Essar’s Green Mobility Initiative: A Sustainable Path to Success

India’s road transport sector can play a vital role in the country’s clean energy transition, especially since has a huge share in CO2 emissions and air pollution. Road transport contributes 12 percent of India’s energy-related CO2 emissions and is the main reason for urban air pollution.

The growing population, increasing energy use, and CO2 emissions from road transport could worsen the situation in the coming years. Therefore, major conglomerates like Essar Group are implementing ambitious policies and sustainable measures that align with the country’s goal of reaching net zero carbon emissions by 2070.

One significant step by Essar towards a cleaner, greener future is its partnership with significant brands like Nestle, Dalmia Cement, JSW, Sterlite Copper, etc to advance the deployment of its liquefied natural gas (LNG) powered vehicles for their logistics requirements. Want to know more about it? Read this blog.

Growing Need for Green Mobility 

By 2030, the Indian logistics market is expected to touch the USD 563 billion mark, showcasing a growth rate CAGR of 9.4% during 2022-2030- report by Statista. In 2022, the Indian logistics market was almost USD 274 billion. The massive expansion in the logistics sector signifies the importance of deploying sustainable practices for managing the sector’s environmental impact effectively. With the country aiming to increase its logistics market size, it faces the dual challenge of coping with the growing market demand and adhering to stringent environmental standards.

The global commitment to combat climate change and reduce carbon emissions aligns with the country’s vision towards green mobility. The transportation sector, witnessing a steep increase in emissions, can play a crucial role in realising these goals.

The shift towards green mobility can be accomplished by adopting alternative fuels and technologies with lower environmental impact. In this regard, liquefied natural gas is the best alternative for the immediate future, offering cleaner combustion than traditional fossil fuels.

Thus, Essar Group and Essar Group promotors are keen to invest in eco-friendly technologies and adopt best practices in sustainability in road logistics. The growth potential, coupled with a commitment to green logistics, positions India to lead  global sustainable logistics practices.

GreenLine Collaborations to Enhance Sustainable Logistics

GreenLine Mobility Solutions Ltd., a key player in Essar’s Green Mobility initiative, has entered into a partnership with key brands like Nestle, JSW, Dalmia Cements, Sterlite Copper, etcto advance the deployment of its liquefied natural gas (LNG) powered vehicles along with decarbonising the transportation operations of these companies.

These LNG vehicles will transport finished goods of these companies. GreenLine’s LNG trucks can carry a 40-tonne payload and travel up to 1,200 kilometres on a single tank. The trucks will improve logistics efficiency while significantly reducing carbon emissions.

GreenLine’s LNG-powered trucks reduce CO2 emissions by up to 30 percent and significantly reduce other emissions compared to traditional diesel trucks. So far, the company’s fleet has travelled over 22 million kilometres, reducing 6,000 tonnes of emissions.

GreenLine serves diversified industries, including Steel, metals & mining, cement, FMCG, oil & gas, consumer goods, and many others.

Purpose of Collaborations

Drive Innovation: This partnership highlights GreenLine’s dedication to decarbonising the country’s transportation and logistics sector to drive innovation and sustainability across its operations. These collaborations signifies Essar’s commitment to decarbonise the country’s transportation and logistics sector, paving the way for innovation and sustainability.

Reduce CO2 Emissions: GreenLine’s LNG-powered trucks can reduce CO2 emissions by up to 30% and significantly lower other emissions compared to traditional diesel trucks. The company’s fleet has traveled over 22 million kilometers, resulting in approx. 6,000 tonnes of emissions reduction. Trucks powered by LNG emit up to 28 percent less carbon dioxide, 70 percent less carbon monoxide, and 60 percent less nitrogen oxide than their diesel counterparts.

Set the Benchmark: The collaborations are an essential in the company’s commitment to sustainable logistics. By deploying LNG technology into the fundamental operations, the company improves its service offerings and sets a standard for decarbonisation in the transportation sector.  This partnerships demonstrate GreenLine’s dedication to decarbonising India’s transport and logistics sector using innovative and sustainable practices.

Corporate Responsibility and Reputation: Through these collaborations, Essar can enhance its reputation as a responsible corporate citizen. Organisations are increasingly worried about keeping the environment safe, and Essar Group promotors and investors, by embracing green logistics, can attract global brands to adopt LNG as a solution for their logistics requirements. Demonstrating a commitment to sustainability improves the Brands’ corporate image and aligns with the values of stakeholders and customers.

Operational Efficiency and Cost Savings: GreenLine’s LNG-powered trucks reduce CO2 emitting practices and lead to more efficient logistics processes, and less energy consumption with minimized costs. Leveraging green logistics solutions aligns with ethical responsibilities and long-term profitability for all the clients.

Impact of Essar’s Green Mobility Ecosystem

Essar’s Green Mobility Ecosystem is a well-planned strategy to address the environmental challenges linked with India’s road transportation sector. The company can increase the adoption of green alternatives by harmonising LNG-powered truck manufacturing, LNG refuelling infrastructure, and green fleet operation. The company also leverages advanced technology; a centralised control and command centre collaborates with logistics solutions to track drivers’ movement and safety. This technology also showcases environmental impacts in terms of reduced emissions and saved trees.

Essar’s green mobility initiative has already reduced 3,070 tonnes of carbon emissions and helped save over 1,20,000 trees!

Read Also: Growing Rural Communities Through Essar Foundation

Essar’s Paradigm Shift Towards a More Sustainable Nation

Essar’s Green Mobility Ecosystem represents a paradigm shift in India’s road logistics, creating a sustainable and environment-friendly nation. By carefully addressing the key challenges in LNG adoption within the logistics industry, the company contributes to India’s ambitious climate goals and sets a benchmark for others.

Today, when the world is adopting more sustainable solutions, Essar’s commitment is a testament to guiding the nation and inspiring key stakeholders to embrace cleaner, greener transportation solutions.