The latest annual TIACA Air Cargo Industry Sustainability Survey, organized in conjunction with consultancy Change Horizon, revealed that 55% of the 204 respondents said that the pressure to invest in sustainability had increased in 2021 compared with a year ago, although this is three percentage points down on the previous survey.

The drivers for being sustainable are also changing with its importance to customers, employees, business partners and local community decreasing slightly, while importance to shareholders and regulators was on the rise (see charts below).

Other key findings in the survey were that 85% of respondents felt that Covid-19 had a positive or neutral impact on the industry’s sustainability agenda and 73% declared they have a sustainability strategy in place.

However, “only” 52% (down nine percentage points compared to 2021) have at least one dedicated person in charge of delivering the sustainability agenda and just 37% (-6 percentage points v 2021) have a specific budget.

Also, 60% of the companies confirming they have a dedicated sustainability budget said this had increased on the previous year but “only” 50% of corporates in the air cargo industry share their sustainability performance externally, which TIACA said is well below the global trend of 80% of companies worldwide.

TIACA director general Glyn Hughes said: “The second TIACA Air Cargo Sustainability Report confirms the industry is ramping up its action to run business in a way that does not degrade the environment and brings benefits to society.

“However, while the leadership is now paying attention to the sustainability agenda, there is still a long way to go as the resources and budgets to push it forward are still very scarce.

“The pressures on this industry to prioritize sustainability are ever increasing as customers, employees, business partners, and increasingly, investors and regulators are asking air cargo businesses for their sustainability credentials.”

On sustainable aviation fuels (SAF), while less than a third of respondents are actively involved in SAF deployment, a “striking third feel it doesn’t apply to them”.

TIACA urges all air cargo businesses to set up concrete targets to accelerate their sustainability transformation; measure progress made by collecting data and facts regularly; communicate on achievements with transparency; and get recognized for the progress made by embarking on TIACA’s Sustainability Assessment, Validation and Verification Programme, currently under development.

Source: www.aircargonews.com

Image: www.pixibay.com

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With about 90% of world trade transported by sea, global shipping accounts for nearly 3% of the world’s CO2 emissions. So far, the industry has avoided the EU’s system of pollution charges.

Under proposals announced in July 2021, shipping would be added to the European Union Emissions Trading System (ETS) from 2023 phased over a three-year period, a move designed to spur emissions cuts from the sector.

A study by environmental group Transport & Environment (T&E) said that the proposals, which will be negotiated in Brussels this year, exclude ships below 5,000 GT (gross tonnage), which include small offshore supply ships that service the oil and gas industries. Fishing and military vessels would also be exempt.

T&E said the loopholes would mean that some 25.8 million tonnes of CO2 would not fall under the ETS, meaning that roughly 20% of the 130 million tonnes emitted annually by shipping in the bloc would be excluded.

Jacob Armstrong, sustainable shipping officer at T&E, said the proposals were “based on arbitrary loopholes” and would let “too many heavily polluting vessels off the hook”.

“The EU must rethink its shipping laws,” he said.

A European Commission official said the 5,000 GT threshold aimed “to minimize administrative burden for companies”, especially for small and medium-sized enterprises, “without jeopardizing the objective to cover the vast majority of greenhouse gas emissions from the sector”.

Peter Liese, the European Parliament’s lead negotiator on the ETS reforms, told Reuters that he was looking at the issue raised by T&E ahead of negotiations on the policy.

The Commission official said its proposal was aligned with the emissions covered by an existing regulation on the monitoring, reporting and verification (MRV) of emissions from maritime transport.

Ships above 5,000 GT accounted for around 55% of the vessels calling into EU ports and around 90% of the related emissions, the 2015 MRV regulation showed.

Ship owners will have to buy permits under the ETS when their ships pollute or face possible bans from EU ports.

Source: www.marinelink.com

Image: www.pexels.com

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Shipping, which transports about 90% of world trade and accounts for nearly 3% of the world’s CO2 emissions, is under growing pressure from environmentalists to deliver more concrete action including a carbon levy.

The International Maritime Organization (IMO), the UN’s specialist shipping agency, has said it has made progress on short-term greenhouse gas (GHG) reduction measures.

But that timeline is not seen as fast enough by environmentalists and a number of the IMO’s 175 member countries.

“At the MEPC (IMO committee) meeting in June next year there will be a lot of heat and pressure on regulators to ensure that they come prepared to negotiate a solution rather than kicking the can down the road because of misalignment or negotiation tactics. It is really not acceptable,” said Christian Michael Ingerslev, chief executive of Maersk Tankers.

Last month countries including the United States at the COP 26 climate summit pushed for the IMO to adopt a zero emissions target by 2050.
So far, its goal is to reduce overall GHG emissions from ships by 50% from 2008 levels by 2050.

“As far as the IMO is concerned, the negotiations process in 2022 will likely be very slow and onerous,” said Faig Abbasov with green group Transport & Environment.

“The problem is in the very belief that a U.N. organisation with 175 members can come together and take tough decisions to decarbonise an entire economic sector.”

The IMO said concrete progress was made in 2021 on combating climate change including new regulations to improve the energy efficiency of the world fleet, adding that it would “work very hard” next year on the development of a revised GHG strategy, which will be finalised in 2023.
“Where this is willingness to act, then processes can move faster,” said Roel Hoenders, head, air pollution and energy efficiency with the IMO.
A proposal submitted at the IMO to create a $5 billion research and development fund to find the right technology to meet the targets is still under discussion with further talks kicked forward to next year.

Underscoring the challenges ahead will be the impact on poorer countries such as Pakistan.

While the country was a small carbon emitter, climate change had “directly impacted us hard”, Pakistan’s Federal Minister of Maritime Affairs Ali Haider Zaidi said.

“Developing countries cannot afford to spend on the type of infrastructure needed and therefore, developed countries must support the process at the IMO,” he told Reuters referring to the R&D fund.

Financing the path ahead is another hurdle. Shipping will need $2.4 trillion to achieve net-zero emissions by 2050, with around $500 billion required by 2030, according analyst estimates.

“Certainly, the European banks at least and not far behind the American banks will have to meet criteria that satisfy sustainable finance,” said Tony Foster, chief executive of specialist asset manager Marine Capital.

“When it comes to new assets it is going to be increasingly difficult to fund anything that does not quite qualify and the same will be true, perhaps even more so, with existing assets.”

Darren Maupin, founder of leading fund manager Pilgrim Global, said companies in the shipping sector were grappling with how to secure finance with more ESG pressure.

“Capital is afraid – how do you invest in a 25-year asset when you have no idea what the IMO is going to do in five years,” Maupin said.
“The industry has a far reduced ability to build ships and limited capital available to do so. Simple supply-demand suggests rates are going to be higher and the industry is going to have to generate more capital to fund itself.”

Source: www.marinelink.com

Image: www.pexels.com

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Airseas said it has installed its Seawing system on the vessel Ville de Bordeaux owned and operated by Louis Dreyfus Armateurs. The ship, which is chartered by Airbus to transport major aircraft components between France and the U.S., will deploy the 500-square meter Seawing on its monthly transatlantic journeys from January 2022, conducting six months of sea trials and testing ahead of its full operation.

Airseas has received formal approval from classification society Bureau Veritas to begin operations at sea, following three years of close collaboration on the development and early trials of the Seawing.

According to Airseas, a French company founded in 2016 by former Airbus engineers, its Seawing system combines kite technology with an automated flight control system and can be safely deployed, operated and stored at the push of a button. It can be retrofitted on a ship in two days.

Airseas’ full size Seawing is a 1,000-square-meter parafoil which flies at an altitude of 300 meters, capturing the strength of the wind to propel the vessel. Based on modeling and preliminary testing on land, Airseas estimates that the Seawing system will enable an average 20% reduction in fuel consumption and greenhouse gas emissions, the company said.

Vincent Bernatets, CEO and Co-Founder of Airseas, said, “A decade ago, we embarked on the ambitious project of channeling our unique aviation expertise towards creating a cleaner and more sustainable shipping industry. Today, I am beyond proud to see that vision becoming reality, with our first Seawing ready to make a tangible difference for our planet. This first installation marks a significant milestone not only for Airseas, but also for wind and other renewable propulsion technologies in general. Given the urgency of the climate crisis, the world needs to see a drastic reduction in carbon emissions now. In shipping, we can achieve this by using the full set of tools we have available to us today. Wind propulsion is one of these and will play an essential role in helping shipping achieve its much-needed decarbonization transition.”

Laurent Leblanc, Senior Vice President Technical & Operations at Bureau Veritas Marine & Offshore, said, “This important milestone follows three years of close and fruitful collaboration on the development and early trials of the Seawing, supporting Airseas’ safety-first approach and validating the reliability of the system. As a class society, Bureau Veritas has a key role to play to support safe innovation, and this is why we have developed comprehensive rules on wind propulsion systems earlier this year. At BV, we are dedicated to help the maritime sector navigate the challenges of the energy transition, and we fully believe that wind propulsion technology represents a key opportunity to start decarbonizing the maritime sector immediately.”

Source: www.marinelink.com

Image: www.pexels.com

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According to the latest UN estimate, cargo ships carry 10.7 billion tones of cargo in the oceans each year. Almost all carriers have so far used fossil fuels, which currently account for 2% -3% of global carbon dioxide emissions. This means that if the shipping industry were a country, it would be the sixth largest emitter of carbon in the world. If shipping companies do not take additional measures to reduce emissions in the coming years, the sector’s CO2 emissions are projected to increase by 50-250% by 2050.

Carbon emissions are one of the main causes of adverse climate change, including rising average air temperatures and increasing rainfall, which in turn is accelerating the melting of ice, increasing salinity and water levels in water bodies, and increasing coastal erosion.

To prevent the world from reaching a climate crisis, many industries, including logistics, are looking for effective ways to reduce their negative impact on nature.

The goal is to become a carbon neutral industry

At present, maritime freight companies are ambitiously moving towards the goal of becoming a carbon-neutral industry. However, this is not a one-day issue, and carbon emissions need to be reduced gradually to reach this goal. The International Maritime Organization (IMO) has set a target of reducing total international GHG emissions from international shipping by at least 50% by 2050 compared to 2008.

The decarbonization of the shipping industry will not only help reduce the sector’s negative impact on the environment but will also help to achieve other climate-related goals, such as the switch to renewable fuels by 2050. The Environmental Defence Fund estimates that this could boost up to $ 6 trillion in renewable energy infrastructure worldwide.

The first steps towards the goal

The Danish freight company Maersk has taken the first serious step towards decarbonization. The company has announced the purchase of eight cargo ships that will run on methanol, reducing CO2 emissions by 1 million tones. This decision follows the carrier’s commitment to become a fully climate-neutral company by 2050.

Maersk is not the only industry to start realizing its ambitions to become an environmentally friendly company. Similar decisions have been made by other companies, such as DHL and UPS, which offer their customers the option of delivering orders using sustainable fuels for a fee. Amazon, meanwhile, signed a commitment in October with companies such as Ikea and Unilever to make sure that by 2040 they could only transport goods on carbon-free ships.

Choice or necessity?

Over the last five years, the number of players in the logistics, freight and shipping sectors that are moving towards a greener future is growing, and the above companies are just some of the players in the logistics sector who have already made their first choice in favor of decarbonization. That, of course, is to be welcomed, but before companies are praised and put on the podium, it would be important to understand their motivation. Here are some facts that can help you find the answer to this question!

A study on corporate social responsibility conducted in 2017 found that consumers today increasingly choose companies that adhere to the principles of sustainable business. 87% of people are more positive about companies trying to reduce the environmental impact of their industry in various ways. In turn, 88% of respondents trust service providers to contribute to the fight against social and environmental issues. The research data show that the position of companies on environmental issues is especially important for the younger generation of adults and millennials. This means that promoting an environmental awareness plan is an effective strategy to increase customer purchases, gain trust and maintain loyalty.

Account must also be taken of the fact that the goal of making shipping an environmentally friendly industry is being set not only by companies or leading associations, but also by countries. For example, from 2030, Norway has committed to purchase only those cargo ships that will have access to zero-emission technologies. Norway’s climate strategy also provides for an international ban on the use of non-climate-neutral fuels from 2050 onwards. This, in turn, could mean that the demand for water transport that is not fueled by this type of fuel will fall sharply over the years.

Under the EU Emissions Trading Scheme, which will be phased starting 2023, the European Union (EU) will also start regulating shipping emissions. In addition, legislation is being proposed requiring shipping companies to pay for the carbon dioxide emissions they emit when traveling to, from and between EU ports.

These are just some of the facts that make it clear that the noble step towards climate-neutral action is not only a free choice of companies, but also a strategic step in gaining customer loyalty and surviving at a time when tackling the climate crisis is a top priority. As the Latvian poet Rainis wrote: “Only that which remains in constant change, shall persist!”

Author: Roland Peterson, logistics expert

Image: www.pexel.com

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Shipping, which transports about 90% of world trade, accounts for nearly 3% of the world’s CO2 emissions.

U.N. shipping agency the International Maritime Organization (IMO) has said it aims to reduce overall greenhouse gas emissions from ships by 50% from 2008 levels by 2050. The goal is not aligned with the 2015 Paris Agreement on climate change and the sector is under pressure to be more ambitious.

The signatory countries involved in the ‘Clydebank Declaration’, which was launched at the COP26 climate summit in Glasgow, agreed to support the establishment of at least six green corridors by 2025, which will require developing supplies of zero emissions fuels, the infrastructure required for decarbonization and regulatory frameworks.

“It is our aspiration to see many more corridors in operation by 2030,” their mission statement said.

Britain’s maritime minister Robert Courts said countries alone would not be able to decarbonize shipping routes without the commitment of private and non-governmental sectors.

“The UK and indeed many of the countries, companies and NGOs here today believe zero emissions international shipping is possible by 2050,” Courts said at the launch.

U.S. Transportation Secretary Pete Buttigieg said the declaration was “a big step forward for green shipping corridors and collective action”.

Buttigieg added that the United States was “pressing for the IMO to adopt a goal of zero emissions for international shipping by 2050”.

The IMO’s Secretary General Kitack Lim said on Saturday “we must upgrade our ambition, keeping up with the latest developments in the global community”.

Industry needs regulatory help
Jan Dieleman, president of ocean transportation with agri business giant Cargill, one of the world’s biggest ship charterers, said “the real challenge is to turn any statements (at COP26) into something meaningful”.

“The majority of the industry has accepted we need to decarbonize,” he told Reuters.

“Industry leadership needs to be followed up with global regulation and policies to ensure industry-wide transformation. We will not succeed without global regulation.”

Christian Ingerslev, chief executive of Maersk Tankers, which has over 210 oil products tankers under commercial management, said it had spent over $30 million over the last three years to bring their carbon emissions down through digital solutions.

“We need governments to not only back the regulatory push but also to help create the zero emissions fuels at scale,” he said.

“The only way this is going to work is to set a market-based measure through a carbon tax.”

Other signatory countries are Australia, Belgium, Canada, Chile, Costa Rica, Denmark, Fiji, Finland, France, Germany, Republic of Ireland, Japan, Marshall Islands, Netherlands, New Zealand, Norway and Sweden.

Source: www.marinelink.com

Image: www.pexel.com

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Ahead of the entry into force of the Energy Efficiency Existing Ship Index (EEXI) and Carbon Intensity Index (CII) regulations in 2023, many vessel owners are looking to engine power limitation as a solution. ABB and HGS say optimizing engines for part-load operation is a reliable and economically feasible solution to minimize environmental impact and improve the operational efficiency of vessels. The partners add that EPLO can help shipowners find the optimum power range for their engine power limitation, optimize combustion within the reduced load range and reduce fuel consumption, emissions and maintenance costs.

HGS Managing Director of Green Engineering Sales, Sung Ki Ahn, said, “This strategic technical alliance in response to IMO’s new regulations will offer excellent value to our shipowner customers as they aim to reduce emissions and improve efficiency. We are delighted to be able to draw on ABB’s wide experience and understanding of turbocharger and engine tuning.”

ABB Turbocharging Head of Global Service Sales, Dirk Balthasar, said, “We see part-load optimization as an important part of maximizing the benefit of engine power limitations and ensuring that the engine system operates optimally at its new loading. With HGS’ engine technical service capabilities and experience of project management, and ABB’s turbocharging know-how, upgrade capabilities and unique software solutions, this partnership offers a holistic solution that will be hard to find elsewhere.”

HGS and ABB will provide a full, turnkey package covering engines, turbocharger retrofit solution and NOx certification (liaising with classification societies), supported by digital solutions to monitor the in-service performance of engines and turbochargers. The companies can offer several forms of optimization targeting specific customer needs and vessel operating profile. This ranges from installing wastegates to engine derating or turbocharger cut-out. In each case ABB and HGS can fully manage the project autonomously.

The service also enables shipowners to optimize operations on an ongoing basis with the inclusion of ABB Ability Tekomar XPERT, an engine diagnosis solution. The tool offers personalized advisory based on real-time, in-service data that helps shipowners to further reduce fuel costs and CO2 emission.

Source: www.marinelink.com

Image: www.pexel.com

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This year, Scottish renewable energy firm, Sustainable Marine will deliver the first development phase of the Pempa’q In-stream Tidal Energy Project, located in the Bay of Fundy on the east coast of Canada

The first phase consists of a 420kw PLAT-I tidal energy platform, and Norway-based Seasystems has been commissioned to supply adjustable mooring tensioners. Lying on the seabed, these are attached to the anchors that hold the power station in place in the strong tidal current – connecting the anchor chains with the anchors.

Seasystems MD, Torkjell Lisland, said: “This is the first mooring contract we (have) secured within floating tidal power, representing an important breakthrough for the company.”

Teaming up with Swift Anchors

Seasystems has joined forces with Swift Anchors, a division of Sustainable Marine, in developing a unique hybrid mooring connector and anchor solution, specifically targeting wave, tidal, floating wind, floating solar, ocean thermal energy conversion, deep water aquaculture and other challenging anchor applications. This new solution, applied to the Pempa’q project, involves the integration of Seasystems’ adjustable mooring tensioners with Swift Anchors’ broad anchor product portfolio – including groutless rock Anchors, screw anchors, drag embedment anchors and grouted self-drilling piles.

When completed, the project will provide up to 9MW of electricity to the province’s power grid. This is enough to power around 3,000 homes and will reduce greenhouse gas emissions by 17,000 tonnes of CO2 annually.

Source: www.maritimejournal.com

Image: www.pexels.com

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