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We continually upgrade our fleet so that our vehicles are safer, more efficient and produce fewer emissions. Several SYSCO locations have converted vehicles to duel-fuel units, which can reduce engine emissions. This program is not in widespread use due to its significant cost and the fact that newer diesel engines produce fewer emissions than their older counterparts.
Also, we are reducing engine idle time and the number of miles traveled by routing delivery vehicles more efficiently. One fiscal 2007 goal is to reduce our diesel gallon usage by five percent and a portion of operating company executive bonuses are directly related to achieving this goal.
We are committed to minimizing our effect upon the environment through energy-efficient, environmentally-friendly warehouse and vehicle refrigeration, fuel and fuel storage systems and warehouse equipment. The first phase of our new "green" corporate office complex, a 12-story building, was completed in September 2006. Some of the environmentally-friendly factors incorporated in the design include:
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Optimizing energy performance by using high efficiency equipment, capturing return air to heat the buildings in lieu of additional electrical or gas elements
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Use of sensors to monitor natural lighting levels and turn lighting on and off only when needed to reduce light pollution
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Landscape and exterior design used to reduce temperature differences between developed and undeveloped areas
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Minimizing building footprints to maintain more than 50% of the building site open and undisturbed
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Use of building materials manufactured within a 500-mile radius to reduce energy used in transportation
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Managed control of storm-water run-off to be less than previously
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Water conservation through efficient irrigation and high efficiency water fixtures
In the transportation area, one of our projects involves the use of alternative fuels. Currently, we have 88 delivery vehicles in Houston, Los Angeles and Dallas that have been converted to use Liquid natural Gas (LNG) in conjunction with diesel fuel to burn cleaner and we are scheduled to implement programs in Phoenix, Atlanta and Denver. This program:
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Provides cleaner air for the cities we service and reduces noise levels
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Will allow SYSCO to become less dependent on diesel for fuel in the future.
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Enables SYSCO to be a leader in environmentally friendly partnerships.
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Results in fewer contaminants to the internal parts of the engine, which means less maintenance and longer-lasting engines, which drives down our costs.
States and local governments are encouraging companies with large fleets to explore ways to reduce emissions. However, some of the challenges involved are the approximately $30,000 cost per vehicle for the LNG converter and the necessity to find sources for fueling, which are limited at this point.
We have formed alliances with various local governmental agencies and the United States Department of Energy (DOE) and they have been most generous in making some funds available to assist us with this project.
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