As part of efforts to manage Scope 3 emissions, HMM has assisted Hellmann Worldwide Logistics in reducing its carbon emissions following the use of the low-carbon transport solution, Green Sailing Service.
The Green Sailing Service is a carbon insetting platform introduced by HMM that enables customers to lower their carbon footprint proactively by addressing Scope 3 emissions. The methodology for this service is advised by PwC Korea.
Carbon Insetting directly reduces carbon emissions in the sector where they are actually emitted during their business activities, whereas Carbon Offsetting works by purchasing certificates or funding a carbon reduction project outside the business realm. Scope 3 emissions are the result of activities from assets not owned or controlled by the reporting organisation, but that the organisation indirectly affects in its value chain.
For the Green Sailing Service, HMM has used second-generation marine biofuel, consisting of 30% biodiesel derived from non-food biomass (UCOME, used cooking oil methyl ester) and 70% high-sulphur fuel oil (HSFO). The amount of CO2 saved using marine biofuel was allocated to Hellmann for the Scope 3 emission reduction during maritime transport.
South Korean company HMM currently uses biofuels on its designated vessels to generate fewer carbon emissions on a lifecycle basis (Well to Wake). Other alternative fuels, including LNG and methanol, are expected to be available to HMM in the latter half of 2024 or early in 2025. HMM will issue a ‘Green Sailing Service Declaration’ that contains the amount of carbon reduction and alternative fuels used based on relevant documents. Third-party certification will be provided in the near term.
Shin Kim, Chief Container Business Officer, HMM said: “We are delighted to experience one of the finest examples of successful cooperation between industries making meaningful progress toward a net-zero future. Together with Hellmann, we will continue to develop mutually beneficial relationships and, at the same time, welcome anyone with whom we can share the ambitions for environmental initiatives and find a way to go green.”
Jens Wollesen, Hellmann COO added: “As a sector with a substantial impact on global CO2 emissions, we carry a significant responsibility to foster greener logistics. Through our collaboration with HMM and active involvement in the Green Sailing Service programme, Hellmann is reaffirming its commitment to sustainable practices in the seafreight industry. By providing our clients with insetting solutions, we directly reduce CO2 emissions where they are being produced rather than merely offsetting them. I firmly believe that this approach is the path forward for the global container shipping industry to make a meaningful impact and to enable our customers to decarbonise their supply chains.”
Image: Hellmann is using HMM’s Green Sailing Service to cut Scope 3 emissions (source: HMM)
