Ocean Cargo Supply Chain Becoming Greener, Says BSR

The Clean Cargo Working Group was formed 12 years ago by container vessel operators, shippers, and other stakeholders to improve the environmental performance of ocean cargo.

By Patrick Burnson, Executive Editor

September 03, 2015

The Clean Cargo Working Group (CCWG) has released a report indicating that in 2014 average CO2 emissions in the global container shipping trades declined 8.4 percent from the year before.

CCWG is a leading global carrier-shipper initiative of San Francisco-based BSR. It is dedicated to environmental performance improvement in marine container transport through measurement, evaluation, and reporting.

“Emissions fell 29 percent from the baseline in 2009, with the greatest improvements registered on those lanes that feature the largest, newest container ships in the global fleet,” says Angie Farrag-Thibault, associate director of the Group’s transport and logistics division.

Carrier members in the CCWG comprise more than 80 percent of global container shipping capacity.

As reported in SCMR, the Clean Cargo Working Group was formed 12 years ago by container vessel operators, shippers, and other stakeholders to improve the environmental performance of ocean cargo.

Most of the top 30 carriers are members.

Earlier this year CCWG provided shippers with a new methodology titled “How to Calculate and Manage CO2 Emissions from Ocean Transport” to calculate the carrier “footprint,” and assess supplier’s environmental performance.”

For example, CCWG member Marks & Spencer uses the data and tools to measure, evaluate, and report the CO2 impact of its global goods transportation. This allows the company to establish a baseline from which to measure improvements over time from approved CO2-saving initiatives.

“By being a member of CCWG, we can review and compare ocean carriers (our suppliers) on their sustainability practices and set expectations with transport providers for continuous improvement,” says Barry Wallace, logistics manager at Marks & Spencer, and member of the CCWG Steering Committee.

The guide explains how to perform such comparisons by using illustrative trade routes. For example, three carriers provide the same service from Asia to North America’s East Coast, Asia to northern Europe, and Europe to Latin America. Using CCWG emissions factors for each of these carriers, which is a measure of environmental performance, a shipper can compare its suppliers. In the example from the report, there is a difference in environmental performance of more than 50 percent across these three suppliers.

“The CCWG network also helps shippers engage with like-minded organizations,” says Farrag-Thibault. “CCWG provides a unique platform for peer companies to share best practices, and for brands to embed the latest developments across the transport supply chain into procurement.