Sustainability challenges in shipping

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Sustainability challenges in shipping

• Annik Magerholm Fet
• Professor, environmental management and life
  cycle assessment,
• Department of Industrial Economics and Technology
  Management
• Norwegian University of Science and Technology,
  NTNU
• Lloyds Register of Shipping, 18.02.04

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Norwegian universities
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NTNU Trondheim
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NTNU has 7 faculties
Faculty of Engineering Science and
Technology Faculty of Natural Sciences and
Technology Faculty of Information
Technology Mathematics and Electrical
Engineering Faculty of Architecture and Fine
Art Faculty of Medicine Faculty of Arts Faculty
of Social Sciences and Technology Management
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My own background of relevance to shipping

• Different research projects and consultancy work
  for the shipbuilding and shipping industry
• PhD in "Systems Engineering Methods and
  Environmental Life Cycle Performance within Ship
  building and Shipping Industry

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LCA-methodology ISO 14040-48

• Classification the parameters from the inventory
  are noted under the relevant impact categories.
• Characterization the relative contributions of
  inputs and outputs are assessed to their assigned
  impact categories.
• (Normalisation the results are normalised
  against e.g. national figures)
• Valuation the relative importance of different
  environmental impacts are weighted against each
  other.

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The use of LCA in two projects

• Life Cycle Evaluation of shiptransportation -
  Development of methodology and testing
• Environmental Performance of Transportation - A
  Comparative Study
• Cooperation between NTNU, Det Norske Veritas and
  Aalesund College.
• Supported by Norwegian Ship-owners Association
  and the Norwegian Research Council.

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Life Cycle Evaluation of shiptransportation -
Development of methodology and testing
Goal To demonstrate that the LCA-method is
applicable for environmental life cycle
evaluation for ships Case study M/V Color
Festival
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Studied system
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Flow chartHull materials
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Environmental impact categories

• The impact categories for this evaluation are
• greenhouse effect,
• ozone depletion,
• acidification,
• photo oxidant formation,
• eutrophication,
• winter smog formation,
• ecotoxicity to water,
• human toxicity,
• solid waster,
• material and energy use.

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The ships life cycle phases contribution to the
environmental impact categories
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Example Comparing two antifouling systems

• New system
• 10 less use of primer and antifouling
• Water jet blasting instead of grit blasting
  during maintenance.
• Docking every third year.
• 20 less leakage of TBTO during operation.
• 5 increase in fuel consumption.

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Characterisation results for comparison of two
systems
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Conclusions from the LCA-project

• LCA can be applied but it is very time consuming
• Existing valuation techniques in LCA-tools should
  be used critically.
• The choice of functional unit is important when
  different systems are to be compared against each
  other.
• The most important environmental aspects from the
  life cycle of a ship are
• fuel combustion with related emissions and
  leakage from antifouling during the operation of
  the ship,
• cleaning and recoating during maintenance,
• non-recyclable materials and local pollution in
  the scrapping phase.

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The project Environmental Performance of
Transportation - a Comparative Study

• The goal was to establish models and guidelines
  for the documentation and comparison of
  environmental performance of different transport
  chains.
• This required
• a common set of environmental impact categories
  for the transport sector, and
• principles on how to allocate infrastructure
  activities to the environmental burden of the
  transport chain.

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Case 3 Transport of frozen fish
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Inventory results (per ton fish)
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Normalised inventory results
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Valuation

• The Eco-indicator 99
• EPS
• The ExternE Methodology
• Valuation according to political goals
• Valuation according to panel procedures
• Valuation according to the recommendations in the
  OECD project on Environmentally Sustainable
  Transport (EST)

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Weighted results, case 3
According to political goals
According to the EST-project
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Case 2 Passenger transportation
Svolvær
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Interpretation
According to political goals/priorities
According to the EPS-method
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Interpretation according to recommendations in
the EST-project
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The Eco-efficiency Concept
Eco-efficiency product or service value
environmental influence
  Eco-efficiency indicator economic performance
indicator environmental performance
indicator
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Important initiatives

• UNEP stands behind the Global Reporting
  Initiatives (GRI), established in 1997. New
  framework 31.August 2002.
• For OECD it became a key priority already in 98
  to integrate environmental, economic and social
  considerations.
• The WBCSD is united by a shared commitment to
  sustainable development. Eco-efficiency is at the
  heart of its philosophy.

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Global Reporting Initiative (GRI) - guidelines

• the first global framework for comprehensive
  sustainability reporting, encompassing the
  "triple bottom line"
• will become the generally accepted, broadly
  adopted framework for communicating information
  about corporate performance.
• give guidance to reporters on selecting and using
  indicators.

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• It was the GRI reporting process that prompted
  our announcement last fall to increase the fuel
  efficiency of our fleet by 25 percent by 2005.
• Deborah Zemke,
• Director of Corporate Governance,
• Ford Motor Company,
• April 2001

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THE GRI-INDICATOR FRAME-WORK
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Indicators and sustainability reporting

• Environmental performance indicators can be
  selected according to the OECDs EST
  recommendations
• land use, noise, particles, VOC, NOx and CO2.
• The indicator-values per unit transport can be
  calculated based on the following input
  parameters fuel consumption, distance, emission
  factors, engine power and exploited capacity
• According to GRI a sustainable development report
  shall also present social and economic
  performance indicators

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Some important questions

• Which environmental, social and economic
  performance indicators are of relevance for
  shipping?
• Who are the most relevant stakeholders that can
  give input?
• How can the indicators be used to communicate the
  wanted information from shipping companies to the
  stakeholders and interested parties?

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Why am I at Lloyds?

• I have a sabbatical year, the objective is to
  update my knowledge on selected topics
• The first six weeks at Lloyds Register, theme
  SUSTAINABILITY REPORTING.
• Springtime in Norway following up my research
  projects
• The autumn at the University of California Santa
  Barbara, theme SUSTAINABILITY MANAGEMENT
  ADRESSING ECONOMIC, SOCIAL AND ENVIRONMENTAL
  CHALLENGES.
• Objective of my project at Lloyds
• to study and develop methodologies and indicators
  for reporting of environmental performance of
  transport systems, especially for the maritime
  sector, hereunder also methodologies for
  comparing and ranking of environmental
  performance.
• Indicators and reporting requirements were
  pointed out as an important area for future
  development by the EU-thematic network TRESHIP
  where LR by Gill Reynolds was one partner.

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Results so far

• Overview of the most recent documents on
  sustainability reporting and assurance of such.
  This is documented in a report which I will use
  as a basic for further work this year, as
  teaching material for my student and in other
  research projects.
• Participated in meetings at
• UCL Systems Engineering,
• the institute of marine engineering, science and
  technology (IMarEST),
• the Royal Academy of Engineering,
• the Institute of Mechanical Engineering (IMecE).
• In addition I have had telephone contacts and
  e-mail contacts with other important
  institutions/organisations.

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Further collaboration

• Gill R. and I have the outlined a preliminary
  draft of a scientific paper addressing the
  following aspects
• International strategies on sustainability and
  why focus on sustainability in shipping
• Survey of the documents that point out the
  direction and challenges to sustainability
  reporting for the transport sector, especially
  for maritime transport
• Survey of how this is practiced by transport
  companies (state of the art), and which
  sustainability indicators that are in use already
• Recommendations for shipping on how to select the
  most appropriate indicators to meet the future
  challenges for sustainability reporting in
  shipping, and the use of the reports as a
  communication tool with the stakeholders and
  interested parties.
• The plan is to submit this to The journal of
  Engineering for the maritime environment (?)
  within ????.

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OTHER CURRENT WORK

• Funded by the Norwegian Research Council
• Program Productivity 2005, Industrial Ecology
• Leader and co-ordinator for the research program,
  01.06.03 31.12.05
• Research strategy "Eco-effective value chains",
  1999 31.12.05
• Program PULS
• Eco-efficiency and value chains in the common
  goods market, 2003-2004.
• Funded by Innovation Norway
• Environmental Product Declaration (EPD) and
  Product Specific Requirement (PSR) for Nordic
  furniture

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PhD-students

• Dahlsrud, A. Environmental management and
  Corporate Social Responsibility (CSR)
• Michelsen, O. Eco-efficiency and value chains
• Schau, E. Environmental analysis of the value
  chain of fish emphasising the fishing vessel
• Andersen, K. Environmental auditing in local
  communities

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Thank you for your attentionMy e-mail adress
Annik.Fet_at_iot.ntnu.no