Tag Archives: ESG

Not enough SAF for air cargo to hit net zero – carriers must find other routes

It’s becoming obvious that there’s no way that enough sustainable aviation fuel (SAF) can be produced to meet the needs of air traffic.

Carriers are already suggesting they will need to play a little use in their path to ‘Net-Zero’ emissions. They plan to take advantage of strategies which allow them to keep emitting but using offsets with technologies that have been declared legitimate to shelter fuel use.

Such technologies concern purchasing carbon credits and developing carbon capture sources. But those do not actually reduce the emissions from air traffic.

I’m interested by what Glen Hughes, the director general of The International Air Cargo Forum (TIACA) said for the article below.

“What’s important is the capacity to monitor a company’s total ESG impact and activities in a manner that fulfils audit requirements and has a direct impact on investment decisions by equity firms and banks.”

Source: Loadstar Article

Clearly this sidesteps serious ESG improvement for the industry and promotes a form of gaming the rules.

Promoting watered-down audit requirements and shaping how investment decisions are made by large investors clearly takes precedence over actually improving emissions. The premise that investment firms and auditors are to determine the world’s response to environmental improvement is patently ridiculous. TIACA is promoting a specious response. A harsh judge could call it a form of greenwashing.

To be fair, I will quote Mr Hughes again, from the same article, citing six questions to answer for supply chain officials:

 “Am I being as environmentally responsible as I can? Am I using recyclable materials? Am I optimising transport? Am I using sustainable energy or compensating for emissions? Am I supporting global prosperity and economic growth? And how can I, my partners and supply chain stakeholders continually improve?”

Source: Loadstar Article

Compensating for emissions is a big loophole. And if you use the loophole, are you being as environmentally responsible as you can be?

Leaving it to investors and politicians to decide does not seem like a wise course.

By Alex Whiteman 20/02/2023

Not enough SAF for air cargo to hit net zero – carriers must find other routes – The Loadstar

Dutch debut clean, automated ship recycling solution

Shipbreaking is one of the most difficult problems for those with a concern about ESG. It touches all three areas.

Environmentally, in most shipbreaking operations in places like Bangladesh, ships are simply driven ashore, potentially dumping fuel and other waste into the water. Then, numerous local workers armed with acetylene torches climb all over them cutting up the steel, for which they are paid piecework, by the pound. The labor is very dangerous, but it’s the only source of work in those areas. And because ship owners are governed by the laws of the registry state, there is virtually no ability to enforce any rules on their behavior.

Developed countries are trying to come up with ways of shipbreaking with higher standards. In this article we see that the Dutch firm Circular Maritime Technologies International (CMT) is introducing a new automated way of shipbreaking.

This is an excellent response to a problem that has existed for years, but is just coming into public consciousness.

Sam Chambers September 16, 2022

Dutch debut clean, automated ship recycling solution – Splash247

Trucking industry concerned about SEC’s proposed climate rules

This article is interesting because of the dilemma of small trucking firms. The SEC will soon require disclosure of climate impact by companies, which will include how they ship their goods. There are scope 1, scope 2 and scope 3 emissions. Scope 3 emissions come from the partners used in supply chains. That would mean documenting the emissions from trucking and other cargo movements. It would include also outbound logistics, such as Amazon Prime. Shipper firms would require their suppliers to provide the required information about their emissions. Smaller firms might be at a disadvantage, having to invest in the equipment and people to monitor those emissions and make improvements. Small truck lines think that would offer an unfair advantage to large carriers, because customers would require this information to participate in bidding.

According to the first article by Alyssa Sporrer, large trucking firms support the SEC disclosure rules. That’s because they are already serious about their sustainability efforts, especially environmentally, and it will give them a chance to showcase their efforts.

Sustainability is also in the news in California. CARB, a state agency, has $125 million available for funding for clean off-road equipment, such as that used in ports and freight yards. The program is administered by Calstart, a clean transportation nonprofit. The equipment must be zero-emission, which means electric for the most part. Most of the equipment will be for terminal tractors, on and off-road, refrigeration units, cargo handling equipment, railcar movers and switchers, and airport ground support equipment.

The nice thing about this program is that it does not require firms to retire existing equipment.

The Calstart program prides itself on putting money to work for reduced emissions in places like port communities where excess emissions have caused health problems in the past.

Alyssa Sporrer Thursday, July 14, 2022

Trucking industry concerned about SEC’s proposed climate rules – FreightWaves

Alyssa Sporrer Monday, July 18, 2022

California offers up to $500,000 for purchases of zero-emissions equipment – FreightWaves