DHL Invests €80 Million in Biomethane Production Facility in Ireland
DHL Supply Chain has unveiled an ambitious plan to introduce biomethane-powered trucks, marking a substantial €80 million investment in a dedicated biomethane production facility located in Cork, managed by Stream BioEnergy. Biomethane is a renewable fuel known for its potential to achieve carbon neutrality, and this facility is expected to play a pivotal role in greening Ireland's transportation landscape.
This cutting-edge facility will serve as the primary fuel source for a fleet of up to 150 trucks, resulting in an annual reduction of 15,000 tonnes of carbon emissions. To put this in perspective, it's equivalent to the emissions saved by over 38 million miles driven by an average gasoline-powered passenger vehicle.
In a strategic partnership aimed at decarbonizing Ireland's transport network, DHL has joined forces with Tesco Ireland, a leading grocery retailer. DHL will initially subsidize biomethane from alternative sources while the production facility ramps up. Once fully operational, DHL will deploy 92 locally fueled biomethane trucks across Tesco's extensive nationwide network.
This initiative signifies DHL's commitment to driving sustainability across various sectors, including consumer goods, technology, aviation, life sciences, and healthcare. The scale of this endeavor is poised to be a game-changer in the Irish transportation industry.
The biomethane production facility, situated in Little Island, Cork, and operated by Stream BioEnergy, will process an impressive 90,000 tonnes of industrial and consumer food waste annually, diverting it from landfills. Importantly, the deployment of biomethane at scale requires no major upgrades to Ireland's existing gas infrastructure, making it a flexible and cost-effective method for decarbonizing commercial road transport.
Ciaran Foley, Managing Director of DHL Supply Chain in Ireland, expressed pride in enhancing renewable energy production in the country and highlighted the collaboration with Tesco as a significant stride toward achieving net-zero emissions. He emphasized the importance of alternative fuels in supporting customers' sustainability objectives, underscoring DHL's role as a strategic partner.
“DHL’s credentials in leveraging renewable transport solutions are complimented by our own strong commitment to embracing sustainable practices and driving down our emissions. We are both committed to promoting collective environmental objectives; and to advance our ambition to achieve carbon neutrality in our value chain by 2050, and indeed in our own operations by 2035,” said Ian Logan, Tesco Ireland’s Retail and Distribution Director.