RightShip and CBL Markets have assisted chemicals manufacturer Incitec Pivot Limited (IPL) to operate its shipping activities carbon-neutral, thanks to RightShip’s Carbon Accounting tool.
IPL previously adopted RightShip’s Carbon Accounting tool to measure ship-sourced emissions, and has recently used it to measure emissions from the activities of the 200 vessels it charters each year. The tool takes into account all vessels used to perform transport services, including the fuel refining and consumption, and all loaded and ballast legs. The tool assesses how emissions change over time and attributes them to particular products or services, helping companies to reduce emissions where they are greatest.
RightShip now offers charterers the ability to offset their carbon emissions by purchasing voluntary carbon credits from CBL Markets, who operates a spot exchange for carbon offsets and other environmental commodities. By using this initiative, IPL has offset approximately 73,000 tonnes of CO2 for each of the financial years 2016-17 and 2017-18, making its shipping activities carbon neutral.
Karen Durand, corporate sustainability manager, says: “We’ve used RightShip to ensure the vessels we use are safe and environmentally sound and so it was a logical step to ask them to help us measure our scope 3 emissions. Working with them is very straightforward and we are confident in the accuracy and reliability of the results. There are very few scope 3 data sources and, as far as we are aware, there is no other agency able to deliver this level of accuracy for ocean transport”.
Ben Stuart, managing director Australia at CBL Markets adds: “We are very excited to be working with Incitec Pivot Limited and RightShip, supporting them to play a leading role in sustainable shipping operations by taking voluntary action to reduce their emissions and environmental impact. It’s a positive step towards business sustainability for the broader shipping industry.”
Through the carbon offsetting programme IPL is supporting two verified carbon projects in China which support renewable energy generation and more efficient energy generation via natural gas. These projects have a direct link to a region where IPL’s shipping operations have an environmental impact.