Environment Global Presentation 2012 Environment A Transport - PowerPoint PPT Presentation

Environment Global Presentation 2012

Environment – A Transport Challenge Economic growth and transport are closely related. Globalisation has been driven forward by increased trade, and business competitiveness highly depends on reliable and efficient transport. Transport is therefore necessary for the industrialised society and today's living standards. However, the increase in transport affects the environment and represents an important challenge to the transport industry. As one of the largest suppliers of transport and logistics services, DSV feels obliged to take on its part of the responsibility to reduce the environmental impact of the transport industry. 2 | Environment, 07.03.2012

DSV's Environmental Work  DSV ensures a minimum environmental impact measured per unit carried  DSV has worked with environmental management for several years  DSV has an environmental policy  DSV has calculated a carbon footprint for all transport activities  DSV can provide specified environmental reports and data  A number of DSV subsidiaries are certified according to the environmental management standard ISO 14001  DSV has developed various flexible trailer types to reduce empty running and the environmental impact 3 | Environment, 07.03.2012

Objectives for DSV’s environmental work The Supervisory Board of DSV have approved a total of 12 objectives for the Groups CSR work and a series of activities to ensure that we work towards a fulfilment of these. Following objectives for the area of environment is adopted:  DSV have set requirements for subcontractors to reduce their emission of CO 2 . This is so that DSV can improve its energy efficiency per transport activity by 15% before 2015 compared to 2010 Group figures.  Road Division’s use of vehicles (own and subcontractors) with Euro 5 engine or better must include at least 50% in 2012.  75% of DSV's buildings shall have automatic energy control systems or be screened for potential energy savings in 2015.  75% of all DSV locations must recycle paper in offices and paper, plastic and cardboard in terminals and warehouses by the end of 2012. 4 | Environment, 07.03.2012

Activities for DSV’s environmental work For every objective there is also an activity that have been initiated by all DSV companies in order to begin the process of reaching the various objectives for DSV’s CSR work. Following activities must be implemented to meet the earlier mentioned objectives:  Introduce environmental demands to subcontractors via DSV’s Supplier Code of Conduct.  All companies in Road division and companies in other divisions that operates own vehicles or hire subcontractors for road transports, must work on achieving the objective that at least 50% of subcontractors and/or own vehicles must meet the engine standard of Euro norm 5 by the end of 2012.  Companies that have not yet started up projects on collecting paper, plastic and/or cardboard in offices, terminals and warehouses for recycling will begin this during 2012. 5 | Environment, 07.03.2012

Carbon Footprint DSV has analysed all transport activities since 2008 to determine the carbon footprint from the transport and other energy consuming activities of the Group. The total environmental impact of DSV's activities in 2011 is estimated at 3.34 million tonnes of CO 2 . Total emission of CO 2 - per activity The total transport performance of DSV 1.800 increased more than 50% in 2011 1.600 compared with 2008 due to acquisitions 1.400 and increased activities. But the total environmental impact only 1.200 Tonne (1.000) grew by approx. 33% due to an increasing 1.000 proportion of transport services being 800 performed by container ships, which are less polluting compared with other 600 transport modes. The improved fuel 400 consumption of the Road Division and 200 subcontractor vehicles is also a 0 contributing factor. Road transport Sea transport Air transport Buildings 2008 2009 2010 2011 6 | Environment, 07.03.2012

Energy Efficiency Energy efficiency varies considerably among the different means of transport used by DSV's subcontractors for transporting customers' goods. As illustrated, a container ship is one of the most energy-efficient means of cargo transport. From 2008 to 2011, the energy efficiency of DSV improved by nearly 13%, mainly due to the increasing proportion of all transport services being performed by container ships and the improved fuel consumption of the Road division's own and subcontractors' vehicles, as previously mentioned. Energy efficiency - per transport activity 1000 762,3 775,4 745,0 762,0 100 CO 2 (g/tonne-km) 74,1 67,9 82,2 65,2 10 9,0 9,0 8,4 9,2 1 Road transport Sea transport Air transport 2008 2009 2010 2011 7 | Environment, 07.03.2012

Euro Norm Regulations Emissions from heavy-duty diesel engines have been subject to EU regulation since the beginning of the 1990s. The EU regulations on emission standards for trucks, the Euro norms, will gradually become stricter. As an example, all new trucks sold in the EU after October 2009 must meet the emission standards defined in the Euro V norm. A Euro VI norm is expected to become effective by the end of 2012. 8 | Environment, 07.03.2012

Overview – European Emission Standards for Trucks Type of Euro norm NO x HC CO Particles - Registration year determines the Euro norm (g/KWh) (g/KWh) (g/KWh) (g/KWh) Euro 0 - Type app. 1/7 1988, new vehicles 1/10 1990 14.40 2.40 11.20 N/A Euro I - Type app. 1/7 1992, new vehicles 1/10 1993 8.00 1.10 4.50 0.36 Euro II - Type app. 1/10 1995, new vehicles 1/10 1996 7.00 1.10 4.00 0.15 Euro III - Type app. 1/10 2000, new vehicles 1/10 2001 5.00 0.66 2.10 0.10 Euro IV - Type app. 1/10 2005, new vehicles 1/10 2006 3.50 0.46 1.50 0.02 Euro V - Type app. 1/10 2008, new vehicles 1/10 2009 2.00 0.46 1.50 0.02 Euro VI - Type app. 31/12 2012, new vehicles 31/12 2013 0.40 0.13 1.50 0.01 NO x – Nitrogen oxide HC – Hydrocarbon CO – Carbon monoxide 9 | Environment, 07.03.2012

DSV Observance of Euro Norms The chart shows the proportion of DSV’s own vehicles and subcontractor vehicles that comply with the different Euro norm standards. As illustrated, the proportion of vehicles that comply with the latest and most restrictive Euro norms has increased year by year. In 2010, an accumulated ratio of more than 60% of the vehicles complied with the Euro IV norm or Euro V norm. Engine type by Euro Standard - Own and subcontractors vehicles 100% 80% 60% Euro VI Euro V Euro IV 40% Euro III Euro II or older 20% 0% 2009 2010 2011 10 | Environment, 07.03.2012

DSV Fuel Consumption CO 2 emissions from vehicles are directly related to fuel consumption; equivalent to approx. 2.65 kilograms of CO 2 per litre of diesel fuel. Average fuel consumption – own and subcontractors' Factors influencing fuel consumption  Engine technology vehicles  Drivers driving technique  Traffic congestion  Terrain 0,34  Weather Litres/km 0,32 0,30 0,28 2007 2008 2009 2010 2011 11 | Environment, 07.03.2012

DSV Reduces CO 2 Emissions As a result of our ongoing efforts to reduce our environmental footprint, we have succeeded in reducing our CO 2 emissions from road transports by more than 8% measured in g/km since 2007. Development in CO 2 emissions 880 g/km 830 780 2007 2008 2009 2010 2011 12 | Environment, 07.03.2012

DSV Reduces NO x Emissions NO x is a toxic gas that may cause bronchial irritations and asthmatic reactions in humans in addition to other harmful effects. As a result of the renewal of our own and our subcontractors' fleets of vehicles, we have succeeded in reducing our emissions of NO x from road transports by nearly 33% measured in g/km since 2007. Development in NOx emissions 8 7,52 7 6,69 6,03 g/km 6 5,37 5,05 5 4 2007 2008 2009 2010 2011 13 | Environment, 07.03.2012

www.dsv.com For further information, please contact Group CSR Manager Name: Thomas Susé E-mail: thsu@dsv.com Direct tel.: +45 43 20 33 74