H&M Group first to trial Maersk's carbon-neutral transport
A new carbon neutral product – the first of its kind in the industry - is being piloted by the world's largest container shipping company Denmark-headed A.P Møller – Maersk, with select customers who are highly engaged in sustainable solutions for their supply chain. Sweden-headed global fashion major H&M Group is the first company to trial it as part of the shift towards carbon-neutral transportation.
According to a statement, the biofuel in the pilot project is the same blend of used cooking oil (UCO) and heavy fuel oil (HFO) which has been tested and successfully validated in a recently conducted trial sailing conducted in collaboration with the Dutch Sustainability Growth Coalition (DSGC), and Shell earlier this year. It is certified as a sustainable fuel by the International Sustainability & Carbon Certification (ISCC) body.
The biofuel trial on board Mette Maersk has proven that decarbonized solutions for shipping can already be utilized today, both technically and operationally. While it is not yet an absolutely final solution it is certainly part of the solution and it can serve as a transition solution to reduce CO2 emissions today. With the launch of this product, Maersk seeks to help our customers with their goal of moving to sustainable supply chains, explained Søren Toft, Maersk COO.
The biofuel to be utilized is carbon neutral and provides, H&M Group the ability to reduce their transport and logistics emissions towards their aspiration of carbon neutrality when accounting for only the emissions from the vessel.
The Roundtable on Sustainable Biomaterials (RSB) will provide a procedure to ensure carbon savings are accredited to our customers appropriately.
When taking a full lifecycle view including also all emissions from upstream production and transportation, the fuel entails savings of 85 percent compared to conventional bunker fuel.
Develop market and suite of options
The goal of such pilot projects is to unlock the potential of sustainable fuels so they become a commercial reality.
Our high ambition to become climate positive by 2040 requires cooperation and engagement from all parties in the supply chain. We want to use our size to be a force for good and enable scaling innovative solutions, such as the carbon-neutral ocean product, for a greener commercial transport, said Helena Helmersson, COO H&M Group.
The experience from the biofuel pilot project will be used to support a broader product offering and continue to co-develop and facilitate the uptake of solutions that will help bring about more cost-efficient carbon-neutral options for carbon-neutral transportation.
Today the shift away from fossil fuels can be expensive for shippers. Ensuring the wide-scale adoption of carbon neutral solutions, therefore, requires technical innovation and supportive global policies.
We believe this is the only commercially viable path to make the required investments our industry requires to reach the carbon neutral target. We are so pleased to see a significant shift in sentiment and involvement from customers, fuel suppliers, equipment manufacturers, and competitors towards sustainable solutions, Toft emphasized.
Shipping remains the most carbon-efficient means of global transport today but accounts for 2-3 percent of global emissions, which will continue to grow if left unchecked by industry leaders and policymakers.
Maersk says that it will continue to facilitate, test, and develop low-carbon solutions.