A group of the world’s largest energy, agriculture, mining and commodity trading companies will for the first time assess and disclose emissions from their shipping activities
Seventeen of the world’s largest corporations that use cargo shipping services have become founding members of the Sea Cargo Charter.
Signatories – including Archer-Daniels-Midland, Anglo American, Bunge, Cargill Ocean Transportation, COFCO International, Dow, Equinor, Gunvor Group, Klaveness Combination Carriers, Louis Dreyfus Company, Norden, Occidental Petroluem, Shell, Torvald Klaveness, Total, Trafigura and Ørsted – have committed to measuring their greenhouse gas (GHG) emissions intensity and the total GHG emissions of their chartering activities on an annual basis.
The companies said they will assess their "climate alignment" based on an "industry-appropriate methodology, relative to established decarbonisation trajectories".
Chair of the Sea Cargo Charter drafting group and president Cargill Ocean Transportation, Jan Dieleman said “A standard greenhouse gas emissions reporting process will simplify some of the complexities often associated with reporting. It will encourage a more transparent and consistent approach to tracking emissions, which will be a critical part of making shipping more sustainable.”
In addition, signatories have commited to making compliance with the Sea Cargo Charter contractual in their new chartering activities and will report on their chartering activities on an annual basis using a scoring system. All scores will be published annually by the Secretariat of the Sea Cargo Charter a statement from the group said.
The group said the Sea Cargo Charter sets a new benchmark for responsible shipping, transparent emissions reporting and improved decision making in line with the UN’s decarbonisation targets. It is applicable to bulk ship and other charterers, those with an interest in the cargo on board and any disponent owners in the charterparty chain.
Global Maritime Forum head of projects & programmes Johannah Christensen said “The Sea Cargo Charter enables leaders from diverse industry sectors to use their influence to drive change and promote shipping’s green transition by choosing maritime transport that is aligned with agreed climate targets over that which is not.”
The group said its charter is intended to evolve over time as IMO adjusts its policies and regulations and when further adverse environmental and social impacts are identified for inclusion.
The development of the Sea Cargo Charter has been led by global shippers – Anglo American, Cargill Ocean Transportation, Dow, Norden, Total, Trafigura – and leading industry players – Euronav, Gorrissen Federspiel, Stena Bulk – with support provided by the Global Maritime Forum, Smart Freight Centre, University College London Energy Institute/UMAS, and Stephenson Harwood.
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