Climate Change
Reducing GHG emissions across our fleet and leading the industry to a more sustainable future
Cargill is committed to reducing greenhouse gas (GHG) emissions across our fleet and to leading the maritime industry to a more sustainable future.
The International Maritime Organization (IMO) set a target in 2018 to reduce total GHG emissions from shipping by at least 50% by 2050 compared to a 2008 baseline - a task comparable with halving the emissions of a country the size of Germany. This includes reducing the carbon intensity of ships by at least 40% by 2030. To achieve this, industry leaders believe that Zero Emission Vessels (ZEVs) need to be operational and on the water by 2030, meaning that radical changes are required.
1.5 million tons of gross CO2 emissions saved since 2017
Cargill charterers a fleet of around 650 vessels at any one time. We have made reducing our GHG emissions a priority, saving almost 1.5 million metric tons of gross CO2 emissions since 2017. We have achieved this by selecting younger and better rated vessels, using digital tools to optimize vessel performance and operations, and retrofitting Energy Saving Devices (ESDs) onto some of our fleet (we have now invested more than 3 million USD in retrofitting ESDs onboard some of our vessels since 2019).
Reduced carbon intensity across all vessel sizes
Over the last four years we have reduced the carbon intensity across all vessel sizes. In 2020 Cargill reported per vessel category for this first time, moving towards the Sea Cargo Charter (SCC) reporting standards. The SCC is a new framework for assessing and disclosing the climate alignment of ship chartering activities that is in line with the IMO’s target of reducing greenhouse gas (GHG) emissions from global shipping by 50% by 2050, launched by the Global Maritime Forum.
More voyages, similar cargo volume, significantly less CO2 emissions
Our fleet continually evolves in line with our business strategy. Over the last four years we increased the number of smaller size vessels, resulting in a higher number of voyages each year compared to the previous year. Despite this, we significantly reduced our CO2 emissions whilst still carrying a similar total volume of cargo.
Despite increasing the total number of the time-charted (TC) voyages in 2020, we significantly reduced our CO2 emissions against 2019, demonstrating the growing impact of our continued efforts to operate a more energy-efficient fleet.
Percentage change against previous year for number of vayages and CO2 emissions
Over the last three years we have carried a similar volume of cargo and continually increased the number of TC voyages due to our fleet's evolution, yet decreased our fuel consumption and gross CO2 emissions against 2017.
Gross CO2 emissions, TC voyages and cargo transported 2017-2020
New partnerships and services to accelerate decarbonization
Cargill is actively growing our parceling service. The bigger the ship, the better the economies and efficiencies of scale. We provide a service that combines cargoes from multiple customers on larger vessels, reducing emissions by 25 to 30 per cent per delivered ton of cargo.
Cargill is a strategic partner and investor of ZeroNorth, a tech start-up that provides digital tools that improve vessel performance and reduce fuel consumption.
We have a strategic collaboration with Maersk Tankers and Mitsui & Co. that encourages owners and charterers to work closer together to reduce emissions by retrofitting cost-effective solutions that reduce fuel consumption. The project has a long-term objective of providing “over-the-shelf” solutions for maritime industry actors looking to explore new technologies to reduce their emissions.
Cargill has also partnered with BAR Technologies and naval architect Deltamarin to combine world-class yacht racing design and technology to use wind propulsion to reduce CO2 emissions from commercial shipping by as much as 30%. Find out how WindWings operate by visiting our Virtual Showroom and watch the video to learn about this exciting partnership (*please note that the Showroom is not designed for viewing on mobile devices).
Cargill was a founding member of the Maersk Mc-Kinney Moller Center for Zero Carbon Shipping in Copenhagen, Denmark. The center focuses on developing new fuel types and technologies in collaboration with leading global players across the world. Cargill is working to increase the viability and scalability of biofuels for the maritime industry, as biofuels form an essential part of the energy mix as the world transitions to low and carbon-neutral fuels.
Our 2050 pathway to zero
The scale and complexity required to fulfill the IMO’s 2050 target will require a series of incremental changes as shipping – and the energy sector – transitions to carbon-neutral. Cargill sees this as a journey and we have developed a 2050 Pathway to Zero.