B&Q & GXO accelerate net-zero logistics with AI & clean fuels
GXO and B&Q have reported significant progress toward achieving net-zero carbon emissions in B&Q's logistics operations by 2040.
The two companies have been partners since 2015, with GXO managing B&Q's retail transport network, encompassing national and regional distribution centres, store to home delivery services, returns processing, and a major seasonal warehouse. B&Q's expansive offering currently covers over 700,000 products available for home delivery or in-store collection.
Emissions reductions
Among recent achievements, GXO's AI-powered transport optimisation platform is forecast to result in a 40% reduction in carbon emissions during 2024, by delivering savings of 240,000 kilometres and 150 tonnes of CO2 each year. The partnership has also facilitated the deployment of 105 Liquified Natural Gas (LNG) vehicles, making it the second-largest LNG fleet in the United Kingdom, and supporting a cumulative reduction of 16,000 tonnes in carbon emissions.
Further steps include converting all logistics vehicles to Hydrotreated Vegetable Oil (HVO), which contributes a 90% reduction in CO2 emissions compared to conventional diesel fuel. Smarter scheduling and improvements in driver behaviour have led to a 9.5% decrease in fleet size since 2021, while backhaul optimisation efforts have saved 104 tonnes of Scope 3 emissions in 2024 alone.
Remarks from leadership
"Achieving zero-emissions in logistics transport is a significant challenge - one that can only be met through a combination of strategies," said Gavin Williams, Managing Director, GXO UK & Ireland. "Our partnership with B&Q exemplifies this, showcasing how a thoughtful blend of available technologies and a shared commitment to decarbonisation can drive real progress. B&Q's approach stands out as a model for the industry, proving that innovation, collaboration, and sustainability can go hand in hand to create a more efficient and environmentally conscious fleet."
Darren Hall, Director of Logistics at B&Q, commented: "Decarbonisation of our fleet and use of up to date and available technologies is a vital step in our transition to alternative fuels, allowing us to give customers more choice in sustainable delivery options and reducing our impact on the environment. It's great to work alongside GXO to help us to drive our ambitions forward and reach our 2040 net zero goals."
Strategic initiatives
In 2022, the companies introduced the B&Q Sustainability Glidepath, establishing a clear roadmap for logistics fleet decarbonisation. Through performance optimisation, improved emissions reporting, and targeted initiatives, emissions forecasts were reduced by 40% in 2024, keeping the companies ahead of their net-zero schedule.
B&Q's transition to alternative fuels has been a central part of this strategy. Since 2019, the introduction of LNG vehicles has substantially curtailed carbon output, while the conversion to HVO fuel, finalised in December 2024 for both the logistics fleet and 80 refrigerated trailers, has further reduced emissions linked to diesel logistics operations.
Investment in electric vehicles
The shift toward electrification is ongoing, with five electric vans and two electric HGVs currently in operation, and another two HGVs planned for addition in 2025. Looking ahead, B&Q has set a target to introduce 55 additional electric vehicles over the next five years, with the existing fleet projected to save up to 250 tonnes of CO2 equivalent per year.
Further fleet upgrades include the introduction in 2025 of 35 new LNG-powered Volvo FH Aero tractor units, featuring aerodynamic enhancements anticipated to improve fuel efficiency by 3% and save 100 tonnes of CO2 annually.
Operational efficiencies
GXO has implemented a series of systems - including Paragon and Microlise - to refine route planning and monitor driver performance. Smarter route-planning and scheduling have resulted in fewer vehicles on the road, helping to further reduce B&Q's total logistics footprint.
AI adoption
B&Q is currently piloting GXO's proprietary AI-powered transport optimisation platform, designed to analyse millions of logistical route combinations and identify the most efficient schedules. Early results suggest the AI solution is delivering on predicted savings, with a full rollout targeted for 2025 and annualised savings potentially reaching 240,000 kilometres and 150 tonnes of CO2.
Emissions measurement and reporting
Monitoring emissions consistently forms part of the sustainability approach, with GXO utilising DEFRA conversion factors for calculating emissions from fuel use, energy consumption, and mileage. This data is compiled monthly for Kingfisher, B&Q's parent company, and subjected to independent annual audits to ensure compliance with environmental targets.
