For land transport operator ComfortDelGro, to reach its sustainability goals, the journey is as important as the destination. “Many companies have made commitments or statements about their decarbonisation targets, but lack the details on how to get there. To us, that is not a recipe for success,” says its group chief sustainability and risk officer Jonathan Jong. 

Since ComfortDelGro launched its first sustainability report in 2015, it has set itself the difficult task of collecting data and setting realistic goals. The result: it was one of the first transport operators in Asia Pacific to have its greenhouse gas emissions reduction goals approved by the Science Based Targets Initiative, considered the gold standard for corporate decarbonisation targets.

In their journey to achieve net zero emissions by 2050, it has set targets to reduce its absolute Scope 1 and 2 emissions by 54.6 per cent, and a 61.2 per cent reduction in absolute Scope 3 emissions from fuel and energy-related activities, both by 2032 and compared to a 2019 baseline. 

The engine to realise these ambitions: transitioning its vehicles to cleaner energy ones. It already uses electric power for all its rail operations, and is transitioning its car and bus fleets to cleaner energy ones: from 59 per cent to 90 per cent by 2030 and 100 per cent by 2040 for cars and taxis, and from 13 per cent to 50 per cent by 2030 and 100 per cent by 2050 for buses.

ComfortDelGro team with their electric bus. Image source: ComfortDelGro

While it is also investing in solar power and other sustainability measures, the move to more eco-friendly vehicles will yield the largest impact. Jong explains: “We operate in 12 countries with a total fleet of over 40,000 vehicles spanning taxis, buses, trains and more. Our global reach and scale mean the choices we make about our vehicles have a significant impact on our carbon footprint, which is why prioritising cleaner energy options is central to our environmental strategy.”

He adds that with transport accounting for a quarter of all energy-related greenhouse gas emissions, and land transport contributing the lion’s share, the firm has a social responsibility to switch to cleaner energy vehicles. “We want to be both profitable and socially responsible, and we believe that this will make us more attractive to investors, clients and commuters.”

Many roads to sustainability

With ComfortDelGro operating in diverse countries and typically providing public transport as part of its service, it is calibrating its fleet transition based on the individual markets. “We have to pace ourselves to match the regulatory landscape of the various jurisdictions, while meeting the specific needs and desires of our clients, including local governments,” Jong shares. 

In China, close to 70 per cent of its cars are electric vehicles, partly due to many of the cities’ mandates that all newly registered or replacement taxis have to be fully electric vehicles. “Amongst our global operations, our China business has the largest electric taxi fleet. We have also started implementing electric vehicle charging and battery swapping for a few years now.”

ComfortDelGro’s electric taxi in China. Image source: ComfortDelGro

In the United Kingdom, where buses are the most popular mode for public transport, its public bus fleet is the most advanced in its transition amid its global operations. Over 56 per cent of its buses there are cleaner energy. Since 2021, it has also operated hydrogen-fuelled double deck buses, which were the first of their kind in Britain, as part of a pilot project with Transport for London.

ComfortDelGro is also one of the greenest bus operators in Australia, where it rolled out its 50th hybrid bus in 2023, and has formed partnerships to trial electric and hydrogen-powered buses. Jong says: “Australia’s longer route distances, particularly for buses, pose a challenge for widespread electric vehicle adoption due to limited electric bus range compared to urban environments like London. In this context, hydrogen buses, with its potential for faster refuelling and extended range, might be a more appropriate alternative.”

For Singapore, where the group is headquartered, its commitment to vehicle electrification has gone far beyond investing in electric cars and buses. It has added electric cars into the training vehicle fleet for its driving school business, and introduced Singapore’s first electric motorcycle familiarisation course. Through a joint venture with French utility firm ENGIE, it is also expanding the nation’s electric vehicle charging and solar infrastructure.

Jong explains: “When we decided to shift to electric taxis, it was crucial to ensure adequate charging infrastructure. We proactively installed fast charging facilities at our existing fuel stations to support our cabbies with convenient charging locations. Now, with the Singapore government awarding contacts to install and run charging points, we have the experience to participate in some of these opportunities too.”

Journeying with the community

As ComfortDelGro continues its sustainability drive, it is also giving back to society. In 2023, it deepened its engagement with the communities it serves, donating S$1.5 million in cash and nearly S$3 million of donations-in-kind. Its employees also collectively accumulated over 9,600 hours of volunteer work. 

Jong shares: “One of the things that we do is ferry kids and adults with disabilities to and from events. A lot of this support is offered by our ComfortDelGro MedCare business, which is a point-to-point transport service specially adapted to the needs of those with disabilities, and the elderly who may require help to get around.”

Transport assistant escorts client from their door. Image source: ComfortDelGro

Moreover, ComfortDelGro donates its buses that are at the end of their lifespan to schools and healthcare institutions. “They use the vehicles to demonstrate how passengers with mobility challenges can board the bus. This is valuable because even though all of our buses and trains are accessible, some people may not know how to use the accessibility features.”

“We also provide training to our taxi and bus drivers on how to assist people with mobility difficulties. These are the sorts of things that may not make the headlines, but go a long way in fostering a more inclusive culture and community. The way we think of it is, we are in the business of serving communities, and that to us means making our facilities and services accessible to everyone.”

Jong notes that, in Singapore especially, ComfortDelGro is a familiar and longstanding part of many people’s lives. “When you or your children were born, if your family didn’t have a car, it was likely one of our taxis that took you home because we have the largest taxi fleet. Our taxis or the school buses operated by our subsidiaries may have taken you to and back from school.”

“When you start your career, there’s a high chance you’ll use our trains, taxis and buses to get to work and go home. When you get older, if you need help, there’s ComfortDelGro MedCare. We’re there for people from the day they are born to their golden years. Not many companies can say that, but we can.” 

About ComfortDelGro Corporation

ComfortDelGro is a leading multi-modal transport operator offering a comprehensive suite of transportation solutions. Its extensive network spans public transport including buses and rail, point-to-point transport with taxis and private hire cars as well as business-to-business mobility solutions. Every day, millions rely on its services across 12 countries including; Singapore, Australia, the United Kingdom (UK), New Zealand, China, Ireland, France, Malaysia, Spain, Portugal, Greece, and the Netherlands.

As a global operator, ComfortDelGro plays an important role in steering the transition towards a low-carbon economy. With nearly half its fleet consisting of cleaner energy vehicles, ComfortDelGro supports governments and cities in enabling inclusive and sustainable transport systems. For its efforts, ComfortDelGro has been included in the Dow Jones Sustainability Indices Asia Pacific (DJSI Asia Pacific) since 2019, the only Singaporean transport company in the index.

The company’s website is https://www.comfortdelgro.com

Related links:

• ComfortDelGro share price and share price target
• ComfortDelGro dividend history and dividend forecasts

About ESG Brew: the Sustainability Blend

ESG Brew is a regular column by SGX Research in collaboration with Beansprout that features sustainability leaders of companies listed on SGX. These interviews are profiles of individuals who drive the sustainability agenda and initiatives within these corporations.

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