A.p. Moller - Maersk A/s Class A · OMXCOP:MAERSK_A
A.p. Moller - Maersk A/s Class A — A.P. Moller - Maersk — ESG Presentation (March 2024)
46 slides from A.p. Moller - Maersk A/s Class A's sustainability presentation, March 2024
Slide 1: Decarbonising our global operations all the way
Decarbonising our global operations all the way Last Updated: March 2024 Classification: Public
Slide 2: Sustainability integrated into our business and enabler of strategic value creation
Sustainability integrated into our business and enabler of strategic value creation Customer Financial & synergies operational synergies Logistics & Ocean Terminals Services ESG ESG Technology People 3 Classification: Public
Slide 3: Improving life for all by integrating the world
OUR PURPOSE Ocean Improving life Green methanol-enabled vessels on order 25 for all by integrating Containers per annum (m FFE), serving over 475 ports worldwide 11.9 the world Container vessels operated 670+ Logistics & Services 7,800k+ sqm warehousing capacity worldwide across 460+ sites 100+ Elec
Slide 4: Committed to accelerating a green and equitable energy transition
Committed to accelerating a green and equitable energy transition 2023 was a year of extraordinary challenges affecting millions around the world, from geopolitical conflicts to record-setting weather events. But there were also highlights we can celebrate, such as the International Maritime Organiz
Slide 5: Shipping is responsible for ~3% of global greenhouse gas emissions
Shipping is responsible for ~3% of global greenhouse gas emissions tonnes of GHG/2021* 6 *Latest available report for the industry: https://www.ssyonline.com/media/2016/ssy -2022- outlook-final.pdf Classification: Public
Slide 6: Maersk's climate commitments validated by the Science Based Targets initiative
Maersk’s climate commitments validated by the Science Based Targets initiative 2030 2040 Aligned with 1.5 degree pathway by 2030 Net Zero by 2040 Main KPIs and targets: Baseline year 2022 Scope 1 Own operation 35% Absolute reduction in total scope 1 emissions 96% Absolute reduction in total scope 1
Slide 7: KPIs and targets across the business
KPIs and targets across the business 2030 2040 Maritime Operations* Maritime Operations 35% Absolute reduction in scope 1 and scope 3 well-to-wake emissions 96% Absolute reduction in scope 1 and scope 3 well-to- from own container shipping operations wake emissions from own container shipping operat
Slide 8: Maersk's GHG Emissions Footprint for 2023
Maersk’s GHG Emissions Footprint for 2023 Maersk’s GHG emissions footprint 2023 (1,000 tonnes CO2e) 79,462 Total GHG emissions Emissions reduction pathways to achieve SBTi-aligned 2030 and 2040 targets (m tonnes CO₂e/year) Including scope 1, scope 2 (location-based), and scope 3 Scope 1 Scope 2 Scop
Slide 9: Decarbonising Ocean
Decarbonising Ocean Classification: Public
Slide 10: Ocean Energy Performance 2023
Ocean Energy Performance 2023 Ocean energy efficiency performance 2023 The indicator underlying the relative CO₂ reduction is EEOI, Energy Relative energy efficiency Efficiency Operational Indicator, calculated as g CO₂/(Ton x Nm). In 2023, Maersk continued increasing the energy efficiency of our 10
Slide 11: Decarbonising Ocean
Decarbonising Ocean 2030 Targets Key Levers Actions Fuel efficiency improvements 25 green methanol-enabled • Network optimisation vessels on order through 2027 • Network execution Green fuel enabled TEU capacity (% of total fleet by year end) • 35% Absolute reduction in scope 1 • Technical managemen
Slide 12: Maersk new generation of green fuel vessels
Maersk new generation of green fuel vessels 25 vessels with dual-fuel engines, able to operate on green methanol 2,100 container capacity Laura Mærsk with a capacity of 2,100 TEU, in operation since September 2023 16,000 / 17,000 container capacity 18 vessels with a capacity of 16,000/17,000 TEU, po
Slide 13: Sourcing green fuels at scale through strategic partnerships
Sourcing green fuels at scale through strategic partnerships What is a green fuel? Our current green fuel of choice is green In Maersk, ‘green fuels’ refers to fuels with low to very-low methanol, while we continue to explore GHG emissions over their life cycle, compared to fossil fuels. green fuel
Slide 14: Pathways to green methanol, the current green fuel choice for Maersk
Pathways to green methanol, the current green fuel choice for Maersk Min. lifecycle Greenhouse Source Production Fuel Type Gas Reduction in REDII ≥65% Waste Biomass Biogas Bio-methane added into Methanol plant produces green Bio-methanol upgrade to gas grid and physically methanol from the grid on a
Slide 15: Maersk evaluates all new fuels on a 'well-to-wake' life cycle basis
Maersk evaluates all new fuels Lifecycle assessment (LCA) is the compilation and evaluation of the inputs, outputs, and the potential on a ‘well-to-wake’ life cycle basis environmental impacts of a product or service throughout its lifecycle. Well-to-Wheel/Wake (WtW) Well-to-Tank (WtT) Tank-to-Wheel
Slide 16: Our decarbonisation roadmap from renewables to Power-to-X
Our decarbonisation roadmap from renewables to Power-to-X Direct electrification Electric propulsion Power-to-X Transmission Transmission Transmission and charging infrastructure Electrolysis Electrolysis H H Synthesis Fuel cells electrical propulsion Combustion 17 Maersk Decarbonisation Journey Cla
Slide 17: Decarbonising Logistics and Service
Decarbonising Logistics and Service Classification: Public
Slide 18: KPIs and targets across the business
KPIs and targets across the business 2030 2040 Maritime Operations* Maritime Operations 35% Absolute reduction in scope 1 and scope 3 well-to-wake emissions 96% Absolute reduction in scope 1 and scope 3 well-to- from own container shipping operations wake emissions from own container shipping operat
Slide 19: Decarbonising landside transportation
Decarbonising landside transportation Key Levers Actions Efficiency improvements • Modal shifts (shifting of transport modes towards more sustainable ones) • 2021-2022: investments in Volvo e-trucks and Einride • Digitally enabled optimized network and routing trucks Electrification • 2023: Launch o
Slide 20: Landside transportation road to 2030
Landside transportation road to 2030 Our landside footprint is mainly indirect emissions from truck, rail and barge suppliers – local businesses where energy infrastructure and regulation decide the reduction potential. 2030 Initiatives to reach our target by 2030 include: Efficiency measures and Dr
Slide 21: Contract Logistics and Cold Chain road to 2030
Contract Logistics and Cold Chain road to 2030 Our global portfolio of dry and reefer warehouses and depots will serve our customers with green* contract logistics operations (scope 1 and 2) by 2030. *’Green’ contract logistics refers to operations with reduced emissions and environmental impact 203
Slide 22: Decarbonising Air Freight
Decarbonising Air Freight* Key Levers Actions *Our air emissions currently make up less than 1% of our total emissions • Running SAF pilot to but are set to increase with the growth Energy transition determine customer demand projected to serve our customers. • Use of Sustainable Aviation Fuel • Pil
Slide 23: Logistics & Services Decarbonisation highlights to date
Logistics & Services Decarbonisation highlights to date Electric vans for B2B Shifting electric Switching to lower impact • Piloting SAF offer middle-mile rail to renewable cold storage refrigerants to customers in distribution in India electricity (e.g. like CO2 and ammonia, in partnership with aim
Slide 24: Decarbonising Terminals
Decarbonising Terminals Classification: Public
Slide 25: Decarbonising Terminals
Decarbonising Terminals 2030 Targets Key Levers Actions** • Implementation of renewable Energy transition 65% electrification through power Reduction of Scope 1 purchasing agreements, onsite and Scope 2 terminal • Switching to renewable electricity installation and green electricity tariffs emission
Slide 26: Terminals decarbonisation 2023 highlights
Terminals decarbonisation 2023 highlights 13% reduction in absolute scope 40% electricity procured from 1 and 2 emissions since 2020 renewable resources • Implementation of • On-site solar panel • Electrification pilot dedicated green installations in Pipavav initiated in Aqaba, Jordan electricity t
Slide 27: Value creation for customers and communities is multi-faceted and terminal specific
In practice, the value creation for customers and communities is multi-faceted and terminal specific Benefit to local communities • Installation of on-site Prioritise adding new renewable A future ambition is to offer shore through decarbonisation of renewables such as solar generation to support th
Slide 28: Leading decarbonisation in the port and terminals industry
Leading decarbonisation in the port and terminals industry The Zero Emission Port Alliance (ZEPA) is an industry-wide strategic coalition founded by APM Terminals and DP World in 2023, to drive decarbonisation of ports and terminals by accelerating electriffication MISSION Make battery-electric cont
Slide 29: What ZEPA will do: Collective action to accelerate adoption of battery-electric CHE
What ZEPA will do | Collective action to accelerate the adoption of battery-electric CHE 1 2 3 4 Voluntary Design Power Infrastructure Projected Demand Adoption Incentives Standards Roll-out Encourage scaled up production Bring down cost of batteries and Facilitate cost-efficient roll-out Create bet
Slide 30: Creating value for our customers
Creating value for our customers Classification: Public
Slide 31: Solving the Scope 3 challenge for our customers
Solving the Scope 3 challenge for our customers Select customer emission scopes* and characteristics Scope 1+2 emissions Logistics share of scope 3 emissions Other scope 3 emissions Automotive Customer Apparel Customer Sporting Goods Customer ~11% ~13% ~10% Logistics & Logistics & Logistics & Distri
Slide 32: Where are customers today?
Where are customers today? Level 4: Leaders Level 3: Implementers • Are visible first-movers Level 2: Risk managers Level 1: Explorers interested in sustainable transformation • Have ambitious sustainability • Have basic minimum strategy integrated with logistics • Have high interest in long-term •
Slide 33: ECO Delivery Ocean: the differentiator
ECO Delivery Ocean: the differentiator ECO Delivery Ocean offers emissions reduced shipping based on green fuels, enabling immediate and externally verified GHG savings for customers Customer benefits How it works (current ECO Delivery Ocean) Flexible & easy to contract, with up to 1-year fixed pric
Slide 34: ECO Delivery Ocean strong and expanding demand from our customers
ECO Delivery Ocean strong and expanding demand from our customers ECO Delivery Volume (FFE*) Illustrative & scaled ~25% of total Ocean volumes ~3% of total Ocean volumes Q1 23 Q1 21 Q3 19 Q1 20 Q1 22 Q3 21 Q2 21 Q2 22 Q2 20 Q2 23 Q3 20 Q3 22 Q3 23 Q4 19 Q4 23 2030 Q4 21 Q4 20 Q4 22 Anticipated volum
Slide 35: Maersk's latest investments to accelerate green logistics solutions
Maersk’s latest investments to accelerate green logistics solutions Investment in 25 container vessels able to operate on green methanol Maersk engages in strategic partnerships to scale green methanol production by 2025 Air Maersk signs Sustainable Aviation Fuel contract with Air KLM Sr “y Maersk j
Slide 36: On the horizon the end-to-end challenge
On the horizon the end-to-end challenge Industry-leading green offerings across the supply chain by 2030 – net zero by 2040 A holistic approach in which we partner with our customers • Create and provide visibility tools for customer emissions • Collaborate using long-term commitments including for
Slide 37: Regulatory drivers of progress
Regulatory drivers of progress Classification: Public
Slide 38: A level regulatory playing field is key to achieving full decarbonisation
A level regulatory playing field is key to achieving full decarbonisation Five critical policy levers for a level regulatory playing field to achieve full decarbonisation A market based A well-to-wake Must look beyond Continued high Global regulation GHG price/carbon approach is CO2 and include IMO
Slide 39: Advocating for global solutions through the IMO
Advocating for global solutions through the IMO Maersk is committed to conducting all our policy outreach in alignment with the goal of limiting global temperature rise to 1.5°C. We actively engage with policymakers and stakeholders to advocate for regulations Two important short-term emission-reduc
Slide 40: Regulatory progress in 2023
Regulatory progress in 2023 • The EU Emissions Trading System – aimed at reducing net GHG emissions by min. 55% by 2030 (1990 baseline) • FuelEU Maritime Standard – ‘well-to-wake’ approach to ensure emissions are not merely shifted from sea to shore • IMO revised strategy for reducing emissions from
Slide 41: We cannot do it alone: Key partnerships and coalitions
We cannot do it alone: Key partnerships and coalitions Alliance of CEO Climate Leaders 42 Maersk Decarbonisation Journey Classification: Public
Slide 42: The importance of a just transition
The importance of a just transition 1. Responsibly supporting green fuel supply chains creation We are committed to ensuring that our green fuels are sourced sustainably: the development of green fuels should not come at the expense of people, including workers and local communities 2. Preparing the
Slide 43: Appendix / Other
Appendix / Other 44 Maersk Decarbonisation Journey Classification: Public
Slide 44: Natural Climate Solutions
Natural Climate Solutions • SBTi Net Zero standard recommends that companies compensate for emissions above and beyond what is required to deliver net zero. • Maersk continues to evaluate the options for building a portfolio of Natural Climate Solutions - voluntary activities to avoid and remove GHG
Slide 45: Maersk Mc-Kinney Møller Center for Zero Carbon Shipping
Maersk Mc-Kinney Møller Center for Zero Carbon Shipping Join us to decarbonize the Shipping Sector now 46 Maersk Decarbonisation Journey Classification: Public
Slide 46: Steel – an integral part of our value chain
Steel – an integral part of our value chain Construction Transport Renewable Consumer energy goods Organisations showing leadership across: In partnership with …can drive the transition to a responsible, net zero steel industry with SteelZero 47 Maersk Decarbonisation Journey Classification: Public