In today’s fast-paced world, customers expect speedy and accurate deliveries. Efficient warehousing and distribution practices are essential to moving products from manufacturers to consumers and meeting customer expectations. These two logistics functions are the backbone of the modern supply chain, but by their very nature they have a high environmental impact and bring concrete challenges and ESG risks for companies.
This sector is filled with large, energy-intensive facilities that gobble power through lighting, heating and cooling, heavy machinery, and a number of other essential operations. In fact, lighting alone accounts for approximately 60% of a warehouse’s total energy use. For warehouses relying on fossil fuels for operations, round-the-clock activity means a large carbon footprint and high greenhouse gas emissions – realities that are problematic in the face of rising energy costs and more scrutinous environmental demands from regulators, investors, and consumers alike.
Warehouses generate a lot of waste including packaging – cardboard boxes, plastic fillers, and bubble wrap – and other complex waste streams like e-waste, hazardous materials, and general waste, each requiring specific handling and disposal methods. According to the EPA, the U.S. generated 82.2 million tons of packaging and container waste in 2018, representing over 28% of municipal solid waste.
Suboptimal movement within the warehouse itself can lead to wasted fuel, time, and resources, as can inefficient routing on the road or rail. By its very nature, transportation has a large fossil fuel footprint and generates high emissions given its reliance on gasoline and diesel fuels. For example, just freight movement contributes about 27–29% of GHG emissions within the U.S. transportation sector.
There is heavy pressure within warehouse operations to adopt green, eco-friendly practices and technologies to minimize environmental impact. The solutions begin with sustainable building practices, green building materials, energy-efficient design and water conservation. They also include improving facility energy efficiency – driven by LED lighting, smart HVAC systems, and motions sensors. Automation within these sites can reduce operating costs by up to 40% while improving throughput and accuracy above 99%. But the inputs and outputs of those operations are equally as important. Significant positive effects are also derived from a greater use of renewable energy and increased recycling.
Most companies in the warehousing industry also strive to generate less waste and recycle more. They’re successfully reducing waste output by optimizing their package size, switching to reusable containers, reducing overpacking and adopting paperless operations. With careful planning, they can recycle much of their packaging materials and other waste streams. And they’re keen to tap post-recycling solutions too.
Technologies like alternative engineered fuel creation and waste-to-energy processing transform materials that are too complex or contaminated to recycle (think thin packaging film or waxy cardboard) into low-carbon fuel or steam and electricity, respectively. These methods divert waste from landfills, reduce carbon footprints, repurpose existing materials into new resources, and drive circular business models.
Distribution companies are improving their environmental performance by leveling up their transportation logistics. They’re transitioning to electric vehicles on shorter routes, exploring alternative fuels, and tapping technology for advanced route planning and optimized load distribution to improve operational efficiency and reduce waste and emissions.
Our technologies, industry expertise and vast partner networks enable us to work collaboratively with our customers to solve their unique waste challenges. Our secure, comprehensive solutions help our customers meet sustainability goals and keep their businesses running smoothly. Some of our key capabilities include:
Industry-Leading Expertise: We can efficiently handle complex and diverse waste streams, regardless of the waste’s form, categorization, the container it needs to ride in and the vehicle or fleet it needs to be transported by. We manage all permits, tracking and reporting.
End-to-End Logistics and Hauling: Through ReMove, our end-to-end waste logistics solution, we ensure your waste materials are properly documented and transported to their end destination safely and in compliance. Our solutions team handles all aspects of the removal, shipping and disposal. Our dedicated fleet, network of facilities and smart route software allow waste to make the shortest trip possible. We minimize your risk and reduce the administrative burden.
Total Commodity and Product Recycling: Reworld™ provides end-to-end recycling solutions tailored for warehousing and distribution operations, helping businesses manage unsellable or obsolete inventory in a more sustainable and cost-effective way. Using advanced de-packaging technology, we separate products from their packaging to recover valuable materials and commodities. Our expert solutions team then identifies opportunities to repurpose these materials—whether reintegrating them into your supply chain, using components as inputs for other systems, or extracting resources for resale, with shared value returned to your business. This not only minimizes waste but also turns logistical challenges into revenue-generating opportunities.
Alternative Engineered Fuel (AEF): Through ReKiln™, our AEF solution, we transform a wide variety of non-recyclable waste materials into alternative engineered fuel. We reimagine these “unsalvageable” materials into fully customized, low-carbon fuels that are ideal for cement and lime kilns, powerplants, paper mills and more. Some of the most common streams of post-recycled waste include:
Renewable Energy and Credit Generation: Warehousing and distribution can generate a lot of greenhouse gasses both directly and indirectly. Like ReKiln, our energy recovery solutions – which are made possible through the waste-to-energy technology at our thermomechanical treatment facilities (TTFs) – solve for materials that cannot be recycled. In this case, however, these materials are transformed into renewable steam and electricity that can be used to power other operations or can be returned to the grid to power local homes and businesses.
What’s more, is this technology generates renewable energy credits (RECs), which can be purchased through our ReCredit solution. These credits directly benefit businesses’ Scope 2 emissions and support operations that help reduce Scope 3 emissions as well. In fact, when avoided methane (waste-related greenhouse gas that has been diverted due to waste-to-energy processing) is taken into consideration, these RECs are 10x more environmentally beneficial than those derived from wind or solar sources.
For warehousing and distribution leaders facing rising sustainability pressures, choosing the right waste solutions partner is more than an operational decision—it’s a strategic one. Reworld™ delivers circular, end-to-end waste strategies that cut emissions, recover resources, and improve efficiency across your supply chain. From reducing waste sent to landfills to generating renewable energy from materials that can’t be recycled, we help your business turn environmental responsibility into competitive advantage. Learn how Reworld™ can help your operations waste better and reach your sustainability goals faster.
To learn more about how we support the warehousing and distribution industry, talk to one of our experts.