Growing our business while lowering the pressure on the environment is our key focus in the coming decades.
In this sustainability report, we are again happy to share information about our recent developments in ESG matters. A great deal of work has been done already, but as we learn more, new tasks emerge and need our further attention.
Currently, a large number of new environmental regulations concerning emissions from the shipping industry are in the final stages of preparation. Both the International Maritime Organization (IMO) and the European Union are expected to finalise their detailed emission reduction regulations in 2022. It is a pity that not all initiatives seem to be aligned and we are likely to see the creation of unforeseen regulation abbreviation jungle instead of a globally level playing field which reduces emissions.
In December 2021, we published our first ESG targets demonstrating our ambition to be the industry forerunner in sustainability. Our goal is to be a pioneer in technological solutions, sustainability and quality of service. Sustainability and reducing our footprint has been in the core of our business and we have openly reported our progress in the annual sustainability report published since 2017.
One important initiative to change the present way of working and to reduce GHG emissions is Virtual Arrival. The first trial started in July in cooperation with SSAB and the Port of Oxelösund. So far, the results have been positive and Virtual Arrival has decreased emissions by 18% per voyage where Virtual Arrival has been applied.
Our LNG-powered vessels Viikki and Haaga are equipped with high-pressure 2-stroke main engines manufactured by STX MAN. The operational principle of the engine enables minimal methane slip which was one of the key factors when choosing the main engine for the vessel.
While we support initiatives to reduce GHG emissions from shipping, it is crucial that the regulations are worldwide and sailing in ice conditions is taken into account.
There are currently several initiatives for greenhouse gas reduction regulations but with the present scope, they are only applicable to ships over 5,000 GT except EEXI. This means that the current AtoB@C Shipping fleet is excluded. Read the summary of the coming changes:
In September 2021, AtoB@C Shipping ordered six 5,350 dwt battery hybrid vessels for delivery from 2023 onwards. The new vessels will be market leaders in terms of cargo capacity, technology and innovation. Ice class 1A vessels are equipped with battery technology and shore power connection which enable emission-free and almost noise-free port visits.
In 2021, ESL Shipping made major investments in maintenance and environmental upgrades to its fleet. In all dockings, ballast water treatment systems were installed onboard.
Our LNG-powered 25,000-tonners Viikki and Haaga were dry-docked for the first time since their delivery in autumn 2018. In addition to the normal docking works, service was carried out to the fuel gas supply system, which required more careful planning due to cryogenic work.
The safety and wellbeing of the personnel has remained a key focus area in 2021. Our shore personnel has continued to work remotely most of the year and we have closely followed the instructions received from authorities in Finland and Sweden. Extensive testing of sea personnel before going back to work continued in 2021 but regardless of all precautionary measures, some COVID-19 cases were recorded onboard. However, these cases had only minor effects to the operation of the vessels.
Despite the challenges caused by the COVID-19 pandemic and typhoon Odette, we were able to continue crew changes of Filipino crew members through 2021.
The global community continued to face the challenges of the COVID-19 pandemic for the second year. Our crewing team in the Philippines continues to work together with our partner PTC to protect the health, safety, and welfare of all Filipino crew members to enable them to fulfil their essential work at sea.
In order to ensure quality and safety of its fleet, AtoB@C Shipping introduced a dedicated Quality Superintendent who will frequently inspect both owned and chartered tonnage.
ESL Shipping continues to focus on the development of preventive actions to decrease the risks and minimise the consequences of any incidents or accidents. A good safety attitude, active identification of hazards and effective mitigation of the identified risks are the cornerstones to a comprehensive safety culture.
Ensuring sound governance practices at all levels, is a key part of sustainability at ESL Shipping. Our Code of Conduct defines a common set of rules for sustainable business for the Group.
Transparency International, these include for example Russia. Our Code of Conduct prohibits corruption and bribery in all forms. Code of Conduct training includes anti-corruption issues and provides guidance for identifying any suspicious situations and practices considered unethical.
