Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Installed Exhaust Gas Cleaning Systems (EGCS) and Carbon Capture systems on most vessels by 2023, reducing CO2 emissions.
• Implemented hull grid blasting and improved anti-fouling coating to reduce drag and fuel consumption.
• Applied slow steaming to reduce fuel consumption.
• Certified one vessel to sail on 100% biofuel.
• 50% of company cars are electric by the end of 2023, aiming for 100% by 2025.
• Installed 238 solar panels on the office building.

Social Achievements

• Minimal employee turnover.
• Designated persons of confidence for both ashore and offshore employees to address bullying, intimidation, etc.
• JR MasterClass internship program for students from Dutch maritime schools.
• Participation in 'Zeebenen gezocht' project for primary school students.
• Active participation in initiatives aimed at encouraging women to choose a maritime career.

Governance Achievements

• Implemented a comprehensive health and safety policy.
• Regular audits to test and improve procedures and systems.
• Zero tolerance for corruption.
• Cyber Security Policy aiming for ISO/IEC 27001:2022 compliance by 2024.

Climate Goals & Targets

Environmental Challenges

• Transitioning to cleaner fuels is challenging technically and financially.
• Charterers control vessel speed, limiting control over CII rating.
• Some vessels have poor CII ratings due to their age and design.
• Cyber security risks.
• Low percentage of women in the maritime workforce.

Mitigation Strategies

• Investing in EGCS and Carbon Capture systems.
• Working with charterers to optimize vessel speed.
• Investing in new, more efficient vessel designs.
• Implementing a robust Cyber Security Management Policy.
• Active participation in initiatives to encourage women to choose a maritime career.

Supply Chain Management

Responsible Procurement

• Checking if suppliers meet environmental and social standards; prioritizing suppliers with a strong track record of sustainability and social responsibility.

Climate-Related Risks & Opportunities

Opportunities

• Development of energy-efficient products

UN Sustainable Development Goals

• 3
• 4
• 5
• 7
• 8
• 10
• 12
• 13
• 14
• 16
• 17

JR Shipping aligns its sustainability priorities with UN SDGs, with goals 3, 7, 13, and 14 as main priorities.

Sustainable Products & Innovation

• ECO Feeder Vessel designs prepared for renewable energy sources.
• Filtree system with Carbon Capture.

Environmental Metrics

ESG Focus Areas

• Climate Change
• Pollution of environment & ecosystems
• Innovation
• Own workforce & labour rights
• Safety, security, and well-being
• Human Capital
• Diversity, Equity and Inclusion (DE&I)
• Business ethics
• Data ethics
• Sustainable procurement
• Stakeholder engagement

Environmental Achievements

• Successful installation and operation of all 10 ordered Filtree/EGCS units, alongside the implementation of an innovative Carbon Capture Concept on all 10 vessels.
• Successful bunkering solutions for biofuels now in place. Utilized biofuels on select vessels in the last quarter of 2023.
• Introduction of Hydrotreated Vegetable Oil (HVO) biofuel across our SeaZip fleet (7 out of 9 vessels).

Social Achievements

• Recorded 5 workplace accidents in 2023.
• Strengthened labour rights awareness among employees and management through continuous training and communication.
• Maintained or improved employee satisfaction levels by regularly reviewing and enhancing our labour practices.

Governance Achievements

• Designated and trained two persons of confidence for confidential matters.
• Established a clear code of conduct addressing anti-corruption, applying to all employees, partners, and suppliers.

Climate Goals & Targets

Environmental Challenges

• Limited availability and high costs of biofuels.
• Operational characteristics of smaller vessels (Volharding 750 TEUs) leading to suboptimal CII performance.
• High fuel costs (30% to 70% of operational expenses).
• Lack of robust quantitative performance data for material sustainability issues.
• Insufficient stakeholder engagement specifically for the Double Materiality Assessment.

Mitigation Strategies

• Investing approximately €17.5 million to install Filtree units on 10 vessels for CO2 capture.
• Investigating retrofit modifications to optimise bulbous bow and propeller blades of Volharding 750 TEU vessels.
• Exploring compliant biofuels and assessing their overall environmental impact.
• Actively involving stakeholders in the next materiality assessment update through surveys and interviews.
• Developing a more robust risk management framework that integrates climate considerations into strategic decision-making.

Supply Chain Management

Supplier Audits: 100% of suppliers committed to the Supplier Code of Conduct by 2025. Due diligence process to be implemented by 2026.

Responsible Procurement

• Supplier Code of Conduct aligning with UN Guiding Principles on Business and Human Rights (UNGPs).

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: CSRD, ESRS

UN Sustainable Development Goals

• 3
• 4
• 5
• 7
• 8
• 10
• 12
• 13
• 14
• 16
• 17

JR Shipping Group has aligned its sustainability priorities with the UN SDGs, with SDG 3, 7, 13, and 14 as top priorities.

Sustainable Products & Innovation

• ECO Flex Feeder series vessels
• On-board carbon capture technology