Walmart to offer carbon-neutral last-mile delivery

Walmart Canada will offer carbon-neutral last mile delivery for e-commerce purchases sold and shipped by Walmart, including online grocery.

The program will offset an estimated 25,000 tonnes of carbon dioxide, the equivalent of taking over 5,000 cars off the road, in its first year by funding carbon offsets for last-mile delivery of e-commerce purchases.

Carbon offsets allow companies and consumers to fund projects that reduce the effects of climate change, compensating for the emissions created from actions like transportation. Walmart has engaged EcoCart, a sustainability technology company, to calculate and validate the emissions created from online orders and to purchase carbon offset credits from high-quality projects in the exact dollar amount required to reduce or avoid those emissions.

Along with calculating and validating Walmart’s last-mile emissions and sourcing and vetting high-quality carbon offset projects, EcoCart will also be providing quarterly impact and emissions reporting. This reporting will allow Walmart to track estimated emissions and establish benchmarks for its third-party carrier partners.

“Funding carbon offsets for last-mile delivery in our e-commerce operations is an opportunity for Walmart to make an impact today as we work towards becoming a regenerative company and eliminating emissions across our business,” said Laurent Duray, SVP, e-commerce, Walmart Canada.

“Minimizing the environmental impact of the last mile has been top of mind as customer behaviour has shifted towards increased reliance on our fast, easy and convenient delivery options for grocery and online orders.”

Walmart’s offsets will support a portfolio of Canadian-based initiatives that work to either actively remove carbon from the atmosphere or prevent future carbon from being emitted.These include initiatives that protect forests, enable composting and waste diversion, aid with refrigerant management, and turn biomass into fuel.

“EcoCart is proud to collaborate with Walmart Canada as they become the first major retailer in Canada to offer a carbon-neutral last-mile delivery,” said Peter Twomey, COO, EcoCart.

“It’s so exciting to see industry leaders like Walmart work toward a more sustainable future that benefits everyone. By funding offsets on behalf of their customers for last-mile delivery, Walmart is making a positive impact on our collective efforts to regenerate the environment.”

Walmart has set a target of zero emissions by 2040, without the use of offsets, for scope 1 and 2 emissions. Project Gigaton, a global Walmart effort introduced in 2019, invites suppliers to reduce emissions from global supply chain. So far, 590 of Walmart Canada’s suppliers have made Project Gigaton commitments across six pillars: energy, waste, packaging, transportation, nature, and product use and design.

By 2028 all of Walmart Canada’s fleet will be alternatively powered. Walmart has ordered 130 Tesla Semi trucks, one of the country’s largest reservations.