Social Governance

Maersk Targets for Net Zero Supply Chains by 2040

Published on: 13 January 2022 07:00 PM
by KnowESG

A Brief Summary

Maersk, a danish based shipping company, announced to uptake its carbon reduction goals, by aiming to achieve net-zero gas emissions across its entire business operations by 2040. Maersk's targets would align the company with the net-zero criteria of the Science Based Targets initiative (SBTi) 1.5 C pathway.

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The Danish carrier took its counterparts by surprise in December 2018 when the firm announced its carbon-neutral goals by 2050. Recently, the firm has tightened its sustainable targets by announcing its net-zero goals by 2040 including scope 1, 2, 3.

Additionally, Maersk has also accelerated its pledges for 2030. The Maersk shipping fleet's 2030 aims now include a 50% reduction in emissions per carried container and a 70% decrease in absolute emissions from completely regulated ports. This will result in absolute emissions reductions of 35 to 50 per cent from a 2020 baseline, depending on growth in the ocean industry. According to Maersk, by 2030, 25% of all cargo moved at sea will be aboard ships powered by green fuels, implying that large fleet renewal is in the works, after the recent first few contracts for methanol-fueled boats. By 2030, Maersk hopes to have at least 30% of freight delivered using sustainable fuels as part of its expanding aviation operations.

“Our updated targets and accelerated timelines reflect a very challenging, yet viable pathway to net zero which is driven by advances in technology and solutions. What is needed is net-zero scale-up which we will strive to achieve in close collaboration with customers and suppliers across the entire supply chain.” Henriette Hallberg Thygesen, CEO of Fleet & Strategic Brands, A.P. Moller – Maersk.

Maersk is the largest shipowner in Denmark. Danish Shipping, the country's shipowners' group, announced its measures to speed up the worldwide green shipping transition yesterday. Danish shipping has set the goal of being carbon neutral by 2050 without using compensation, and having at least 5% of its fleet capable of running on well-to-wake net zero-emission fuels such as green hydrogen, green ammonia, green methanol, and advanced biofuels by 2030.