Australia’s largest co-operative and exporter of grain is reducing its maritime supply chain emissions as part of an Australian-first biofuels insetting pilot project in partnership with two major global shipping companies.
CBH Group has collaborated with NORDEN and Oldendorff by using waste-based biofuel voyages, and book and claim solutions, to transport Western Australian (WA) grain to the European Union (EU). The biofuel-powered voyages achieved significant emission reductions compared to traditional fossil fuels, at no additional cost to WA growers, providing a practical response to new EU regulations impacting all ships over 5,000gt calling at European ports.
Part of the EU’s ‘Fit for 55’ climate legislation package, the regulations comprise a series of targets aimed at reducing CO2 emissions generated by marine transport. Shipping companies that do not bunker with renewable fuel are subject to penalties, and many customers are choosing to incur these penalties instead of requiring shipping companies to use biofuels.
CBH Head of Shipping, Pia Van Wyngaard, said: “We’re proud to be involved with projects that reduce our environmental impact while maintaining operational efficiencies and maximising value for WA growers. Customers, governments and communities are expecting stronger sustainability efforts, and we are working to ensure WA growers remain competitive and can readily meet our customers’ needs. These initiatives allow us to lower our carbon footprint for access to key markets such as Europe, and support CBH’s broader sustainability plan. So far, eight voyages transporting Western Australian (WA) grain to Europe have used the shipping insetting method.”
Image: Grain loading (source: Norden)
