Green Vessels By 2026, Zero-Emission Shipping By 2040

Sustainability at Sallaum Lines

Here at Sallaum Lines, we believe in a sustainable approach to business conducted in a conscious, socially responsible, and ethical manner. The benefits of that approach are two-fold: sustainability is morally correct and contributes to long-term value creation. Furthermore, we believe that we can use our ecological efforts for conscious business growth. Therefore, our vision is bold: to create global prosperity for businesses and individuals in the shipping industry through sustainable and eco-friendly shipping services.

Governance Structure in Place

Governance of sustainability in Sallaum Lines is anchored in the Board of Directors (Global Sustainability Committee) and the Executive Leadership Team. Under their oversight, our sustainability governance and integration approach secure executive ownership of sustainability and involvement in setting sustainability priorities and driving implementation. In addition, they have sustainability embedded in core processes related to strategy, perfor­ mance, planning, and risk management. In 2021, we revised the governance structure on decarbonising logistics to accelerate our efforts. This includes:

• An expanded steering committee with an executive member serving as an accountable decision-making forum and supported by a broader decarbonisa­ tion advisory group.
• Prepared work plans and strategies.
• Ensured alignment across the company.

The advisory group has defined a set of workstreams covering commercialisa­ tion, energy efficiency, fleet and network, retrofitting, new fuels, sourcing, and framework conditions.

Stakeholder Engagement

Stakeholder groups are prioritised for sustainability strategy, reporting, and engagement: customers, employees, investors, authorities, and NGOs/thought leaders. Issue owners and leaders across Sallaum Lines engage with representatives of these groups as part of their daily work. We incorpo­ rate feedback from the regular engagements in determining the materiality of sustainability issues and setting strategic direction for our work. In 2021, our customer engagement focused mainly on providing transparency on responsi­ ble business practices and visibility of logistics emissions. Our attention also included sustainability innovation, encompassing our current and future solutions for net-zero carbon shipping. The engagement with investors, banks, and insurers on ESG/sustainability has likewise centred on decarbonisation. However, ship recycling, air emissions, ocean health, and safety are also topics important to our partners. We engage actively in many partnerships on key sustainability topics.

On Our Way Towards Carbon Neutrality

Sustainability efforts at Sallaum Lines were initiated in 2018 when we developed our first low-carbon solutions. We also started to use non-toxic antifouling hull paint for our vessels.

In 2019, the efforts continued with the introduction of the ballast water treatment system, which minimises the transfer of invasive marine species, and with our fleet’s shift to low-sulphur fuel.

In the same year, we started implementing scrubbers, or exhaust gas cleaning systems (EGCS), that reduce sulphur emissions. When the International Maritime Organization’s new rules on vessel emissions of sulphur dioxide came into effect in 2020, we were already compliant.

Our leadership sealed our sustainability goals by officially announcing the company’s commitment to carbon neutrality and zero emissions by 2040.

Over the following decades, we plan to retrofit our ships further, switch to biofuels, introduce LNG-powered vessels, and then gradually move towards a mixture of alternative energy sources. By 2035, we envision our ships fully powered by renewable energy sources.

Vessel Retrofitting

On our way towards green shipping, we recognise the need to retrofit our vessels by installing innovative components and systems to upgrade to higher performance, adhere to ecological standards, reduce fuel consump­ tion, and extend their lifetime.

• Over the next few years, we plan to have vessels that use: fuel optimisers, PV systems, speed nozzles, waste heat recovery systems, stream bubbles, and lithium-ion batteries.

• We know that the high sides of PCTC ships and their unusual shape are not the best option from an energy-efficient standpoint. Therefore, we plan to retrofit the vessels’ bulbous bows for reduced resistance.