How we scored
each company
Contents
About the rankings
The Electrify campaign is Greenpeace Australia Pacific’s campaign to end fossil fuel dependence by electrifying everything and powering it with renewables. Electrify Fleets is focused on accelerating renewable-powered electric cars, vans, utes and trucks in corporate fleets.
The Electrify Fleets corporate ranking is an independent analysis by Greenpeace Australia Pacific of the state of play of electric vehicle commitments and progress in corporate fleets. It is designed to provide a snapshot of the progress that major companies operating in Australia are making towards clean, quiet electric vehicles powered by renewable electricity. The ranking methodology has been researched and created by Greenpeace with advice from allies and experts.
Why corporate transport matters
After a decade of delay at the Federal level, Australia is lagging behind most comparable nations in the uptake of electric vehicles, with one of the most polluting and least efficient domestic vehicle fleets in the world. But as one of the sunniest and windiest countries, Australia has a huge opportunity to lead on renewable electric transport and companies can use their purchasing power to get us on track.
It’s not too late for Australia to clean up our transport pollution - by introducing a strong national fuel efficiency standard and cleaning up corporate fleets we can rapidly drive down emissions by fast-tracking renewable powered electric vehicles.
Electrifying corporate fleets and powering them with renewables matters because fleets make up over 40% of new car sales each year, with approximately 450,000 purchased for business, government and rental fleets annually.
According to the Australasian Fleet Management Association, just 1,000 companies are responsible for 1.5 million vehicles on the road. As most fleets update their vehicles within 3-5 years of purchase, this fast turnover makes them an important feeder for the second-hand market and offers the opportunity for the Australian public to access more affordable electric vehicles faster.
Clear demand signals like electric vehicle targets from both government and fleet owners play a critical role in shifting the automotive industry away from fossil fuels. Setting targets in advance can significantly influence electric vehicle supply by giving manufacturers and infrastructure providers the certainty to invest in scaling-up electric vehicle technology and charting a path towards a renewable transport future.
Many major businesses in Australia are already switching to 100% renewable electricity by 2025 including Woolworths, Coles, Bunnings, IKEA and the ‘big four’ banks, and these companies can take a leading role in the shift to renewable-powered electric vehicles.
A growing number of multinational companies have already pledged to phase out fossil fuel vehicles through international commitments including the Accelerating to Zero coalition formed by the Glasgow Declaration, EV100 run by the Climate Group, and as part of plans to meet net-zero or emissions reduction targets.
Methodology
Overview
Greenpeace assessed 30 prominent Australian companies to determine their progress toward addressing electricity and transport emissions. The criteria they were assessed on is outlined below. These household brands are some of Australia’s largest electricity users, and amongst the largest fleet operators. Many have committed to ending their reliance on coal by powering their operations with 100% renewable electricity by 2025 and now must turn their attention to ending their reliance on oil and gas. We’re campaigning to see them electrify everything and power it with renewables.
All companies were contacted and sent a survey that covered the criteria and were given an opportunity to provide additional information on their climate policies and impacts. As of 7 March 2023, 16 companies had completed the survey and Greenpeace has met with any company wishing to do so. Data provided by companies was supplemented with information publicly available through the company’s website, annual reporting and news articles. Where a survey response was not received these were the primary source of information.
The sectors were chosen for review based on a history of leadership on renewable electricity and significant need and opportunity to address corporate transport emissions by electrifying their fleets. Sectors with large fleets but a greater reliance on specialist or modified vehicle technology were excluded from the initial rankings.
Companies were assessed on the following criteria, outlined in further detail in the rationale:
-
Electrifying all cars, vans and utes
-
Electrifying all trucks
-
Electrify supply chain transport
-
Powering their operations with 100% renewable electricity
-
Education, advocacy and leadership
Each company was assessed and scored to determine a final score out of 10, which was then turned into a star rating out of 5:
- 9 - 10 = 5 stars
- 8 - 8.9 = 4 ½ stars
- 7 - 7.9 = 4 stars
- 6 - 6.9 = 3 ½ stars
- 5 - 5.9 = 3 stars
- 4 - 4.9 = 2 ½ stars
- 3 - 3.9 = 2 stars
- 2 - 2.9 = 1 ½ stars
- 1 - 1.9 = 1 star
- 0 - 0.9 = 0 stars
Rationale and approach to scoring
Listed in the following section are the 5 main criteria and rationale for their inclusion. The criteria assess companies based on the commitments and progress they have made to set and meet renewable energy targets, as well as targets to electrify cars and trucks. They also consider high-level commitments for supply chain transport and leadership initiatives that can support political change and enable their staff and customers to reduce their transport emissions through public, active and electric mobility.
The companies and institutions listed on the Greenpeace Electrify Fleets website have been selected based on the following criteria.
They are:
- A big brand or well recognised company or institution who was profiled under Greenpeace’s previous REenergise campaign focussed on 100% renewable electricity commitments; and/ or
- Well recognised companies or institutions who have significant passenger vehicle fleets; and/or
- A big brand or well recognised company with important cultural or sectoral influence; and/or
- Global companies with significant operations, cultural or sectoral influence in Australia that have made commitments to 100% renewable electricity and/or 100% transport electrification
Where companies do not have operational activity in one of the assessed areas eg. they don’t have any in house fleets, or they don’t have contracted fleets in their supply chain, they have not been assessed on that criteria
Criteria and Scoring
1: Electrifying cars, vans and utes (30%)
Campaign ask: Commitment to electrify all new light vehicles from 2025 with a goal of 100% by 2030
As over 40% of new light vehicle sales each year are purchased for corporate, government and rental fleets, these entities have an outsized influence on Australia’s transport emissions, and the second hand car market. This criteria has been developed from analysis of global commitments by international governments and corporate programs such as the Climate Group’s EV100.
Total cost of ownership modeling for light vehicles suggests that the business case for switching from fossil fuel to battery electric vehicles has rapidly improved and supports a transition to battery electric for most use cases by 2025. Targeting 100% electric light vehicles by 2030 has been shown to be both economically and environmentally beneficial.
In order to achieve net zero emissions by 2050, the International Energy Agency recommends all new vehicles must be zero-emissions by no later than 2035. This allows a 15-year lifespan of internal combustion engine vehicles sold before the deadline. However, if Australia is to do its ‘fair share’ when meeting global obligations, we need to strive for actions that accurately reflect our carbon budget; this means reaching net zero by 2035 for even a 50% chance of staying below 1.5°C. For this reason, corporate fleets have a responsibility to lead the charge towards electric vehicles, powered by renewables and make a commitment to 100% electric cars, vans and utes by 2030.
Greenpeace Australia Pacific defines electric vehicles as pure battery electric vehicles and does not consider hybrids (plug-in or conventional) to be a preferred solution due to their climate pollution and dependence on fossil fuels. To realise the cost and emissions benefits of electrification - and to send a clear signal to car manufacturers to accelerate their production of zero emissions vehicles - it is important that corporate fleets commit to shifting to battery electric vehicles, rather than hybrids, as soon as possible.
See our case for electric fleets report for further information.
This criterion is assessed by:
- Does the company have a commitment to switch to 100% electric passenger vehicles?
- Yes, including interim target of all new vehicles by 2025 (10)
- Yes, 100% by 2030 (8)
- Yes, after 2030 (5)
- Progress but no target (2-4)
- No (0)
- Does the company have a commitment to switch to 100% electric light commercial vehicles?
- Yes, by 2030 with an interim target of all new by 2025 (10)
- Yes, 100% by 2030 (8)
- Yes, after 2030 (5)
- Progress but no target (2-4)
- No (0)
2: Electrifying trucks (20%)
Campaign ask: Commitment to zero emissions trucking by 2040 including interim targets for light trucking by 2030
Significant momentum toward electrifying short haul trucking has already begun internationally, and through leadership initiatives like IKEA’s commitment to electrify all delivery vehicles by 2025, and light truck trials by Woolworths, Lion and Australia Post.
Solutions for zero emissions heavy trucking are also in development, but will need additional time to implement. Heavy trucks used to transport goods across the country also have an outsized influence on transport pollution. Despite only making up 4% of vehicles on the road, road freight is estimated to contribute 38% of total climate pollution from transport. By setting a target for zero emissions trucking by 2040, companies send a demand signal that enables technological advancement by providing direction and improving certainty for manufacturers, policy makers and associated businesses.
The target for zero emissions trucking has been informed by Climate Group’s EV100+ program, with founding members including IKEA, Unilever and Maersk, who have committed to transition their fleet of vehicles over 7.5 tonnes, known as medium- and heavy-duty vehicles (MHDVs), to zero emission by 2040 in OECD markets, China and India.
This criterion is assessed by:
- Does the company have a commitment to zero emissions trucking by 2040?
- Yes, by 2040 with a strong interim target for light trucking by 2030 (10)
- Yes, by 2040 but with no interim targets (8)
- Progress or partial commitment not aligned (2-4)
- No plans or 2040+ (0)
3: Electrify Supply Chain Transport (15%)
Campaign ask: Set targets for electric and zero emissions transport in supply contracts from 2024
Many companies produce significant emissions in their upstream and downstream supply chains. Transporting goods to stores and back out to customers is the largest proportion of climate pollution for many companies who no longer own their own fleets. Setting targets within procurement contracts that align to electrifying light vehicles by 2030 and zero emissions trucking by 2040 sets expectation for supply chain transition and provides time and certainty for early transition planning for logistics providers.
This criterion is assessed by:
- Does the company have plans to switch their supply chain to renewable-powered electric vehicles
- Yes - Aligned with Electrify targets above (10)
- Partial commitment or not aligned with electrify targets (2-8)
- Initial consultations or early actions taken (2)
- No - No plans to switch their supply chain (0)
4: Powering vehicles with 100% renewable electricity (15%)
Campaign ask: 100% renewable electricity by 2025
As one of the sunniest and windiest countries in the world, Australia’s potential to harvest clean, renewable energy puts us at a huge advantage when it comes to reducing the climate and health impacts of transport pollution.
Fleets are a ‘quick win’ for transport decarbonisation because of the large number of vehicles on the road and outsized impact of their climate pollution.
A recent Australian assessment of lifecycle emissions found that an electric vehicle powered by grid energy is already less emitting than that of an internal combustion engine - by an average of 29-41% per kilometre - when manufacturing, power production and battery recycling/disposal are taken into account. However, powering an electric vehicle with a renewable power purchase agreement or a renewable powered grid can further significantly reduce these emissions.
Australia’s electricity grid is already rapidly transitioning to renewable energy, with the Australian government committed to an 83% renewable electricity powered grid by 2030 and the Australian Energy Market Operator (AEMO) modelling a scenario in which all coal power stations in Australia close by 2032. In places with a high proportion of renewables in the electricity grid like South Australia, ACT and Tasmania, choosing a battery electric vehicle can reduce emissions by as much as 77%. This progress toward cleaning up the national grid makes battery electric vehicles a clean energy technology that keeps getting cleaner over time.
See our case for electric fleets report for further information.
This criterion is assessed by:
- Does the company have a commitment to 100% renewable electricity.
- Yes, by 2025 (10)
- Yes, between 2025 and 2030 (8)
- Yes, beyond 2030 (4)
- No (0)
- Is the company making progress to meet its target?
- Yes, the company already procures 100% renewable electricity, has signed one or more PPAs or is generating a substantial proportion of electricity demand on site (7-10)
- Yes, the company has undertaken some action (eg. install on site solar) but
- significant further action is still required (2-6)
- No, limited or no action undertaken (0)
- No, no target (0)
5: Education, advocacy and leadership (20%)
Campaign ask: Commitment to leading the way on sustainable transport by: Installing adequate charging infrastructure for staff and customers by 2030; Engaging in positive advocacy to support a rapid decarbonisation of the road transport sector; Supporting staff and customers to modeshift towards better transport options including active, public transport and electric vehicles.
Businesses have an outsized impact on the environment and communities we live in and therefore have a responsibility to engage in leadership that builds support for and understanding of climate solutions.
Joint advocacy can be backed by further actions including consultation submissions, championing action through media representation and talking to staff and customers about the clear time-bound targets your company has set.
While it’s important not to greenwash action or overstate the impact or role your business is playing, genuine advocacy and championing change that includes real and meaningful action is a powerful force that can create a ripple effect across the corporate sector.
As large fleet users, businesses have a responsibility to engage in advocacy that supports the need for effective legislation, including strong fuel efficiency standards, to support a rapid transition away from polluting fossil fuel vehicles. Advocating for strong fuel efficiency standards has a dual benefit of also driving down costs of electric vehicles, which is good for the bottom line.
Companies have an important role to play in supporting staff and customers to reduce their personal transport pollution by travelling by public and active transport, and accessing clean, affordable electric vehicles powered by renewables.
See our case for electric fleets report for further information.
This criterion is assessed by:
- Does the company have any education and/or incentive programs to promote electric vehicle uptake to staff and/or customers
- Yes, strong action
- Some action
- No
- Is the company engaging in advocacy to political decision makers to support more rapid electric vehicle uptake?
- Yes, strong action
- Some action
- No
- Does the company have any education and/or incentive programs to support staff modeshifting to public and active transport options
- Yes, strong action
- Some action
- No
- Does the company have a commitment to install EV charging for staff and customers at all sites and facilities, where practical
- Yes, strong action
- Some action or partial commitment
- No
Results
See the live results on the Rankings page.
Download the full results and breakdown of scores.
Sector overview
Retailers
As of March 2023, the retail sector still needs to make major improvements to address their corporate fleet emissions. The retail sector’s early leadership on renewable electricity commitments places them in poll position to lead the charge toward renewable-powered electric transport.
Homewares giant IKEA topped the rankings with significant commitments to address their delivery fleet and trucking. They have also installed charging stations for customers and taken a global leadership position on both renewable electricity and electric vehicles through their RE100, EV100 and EV100+ commitments.
A number of other retailers have indicated they are considering making commitments to electrify their cars, trucks and supply chains but are yet to announce formal targets.
The retail sector had an average score of 2.7/10 reflecting the wide discrepancy between IKEA who topped the list with 9.5/10, the next best retail performer Kmart on 3.2/10 and Myer at the bottom on 0.5/10.
Retailers assessed include:
- IKEA
- Kmart Group
- Bunnings
- Woolworths
- Coles
- Aldi
- JB Hi-Fi
- Officeworks
- David Jones
- Myer
Food and Beverage
This sector has an average score of 3.0/10, with 100% renewable electricity commitments from all companies profiled increasing the average. Nestle, Lion and Mars Australia have all already reached their 100% renewable electricity commitments.
Unilever and Coca-Cola are both showing global leadership on electric vehicles with commitments to electrify their passenger vehicle fleets, however neither currently show significant action towards reaching their global targets through battery electric vehicles in Australia.
Companies assessed include:
- Coca-Cola
- Nestle
- Lion
- Asahi
- Mars Australia
- Unilever
Banking and Finance
The banking sector came out on top in March 2023 with an average score of 4.1/10, fuelled by 100% renewable electricity commitments from all companies profiled.
- Bank Australia and Westpac have both demonstrated leadership on electric vehicles in the banking space:
- Bank Australia has committed to 100% electric passenger vehicles by 2025, has ruled out financing fossil fuel companies, and will end financing loans for fossil fuel vehicles from 2025.
- Westpac has committed to 100% electric passenger vehicles by 2030 with plug-in hybrid where required for servicing remote areas
Many banks have large passenger vehicle fleets and are well position to power them through their renewable electricity commitments to address their operational emissions. However, it is important to note that the emissions from fossil fuel projects and businesses that these institutions finance dwarf climate pollution from their operations and therefore they must also be committing to end financing for fossil fuel including coal, oil and gas.
Companies assessed include:
- Bank Australia
- Westpac
- National Australia Bank (NAB)
- ANZ
- Macquarie Bank
- Commonwealth Bank (CommBank)
- AMP Capital
Utilities
We have grouped companies who provide key services that everyday Australians rely on under ‘utilities’. For the purposes of this analysis, these include key businesses from the postal, telecommunications and energy sectors.
- Overall, this sector averaged a score of 2.8/10. Many of the businesses have committed to 100% renewable electricity but only Origin Energy and AGL have committed to electrify their fleets with both signing up to the Climate Group’s EV100 program:
- Origin has committed to 100% electric passenger cars, utes and vans by 2030 through EV100 and is supporting customers electrify their personal and business fleet vehicles through their 360 EV program.
- AGL has a commitment to electrify 100% of their passenger fleet by 2030 and set a partial target to electrify 50% of their industrial vehicles by 2030. They are also supporting customers and staff to make the shift to electric vehicles through incentives and education initiatives.
- Neither Origin Energy or AGL have committed to 100% renewable electricity and further action is necessary to reduce their significant impact on climate pollution as energy providers by providing power from clean, reliable renewable electricity.
- Australia Post has not made a formal commitment but is taking steps toward electrifying their large delivery fleet including their 3-wheelers and introducing some electrify trucks.
Companies assessed include:
- Australia Post
- Origin Energy
- Telstra
- TPG Telecom
- Optus
- AGL
Hire Cars
The hire car industry is a new sector for the Greenpeace rankings and has been included due to the high volume of cars in the industry and fast turnover times. When hire cars take leadership on electric vehicles it has large-scale impacts on the second hand car market due to their large fleet numbers.
No companies within the hire car industry have committed to 100% renewable electricity or to full fleet electrification. However some large international rental companies like Hertz and Sixt are taking advantage of the economic opportunities offered by electric vehicles and making investments in electric vehicles.
Companies assessed include:
- Sixt
- Europcar
- Hertz
- Avis
How companies
can improve
their score:
- Commit to electrify all cars, vans and utes by 2030
- And set an interim target for all new vehicles to be electric from 2025
- Commit to zero emissions trucking by 2040
- And set an interim commitment to electrify light trucking such as delivery services by 2030
- Set targets for electric and zero emissions transport in supply contracts
- And align to overall business targets (above)
- Engage with suppliers to support their transition
- Set a target for 100% renewable electricity by 2025
- And demonstrate progress by disclosing initiatives such as large-scale power purchase agreements, onsite renewable energy generation and percentage progress toward the goal.
- Demonstrate leadership that supports and incentivises staff and customers to access clean affordable electric, public and active transport options for example:
- Aim to add charging for staff and customers at all locations by 2030
- Provide free or discounted public transport for staff, end of trip facilities and secure bike storage at offices or stores
- Introduce programs to enable staff to become familiar with electric vehicle technology, for example borrowing fleet EVs over the weekend to try at home
- Offer free or discounted electric vehicle charging
- Engage in positive advocacy to support implementation of strong Fuel Efficiency Standards (see more here) and other initiatives that support a rapid transition away from fossil fuel vehicles by:
- Writing submissions to government electric vehicle consultations
- Signing on to support joint statements
- Engaging through industry associations
Greenpeace Australia Pacific acknowledges and pays respect to Elders past and present, and the Traditional Owners of the lands and waters within our region. We acknowledge the continuation of their cultural, spiritual and educational practices. First Nations peoples are often on the frontline of climate change impacts – with rising sea levels in the Torres Strait and the Pacific, the destruction of sacred Country and diminishing food and water accessibility. The work we do is all about a just, green, sustainable future and we can’t achieve this without Indigenous justice.
All content authorised by Kate Smolski, Greenpeace Australia Pacific, Sydney.
