Our strategy for climate-friendly mobility in Germany
In every reporting year since 2008, we were able to significantly reduce the CO2 emissions caused by our vehicle fleet – by using CO2-optimized vehicles, for instance. In addition, modern technologies mean that we need fewer and fewer maintenance visits to our customers. Savings were even higher in 2020 since we used our fleet much less due to the coronavirus pandemic. Related CO2 emissions fell by more than 20 percent compared to the previous year. We were also able to reduce our fleet in Germany by more than 2,200 vehicles to 21,000.
The transition to climate-friendly mobility requires not only environmentally friendly drive systems (electric or natural gas) but also the intelligent networking of existing and new forms of mobility. For example, we will offer a digital platform (“Mobility as a Service” - MaaS) for employee commutes between home and work, combining various company-owned means of transport and public transport.
The three pillars of our mobility strategy are:
- Diversified portfolio: Building a more efficient, increasingly sustainable fleet with diversified drive systems and integrating micro-mobility (e.g., bicycles, e-scooters)
- Digital services: Pooling and sharing solutions, digital mobility services such as an e-logbook, a mobility app (E2E digitalization of lifecycle services for company cars and service vehicles)
- For us, connected mobility means linking existing and new mobility services. To that end, we are building a MaaS platform and app for Deutsche Telekom employees. By doing so, we offer our employees highly flexible access to both public and private shared transportation and to our internal Deutsche Telekom transportation (shuttle on demand, car sharing, etc.).
As part of our Green Car Policy , we have been using a CO2-based selection process for procuring new vehicles for ten years. These also include company cars provided to employees on account of their position or function that can also be used privately. The Green Car Policy contains a bonus/penalty system as an incentive to encourage our employees to select fuel-efficient models. Employees who choose a particularly low-consumption model receive a bonus based on the fuel cost savings. In contrast, drivers of high-consumption vehicles must make a financial contribution for the increased mobility costs and greater environmental impact. The Green Car Policy was revised in November 2020. Since then, there has been just one uniform emissions reference value of 130 g/km for all vehicle categories. The policy will be reviewed in 2021 to determine whether additional adjustments are required.
In the reporting year, we increased the share of vehicles with alternative drives. We started regular operation of both electric and natural gas vehicles. With regard to company cars, employees entitled to a company car can choose from the regular e-vehicle portfolio we have maintained since February 2020, after completion of initial pilot projects in 2019. Around 10 percent of all new orders for company cars have since been for electric drives. At the end of 2020, we had 320 electric company cars in our inventory or on order. Around four percent of the service fleet consists of natural gas and electric vehicles. That number increased from 160 to 362.
We are participating in a nationwide funding project from the German Federal Ministry for the Environment (BMU) and the German Federal Ministry for Economic Affairss (BMWi) until the end of 2023. This will enable us to create further opportunities for using electromobility. The prerequisite for this is an appropriate charging infrastructure. Various units in the Group are collaborating on this, including ComfortCharge as the operator of a public charging infrastructure, and Telekom Service as the partner for installation and support. Together with an external service provider and Telekom Service as the nationwide installation partner, we also offer our employees a home charging solution that is paid for by them. Users of e-company cars in particular benefit from this complete package consisting of a wall box charging point, flat rate installation fee and automated reimbursement procedure for charging costs incurred at home. Since November 2020, the purchase price of a private wall box has been subsidized with 900 euros by KfW (Kreditanstalt für Wiederaufbau).
Demand for electric vehicles is still limited due to high acquisition costs, even though the non-cash benefit is taxed at a lower rate and buyers have a net saving compared to a comparable diesel vehicle. In addition, there is a much smaller range of electric vehicles than of cars with conventional drives.
Compensation of CO2 emissions
In the transition phase to zero emission mobility, we are using CO2 compensation to reach our climate protection targets: since September 2020, we have offset 96 percent of the CO2 emissions from Deutsche Telekom’s vehicle fleet business operations in Germany. In this context, an annual contribution to the fuel purchased is made by the mineral oil manufacturers. This CO2 compensation aids projects that are certified according to recognized standards and ensures that the vehicle fleet is largely climate-neutral while we transition to zero emission mobility. These quantities are not included in emissions accounting according to Greenhouse Gas (GHG) Protocol, since the emissions are not avoided but offset by climate protection projects.
Salary sacrificing scheme: bicycles or e-bikes
Since 2015, our salary sacrificing scheme has enabled our employees to sacrifice some of their salary for the purchase of resource-conserving and health-promoting bicycles or e-bikes, which they can lease from their employer for three years. The monthly payments are deducted from the employee’s gross salary. In 2020, so many employees wanted to use the salary sacrifice scheme that all bikes had been allotted after just eight weeks. For the start of the 2021 season, we have completely revised the salary sacrifice scheme so that employees can choose their bike dealer and the time of their order more flexibly.
As part of our mobility strategy, we are working together with our employees on intelligent solutions for a new, more sustainable mobility. In light of the impact of both work-related and private mobility on climate change, intelligent sustainable solutions are a must. We also communicate directly with our customers and use their feedback to continuously improve our products and services. Our goal is to make it a matter of fact that alternative forms of mobility are used at the Group; any decision about a particular means of transportation should be scrutinized. You can learn more about our activities to promote sustainable mobility here.Reporting against standards
- Principle 7 (Support a precautionary approach to environmental challenges)
Number of vehicles KPI
The total number of vehicles at our company decreased year over year by around 1 percent. For detailed comments on the figures for each individual company, please refer to the interactive benchmarking tool. You can read more about our Green Car Policy , alternative engines and our goals for climate-friendly mobility here.
The total number of our vehicles with alternative drive systems increased by around 12 percent compared to the previous year. When purchasing company and business vehicles, we continue to use alternative or low-consumption drive systems wherever economically feasible.Reporting against standards
Fuel consumption KPI
Overall fuel consumption fell by approximately 10 percent, and by 11 and 9 percent respectively for company cars and service vehicles. For detailed comments on the figures for each individual company, please refer to the interactive benchmarking tool.
Job ticket KPI
In 2020, 10 000 employees of the Deutsche Telekom Group in Germany used a discount season ticket provided by their employer to commute by public transport. This reduction is mainly due to COVID-19 related constraints.
We offer regional discount season tickets (monthly or annually) to our employees at many of our German Deutsche Telekom sites, especially in high-density population areas. The offer encourages our employees to use climate-friendly public transportation and helps them keep their commuting costs down.
Reporting against standards
- Criterion 2 (Materiality )
- Criterion 10 (Innovation and Product Management)
- Principle 7 (Support a precautionary approach to environmental challenges)
- Principle 8 (Undertake initiatives to promote greater environmental responsibility)
- V04-13 (Percentage of services to reduce impact on climate)