DP World Advances Sustainable Sourcing Towards 2050 Net Zero

DP World has placed supplier engagement and procurement governance at the centre of its sustainability strategy as the company works towards net zero emissions by 2050.

According to DP World's Sustainability Report 2025, the company screened 500 suppliers in 2025, representing approximately 18% of global spend. The company uses 2022 as its baseline year and has achieved a 14% reduction in combined Scope 1 and 2 emissions compared to that baseline.

The report identifies supplier engagement, responsible sourcing and supply chain governance as major sustainability priorities. These areas were selected through a Double Materiality Assessment because disruptions, carbon taxes and environmental compliance costs could affect operations.

Yuvraj Narayan, Group Chief Executive Officer at DP World, says in the report: "A sustainable future requires ambition, collaboration and perseverance. With the support of our employees, customers, partners and stakeholders, I am confident that we will continue to shape a more resilient, more inclusive and more sustainable future for global trade."

Procurement standards and ESG requirements

DP World works with suppliers, contractors and business partners through due diligence processes, vendor codes of conduct and ESG requirements to improve ethical and environmental standards across the value chain.

The company is strengthening procurement integration to improve Scope 3 emissions reporting and customer-facing decarbonisation solutions. According to the report, this approach aims to reduce environmental impact while maintaining operational resilience.

Procurement teams are embedding sustainability criteria into vendor selection and ongoing supplier management processes. This work aims to ensure that third-party operations align with DP World's climate targets and ethical standards.

The company's approach to sustainable procurement extends beyond compliance to include collaborative engagement with suppliers on emissions reduction and responsible sourcing practices.

Scope 3 emissions and supply chain decarbonisation

DP World's total Scope 3 emissions reached 3,259,433 tonnes CO₂e in 2025. According to the report, major contributions came from upstream and downstream transport, fuel and energy-related activities, capital goods and purchased goods and services.

The company is working to improve Scope 3 emissions reporting as procurement teams engage suppliers on carbon measurement and reduction initiatives. This work could help identify emissions hotspots across the supply chain.

In 2025, DP World sourced 67.6% of its electricity from renewable sources. The company has set targets of 70% renewable electricity by 2030 and 100% by 2040.

Rashid Abdulla, CEO and MD for Europe at DP World, says on LinkedIn: "Across Europe, the conversation on decarbonisation is shifting. What was once defined by pilot projects is now being measured by execution. The moment of transition is no longer in the future, it is now."

Renewable energy procurement and infrastructure investment

Climate change is identified in the report as one of the most material issues affecting DP World because of operational and financial risks linked to extreme weather, rising energy costs and regulatory changes.

To address these challenges, the company has committed to achieving net zero across all scopes by 2050 and sourcing 100% renewable electricity by 2040. Procurement teams are managing renewable power purchase agreements across several regions.

DP World is expanding renewable energy projects across its global operations. These include rooftop solar installations in Türkiye and South Africa, renewable power purchase agreements and renewable electricity programmes in Australia.

According to the report, the company consumed a total of 49,310,616,630 MJ of energy globally in 2025. Of this total, 5,382,966,789 MJ came from renewable sources, including solar, wind and green electricity procurement.

Supplier engagement and low-carbon transport

DP World collaborates with customers and industry partners to create lower-emission logistics corridors and resilient trade networks that support sustainable global supply chains.

A key example includes the UK modal shift initiative, which moved 100,000 containers from road to rail. According to the report, this initiative avoided more than 25,000 tonnes of CO₂e emissions.

The company is investing in EVs and low-carbon technologies across ports, terminals and logistics operations. In 2025, DP World expanded electric truck operations in Germany, introduced electric internal transfer vehicles at terminals in the Philippines, Thailand and Australia and deployed electric forklifts in Chile.

Rashid says on LinkedIn: "Today, with the rising price of fossil fuels, the total cost of ownership of heavy road transport now favours electric solutions, meaning the energy transition is also an economic transition for both our business and our customers."

Procurement's role in operational decarbonisation

The company's electrification efforts support broader emissions reductions as procurement teams source low-carbon equipment and technologies. According to the report, DP World recorded Scope 1 emissions of 3,066,430 tonnes CO₂e, with marine services contributing 67% of total Scope 1 emissions.

Ayla Bajwa, Senior Vice President Sustainability at DP World, says on LinkedIn: "This year's report shares our refreshed strategy that looks to clarify and measure impact. The intention is to take a practical business approach prioritising our customers and partners. What is distinct about the refresh is the newly introduced enablers that prioritise governance and risk and innovation and opportunity."

To address marine service emissions, the company has issued US$67.74m to date in blue bond allocations. These initiatives are designed to reduce diesel consumption, lower emissions, improve air quality and increase operational efficiency.

Procurement decisions around fuel sourcing, equipment specifications and technology investments could shape the company's progress towards its long-term decarbonisation goals.

Technology and digital procurement solutions

DP World is using artificial intelligence, digitalisation and advanced analytics to improve operational efficiency, reduce fuel consumption and optimise logistics networks.

Projects such as automated stacking cranes, AI-powered operational systems and paperless customs workflows are helping reduce emissions while improving productivity across terminals and transport corridors. According to the report, DP World achieved a 54% reduction in Scope 2 market-based emissions compared to the 2022 baseline.

The company is also investing in low-carbon fuels, renewable diesel, hydrogen fuel cell technologies and carbon compensation projects to address emissions that cannot yet be eliminated. Procurement teams manage supplier relationships for these emerging technologies.

Through partnerships with organisations such as the Zero Emission Port Alliance and the World Economic Forum's First Movers Coalition, the company continues to support industry-wide climate action and sustainable trade.

Strategic procurement and climate targets

Rashid says on LinkedIn: "Research estimates suggest up to US$275tn will be deployed globally in the transition by 2050 and logistics infrastructure will be central to that shift. Across our business, we are embedding decarbonisation into everyday operations, through electrification, modal shift to rail and barge, smarter asset utilisation and integrated infrastructure that connects physical assets with a digital layer. Not as isolated initiatives, but as a fully integrated programme that defines how trade moves."

Procurement plays a role in this integrated programme by managing supplier relationships, sourcing low-carbon technologies and embedding sustainability criteria into purchasing decisions.

The company's approach demonstrates how procurement teams can contribute to climate targets while supporting operational efficiency and supply chain resilience. These initiatives aim to create low-carbon supply chains while progressing towards the company's net zero target for 2050.

According to the report, continued supplier engagement and responsible sourcing practices will remain priorities as DP World works to reduce emissions across all scopes and strengthen supply chain governance.