L&T Pushes for Sustainable Logistics with LNG-Powered Fleet

As industries worldwide intensify efforts to reduce carbon footprints, sustainable logistics is emerging as a critical enabler of green transformation. Road transport contributes significantly to global greenhouse gas (GHG) emissions, making decarbonization of supply chains a priority. Larsen & Toubro (L&T), known for its engineering and infrastructure leadership, is proactively addressing this challenge by transitioning to cleaner fuel alternatives.

L&T’s Power Transmission & Distribution (PT&D) vertical has taken a major step in this direction by introducing LNG-powered (Liquefied Natural Gas) trucks instead of diesel-powered ones for transporting transmission line tower parts from its Kancheepuram manufacturing facility to a project site at Shadnagar in Telangana. Currently covering one-third of the project’s total shipments on this corridor, this initiative is expected to reduce GHG emissions by 12% annually.

On 3rd February, the first shipment, carried by a 55 metric tonne LNG truck, was flagged off from Kancheepuram. This initiative is part of a larger, L&T-wide push towards sustainable transportation, led by its Corporate Supply Chain Management (SCM) and Corporate Sustainability arms. The strategy prioritizes Rate Contract (RC) Corridors over Spot Contracts to ensure higher impact. RC Corridors, which are pre-negotiated, guarantee assured cargo volume, making them more effective for sustained decarbonization. Other key considerations included annual tonnage, trip frequency, and return load possibilities. 

Anup Sahay, Head - Corporate Strategy and Special Initiatives, L&T, highlighted the strategic importance of decarbonizing logistics, stating: “Sustainability is no longer just an aspiration — it is a business imperative. L&T is committed to integrating low-carbon solutions across its value chain, and green transportation is a critical part of this journey.”

Santosh Kumar Singh, Chief Sustainability Officer, L&T, emphasised the role of collaboration in achieving sustainability goals, adding: “This milestone was possible because different teams worked towards a common vision. We are bringing similar synergy across L&T to implement many more ‘green successes’ in the future.”

Neelaj Sengupta, Vice President - SCM Sustainability & New Initiatives, L&T, underscored L&T’s pioneering role, stating, “We are one of the very few companies in India to have deployed an LNG truck of this capacity on a mid-haul corridor spanning over 650 km. This sets the stage for further innovations in sustainable logistics.”

L&T has already demonstrated success in decarbonizing transport across different supply chain segments:

Electric Vehicles (EVs) for short-haul transport: L&T has deployed EV trucks on a 120 km milk-run corridor between its Talegaon factory (L&T Precision Engineering & Systems) and nearby suppliers. 

CNG Trucks for medium-range logistics: In the Mumbai-Hazira corridor (300 km), L&T deploys CNG-powered trucks, thus curtailing the use of diesel trucks, and in turn, curbing emissions. 

These ongoing efforts reinforce L&T’s commitment to sustainable, technology-driven logistics. By scaling such initiatives across its operations, L&T is setting a precedent for the construction and engineering industry while actively contributing to India’s low-carbon transition.