Hitachi Rail on Track for Net Zero After Expansion

Hitachi Rail has expanded its workforce over the past year following the major acquisition of Thales Ground Transportation Systems.

Such a large-scale integration could be expected to disrupt a company’s sustainability initiatives due to the influx of new data assets and the need for revised strategies.

For Hitachi’s transport division, however, its focus on sustainability remains a priority.

Hitachi Rail has restated its objective to achieve carbon neutrality across all its business locations by 2030.

In its latest sustainability report, Hitachi Rail also confirmed its commitment to a net zero target by 2050.

This is despite the acquisition adding an estimated 484,000 tonnes of greenhouse gases to its Scope 3 emissions baseline.

"We are proud to report we have achieved an important milestone to reach our carbon neutrality across our business sites in 2030 and are on track to achieve net zero emissions across our value chain by 2050," says Giuseppe Marino, Head of Mobility Business and Group Chief Executive.

Decarbonisation in manufacturing

Tangible progress toward these commitments is evident at Hitachi Rail's manufacturing sites where facility-level projects are yielding quantifiable results.

Hitachi Rail's new plant in Hagerstown, USA, for example, operates with zero Scope 1 and 2 emissions by not using fossil fuels.

Through a power purchase agreement with Suntrail Energy, the site has 1.8MW of photovoltaic capacity which generates 2.3GWh of green energy each year.

This installation provides for approximately 60% to 70% of the plant's energy needs and reduces emissions by an estimated 870 tonnes of CO₂ annually.

Similar programmes are being implemented in Hitachi Rail's European operations.

In Italy, the electrification of three painting booths and an oven at the Reggio Calabria facility is set to reduce annual Scope 1 emissions by around 450 tonnes by 2026.

These efforts contributed to manufacturing sites in Naples, Hagerstown and Reggio Calabria achieving zero-waste-to-landfill status in FY24.

Hitachi Rail now diverts all waste from landfill at 97% of its manufacturing facilities.

Advances in battery technology

Hitachi Rail is also focused on developing technologies that assist railway operators in lowering their carbon footprint.

Hitachi Rail finished the design phase for battery-powered train prototypes and interior components in the UK during FY24.

This work builds on the experience gained from Italian regional tri-mode battery trains that Giuseppe noted "continue to operate daily".

The commercial potential of this technology was demonstrated when Hitachi Rail received its first order for 14 tri-mode intercity trains after the reporting period.

This occurs as Hitachi Rail takes part in the EU's Rail4EARTH programme, which aims for a 30% reduction in CO₂ emissions and a 120-kilometre battery range for zero-emission trains that will replace diesel models.

Digital and physical enhancements

In addition to physical infrastructure upgrades, Hitachi Rail is utilising digital systems to improve operational efficiency.

During FY24, Hitachi Rail introduced HMAX, a digital asset management platform that generates digital twins of rail networks, including trains, signalling and infrastructure.

By facilitating predictive maintenance and pinpointing optimal driving patterns, the system confronts the challenges of cost and emissions reduction.

According to Hitachi Rail, one client saw an 8% energy saving using the platform, with the potential to achieve 15% at scale.

These digital tools are enhanced by Hitachi Rail's expanded signalling knowledge from the Thales acquisition.

Dr Maiya Shibasaki, Hitachi Rail's CSO and Chief Diversity, Equity and Inclusion Officer, describes this as a strategic advantage.

"Sustainability is not just about compliance – it's a strategic business factor that fuels innovation, strengthens competitiveness and builds long-term value," she says.

This approach is further embedded within Hitachi Rail's structure, with 20% of short-term incentive compensation now tied to sustainability targets and a new BeWell framework aimed at employee wellbeing.