Grape demand: carriers line up for a bite as South African export season begins
South Africa’s grape export season has begun, and ocean carriers are lining up for a ...
UPS: MULTI-MILLION PENALTYWTC: PUNISHEDVW: UNDER PRESSUREKNIN: APAC LEADERSHIP WATCHZIM: TAKING PROFITPEP: MINOR HOLDINGS CONSOLIDATIONDHL: GREEN DEALBA: WIND OF CHANGEMAERSK: BULLISH CALLXPO: HEDGE FUNDS ENGINEF: CHOPPING BOARDWTC: NEW RECORDZIM: BALANCE SHEET IN CHECKZIM: SURGING
UPS: MULTI-MILLION PENALTYWTC: PUNISHEDVW: UNDER PRESSUREKNIN: APAC LEADERSHIP WATCHZIM: TAKING PROFITPEP: MINOR HOLDINGS CONSOLIDATIONDHL: GREEN DEALBA: WIND OF CHANGEMAERSK: BULLISH CALLXPO: HEDGE FUNDS ENGINEF: CHOPPING BOARDWTC: NEW RECORDZIM: BALANCE SHEET IN CHECKZIM: SURGING
Proving to be more than just idle talk, the Zero-Emission Maritime Buyers’ Alliance (Zemba) has awarded its first shipment tender to Hapag-Lloyd, for shipments from Singapore to Rotterdam from next year.
Zemba members Amazon, Meta, Nike, Patagonia, Tchibo, Bauhaus, Brooks Running, DB Journey, Green Worldwide Shipping, New Balance, REI Co-op and Sport-Thieme will take part in the agreement, representing some 1bn teu in container-miles over the course of 2025 and 2026.
Under the terms of the deal, Hapag-Lloyd has pledged to use biomethane, an LNG alternative, to decrease greenhouse gas emissions on the route by 90% – representing a total cut of some 82,000 tonnes of the CO2 emissions.
“Climate-leading customers of the maritime shipping sector are stepping up in support of zero-emission shipping and the supply chain is responding. As we embark on this partnership, we commend Hapag-Lloyd’s transparency, collaborative spirit, and willingness to innovate with Zemba on this inaugural tender,” said Ingrid Irigoyen, president and CEO of Zemba.
Like other bio-based fuels, biomethane is vulnerable to abuse and dishonesty from suppliers. Chemically, there is no difference between ‘bio’-methane, derived from residual feedstocks like used cooking oil, sewage gas, and other climate-neutral sources, methane from growing and processing virgin palm oil crops on deforested land or, for that matter, fossil methane from underground gas wells.
Nevertheless, this month Hapag-Lloyd’s Brussels Express carried out the ship-to-ship bunkering of what the company claimed was liquefied biomethane.
However, since biomethane is not available in most ports, Zemba and Hapag-Lloyd will use a book-and-claim system to purchase the biomethane, similar to that in use by Maersk for its methanol-powered ships.
The EC remains unconvinced by bio-based fuels in the shipping industry, however, given the relatively small contribution to greenhouse gas emissions compared with other modes. The language of the EU’s ReFuelEU legislative package specifies “…a shift of crop-based biofuels from road transport to maritime transport” must be “minimis[ed] …as road transport currently remains by far the most polluting transport sector. It is therefore appropriate to avoid the creation of a potentially large demand for food- and feed crop-based biofuels, bioliquids and biomass fuels by promoting their use under this regulation”.
It adds: “Accordingly, the additional GHG emissions and loss of biodiversity caused by all types of food- and feed crop-based fuels require that those fuels be considered to have the same emission factors as the least favourable pathway.”
Zemba is expected to follow up with a second tender later in the year.
“Our collective procurement approach is working, and we look forward to continuing to push the boundaries of what’s technically and economically feasible in subsequent tenders, with a strong focus on maritime e-fuels,” Ms Irigoyen said.
“Through this first set of deals, Zemba members are reducing emissions in the near term, which is critical. We are also strongly urging suppliers of maritime e-fuels and other zero and near-zero emission propulsion alternatives to accelerate their market readiness in preparation for our next tender,” she added.
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