistics information, and

13 http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA420F10-053.pdf

14

http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA420F09-038.pdf

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an enterprise license by emailing [email protected] for information.

Range of Fuel Consumption Reduction Potential, 2015-2020,

for Power Train and Vehicle Technologies,

Medium and Heavy-Duty Vehicles (%)

Technology Fuel Consumption Reduction (%)

Power Train Technologies

Diesel engines 15 to 21

Gasoline engines Up to 24

Diesel over gasoline engines 6 to 24

Improved transmissions 4 to 8

Hybrid power trains 5 to 50

Vehicle Technologies

Aerodynamics 3 to 15

Auxiliary loads 1 to 2.5

Rolling resistance 4.5 to 9

Mass (weight) reduction 2 to 5

Idle reduction 5 to 9

Intelligent vehicle 8 to 15

Source: National Research Council of the National Academies, “Technologies and Approaches to Reducing the Fuel Consumption of

Medium- and Heavy-Duty Vehicles”

routing and scheduling software can provide more efficient routes than dispatchers could achieve on their

own.15

Weight reduction: Every 10 percent drop in a truck’s weight reduces its fuel use by between 5 and 10

percent. Most truck manufacturers offer lightweight tractor options that are 1,000 or more pounds lighter

than similar models. Trucks’ weights can be reduced by components including cast aluminum alloy

15 http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA-420-F00-037.pdf

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wheels, centrifuse brake drums, composite front axle leaf springs, smaller engines, and aluminum cab

frames, axle hubs and clutch housing.

Lightweight components for trailers include light-weight brake drums, composite trailer springs, aluminum

or light-weight cast iron hubs, and aluminum wheels, roof bows, floors, floor crossmembers and side

posts. These light-weight alternatives can cost more, and are therefore more common in weight-sensitive

applications such as heavy goods and refrigerated foods.16

Reducing excess packaging: Cutting down on the weight of a packaged product reduces the shipping

cost and related emissions per unit.

Speed restrictions: Higher speeds lower a truck’s fuel economy while increasing maintenance costs.

Reducing highway speed by 5 miles per hour can cut fuel use by about 7 percent while extending the life

of the engine, tires and brakes. While reducing speed can cut trucking productivity, these costs may be

outweighed by reductions in time lost to maintenance, and by improved driver safety.17

Driver education: Drivers who learn simple habits such as driving at lower speeds can significantly

reduce fuel consumption. Companies can train drivers to coast when possible, use cruise control where

appropriate, upshift at the lowest rpm possible, limit unnecessary shifting, and start out in a gear that

doesn’t require use of the throttle when releasing the clutch. Electronic engine monitors can help review

drivers’ patterns, and can be even more effective when combined with financial incentives. Making these

changes can create fuel savings of five percent or more.18

16 http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA420F09-043.pdf

17

http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA-420-F09-042.pdf

18

http://www.epa.gov/smartway/documents/partnership/trucks/partnership/techsheets-truck/EPA420F09-034.pdf

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an enterprise license by emailing [email protected] for information.

Software and IT systems: Intelligent transportation system (ITS) technologies are another promising

way of managing transportation emissions. These systems manage vehicles, loads, and routes to reduce

fuel costs and transportation times while improving safety and reducing vehicle wear.19

Combining/comparing freight modes: Changing freight modes for part of all of a journey can lower the

emissions associated with that freight. Freight rail has the lowest emissions on a ton-mile basis, reflecting

the fact that it carries goods in large quantities, at relatively slow speeds. In contrast, trucking is inefficient,

moving small, light loads at high speeds, and therefore generates significantly more GHGs per ton-mile.

Aircraft have even higher GHG emissions per ton of freight.

But the Department of Transportation warns that a head-to-head comparison between these modes may

not present a complete picture, because of the very different types of freight they move. A better picture

can be generated by considering the energy each mode would consume to use similar freight within a

specific corridor. One such study found that rail could achieve between 1.4 and 9 times the ton-miles per

gallon of trucks.

The department also warns that there is limited potential for freight mode shifting, not only because of

demands for speed and reliability (trains make frequent stops, and the coupling and decoupling process,

give rail freight an average speed as low as 6 km/h) and terminal handling costs, but because long-haul

modes like rail lose their efficiency when used for distances less than 1,000 or 500 miles.20, 21

19 Destination Sustainability: Reducing Greenhouse Gas Emissions from Freight Transportation in North America. Commission for

Environmental Cooperation. http://www.cec.org/Storage/99/9783_CEC-FreightTransport-finalweb_en.pdf

20 U.S. Department of Transportation, ―Transportation’s Role in Reducing U.S. Greenhouse Gas Emissions, Volume 1: Synthesis Report.‖ April

2010. http://ntl.bts.gov/lib/32000/32700/32779/DOT_Climate_Change_Report_-_April_2010_-_Volume_1_and_2.pdf

21 Deutsche Post AG, Delivering Tomorrow: Towards Sustainable Logistics. http://www.dp-

dhl.com/content/dam/logistik_populaer/trends/StudieSustainableLogistics/study_towards_sustainable_logistics.pdf

EL Insights | © 2011 Environmental Leader LLC. Single license EL PRO subscription can be used by one person. For multiple users, purchase

an enterprise license by emailing [email protected] for information.

Another transportation mode to consider is ―dematerialization‖ – sending items in a non-physical form. For

many companies the most obvious applications of this principle are to bills, catalogs and other paper

documents, but there are other examples: the growth of Apple’s iTunes and Amazon’s Kindle, for

example, reduced the need to ship CDs and books.

21,238 21,008 21,127

14,846 14,573 13,907

320

305

291

275

280

285

290

295

300

305

310

315

320

325

0

5,000

10,000

15,000

20,000

25,000

2007 2008 2009

Btu

per t

on

-mil

e

Btu

per v

eh

icle

- /

freig

ht

car-m

ile

Energy Intensities of Freight Modes

2007-2009

Heavy single-unit and combination trucks (Btu per vehicle-mile)

Class I freight railroad(Btu per freight car-mile)

Class I freight railroad (Btu per ton-mile)

Source: DOE, Transportation Energy Data Book, 2011

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an enterprise license by emailing [email protected] for information.

Another more long-term example is 3D printing. This industry is now about 20 years old, and equipment

prices are coming down. With a 3D printer, companies can digitally transmit designs and ―print‖ objects,

such as prototypes, engineering components, jewelry, and medical and dental components, onsite.22

Shippers in the EPA’s SmartWay program (see p.23) can use the SmartWay Shipper Tool to determine

their transport networks’ emissions of CO2, NOx, PM10, and PM2.5, and evaluate the impact of switching

modes, as well as estimate savings from reducing miles or weight. 23

Technology and Methods: Rail Freight

It is much more difficult to create a corporate ―to do‖ list for sustainable rail freight than it is for road

freight. This is partly because of rail’s concentrated ownership and management structure: while a retailer

or consumer goods company may own its own truck fleet, it wouldn’t own its own railroad. Operating

models in the rail sector are based around leasing and chartering. In addition, innovation can happen

more quickly in road transportation because of large fleet sizes and close ties to the passenger vehicle

market. In rail, locomotives and cars are purchased less frequently and have high reliability

requirements.24

Because of these considerations, most methods for improving rail sustainability (see p.4) are beyond the

control of companies sending the shipments. In the case of rail, most companies’ power lies in their

purchasing.

22 Deutsche Post AG, Delivering Tomorrow: Towards Sustainable Logistics. http://www.dp-

dhl.com/content/dam/logistik_populaer/trends/StudieSustainableLogistics/study_towards_sustainable_logistics.pdf

23 http://www.epa.gov/smartway/partnership/shippers.htm

24 Deutsche Post AG, Delivering Tomorrow: Towards Sustainable Logistics. http://www.dp-

dhl.com/content/dam/logistik_populaer/trends/StudieSustainableLogistics/study_towards_sustainable_logistics.pdf

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an enterprise license by emailing [email protected] for information.

Manufacturers, suppliers and carriers

Truck carriers

Of 2,048 truck carriers in the SmartWay program, 572 received the top score of 1.25. Many of the

industry’s leaders, such as Con-way, JB Hunt, Schneider National, Swift Transportation, and YRC

Worldwide, score 1.25. A complete list of SmartWay participants and their scores is available via:

http://www.epa.gov/smartway/partnerlists/partner-list.htm.

Rail carriers

There are 15 rail carriers in the SmartWay program, all of whom have received the top score of 1.25, and

the list represents all the major rail freight companies in the U.S. They are:

BNSF Railway Company

Canadian National Railway Company

Canadian Pacific Railway

CSX Transportation

Florida East Coast Railway

Genesee & Wyoming Inc

Kansas City Railway Company

LHP Transportation Services, Inc. (Rail Division)

Norfolk Southern Corporation

Pacific Harbor Line, Inc.

RailAmerica

Richmond Pacific Railroad

Tacoma Rail

The New York, Susquehanna, and Western Railway Corporation

Union Pacific Railroad

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Tractors

The SmartWay program identifies tractors, trailers and energy-efficiency equipment that meets its

technical specifications.25 Tractor models can be ordered through the following manufacturers:

Navistar: Prostar 2007 or newer; 9200i from 2007, 2008 and 2009; LoneStar 2008 or newer

Mack: Pinnacle 2008 or newer

Daimler: Columbia 2008 or newer; Century Class S/T 2008 or newer; Cascadia 2008 or newer.

Volvo: VN 670 2007 or newer; VN 780 2007 or newer.

Kenworth: T2000 from 2008, 2009, 2010 and 2011; T660 2008 or newer; T700 2011 or newer.

Peterbilt: 387 from 2008, 2009, 2010 and 2011; 386 2008 or newer; 384 2010 or newer; 587 2011 or

newer.

Trailers

SmartWay trailers can be ordered directly from the following manufacturers and their dealers:

Great Dane Trailers

Hyndai Translead

Manac Inc.

Stoughton Trailers, LLC

Strick Trailers, LLC

Utility Trailer Manufacturing Company

Vanguard National Trailer Corporation

Wabash National Corporation

Wilson Trailer Co.

25 http://www.epa.gov/smartway/technology/index.htm

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Tires

The following low rolling resistance tires are SmartWay verified when used on class 8, line-haul trucks:

Arisun

Steer CR989

Drive CM983

Trailer CR915

BF Goodrich

Steer ST244

Drive ST244

Trailer TR144

Bridgestone

Steer R280, R287, R287A

Drive M720, Greatec M835, Greatec, S803WZ, S803Z, S718WZ, and S718YZ

Trailer Greatec R135, R195, R197, S197

Continental

Steer HSL1 Coach, HSL2 (replaces HSL), HSL2 ECO Plus, HSR, HSR1, HSR1 ECO

Plus, HSR2, HSR2 ECO Plus, HSR2 SA

Drive HSL1 Coach, HDL ECO Plus, HDL2 ECO Plus, HDL2 DL ECO Plus, HDR, HDR1

ECO Plus, HSR, HSR1, HSR1 ECO Plus, HSR2, HSR2 ECO Plus, HSR2 SA

Trailer HTL ECO Plus, HTL1

Double Coin

Steer FR605

Drive FD405

Trailer FT105

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Dunlop Tire

Steer SP384 FM

Drive SP456 FM

Trailer SP193 FM

Falken

Steer RI109 Ecorun

Drive BI887 Ecorun

Trailer RI119 Ecorun

Firestone

Steer FS507 PLUS

Drive FD695 PLUS

Trailer FT455 PLUS

General

Steer S371, S580, S581

Drive D660, S371, S580, S581

Trailer ST250

Goodyear

Steer G399 Fuel Max, G662 Fuel Max

Drive G305 Fuel Max AT, G305 LHD Fuel Max, G392 SSD, G572 Fuel Max

Trailer G316 LHT Fuel Max, G316 Fuel Max DuraSeal, G394SST

GT Radial

Steer GSL213 FS

Drive GT669+ FS

Trailer GT979 FS

Hankook

Steer AL07+, AL11

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Drive AH24, DL11, Z35A

Trailer TL01

Kumho

Steer KLS02e, KRS02e

Drive KLD01e, KLD02e

Trailer KLT02e

Linglong

Steer F816e+

Michelin

Steer X Coach XZ, XZA3, XZA3+, XZA2, XZA1+, XZA2 Energy

Drive XDA Energy, XDA3, X-One XDA, X-One XDN2, X-One XDA Energy

Trailer XTA Energy, XT1, X-One XTA, X-ONE XTE

Roadmaster (Cooper)

Steer RM180, RM185

Trailer RM871

Sailun

Steer S605

Drive S768 EFT (size 11R24.5 only)

Sumitomo

Steer ST778SE

Drive ST938SE

Trailer ST710SE

Toyo Tires

Steer M137

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Drive M657

Trailer M157

Triangle

Steer TRS01

Drive TRD01

Westlake

Steer CR989

Drive CM983

Trailer CR915

Yokohama

Steer RY617, 103ZR, 101ZL

Drive 703ZL, TY517mc2, TY577

Trailer RY407, RY587, RY587mc2

Auxiliary power units

The following APU/GS systems are SmartWay verified for long-haul, Class 8 trucks:

Airworks Compressors Corp / Model: Fusion APU

Big Rig Products / Model: Nite Hawk

Carrier Transicold - ComfortPro

Centramatic - Centramatic

Comfort Master - Comfort Master

Diamond Power Systems, LLC - Diamond Power System

Dunamis Power Systems – Promax

Hodyon LP - Dynasys APU

Kohler- 3APU, 7 APU

Life Force - Life Force

Mantis Metalworks, LLC - Model 175

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McMillan Electric Company / Model: IdleTime 4500-300

McMillan Electric Company / Model: IdleTime 4500-400

Midwest Power Generators - MPG702

Navistar - Fleetrite APU, MaxxPower APU w/ HVAC

Navistar Fleetrite by Mobile Thermo Systems Inc./ Models: INTAPU146 and INTAPUT46

Parks Industries, LLC: Model Hp 2000

Pony Pack, Inc. - Pony Pack

Power Technology Southeast – PowerPac

RigMaster Power by Mobile Thermo Systems Inc. / Model: MTS T4-6

Star Class - GEN-STAR 4500, GEN-STAR 6000

Thermo King Corp. – TriPac

TRIDAKO Energy Systems - Power Cube

Volvo - 971-003/4 (optional 82A-B1X)

Willis Power Systems - Willis APU

Trailer Gap Reducers

The following trailer gap reducers are SmartWay certified:

Carrier Transicold Gap Fairing

FreightWing gap reducer

Laydon Composites gap reducer

Nosecone "Nose 3-D" Gap reducer (consists of top and side units sold as one piece of equipment)

Trailer Boat Tails

The following trailer boat tails are SmartWay certified:

Aerodynamic Trailer Systems (ATS) dual lobe boat tail

AeroVolution inflatable boat tail

ATS SmartTail

Transtex rear trailer fairing

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Trailer Side Skirts

The following trailer side skirts are SmartWay certified:

Carrier Transicold Belly Fairing

Fleet Engineers Extended Air Slipper

FreightWing belly fairing trailer skirts

Laydon Composites trailer skirts — 6 or 7 panel

Ridge Corp. - GreenWing RAC0002

Silver Eagle Mid-length Skirt

Silver Eagle Mini-skirt

Transtex trailer skirts

Utility Trailer -- Utility Side Skirt 120

Advanced Trailer End Fairing

The following advanced trailer end fairings are SmartWay certified:

ATDynamics TrailerTail rear trailer fairing

ATS Integrated Automated System (WindTamer with SmartTail)

SmartTruck UT-1

SmartTruck UT-6

Advanced Trailer Skirt

The following advanced trailer skirts are SmartWay certified:

Aerofficient -- Aero-slide side fairing system (with rearmost telescoping panel) (model ASFS)

Aerofficient -- Fixed side fairing (with landing gear wrap panel) (model FFGW)

Aerofficient -- Fixed side fairing (with landing gear toe in panel) (model FFTI)

Airflow Deflector – Deflector

ATDynamics-Transtex Trailer Side Skirts

Atlantic Great Dane -- AeroGuard side skirt (AGD400-43)

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Carrier Transicold Aeroflex Fairing

FreightWing Aeroflex trailer skirt

Laydon Composites trailer skirt — 8 panel

Laydon Composite Classic 7-Panel Trailerskirt, Product code TRSK700SA

Laydon Composite Hybrid 24 ft. Trailerskirt, Product code TRSK710SA

Ridge Corp. - GreenWing RAC0003

Ridge Corp. - GreenWing RAC0012

Silver Eagle Aero Saber

Strehl Model 715

Sweet Bottom Trailer Skirt

Transtex MFS Trailer Side Skirts

Utility Trailer -- Utility Side Skirt 120A

Utility Trailer -- Utility Side Skirt 160

Wabash National Advanced Trailer Side Skirt, DuraPlate AeroSkirt – Standard

Wabash National Advanced Trailer Side Skirt, DuraPlate AeroSkirt - Angled

Windyne Flex-Fairing

Benefits

Energy costs: Many of the methods and technologies listed above pay for themselves within two years

or less, and can offer significant return on investment. When considering such measures, companies

should consider the full lifecycle costs, both in terms of fuel savings and GHG reductions. Life-cycle data

should include information on vehicles, infrastructure, fuel production and supply chains.26

GHG emissions: Freight transportation accounted for more than 40 percent of the increase in

transportation-related GHG emissions from 1990 to 2006. Carbon dioxide accounts for 95 percent of

transportation GHGs. Another significant emission to consider is HFCs. In 2006, HFC emissions from

refrigerated transport vehicles and mobile air conditioners accounted for about 3.5 percent of total

26 Destination Sustainability: Reducing Greenhouse Gas Emissions from Freight Transportation in North America. Commission for

Environmental Cooperation. http://www.cec.org/Storage/99/9783_CEC-FreightTransport-finalweb_en.pdf

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transportation GHG emissions.27 HFCs get released into the atmosphere through leaks while vehicles are

operating, during servicing and after retirement. Companies can help to prevent leaks by training

technicians to use recovery equipment and to not vent refrigerant during servicing.28

Vehicles also account for a majority of nitrogen oxide (NOx) and carbon monoxide (CO) emitted in the

U.S., and are the largest source of nonmethane volatile organic compounds (NMVOCs). All these

substances react with sunlight to create tropospheric ozone. And vehicles are the biggest source of black

carbon. Both tropospheric ozone and black carbon cause warming, although their global warming

potential is not fully understood.

Vehicles’ lifecycle impacts go beyond their tailpipe emissions, to include raw material production,

manufacturing and shipment. The manufacturing stage for freight trucks adds emissions equal to between

six and 17 percent of combustion emissions.29

Challenges

Costs and financing: As discussed, the cost-effectiveness of emissions reduction measures depends on

a number of lifecycle factors, and on lifecycle analysis, which is no simple task. Vehicle manufacturers

and fleet owner-operators have been reluctant to undertake many efficiency measures, because they

don’t feel sufficiently confident about projected paybacks.30

27 U.S. Department of Transportation, ―Transportation’s Role in Reducing U.S. Greenhouse Gas Emissions, Volume 1: Synthesis Report.‖ April

2010. http://ntl.bts.gov/lib/32000/32700/32779/DOT_Climate_Change_Report_-_April_2010_-_Volume_1_and_2.pdf

28 U.S. Department of Transportation, ―Transportation’s Role in Reducing U.S. Greenhouse Gas Emissions, Volume 1: Synthesis Report.‖ April

2010. http://ntl.bts.gov/lib/32000/32700/32779/DOT_Climate_Change_Report_-_April_2010_-_Volume_1_and_2.pdf

29 Ibid.

30 Rocky Mountain Institute, Transformational Trucking Initiative Report, June 2009, via CEC.

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One study found a combination of existing and emerging vehicle, engine and transmission technologies,

together with operational measures, could reduce CO2 and fuel consumption up to 50 percent between

2012 and 2017. Over three years, assuming a diesel price of $2.50 a gallon, the study found that five

potential technology combinations would result in net cost savings. But the study also found that most of

the technology packages providing the biggest reductions would not be adopted by fleets expecting a

three-year payback – that is, the trucking industry demands a shorter payback period. The study

concluded that many of these technologies will not be adopted without regulation.31

Complexity: The North American freight supply system is a complex network of shippers, carriers and

logistics providers using multiple modes of transport. Shippers needs’ vary widely, and the variety of

ownership and management structures mean that the GHG reduction methods that work for one company

may not work for another.

Policies and programs

SmartWay

The most significant federal program for sustainable freight is the SmartWay Transport Partnership, a

voluntary collaboration between EPA and the freight industry, with membership open to freight shippers,

logistics companies, truck carriers, rail carriers and truck stops. SmartWay partners agree to assess their

freight operations, calculate their fuel consumption and carbon footprint, and track fuel efficiency and

emissions reductions annually.

Truck and rail carriers commit to set and strive for environmental and fuel efficiency goals over a period of

three years. These commitments can reduce fuel consumption by 10 to 20 percent for 2007 or newer

31 Northeast States Center for a Clean Air Future, Reducing Heavy-duty Long Haul Truck Fuel Consumption and CO2 Emissions, Final Report,

October 2009, via CEC.

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longhaul tractors and trailers, the EPA says, saving each tractor/trailer combination between 2,000 and

4,000 gallons of diesel per year.32

Carriers and logistics companies are then issued performance scores between 0 and 1.25, providing an

index that helps shippers to choose the most efficient transportation partners. The scores are as follows:

1.25: The highest score, this indicates that the partner is already using most of the commercially

available fuel-saving strategies and is evaluating the latest technologies. These partners can

display the SmartWay Transport Partner logo.

1.00: Represents ―very good‖ environmental performance, above the industry standard.

0.75: The most common partner score, this represents ―good‖ environmental performance, and is

the lowest score possible for a partner that is up-to-date with its reporting.

0.00: This score means the partner is behind schedule in submitting required materials.

Shipper members use a SmartWay tool to quantify their own environmental performance, and commit to

ship at least 50 percent of their goods using SmartWay transport carriers. Another tool lets SmartWay

shippers evaluate individual carriers based on emissions rates in grams per ton-mile and grams per

mile.33

According to the Commission for Environmental Cooperation of the North American Free Trade

Agreement, SmartWay has succeeded in giving efficient carriers a competitive advantage, while shippers

have gained a better understanding of their supply chains and of ways to optimize performance.34

32 http://www.epa.gov/smartway/documents/publications/overview-docs/smartway-overview.pdf

33 http://www.epa.gov/smartway/partnership/shippers.htm

34 Destination Sustainability: Reducing Greenhouse Gas Emissions from Freight Transportation in North America. Commission for

Environmental Cooperation. http://www.cec.org/Storage/99/9783_CEC-FreightTransport-finalweb_en.pdf

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Other programs under the SmartWay umbrella include SmartWay Innovative Finance, which helps

companies acquire emission reduction technologies by easing access to financing such as reduced-

interest loans; and SmartWay Technology Assessment, which tests and verifies emissions reductions and

fuel savings from technologies such as tractor and trailer aerodynamics, auxiliary power units, and wide-

based tires.35

The EPA says that over 2,900 U.S. corporations, including virtually all of the nation’s largest truck carriers,

all the class 1 rail companies, and many top Fortune 500 companies, are using SmartWay’s tools and

methods. It says the program has helped companies cut fuel costs by $6.1 billion so far. 36 By next year,

SmartWay aims to save between 3.3 and 6.6 billion gallons of diesel fuel annually, cutting at least 33

million metric tons of CO2 emissions and up to 200,000 tons of NOx emissions per year.37

National Clean Fleets Partnership:

Another federal program to be aware of is the National Clean Fleets Partnership, a collaboration between

the Department of Energy and large fleets looking to adopt alternative fuels and fuel economy measures.

It is open to fleets that own or have contractual control over at least half their vehicles, and have vehicles

operating in multiple states.

Partners include AT&T, Coca-Cola, Enterprise Holdings, FedEx, General Electric, Osram Sylvania,

PepsiCo, Ryder, Schwan’s Home Service, Staples, ThyssenKrupp Elevator, UPS and Verizon.38

Efficiency and emissions regulations

35 http://www.epa.gov/smartway/documents/publications/overview-docs/smartway-overview.pdf

36 http://www.epa.gov/smartway/documents/publications/overview-docs/smartway-program-highlights-32011.pdf

37 http://www.epa.gov/smartway/basic-info/faq-general.htm

38 http://www1.eere.energy.gov/cleancities/national_partnership.html

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Big-rig trucks will be required to reduce fuel consumption by about 20 percent by model year 2018, under

heavy-duty vehicle efficiency rules that the White House announced in August 2011. Heavy-duty pickup

trucks and vans will have to reduce fuel consumption and greenhouse gas emissions by up to 15 percent

by model year 2018, and delivery trucks will have to cut about 10 percent by that year.

The Obama administration said the measures will save $50 billion in fuel costs over the life of model year

2014 to 2018 vehicles. Trucks and buses built between 2014 and 2018 will reduce oil consumption by a

projected 530 million barrels and greenhouse gas emissions by about 270 million metric tons, the White

House said.39

In 2008, the EPA finalized a rule to cut diesel locomotives’ PM emissions by up to 90 percent and NOx

emissions by up to 80 percent. The rule sets stronger standards for new locomotives, starting in 2015,

and applies to existing locomotives when they are remanufactured, as soon as certified systems are

available. The rule also introduces idle reduction requirements for new and remanufactured models.40

39 http://www.environmentalleader.com/2011/08/09/obama-launches-fuel-standards-for-trucks-and-buses/

40 http://www.epa.gov/otaq/locomotives.htm

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Certifications and standards

One challenge for those trying to green their freight is that there is no straightforward way for consumers

to tell how sustainably their purchases were shipped. There is no universal approach to labeling products

with their carbon impacts. Such an effort would require significant cost on the part of shippers, carriers

and logistic companies, which would all have to undertake comprehensive carbon accounting and

auditing.41

41 Deutsche Post AG, Delivering Tomorrow: Towards Sustainable Logistics. http://www.dp-

dhl.com/content/dam/logistik_populaer/trends/StudieSustainableLogistics/study_towards_sustainable_logistics.pdf

56%

36%

8%

Likely/very likely Neither likely nor unlikely

Unlikely/very unlikely

Customer Attitudes towards Green Transportation

% of respondents evaluating statement

Source: Deutsche Post DHL

"Within the

next ten years the

majority of our

customers

will favor

a company

that uses

green

transport/logistics

solutions

over cheaper

transport/logistics

solutions."

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Latest Developments in Sustainable Ground Freight

Worldwide and U.S. market

At first glance, trends in sustainable ground freight do not appear positive. Over the past decade, GHG

emissions from transportation have increased at a faster rate than those of any other sector. Many of the

technologies and transport modes that would help lower emissions are not yet widely available. Road

transport suffers from a lack of alternative fuel technologies.

Consumer demand will likely be one of the biggest factors encouraging the use of sustainable freight. A

Deutsche Post survey has found that over half of companies surveyed think it is likely or very likely that

customers will in the next ten years start favoring companies that use sustainable freight and logistics

(see Customer Attitudes Towards Green Transportation, p. 27) However, as discussed above,

customers do not have any easy or comprehensive means of selecting companies and products that use

the most sustainable means of transportation.

There have been some positive signs, however. Since 2004, SmartWay partners have saved 50 million

barrels of oil, equivalent to taking over 3 million cars off the road for a year, along with 16.5 MMT CO2,

235,000 tons NOx, and 9,000 tons PM. 42

Adoption by businesses

Kraft: See Q&A.

Joy Global: The mining equipment company said it is expecting to save 80,000 gallons in 2011 through

using Ford Crew Chief, which allows fleet managers to monitor truck location, vehicle diagnostics and

driver behavior.43

42 http://www.epa.gov/smartway/documents/publications/overview-docs/smartway-program-highlights-32011.pdf

43 http://www.environmentalleader.com/2011/06/09/fleet-briefing-consumer-reports-rankings-usps-sears/

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Fresh & Easy: The grocery store announced the addition of 25 compressed natural gas vehicles to its

distribution fleet as part of a partnership with Ryder System Inc. The new vehicles produce 20 to 30

percent less emissions than comparable diesel vehicles.44

PepsiCo: The Frito-Lay North America division has said it plans to deploy 171 electric trucks by the end

of 2011, creating the largest commercial fleet of all-electric trucks in North America.45

Walmart: The retailer is testing a number of technologies in its fleet, including hybrid systems in Class I

vehicles. It is also increasing its number of aerodynamic vehicles and has implemented auxiliary power

units across its fleet of trucks.

Cardinal Health: The $99 billion health care services company earned the top score of 1.25 in the

SmartWay Carrier Partnership, and is one of just a few companies to join as both a carrier and shipper.46

CSX: The freight rail company says it beat by one year a goal of reducing greenhouse gas emissions by

eight percent per revenue ton mile. Its environmental initiatives include use of ultra-low emission GenSet

locomotives and modernizing transportation infrastructure to allow for more efficient double-stacked

intermodal trains. The company’s recently opened facility in North Baltimore, Ohio includes innovations

such as electric cranes and optical cargo scanners to improve efficiency, lower emissions, and decrease

truck idling times.47

44 http://www.environmentalleader.com/2011/08/05/fresh-easy-adds-ryder-natural-gas-vehicles-to-fleet/

45 http://www.environmentalleader.com/2010/09/09/frito-lay-poised-to-launch-largest-all-electric-truck-fleet-in-north-america/

46 http://www.environmentalleader.com/2011/03/07/cardinal-health-gets-highest-epa-transport-score/

47 http://www.environmentalleader.com/2011/06/07/csx-achieves-8-ghg-cut-early/

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Norfolk Southern: The rail company has set a goal to reduce its greenhouse gas (GHG) emissions per

revenue ton-mile 10 percent by 2014, using 2009 as a baseline. Initiatives include the purchase of new

and more fuel-efficient locomotives, continued deployment of idle-reduction and train handling

technologies and refined engine maintenance practices. In October 2009, Norfolk Southern unveiled a

zero-emissions electric locomotive.48

YRC Worldwide: The logistics provider is planning to save over 100,000 gallons of fuel per year through

measures including wind skirts and the exclusive use of synthetic motor oil. It expects the skirts, together

with low-rolling-resistance tires in place since 2010, to reduce fuel consumption by five percent.49

The Future of Sustainable Ground Freight

Projections

The Department of Transportation expects freight trucks to improve their overall efficiency, measured as

energy use per ton-mile, by 14 percent by 2030. DOT expects rail’s efficiency, also measured as energy

use per ton-mile, to improve by two percent.

But these gains won’t keep transportation’s GHG emissions from rising substantially. While GHG

emissions for light-duty vehicles are projected to decline nearly 12 percent from 2007 to 2030, those of

freight trucks are expected to increase by 20 percent, from 374.9 to 449.7 mmt CO2e, and those of rail

freight are expected to rise 13.5 percent, from 48.8 to 55.4 mmt CO2e. However, DOT says these

projections are subject to a number of uncertainties, most notably related to economic growth, population

48 http://www.environmentalleader.com/2010/09/02/norfolk-southern-to-cut-carbon-footprint-10-by-2014/

49 http://www.environmentalleader.com/2011/05/11/yrc-to-save-fuel-with-synthetic-motor-oil-skirts/

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growth, future fuel prices, and expected changes in the future mix of vehicles and fuels.50 It’s also worth

noting that these projections were published before the White House announced heavy-duty vehicle

efficiency rules, in 2011.

50 U.S. Department of Transportation, ―Transportation’s Role in Reducing U.S. Greenhouse Gas Emissions, Volume 1: Synthesis Report.‖ April

2010. http://ntl.bts.gov/lib/32000/32700/32779/DOT_Climate_Change_Report_-_April_2010_-_Volume_1_and_2.pdf

1997 2002 2007

For-hire truck $3,748.0 $4,330.2 $4,955.7

Private truck $2,630.8 $2,818.3 $3,380.1

Rail $412.9 $359.5 $436.4

Water $97.9 $102.9 $114.9

Air (includes truck and air) $296.0 $305.4 $252.3

Parcel, USPS or courier $1,105.7 $1,138.5 $1,561.9

Truck and rail $97.8 $80.6 $187.2

Truck and water $10.6 $16.6 $58.4

Rail and water $2.3 $3.8 $13.9

Other multiple modes $5.6 $4.4 $45.3

Other and unknown modes $359.9 $309.6 $279.1

$0.0

$1,000.0

$2,000.0

$3,000.0

$4,000.0

$5,000.0

$6,000.0

US$ b

illions, 2007 d

ollars

Growth of Freight in the U.S.

by Value of Goods Shipped, US$ billions, 1997-2007

Source: DOE, Transportation Energy Data Book, 2011

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Collaboration between businesses, government and financial institutions will be a key feature of freight’s

efficiency improvements, according to Deutsche Post. Even competitors will begin to work together in

order to make the necessary investments in new technologies and infrastructure. New business models

should appear along the supply chain, both vertically and horizontally, to satisfy demand for carbon

reduction techniques.

Regulations will be a key driver. More and more governments are putting a price on carbon, forcing more

businesses to make emissions part of their accounting.51

Sustainable ground freight: What does all this mean?

A wide variety of strategies and technologies are available to help shippers and carriers reduce

their emissions.

However, many of these technologies are relatively new, and more can be expected in the future.

Most methods of improving freight emissions require upfront costs, but payback is often possible

within three years.

Q&A

Mike Cole, senior director, North America transportation, Kraft Foods

What technologies and methods have you used to improve the efficiency and lower the emissions

of your ground freight movement?

51 Deutsche Post AG, Delivering Tomorrow: Towards Sustainable Logistics. http://www.dp-

dhl.com/content/dam/logistik_populaer/trends/StudieSustainableLogistics/study_towards_sustainable_logistics.pdf

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an enterprise license by emailing [email protected] for information.

We think about miles, piles and idles when moving our product. We’re finding ways to drive fewer miles,

reduce inventory piles and eliminate idling trucks. We’re collaborating with customers and suppliers. And

we’re using a number of high-tech innovations for our trucks and warehouses to reduce energy and CO2

emissions.

Kraft Foods is addressing this challenge by finding alternatives to trucking and making its distribution

network more efficient. Using a 2010 base, by the end of 2015 Kraft Foods plans to reduce 80 million km

(50 million miles) from our transportation network, as measured against total production.

One of Kraft Foods’ biggest initiatives in the U.S. is its work with SmartWay via the US EPA. We first

specified for SmartWay certified tractors in 2009, and we now have 75 SmartWay designated tractors in

operation. We’ve made significant progress in the past few years: 80 percent of freight in 2009 was

handled by SmartWay carriers compared to 70 percent in 2008; and our overall score (the combination of

how much freight we move on our own SmartWay trucks as well as carriers’ SmartWay trucks) improved

to .99 in 2009 from .84 in 2008.

One of our newer initiatives in the U.S. is called ―Perfect Truck.‖ We’re applying Lean Six Sigma

optimization techniques to further refine the process of loading our trucks. It gives us improved accuracy

and helps us work towards getting to 95 percent efficiency in optimizing the weight and/or cube for

loading.

Do you use low-carbon or alternative fuel? What technologies? What make/model of vehicle?

Kraft Foods plans to expand its use of SmartWay-certified tractors and hybrid trucks. As an added

efficiency benefit, we’re using automated transmissions on all new equipment.

Do you use wide or low-rolling resistance tires or auto tire inflation system? Have you made truck

retrofits (what kind and to what make/model)?

We’ve made a conscious effort to reduce the weight of our OTR tractors using lightweight components

such as low rolling resistance wide-based single-wide drive tires on aluminum wheels.

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Do you use driver education? What does it consist of?

This year in the U.S., we offered all of our private fleet drivers a driver simulation program to reinforce

more efficient driving patterns to help maximize fuel efficiency. The simulations help spot driving habits

and opportunities for improvement and also raise awareness on operators’ direct impact on the miles per

gallon they can achieve.

Kraft Foods implemented a no-idle policy at our shipping locations in 2008. We’ve posted signs in yards

and around facilities reminding employees and drivers of our policy and our signs feature the SmartWay

logo.

Have you implemented efficiency requirements for supplier or contractors? What do you require,

and of whom?

For carriers, SmartWay partnership is a pre-requisite for growth with Kraft Foods. Our Annual Carrier

Meeting has a strong sustainability/SmartWay thread throughout -- including sustainability related

presentations from a variety of sources.

On the shipper side, since more than 90 percent of our transportation is outsourced, we recognize our

greatest potential to advance sustainable business practices is to use our industry position to influence

the actions of our suppliers, customers, and peers.

Another project is the expanded use of the SmartWay program including implementation of version 2.0 of

the shipper model. We’re excited about the additional functionality, like the ability to better compare

different carriers’ levels of SmartWay achievement. And we’re planning to expand intermodal service,

which should help us achieve our sustainability goals and truck capacity concerns.

We encourage shippers, carriers, and logistics providers to get involved in SmartWay and use it to the

maximum. The beauty of it is that it’s truly a voluntary program and participation will make your operation

both more environmentally efficient and more economically effective. The SmartWay team is truly

customer-focused and responsive – and it evolves with partners’ input.

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Have you optimized routes? By what means?

We’re continuing our ―Super Truck‖ initiative. It’s software provided by Transportation/Warehouse

Optimization (TWO) and makes it possible for us to optimize outbound replenishment truckloads,

maximize weight and cube and ultimately put more products on fewer trucks. The project has been

implemented at 20 of Kraft Foods’ largest plants and buffers across the United States and Canada. As a

result of using the software, we’ve been able to take the equivalent of about 1,500 trucks off the road,

which takes over a million miles off of the United States highway system. Now we can make better use of

available equipment with fewer trucks on the highway and fewer miles driven.

Have you taken steps to reduce excess packaging?

Another one of our sustainability goals is to eliminate 50,000 metric tons (100 million lbs.) of packaging

material by the end of 2015 (using 2010 as a baseline, and normalized to production).

Have you implemented speed restrictions?

We made a decision several years ago to reduce our governed top speed on all over-the-road tractors

from 65 to 62 miles per hour.

Have you taken any other steps to improve the sustainability of your trucking?

We are also advocating for responsible reform of federal gross vehicle weight limits in the upcoming

Highway Reauthorization. This would enable Kraft Foods to ship its products with fewer trucks providing

environmental benefits without compromising safety or road wear.

If you use rail transport - what have you done to reduce the GHG emissions of your rail transport?

We’re using trucking alternatives where possible, but as mentioned before, we’re doing it where it makes

business sense.

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In North America, Kraft Foods saved more than a million miles (1.6 million km), replaced 10,000 truck

shipments and reduced 2,000 tons of CO2 emissions by shipping wheat via waterways to its Toledo, Ohio,

flour mill. Now, ships make bigger deliveries less frequently.

In Brazil, employees saved nearly 250,000 miles (390,000 km) and reduced 300 tons of CO2 emissions

by using boats to send products to distribution centers. In just six months, the change saved more than

125 truck shipments.

In Germany, Kraft Foods transports coffee beans from Bremen to its Berlin roasting plant, saving about

1.8 million miles (2.8 million km) and eliminating 2,300 tons of CO2 emissions. And the project took 7,000

trucks off the road.

In Austria, Kraft Foods saved more than 150,000 miles (nearly 250,000 km) by sending products in

refrigerated containers on railcars, eliminating 400 truck shipments and reducing 250 tons of CO2

emissions.

What have been the effects of these initiatives, in terms of: energy saved (kWh, percent), GHG

emissions prevented (tons, percent), money saved ($, percent)… and over what time period?

We measure our success in progress against our sustainability goals. Since 2005, innovative

sustainability projects have saved the company more than 60 million miles (96 million km) in its global

transportation and distribution network.