rss icon Subscribe
desktop mobile

Cargill Steps Up Push to Cut Carbon Emissions from Shipping Fleet

© xy / Adobe Stock

By Jonathan Saul

Cargill, one of the world's biggest charterers of ships, has cut nearly 1.5 million tonnes of gross carbon emissions from its fleet since 2017, a top company executive said, as it steps up efforts to go green.

With about 90% of world trade transported by sea, global shipping accounts for nearly 3% of the world's CO2 emissions.

The United Nations aims to reduce the industry's greenhouse gas emissions by 50% from 2008 levels by 2050. This target will require the swift development of zero or low emission fuels and new designs for ships.

Cargill achieved an overall reduction of 5% in CO2 emissions per cargo tonne-mile by 2020 against a 2016 baseline, the U.S. agribusiness giant said.

When broken down into specific ship segments, the reduction was higher on a 2016 basis. For instance, the larger panamax dry bulk ships had a 6.7% decrease in CO2 emissions and for tankers it fell by 14.4%, Cargill data showed.

The cuts have been achieved partly through investing more than $3 million in retrofitting energy saving devices onboard some vessels and partnering with startup ZeroNorth, which provides digital technology to improve vessel performance and reduce fuel consumption.

"Saving fuel is going to be good in every scenario and we will continue to be pushing very hard for that," Jan Dieleman, president of Cargill's ocean transportation division, told Reuters.

"It's really focusing on trying to get more out of the current fleet and there is a lot more to be done."

Cargill's gross CO2 emissions fell to 7.102 million tonnes in 2020 from 7.371 million tonnes in 2019, 7.382 million tonnes in 2018 and 7.732 million tonnes in 2017.

Cargill charters between 600 to 700 vessels, of which 90% are for dry bulk and the rest are for tankers.

Cargill is also working with technology partners to fit sails on selected vessels, which will cut carbon emissions by up to 30% through harnessing wind power.

Dieleman said the first vessel to be fitted with sails was expected to be ready next year.

To reach the UN's goals for shipping, industry leaders say the first net-zero ships, using alternative fuels, must enter the global fleet by 2030.

Dieleman said Cargill was also working jointly with separate partners on researching the fuels of future, which he said was not something that "any company on its own should be figuring out".


(Editing by Jane Merriman)

Apr 30, 2021

 

Tankers

DNV Certifies NYK's Online Cargo-handling Training

On February 3, NYK released the NYK Group ESG Story,*** which aims to further accelerate the integration of ESG into the company’s management strategy. This online cargo-handling training achieves this ambition. To strongly promote ESG management, NYK is encouraging new value creation as a sustainable solution provider.

Cargo-handling simulator training for liquefied natural gas (LNG) carriers and oil tankers

Second Jones Act Waiver Granted to Citgo After Colonial Outage

© Ernest Prim / Adobe Stock

The Biden administration granted oil refiner Citgo Petroleum a maritime shipping waiver allowing

Jones Act Waiver Granted to Valero After Colonial Shutdown

© Nightman1965 / Adobe Stock

U.S. refiner Valero Energy Corp was granted a Jones Act waiver, sources familiar with the matter

Bulk Carriers

Taiwan Navigation Selects Inmarsat's Fleet Connect

© Max Wei / MarineTraffic.com

Mobile satellite communications company Inmarsat said JRC (Japan Radio Company Co. Ltd.

A Newbuild VLOC is the First Wind-powered Bulk Carrier

(Photo: Vale)

Brazilian miner Vale expects to soon put into service the first-ever bulk carrier propelled

Baltic Dry Index Hits Near Two-week Low

© Victor Ketal / Adobe Stock

The Baltic exchange's main sea freight index fell to a near two-week low on Thursday pressured by

Maritime Apps