How can container shipping companies measure the success of their sustainability initiatives?

1 Carbon footprint

One of the most important and widely used indicators of sustainability in container shipping is the carbon footprint, which measures the amount of greenhouse gas emissions generated by the transport of goods. Carbon footprint can be calculated at different levels, such as per container, per tonne-kilometer, or per voyage. By tracking and reporting their carbon footprint, container shipping companies can identify the sources and drivers of their emissions, set targets and benchmarks, and implement strategies to reduce their impact. Some of the common ways to lower the carbon footprint in container shipping include improving operational efficiency, optimizing routes and speed, using low-carbon fuels and renewable energy, and investing in new technologies and innovations.

2 Energy efficiency

Another key indicator of sustainability in container shipping is the energy efficiency, which measures how much fuel is consumed per unit of transport work. Energy efficiency can be influenced by various factors, such as vessel design, size, age, maintenance, loading, weather, and speed. By improving their energy efficiency, container shipping companies can not only reduce their emissions and costs, but also enhance their competitiveness and reputation. Some of the common ways to improve energy efficiency in container shipping include adopting best practices and standards, such as the Energy Efficiency Design Index (EEDI) and the Ship Energy Efficiency Management Plan (SEEMP), retrofitting existing vessels with energy-saving devices, such as propeller upgrades, hull coatings, and air lubrication systems, and building new vessels with advanced features, such as hybrid propulsion, waste heat recovery, and battery storage.

3 Social responsibility

Besides environmental indicators, container shipping companies also need to consider social indicators of sustainability, which measure how they respect and protect the rights and well-being of their employees, customers, suppliers, communities, and other stakeholders. Social responsibility can cover various aspects, such as health and safety, diversity and inclusion, labor standards, human rights, anti-corruption, customer satisfaction, and community engagement. By fulfilling their social responsibility, container shipping companies can not only comply with legal and ethical obligations, but also build trust and loyalty, attract and retain talent, and create positive social value. Some of the common ways to demonstrate social responsibility in container shipping include adopting codes of conduct and policies, such as the Maritime Labour Convention (MLC) and the United Nations Guiding Principles on Business and Human Rights (UNGPs), providing training and development opportunities, ensuring fair and transparent practices, supporting social causes and initiatives, and soliciting feedback and dialogue.

4 Sustainability reporting

To measure and communicate their sustainability performance, container shipping companies need to adopt a systematic and consistent approach to sustainability reporting. Sustainability reporting is the process of disclosing relevant and reliable information on the economic, environmental, and social impacts and outcomes of an organization's activities. Sustainability reporting can help container shipping companies to monitor and evaluate their progress, identify and manage risks and opportunities, engage and inform their stakeholders, and demonstrate their accountability and transparency. Some of the common frameworks and guidelines for sustainability reporting in container shipping include the Global Reporting Initiative (GRI), the Sustainability Accounting Standards Board (SASB), the Task Force on Climate-related Financial Disclosures (TCFD), and the Carbon Disclosure Project (CDP).

5 External recognition

Another way to measure the success of their sustainability initiatives is to seek external recognition from reputable and independent organizations that evaluate and certify the sustainability performance of container shipping companies. External recognition can provide container shipping companies with external validation, credibility, and visibility, as well as feedback and recommendations for improvement. Some of the common forms of external recognition in container shipping include ratings and rankings, such as the Environmental Ship Index (ESI), the Clean Cargo Working Group (CCWG), and the Dow Jones Sustainability Index (DJSI), awards and certifications, such as the Green Award, the EcoVadis, and the ISO 14001, and partnerships and memberships, such as the United Nations Global Compact (UNGC), the World Business Council for Sustainable Development (WBCSD), and the Sustainable Shipping Initiative (SSI).

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?