Zero Emission Shipping accelerated with launch of Carbon Insetting Program
A leading consortium of maritime organizations introduced the world’s first Carbon Insetting Program for Zero Emission Shipping. This pioneering initiative, unveiled at the RH2INE CE Days session by Future Proof Shipping (FPS), Zero Emission Services (ZES), and 123Carbon, operates within the decarbonization framework of the Smart Freight Centre.
Carbon insetting is a strategy where companies invest in projects within their own supply chain to reduce emissions and carbon footprint, creating a positive impact on ecosystems and communities. It is a new approach compared to traditional carbon offsetting strategies, where companies invest to just compensate for emissions by funding equivalent reductions elsewhere.
Born from the RH2INE initiative’s collaborative efforts between the Province of Zuid-Holland and North Rhine-Westphalia, the new carbon insetting program for zero emission shipping is a crucial step toward zero-emission transportation along the critical North Sea – Rhine corridor.
Along the journey towards decarbonizing, the maritime sector has encountered obstacles, from funding deficits and regulatory ambiguities to cost-driven contracts. Despite the technical feasibility of zero-emission solutions, the transition is slowed by the significant investments needed for vessels and infrastructure.
Carbon insetting stands out as a strategic solution. Michiel Smit, ZES’s Business Development Manager, called carbon insetting a “revolutionary tool” that encourages collaboration among industry leaders aiming to lower emissions within their supply chains.
Carbon insetting empowers cargo owners to fund carbon reduction projects directly strengthening their supply chains’s resilience in the long term, aiming to significantly reduce or eliminate CO2 emissions. Furthermore, this model decouples the financing of emission-reducing initiatives from the physical transportation process, allowing companies to support zero-emission freight services without changing their logistics operations.
Under the guidance of the RH2INE initiative, FPS, ZES, and 123Carbon have embarked on this insetting project, with 123Carbon and AllChiefs providing the knowledge and the tools to implement carbon insetting. The project aims to develop, test, and validate methodologies for ships powered by swappable batteries and hydrogen, using the Smart Freight Centre’s Book and Claim framework, which separates emission reductions from the transportation of goods.
The initiative aims for widespread dissemination of its findings, with the goal of broadly benefiting the transport industry. This collaborative effort marks a significant stride toward sustainable maritime operations, heralding a greener future for the shipping industry.
Future Proof Shipping (FPS), Zero Emission Services (ZES), and 123Carbon lead the maritime industry towards a zero-emission future.
