Maersk ECO delivery would reduce global greenhouse gas (GHG) emissions footprints through certified low emission fuel for ocean shipping, as an alternative to fossil fuels.
A.P. Moller – Maersk (Maersk) and Amazon have finalised a 2023-2024 agreement for the transport of 20,000 FFE containers using green biofuel through Maersk’s “ECO Delivery” ocean product offering. Maersk estimates this purchase will contribute to a reduction in 44,600 metric tons of CO2e vs the standard bunker fuel, roughly equivalent to 50 million pounds of coal burned. This is the fourth consecutive year that Amazon and Maersk have arranged container shipping using low GHG fuel options.
The ECO Delivery biofuel option offers emission reductions that enable immediate and externally verified GHG savings for customers, without compensatory measures like offsetting. This year, Amazon will benefit from a new feature of the ECO Delivery product which will be enabled by using green methanol in addition to bio diesel as a second green fuel in the vessel fleet. ECO Delivery is using primary data for fuel consumption in the methodology to report emissions savings with greater precision, inclusive of other greenhouse gases in addition to CO2. The new model would also provide price certainty and stability and would be de-linked from the fossil fuel market.
Co-founded by Global Optimism and Amazon, the Climate Pledge is powered by over 400 companies in 38 countries around the globe. The pledge is a commitment to reach net-zero carbon emissions by 2040. Signatories agree to 1.) Measure and report greenhouse gas emissions on a regular basis, 2.) Implement decarbonisation strategies in line with the Paris Agreement, and 3.) Neutralise any remaining emissions with credible offsets. Maersk defines ’green fuels’ as fuels with low to very low GHG emissions over their life cycle, compared to fossil fuels. Maersk green fuels and its supply chain are verified by the International Sustainability and Carbon Certification (ISCC). The methodology for accounting emissions is based on GLEC (Global Logistics Emissions Council) and is certified by Smart Freight Center, and is audited by PwC in accordance with the International Standard of Assurance Engagements 3410 (ISAE 3410 – Assurance Engagements on Greenhouse Gas Statements), showing CO2 savings for the scope of the Maersk ECO Delivery agreement.
Source Link – Maersk Finalizes ECO Delivery Deal with Amazon | Press Release | Maersk
About the Authors
Associate Director, Investment Banking
Prachurjya has over 16 years of experience in investment banking with Acuity Knowledge Partners. At Acuity, he has led sector and product-specialist pilot teams across Capital Markets, ESG, Debt Advisory, Loan Syndications, Metals & Mining and Real Estate. He has been actively involved in setting up and on-boarding new ESG Advisory, ESG DCM and Sustainable Finance teams for various bulge bracket investment banks. Within DCM and Rating Advisory, he has been instrumental in helping the clients achieve over 30% in annual savings on both regular and adhoc tasks through standardization of the outputs and deployment of our proprietary BEAT tools.
Delivery Manager, Investment Banking
Puja has 6 years of extensive experience in ESG, Climate Change & Sustainability and she is supervising the ESG team at Acuity. She also has diverse experience in conducting ESIA, EHS compliance audits, ESG Risks and Controls, EHS & ESG Due Diligence assessments. Prior to joining Acuity, she was working with companies like KPMG Global Services, EY India and ERM India. She has expertise in provisioning extensive research requirements for clients through preparation of Peer Benchmarking, Target Compilation, Sustainability report, Sustainable Finance Updates and Sectoral ESG Thematic Detailing Engagement.
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