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Due to the increased demand for essential deliveries, e-commerce, and other global shipments in emissions increased 12% compared to our 2020 performance. |
with shipping volumes and other customer needs without losing sight of our long-term environmental objectives. |
FedEx Fuel Sense To help reach our goal of carbon neutral operations by success of FedEx Fuel Sense. |
Despite the significant increase in shipping volume and flight activity due to the COVID-members remained committed to improving our fuel efficiency and reducing our environmental impact, which led to 65 million gallons of jet fuel savings from our FedEx Fuel Sense program in FY21. |
Since the program’s founding in have implemented 70 fuel-saving initiatives, saving 948 million gallons of jet fuel and avoiding 9.3 million metric tons of CO2e. |
We are committed to modernizing our aircraft fleet to reduce costs, enhance reliability and operational adaptability, improve fuel efficiency, and reduce emissions. |
We will also introduce cargo aircraft, the first of which we anticipate to be delivered in spring 2022, to help reduce the number of planes needed per feeder route and further improve our fuel efficiency. |
PLEFacilities We strive to sustainably operate our more than service centers, and retail locations through continued investments in efficiency, renewable energy, and other energy management programs. |
Our facility energy management strategy is more important than ever as our energy demand increases to support electric vehicle deployment. |
In alignment with our goal of attaining carbon neutral operations by outline an approach to reduce our Scope 2 emissions despite the increased electricity demand from vehicle charging. |
We are looking across our operating companies to forecast energy needs and develop a renewable energy procurement strategy using power purchase agreements, virtual power purchase agreements, and other clean energy instruments. |
We increase the efficiency of our facilities through energy management systems that monitor, control, and optimize our lighting, heating, ventilation, and air-conditioning equipment. |
FedEx Office utilizes energy management systems at over we have reduced energy usage through lighting retrofits at FedEx Office, FedEx Freight, FedEx Express, and FedEx Ground. |
Overall, our energy management systems and lighting retrofits saved approximately kilowatt hours of electricity in FY21. |
We are increasing both on-site renewable energy generation and our procurement of renewable energy to further reduce carbon emissions. |
and off-site solar energy at a total of locations across our operating companies. |
FedEx Ground has installations and energized its first community solar project in November 2021. |
At the FedEx Ground headquarters, we installed an almost four-megawatt solar carport system that will produce about Pittsburgh campus. |
FedEx Ground has three facilities and FedEx Express has one facility using fuel cell technologies alongside on-site solar or battery storage that provide the foundation for microgrids and support resiliency and emergency preparedness. |
FedEx Express is also exploring similar microgrid technologies to replace traditional diesel backup energy generators. |
Additionally, FedEx Ground installed a solar thermal air conditioning system to maintain cooler temperatures at a sorting facility in Florida. |
Where appropriate, we adopt the Leadership in Energy and Environmental Design (LEED) standard in the U.S. and the Building Research Establishment Environmental Assessment Method (BREEAM) in Europe to guide efficient facility design. |
In addition, we aim to minimize our operational waste footprint. |
Each operating company has robust programs and policies in place to help mitigate adverse impacts on the local environment from facility operations and ensure compliance with applicable laws and regulations. |
To further drive our environmental sustainability progress, our CSO manages our enterprise-wide Environmental Management System and reviews performance on an annual basis. |
We strive to enhance our environmental performance and FedEx Express facilities in 14001 environmental management system standard as of FY21. |
In team began implementing a new enterprise-wide waste and recycling managed-service strategy for our U.S. operations to standardize our processes and reduce the amount of waste we send to landfills. |
Seven Impact Teams—Sustainable Fleet Solutions, Zero Emissions City Deliveries, Green Facilities & Certifications, Subcontractor Collaboration Programs, Circular Solutions & Waste Management, Customer Solutions, and Multimodal Transportation—are responsible for implementing sustainability projects across the network an... |
A central sustainability team supports, coordinates, and facilitates these environmental initiatives. |
In FYsustainability concept that aims to reduce carbon emissions and accelerate progress towards our goal of carbon neutral operations by combining multiple sustainability initiatives. |
The idea for GreenLab Copenhagen originated from our inaugural Sustainability Challenge, which invited team members in Nordic countries to share their ideas to help us reduce the environmental impact of our business activities. |
We assist customers in optimizing package size and weight to minimize waste, increase shipping efficiency, and reduce emissions, as applicable. |
The FedEx Sourcing team evaluates each critical packaging supplier annually on environmental management practices and sustainability program improvement. |
Furthermore, FedEx Office sources paper responsibly for commercial copy and print services by adhering to their forest-based paper product procurement policy. |
In FYpurchased by FedEx Office was from vendors with responsible forest-management practices. |
IX FedEx Express maintains a Global DEI Governing Board to provide oversight on DEI efforts and support our U.S. and international regional diversity councils. |
FedEx Logistics leveraged text-based recruiting to promote job opportunities to targeted groups of potential candidates and expanded virtual interviews and hiring to increase pool diversity. |
We conduct annual surveys to measure employee perspectives on culture, engagement, and diversity. |
Through education, training, regular communications, and resources our team members are encouraged to maintain open dialogues that lead to an inclusive environment. |
Across our operating companies, our team members participate in employee-led business resource teams, employee networks, and affinity groups that help recruit, develop, and retain talent, create connections, and build community. |
This year, FedEx Services included five DEI questions in its engagement survey to capture team member perspectives on inclusion in the workplace. |
FedEx Express launched the Convene program, where a rotating group of four vice presidentlevel diversity sponsors mentor other team members through a virtual mentoring program. |
We formed our Supplier Diversity program in commitment to a supply chain that intentionally develops small and minority-owned businesses. |
To learn more about our Supplier Diversity program, please see the Our supply chain section of this report. |
OSS team members create customized safety strategies within their local operating environment and are trained to identify and mitigate workplace safety hazards. |
fueling facilities or purchased by independent linehaul contractors through retail outlets using fleet fuel cards, (2) fuel used by FedEx Freight contractors in Canada, (3) allocated portion of fuel used by commercial interline aircraft carriers in support of FedEx Express international shipping, and (4) fuel used by F... |
(at FedEx Freight and FedEx Ground is not included, as our intermodal rail supplier provides estimates of GHG emissions, but not fuel consumed, from transporting our freight. |
(metric tons CO 19,501,454 19,414,171 21,448,385 1 Includes a small amount of fuel used for emergency generators at some facilities. |
Particulate matter (PM 1 FY21 Fuel Sense savings were impacted by the significant increase in shipping volume and flight activity due to the COVID-19 pandemic. |
2 FY21 savings includes fuel and emission savings from intermodal rail usage at FedEx Freight and FedEx Ground. |
Prior fiscal year data only includes usage for FedEx Freight as data was not available for FedEx Ground prior to FY3 Facility energy efficiency initiatives include building lighting retrofits and energy management systems. 4 CO2e calculated using the U.S. Environmental Protection Agency (EPA) GHG Calculator. |
5 FY19 data includes only solar electricity generated on-site at FedEx facilities. |
FY both on-site and at one off-site solar energy facility. |
items, including batteries and mercury-containing lamp bulbs, as defined by U.S. EPA regulations), and electronic waste categories that were reported separately in previous reports. |
Potential risks and uncertainties include, but are not limited to, our ability to successfully implement our business strategy, effectively respond to changes in market dynamics and achieve the anticipated benefits and associated cost savings of such strategies and actions; our ability to meet certain goals relating to... |
approved gross ton miles reduction target of our Scope 1 and 2 carbon emissions by 2034, from a 2019 base year. |
In addition to establishing a transnational rail network, the CP-KCS merger will generate environmental benefits. |
It will allow for expanded reach, premier port access, and promote a shift from truck to rail – drastically reducing the environmental impacts for long-haul shipments. |
Over the next two decades, we expect to divert shipments to rail annually with new intermodal services, eliminating another 1.3 million tons of GHG emissions. |
Through the work of our great employees, investments to strengthen transportation competition, and steps to protect our environment, I am confident that we will continue to deliver for the long haul. |
Since KCS is not a subsidiary of CP and CP does not have the power to direct KCS’s activities during the trust period, this report includes information solely related to KCS. assurance Our KCSR and KCSM carbon data was assured by an independent third party, Ruby Canyon Environmental, in accordance with ISO 14064-3:2006... |
Verification Scope: Ruby Canyon Environmental, Inc (RCE) was contracted by The Kansas City Southern Railway Company (KCS) to perform the third-party greenhouse gas (GHG) emissions inventory verification for KCS’s facilities reporting under operational control to the requirements of the GHG Protocol. |
RCE verified emissions for calendar year (CY) 2021. |
The inventory included emissions of COsources (stationary and mobile fuel combustion); fugitive, Scope 1 sources (refrigerants); indirect, Scope 2 sources (purchased electricity) using the location-based calculation methodologies; and Scope 3 emissions from business travel (airline, personal, rental, taxi, commute), up... |
KCS was assessed against the requirements of The Greenhouse Gas Protocol (GHG Protocol): Corporate Accounting and Reporting Standard, World Resources Institute and World Business Council for Sustainable Development, dated March 2004. |
All requirements of the GHG Protocol including greenhouse gas reporting, management systems, quantification techniques, and emission factors were reviewed during the verification. |
Greenhouse Gas Verification Criteria: Verification activities were performed in accordance with ISO Specification with guidance for the validation and verification of greenhouse gas assertions. |
Final — July KCS consolidated the emissions reported in the GHG Inventory according to the operational control approach. |
RCE conducted a risk‐based analysis of the KCS GHG emissions inventory and a strategic review of the inventory data and calculations in conformance with the GHG Protocol. |
average truck efficiency of 6.5 mpg, and using the EPA diesel emission factor. |
Million Megajoules 16KCS added additional sources in 2019 for Scope 1. |
17Past years data was mistakenly labeled as CO2 - updated to reporting CO emissions; 2020 and 2019 includes all Scope 1 sources. |
20KCS waste management data reported may include operational, office, incidents, construction, and other factors. |
KCS is always striving to improve our data completeness and in 2019 began introducing KCSM waste data (used oil and batteries). |
In this way, KCS has also included additional waste data sources and further separated out components where it is possible. |
Effluents and Waste and 2020 GRI 306 Waste. |
Adoption of the principle would apply primarily to potential harm related to use of fossil fuels, and emission of greenhouse gases. |
Highest governance body's role in sustainability reporting GRI and expectations through their assessment of the impacts of our operations. |
Nature and total number of critical concerns GRI management develops action plans to mitigate the risks to an acceptable level. |
SASB index 1 Total fuel consumed includes diesel, gasoline, and propane. |
Value will be expanded to include natural gas in future years when more accurate information is available. |
See the Fuel Efficiency section of our and our 2022 CDP Response (questions C4.1, C4.1b, and C9.1). |
See the Fuel Efficiency section of our and our 2022 CDP Response (questions C6.1, C6.3, and C6.5). |
See the Fuel Efficiency section of our and our 2022 CDP Response (questions C4.1, C4.1a, and C4.1b). |
, we play an important role in bringing about positive environmental and social change – both nationally and in the communities we serve. |
This includes determining sustainable solutions to material environmental, social and governance (ESG) risks and opportunities, establishing measurable targets, and ensuring transparent disclosure, proactive stakeholder engagement and robust governance practices. |
In landfill, we helped create global packaging rules to tackle the plastic waste challenge alongside the world’s biggest brands, and we made meaningful progress toward a new and more ambitious objective: to achieve net-zero emissions for our enterprise footprint by 2040. |
Achieve net-zero by emissions, and Scope 3 by 2050. |
• Send zero food to landfill by achieve measurable food waste reductions in every one of our stores. |
- New Achieve net-zero emissions for Scope 1 & Scope 2 by 2040. |
- - New Achieve net-zero emissions for Scope 3 by 2050. |
Reduce food waste in every one of our stores – corporate and franchise – over the next 24 months. |
More information in Food Waste section Ensure all PC® plastic packaging is either reusable or recyclable by 2025. |
More information in the Diversity, Equity and Inclusion section. |
This Report Environment Social Governance Appendix Climate Action Climate change is one of the greatest challenges of our time. |
Through our operations and supply chain, we have a significant impact on the environment. |
Reducing emissions within our business is a longstanding priority. |
In 2011 we began to track the carbon footprint of our corporate stores and operations. |
Through advancements in energy management, equipment conversions and reducing refrigerant leaks, we met our ten years early. |
In our full enterprise – including corporate and franchised stores – and aligned with the Science Based Target Initiative (SBTi) and the Paris Agreement, limiting global temperature rise to 1.5 degrees Celsius. |
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