How DP World's Carbon Inset Programme Will Cut Port GHGs

DP World innovative Carbon Inset Programme Trial (CIPT) is giving importers the opportunity to reduce carbon emissions for carbon credits. 

Building upon the results of its award-winning Modal Shift Programme, the CIPT will take place in the UK logistics hubs at London Gateway and Southampton.

The programme will reward importers with 50kg CO₂e of carbon credits for every loaded import container they move through DP World UK terminals. 

These independently certified credits, issued quarterly, will showcase the participating companies’ efforts to reduce the indirect (Scope 3) emissions in their supply chains.

How does it work?

Carbon inset certificates will be funded by the Energy Transition Contribution, an existing charge on all import-laden containers within the DP World ports.

The 50kg CO₂e saving benchmark was determined based on the import-laden container volume, emissions from vessels docked during container operations at UK terminals and the costs of adopting lower-carbon fuel within the Unifeeder network.

The carbon insets for this trial are created using Unifeeder's GreenBox platform.

GreenBox tracks the use of additional lower-carbon fuels across Unifeeder's Northern European container vessel network, issuing tokens for every ton of carbon saved. 

Inset credits are generated following the Smart Freight Centre methodology and are independently certified by Bureau Veritas.

John Trenchard, Vice President Commercial & Supply Chain for DP World in the UK, says: “Insetting carbon emissions is a transparent, direct and pragmatic approach with immediate measurable impact for our customers. 

“By providing easy access to an independently-certified inset programme, we aim to create better awareness and encourage the adoption of more sustainable practices.

"By participating in the trial, a world first, import cargo owners can actively contribute to global decarbonisation efforts while aligning with their own sustainability goals.”

The significance of ports

Ports and shipping are a major source of greenhouse gas (GHG) emissions, which can have negative health impacts on individuals and local communities. 

In 2018, ships calling at EU and EEA ports produced 140 million tonnes of CO₂ emissions. 

Ports and shipping create significant air and water pollution, ship engines emit toxic pollutants like sulphur dioxide and nitrogen dioxide.

Exposure to air pollution from ports and shipping can contribute to premature mortality, heart and lung disease, cancer risk and respiratory symptoms — so the race to cut these emissions is prominent.

If left unchecked, shipping emissions could rise to 17% of global carbon dioxide emissions by 2050 — undermining the objectives of the Paris Agreement. 

If 50% of import volume participates in the trial at DP World’s UK ports, it is projected to replace more than 11,000 tonnes of traditional fossil fuel with lower-carbon marine fuels in global shipping, resulting in a reduction of 10,000 tonnes of CO₂ emissions.

Customers can earn and use certificates to showcase improvements in the carbon intensity of marine fuel consumption within their supply chains.

DP World and sustainability

DP World is implementing numerous sustainability initiatives as part of their Our World, Our Future strategy.

The company is working hard to align its company values with the UN Sustainable Development Goals. 

The approach taken by DP World focuses on several key areas:

• Climate change: DP World is committed to reaching net zero greenhouse gas emissions across its value chain by 2050, reporting a 4% drop in energy consumption and a 5% drop in CO₂ emissions against its 2019 baseline
• Smart technologies: The company uses new smart technologies to make its operations more sustainable, cutting energy and resource use
• Water conservation: DP World is working to improve access to clean water and safeguard ocean health while supporting WaterAid to deliver long-lasting WASH services and infrastructure
• Community impact: In 2022, DP World increased community contributions by 34% from 2021, supporting 255,828 women and girls through community projects
• Partnerships: DP World collaborates with organisations like UNICEF, The Earthshot Prize and Barefoot College International to drive sustainable initiatives
• Sustainable events: The DP World Tour Championship is implementing various sustainability measures, including banning plastic water bottles, using electric machinery and aiming for zero waste to landfill.

CIPT represents a bold step forward in decarbonising global supply chains and addressing the significant environmental impact of ports and shipping. 

By incentivising importers to reduce their carbon emissions with independently certified carbon credits, DP World not only supports its customers in achieving sustainability goals but also contributes to the global push for greener logistics. 

As ports remain pivotal in global trade, initiatives like CIPT underline DP World's commitment to driving meaningful change and aligning its operations with the objectives of the Paris Agreement and the UN Sustainable Development Goals.

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