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23/02/2015
Reducing shipping’s carbon footprint
 
Ports have an increasingly strategic role to play in their link in the value chain between ships and shore, writes Warwick Norman, chief executive officer, RightShip.

Following the release of International Maritime Organisation’s third Greenhouse Gas study last year, it was widely reported that international shipping’s share of global CO2 emissions fell from 2.8% in 2007 to 2.2% in 2012. Good news indeed, however on closer examination this represents a drop of 10.6% - not 21.43% as it would appear at first glance. We are referencing shipping’s portion of global CO2 emissions which, as a whole, went up significantly.

The report goes on to estimate a best case 50% increase in shipping’s CO2 emissions by 2050 and a 250% increase at worst. And that takes into account expected average fleet efficiency improvements of around 40%.

There is clearly no quick or easy fix to global warming – especially in an industry that is notoriously slow to adapt, as recognised by the tongue-in-cheek adage: “the maritime industry is 200 years of tradition, unmarred by change”.

However the time for change has clearly come. Ports have an increasingly strategic role to play in their link in the value chain between ships and shore. Those demonstrating leadership and a commitment to environmental sustainability are growing in number and momentum as they implement incentive programmes that reward energy efficient vessels. These programmes influence efficiency in vessel selection and drive environmentally sustainable behaviour. The results include improved local port environs through reduced emissions, as well as significant social capital generated within local communities and the wider maritime industry.

Evaluating environmental sustainability

Established in 2001, the independent risk management organisation RightShip is dedicated to improving maritime safety and sustainability by helping avoid preventable incidents and reducing carbon dioxide emissions emitted by the world’s shipping fleet.

RightShip has two highly effective tools – both available free of charge – that provide a systematic and transparent framework for comparing the relative emissions and efficiency of ships. These tools are available to ports, enabling them to reward and encourage the more energy efficient vessels.

RightShip’s Greenhouse Gas (GHG) Emissions Rating provides information on the CO2 emissions of over 76,000 vessels. This rating calculates the theoretical amount of carbon dioxide emitted per tonne nautical mile travelled and is based on the design characteristics of the ship (eg cargo capacity, engine power, fuel consumption) at the time of build. This rating compares ships of a similar size and type using an A-G scale.

Applied to a port, the GHG Emissions Rating is used to benchmark historical arrivals over a defined period. This sets a baseline for displaying trends over time and is used by ports to demonstrate improvements in CO2 emissions from ships in port once the incentive programme is applied.

Available free of charge from, RightShip’s GHG Emissions Rating (www.shippingefficiency.org) is currently being used by almost one-quarter of the world’s global non-containerised trade who factor energy efficiency into their daily decision-making. Why do they do this? Besides a desire to reduce CO2 emissions and clean-up the planet, it’s also cheaper to run an energy-efficient ship as it uses less fuel. The global not-for-profit Carbon War Room estimates fuel-saving technology in shipping can result in over US$70bn per year, slashing more than 30% of CO2 and other pollutants entering the atmosphere. Clearly, the recent fall in fuel prices could mean that figure is overstated – for now, anyway – however the economic rationale and environmental benefits remain significant.

RightShip has also developed an Environmental Star Rating which provides a more holistic rating of a vessel’s operation. Designed to recognise performance and behaviours that are above compliance, this rating incorporates environmental casualties, positive affiliations (such as Green Awards, MEPA etc), certifications and standards, as well as recent activities such as port state control deficiencies. Utilising a 5-star metric, ships can be rated from one to five (optimal) stars.

These ratings are not a unilateral measurement applied by RightShip. Ship owners and operators can input information about their vessels to help affect environmental ratings – so verifying data, providing information on retrofits and upgrades are all taken into account when assessing a vessel’s environmental performance.

How ports can help reduce emissions

An environmental incentive programme allows ports to encourage and reward efficient vessels operating above environmental compliance. This incentive often - but not always - takes the form of reduced port fees. Numerous options for an incentive programme include Green Marine, Green Award, Environmental Shipping Index (ESI), Energy Efficient Design Index (EEDI), Clean Shipping Index (CSI) and RightShip’s GHG Emissions Rating and Environmental Star Rating.

Implementing an environmental incentive programme should be preceded by benchmarking historical arrivals. Crucial to the planning process, this data can be used to calculate a baseline for displaying trends over time and demonstrating improvements in GHG emissions from ships not only in port, but for their entire journey.

This benchmark data is then used to estimate the cost of the proposed programme, allowing it to be tailored to meet the port authority’s budget and objectives. Structuring the programme to a certain budget ensures there are no financial overruns and will provide confidence if the port authority is applying for external (eg government) funding.

Environmental incentive programmes in action

Two leading west-coast Canadian ports, Port Metro Vancouver (Canada’s second largest west coast port) and the Port of Prince Rupert have taken early steps to recognise vessels with RightShip designations. Both ports have been working within the Green Marine environmental programme in an effort to advance maritime sustainability with a common group of ports, terminal operators and supply-chain partners throughout North America.

These ports have learned through implementation of their environmental recognition programmes (Green Wave for Prince Rupert, and EcoAction for Port Metro) that collaborating with other ports and industry makes it possible to achieve greater change.

Starting small and building the programme made it easier to implement, according to Jason Scherr, manager – environmental sustainability at the Prince Rupert Port Authority. “We launched a small pilot programme in July 2013 and expanded the full Green Wave programme in January 2014. We are a growing port with small staff, and we needed to make our programme achievable and sustainable, as well as testing the process and its uptake in industry.” Figures from 2014 show just how successful the Green Wave programme has become, with almost 50% of vessels that visited the port qualifying for environmental discounts worth some CDN$114k. Of the 197 qualifying calls made in 2014 to Prince Rupert, 128 of these qualified using RightShip’s GHG Emissions Rating.

In 2013, Port Metro Vancouver updated its EcoAction Program for Ships - which provides discounted harbour dues for clean ships - to include a variety of environmental designation options including RightShip, ESI, and Green Marine.

Both Port Metro Vancouver and Prince Rupert have strengthened and developed their recognition programmes since inception. Common qualifying criteria in 2015 includes achieving an ‘A’ in RightShip’s GHG Emissions Rating qualifies for the top tier in Prince Rupert’s Green Wave programme, as well as the highest discount in Port Metro Vancouver’s EcoAction programme.

Feedback from ports who have embarked on these initiatives is emphatic. “We’re proud to be accelerating the shipping industry’s movement towards greater efficiency and sustainability using the GHG Emissions Rating. Since launching our Green Wave vessel incentive programme in 2014, RightShip has been an exemplary qualifying measurement that has allowed vessel charterers and owners to take advantage of significant discounts to harbour dues at the Port of Prince Rupert” says the port’s president and CEO, Don Krusel. “The support we have received through our partnership with RightShip has been integral to the success of the programme. Our recognition of environmental performance is encouraging the adoption of similar practices across the global shipping industry.”

Likewise, Ronan Chester, manager, strategic environmental initiatives at Port Metro Vancouver, says: “Since launching the EcoAction programme in 2007, the port has seen significant progress in raising awareness of the importance of low-emission ship operations – we’ve progressed from humble beginnings to a well-established programme with substantial participation and international recognition. The challenge will be in adapting the recognition programme to evolving industry conditions and practices. For example, sulphur dioxide used to be the primary emissions target, but as SOx emissions have been decreasing we are now seeing a trend toward focussing on greenhouse gas emissions reductions which introduces new challenges and opportunities – the inclusion of RightShip into our programme was a way to recognise ships that are reducing GHG emissions."

Let’s hope the leadership and common vision of Port Metro Vancouver and Prince Rupert Port Authority inspires other ports to implement their own environmental initiatives.


source: greenport