Driving the future: Electrifying airport ground handling equipment

The transportation and logistics sectors are spearheading advancements in sustainable technology, with electrification playing a pivotal role in reducing carbon emissions. Ground handling equipment (GHE) is an essential component in this transformation, as airports, ports, and logistics hubs worldwide embrace electric and low-emission solutions to align with global net-zero targets.

This collaborative approach is not simply about meeting regulatory requirements or enhancing operational efficiency. By pooling resources, sharing knowledge, and advocating for supportive policies, the industry is showing real commitment to a sustainable future.

“Airport authorities, ground handling companies, airlines, and supply chain partners are working together to tackle the challenges of high initial costs, infrastructure development, and technological integration,” explains, Nick Antoniou, Global Commercial Lead eMobility at DLL. “This united front not only accelerates the adoption of GHE, including electric vehicles (EV), but also sets a powerful example for the entire industry.”

The compelling benefits of electric vehicles

According to a report by Guidehouse Insights, by 2030, 60 percent of cargo handling equipment (CHE) sales within the seaport, airport, and forklift segments are expected to be electric, which underscores the environmental and economic benefits of transition.

Electrification and low emission fuels are key to reducing the environmental impact of GHE and can also lead to substantial cost-savings. Electric ground support equipment (eGSE) can save up to £2,377 (US$3,000) in operational costs per vehicle annually. This is due to lower fuel costs, reduced maintenance needs, and longer equipment lifespans compared to internal combustion engines (ICE).

Additionally, upfront costs can be offset with participation in grid services, such as vehicle-to-grid (V2G) – selling demand response services back to the grid – and through a managed charging strategy.

Simply put, the benefits of EVs are incontrovertible:

• Cost savings: EVs are generally cheaper to operate than traditional ICE vehicles due to lower fuelling costs, compared to traditional fuel. In addition, EVs have fewer moving parts, which means less wear and tear and lower maintenance expenses.

• Environmental factors: EVs produce reduced tailpipe emissions, significantly lowering greenhouse gas emissions and helping companies meet sustainability goals. Therefore, EVs contribute to better air quality, which is beneficial for public health and the environment.

• Meeting regulatory compliance: Many regions are implementing stricter emission regulations. Transitioning to EVs helps businesses comply with these standards and avoid potential fines. Indeed, various governments offer incentives such as tax credits, rebates, and grants to encourage the adoption of EVs, making the transition more financially attractive.

• Display corporate social responsibility: Adopting EVs demonstrates a commitment to sustainability, enhancing the company's reputation among customers, investors, and employees. For consumers who prefer to support environmentally responsible companies, this choice can positively impact business success.

• Operational efficiency: Electricity prices are generally more stable than fuel prices, allowing for better budgeting and financial planning. Furthermore, EVs often come with advanced telematics and data analytics capabilities, improving fleet management and operational efficiency.

Worried about the impact transitioning to EVs will have on the Total Cost of Ownership of your fleet? Explore our TCO blog!

EU trends and initiatives for electric ground handling solutions

The European Union has spearheaded sustainable practices in the transportation sector. The EU’s Green Deal aims to make Europe the first climate-neutral continent by 2050, and the electrification of GHE is a crucial component of this strategy.

Several EU-funded projects are driving the transition to electric ground handling equipment. The Stargate project, for example, is a collaborative initiative involving 21 partners, including Brussels Airport and DHL Express. The aim is to cut CO2 emissions by over 50 percent through the electrification of a third of the ground-handling fleet. In addition, Cologne Bonn Airport in Germany is investing in electric ground power units, with a goal to transition to an all-electric fleet by 2035.

Swissport is the leading Swiss ground handling solutions provider with operations at almost 300 airports globally. Its green initiative targets electrification of baggage transport, conveyor belts, mobile stairs, service vehicles, and light and medium-sized forklift trucks – already advancing with a fleet of 14,300 motorised units. Currently, 44 percent of the ground handling equipment at Zurich Airport is electric with a goal to increase this to 55 percent by the end of 2025.

Amsterdam Airport Schiphol has invested 2.5 million euros in electric vehicles, with plans to have converted its entire motorised ground handling fleet to electric by 2030.

The North America vision: Advancing electric ground handling fleets in US airports

In the United States, implementation of electric ground service equipment (GSE) is widespread at major airports, including Seattle-Tacoma International and Philadelphia International. In fact, the former was an early adopter, having replaced 30 percent of its ICE fleet with EVs by 2014 and demonstrating the feasibility and benefits of transitioning to EVs.

Canada’s Vancouver International Airport has also established a robust electric ground handling fleet. By 2018, the airport had transitioned 171 out of its 539 ground support units to electric, supported by the installation of numerous charging stations. This initiative has not only reduced the airport’s carbon footprint but also lowered operational costs and improved equipment reliability.

According to a working paper published by the International Council on Clean Transportation, the ports of Seattle and Tacoma, New York, and New Jersey are investing heavily in electrification, including installing shore power, and are aiming for 100 percent zero-emission harbour craft and trucks. The former has set a target for net-zero by 2040 and the latter by 2050. In both cases, investment in eGHE is an integral element to achieve their targets, including the purchase of electric Class 4-8 medium and heavy-duty vehicles, cruise and container berths.

The Asia Pacific blueprint for decarbonising airports

Sustainable initiatives in the Asia Pacific region are also gaining momentum, with airports increasingly adopting eco-friendly energy solutions to power ground handling operations.

In Australia, the government-owned green bank, the Clean Energy Finance Corporation (CEFC), has outlined best practices for green, sustainable energy strategies at airports. These include energy-efficient lighting, electrification of ground support equipment, and the use of renewable energy sources like solar and battery storage, as part of a broader commitment to achieving net zero carbon emissions by 2050.

Moreover, the CEFC has earmarked £35 million (A$70 million) to support the electrification of seven South Australian ports owned by Flinders Port Holdings (FPH). The decarbonisation project will include installing solar systems and replacing ICE vehicles with EV models, while examining the potential for all-electric cranes at Port Adelaide and electric refuelling infrastructure for berthed ships.

Expert Vision – Green energy push

Independent engineering consultancy, Royal HaskoningDHV, says electrifying port equipment and mobile units is a developing trend. Expansion will deliver long-term cost-savings and futureproof the industry against fuel scarcity and the unstable energy market.

The simultaneous growth of renewable energy will help mitigate the impact of rising costs and cut carbon emissions, while the installation of shore power at terminals will enable port authorities to pass carbon and energy cost-savings to ships.

Challenges and opportunities in electrifying ground handling operations

While the benefits of electrifying ground handling equipment are clear, the transition is not without its challenges. “One of the primary obstacles is the need for adequate charging infrastructure,” explains Antoniou. “Airports and ports must invest in robust charging networks to support the increased demand for electric vehicles. This includes ensuring power grids can handle the additional load and charging stations are strategically located to minimise downtime.”

Ground handling operations should view the purchase and transition to eGSEs as an investment and not an expense. In the end, the initial capital investment is offset by the long-term cost-savings and environmental benefits. Equally, governments and regulatory bodies can play a crucial role by providing incentives and subsidies to support the transition.

If you’re looking for more information on eMobility in the transport sector, read out blog on the challenges and opportunities for zero emission transport.

DLL can expedite your transition to electric mobility

The transition to electric ground handling equipment at ports and airports is a critical step towards a more sustainable future. DLL, with its extensive expertise in financing electric vehicles, can be your financial partner in helping to facilitate your switch to electric power. With our specialised eMobility team, diverse financing and leasing solutions, and comprehensive asset management capabilities, we are driving the electrification of GHE, working to provide a seamless transition across the entire value chain.

DLL’s tailored solutions support clients in achieving their sustainability goals while maintaining operational efficiency and financial flexibility. As the industry continues to evolve, DLL remains committed to driving innovation and supporting the adoption of electric vehicles in the transportation and logistics sectors.