Sea Cargo Charter: Industry giants disclose the climate impact of their shipping activities

For the first time, some of the world’s largest energy, agriculture, mining and commodity trading companies are publishing the climate alignment of their shipping operations and have access to new data that will allow them work with their business partners to drive efficiency and reduce carbon emissions. and align their charter activities with climate action goals.

Photo: Ocean Freight Charter

On June 15, charterers and vessel operators representing more than 15% of total bulk cargo transported by sea in 2021 are honoring their commitment to the Sea Freight Charter, a global framework to align vessel chartering activities with the objectives of the company.

Charter signatories commit to measuring and publicly disclosing the alignment of their chartering activities with the ambition to reduce total GHG emissions from international shipping by at least 50% by 2050, as indicated by the International Maritime Organization (IMO).

“Through unprecedented levels of data sharing, we better understand the climate impacts of our business activities at a much more granular level, and can underpin operational and strategic decision-making with real data,” John Dielemanpresident of Cargill Ocean Transportation and president of the Sea Cargo Charter Association, said.

“Signatories to the Sea Freight Charter have a variety of backgrounds and activities and this report holds us accountable to our goals and empowers all of us to play our part in addressing the environmental impacts of global maritime trade on people and society. planet.”

The Sea Cargo Charter Annual Disclosure Report 2022 reveals the climate alignment scores of 25 charterers and operators and provides an overview of the current status of the shipping industry’s progress against the IMO’s goal to reduce emissions shipping by at least 50% by 2050.

Signatories reporting this year are ADM, Anglo American, Bunge, Cargill, COFCO International, Copenhagen Commercial Platform (CCP), Diamond Bulk Carriers, Dow, Eagle Bulk, Enviva, Equinor, Gunvor, Holcim Trading, Klaveness Combination Carriers, Louis Dreyfus Company , Maersk Tankers, Norden, Nova Marine, NYK Bulkship (Atlantic), Shell, Signal Maritime Services, Tata Steel, Torvald Klaveness, TotalEnergies and Trafigura.

Signatories who joined the Sea Freight Charter after September 2021 are not required to report until 2023.

“The first report of Climate Alignment Scores is an important milestone for the Sea Freight Charter, as well as for individual signatory companies. This report represents several months of effort and collaboration between the signatories and our business partners. We are on a path that will allow us to reduce our climate impact year after year, and this first result is a huge step in the right direction. We invite all responsible operators and charterers to join us on this journey,” Rasmus Bach Nielsenglobal head of fuel decarbonization at Trafigura and vice president of the Sea Cargo Charter Association, noted.

The report includes emissions data collected by signatories from vessel owners and operators for charter activities in 2021 and compares it to a decarbonization trajectory for the same year. This shows that 12 of the 25 reporting signatories are aligned with the International Maritime Organization goal for their segments.

The report also contains shippers’ comments on the key takeaways from their climate assessment and thoughts on how this new vision has influenced and will inform their business activities in the future.

Building on the growing global momentum for climate action and climate risk disclosure, the Sea Freight Charter was launched in October 2020 with 17 signatories. Today, the number of signatory companies has increased to 33.

“As signatories of the Sea Cargo Charter, we are committed to transparently reporting the emissions generated by our chartering activities based on the data collected. This report demonstrates our commitment to help decarbonize shipping, and it’s just the start of an exciting journey,” the signatories said in the report.

The 2022 Annual Disclosure Report was produced by the Global Maritime Forum, which provides secretariat services for the Sea Freight Charter, with expert support provided by UMAS and Smart Freight Centre.

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