Climate Change Data

The Caravel Group Ltd.

Climate Impact & Sustainability Data (2021, 2023)

Reporting Period: 2021

Environmental Metrics

Scope 1 Emissions:41,677 metric tons (owned ships)
Scope 3 Emissions:12,379,113 metric tons (managed ships)
Carbon Intensity:4.36 grams of CO2 per metric ton-mile (owned ships); 5.30 grams of CO2 per metric ton-mile (managed ships)

ESG Focus Areas

  • Culture and People
  • Health and Safety
  • Conduct and Compliance
  • Environmental Stewardship
  • Community

Environmental Achievements

  • Upgraded two of our three owned ships to improve the Energy Efficiency Design Index (EEDI)
  • Expanded the deployment of bilge water evaporation tanks on ships
  • 10,000 fruit-bearing tree saplings planted in India, offsetting 50% of Scope 2 emissions

Social Achievements

  • Onboarding of 4 women seafarers
  • Established a Diversity Steering Committee
  • Launched an Employee Assistance Program (EAP)

Governance Achievements

  • Established an ESG governance structure with an ESG Working Committee (EWC)
  • Implemented a KYC due diligence system with suppliers
  • Conducted 96 voyage compliance checks

Climate Goals & Targets

Long-term Goals:
  • Align with IMO's initial GHG strategy (40% reduction in carbon intensity by 2030, pursuing 70% by 2050; 50% reduction in total annual GHG emissions by 2050)

Environmental Challenges

  • COVID-19 pandemic impacting seafarer wellbeing and crew changes
  • Decarbonization challenges in the shipping industry
  • Maintaining ethical standards across the global supply chain
Mitigation Strategies
  • Partnered with Sailors’ Society to establish a Crisis Response Network (CRN)
  • Investing in skills, knowledge, technology, and capability to support emission reduction targets
  • Rigorous due diligence process for selecting responsible business partners

Supply Chain Management

Supplier Audits: 1,167 KYC checks; 39,391 Refinitiv World-Check Screenings

Responsible Procurement
  • Financial verification of suppliers via Marcura Compliance (MCaaS)
  • Collection of ISO approval letters
  • KYC vendor management process

Climate-Related Risks & Opportunities

Opportunities
  • Development of energy-efficient products and alternative fuels

Reporting Standards

Frameworks Used: GRI Standards: Core option

UN Sustainable Development Goals

  • Goal 5: Gender equality
  • Goal 10: Reduced inequalities
  • Goal 3: Good health and well-being
  • Goal 8: Decent work and economic growth
  • Goal 9: Industry, innovation and infrastructure
  • Goal 13: Climate action
  • Goal 14: Life below water

The report details how various initiatives contribute to these SDGs.

Sustainable Products & Innovation

  • PARIS 2.0 digital ecosystem, including SafeView mobile application and NOVA data analytics platform

Awards & Recognition

  • Outstanding Performance in Port State Control Inspection (2020)
  • Seafarers Awards for Hong Kong Ship Manager (2020)
  • Outstanding Ship Management and Crew Service Company Award (2021)
  • SHE Company of the Year (2021)
  • Outstanding Contribution to Search and Rescue Efforts (2020)
  • Highly Commended recognition in the Innovation Award category (2021)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:85,916 tCO2e (Scope 1) + 12,901,632 tCO2e (Scope 3) from ships; 1,738 tonnes of CO2e from offices
Scope 1 Emissions:85,916 tCO2e/year
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:12,901,632 tCO2e/year
Renewable Energy Share:Not disclosed
Total Energy Consumption:169,927,181,799 MJ from ships; 7,791,271 MJ from offices
Water Consumption:562 ML used on ships; reduction in water usage in Mumbai office by 33%
Waste Generated:159,397 m3 from ships; 181 m3 from four offices
Carbon Intensity:Decreased carbon intensity for managed ships

ESG Focus Areas

  • Environmental Stewardship
  • Safeguarding People
  • Ethical and Responsible Business
  • Digital Transformation
  • Community Investment and Engagement

Environmental Achievements

  • Reduced waste generation and increased the amount of garbage and sludge landed ashore for proper disposal
  • Reduced energy consumption from ships due to energy-saving devices, voyage optimization, and maintenance
  • Reduced GHG emissions on an absolute and intensity basis
  • Installation of eConowind VentiFoils on M/T Chemical Challenger for fuel and CO2 emission reduction
  • Installation of PV panels on a client’s ship to contribute renewable energy

Social Achievements

  • Launched The Caravel Group Women’s Network to support female employees globally
  • Expanded mental health programs for employees and seafarers
  • Increased the number of female seafarers on ships by 33%
  • Delivered 12 family wellbeing sessions exceeding the target of 10
  • Delivered gender sensitization training to 100% of seafarers sailing with female officers

Governance Achievements

  • Refined ESG governance structure to align roles and responsibilities
  • Hired first General Manager to oversee sustainability
  • Joined the United Nations Global Compact (UNGC)
  • Aligned reporting with SASB Standards for the marine transportation sector
  • Updated Group Compliance Policy, Group Human Rights Policy, and Caravel Resources Responsible Sourcing Policy

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Achieve net-zero emissions for owned vessels and operations by 2050
  • Improve CII categories towards “A” for all ships
  • Increase the number of dual-fuel trained individuals to 1,200 by 2025
  • Improve Group’s wellbeing score to 78% by 2028
  • Train 100% of onboard seafarers on value-added training by 2025
Short-term Goals:
  • Install R-O purification units on all owned ships by 2024
  • Comply with BWMC by installing BWTS on all vessels by 2024
  • Roll out a systematic data collection process across operations by 2024
  • Roll out NOVA to all clients by end March 2024
  • Train relevant employees on applicable privacy laws by 2024

Environmental Challenges

  • Climate change and severe weather events impacting operations and safety
  • Geopolitical instability creating market disruptions and security risks
  • Talent retention and training to maintain operational continuity
  • Waste, pollution, and spills posing environmental and reputational risks
  • Inadequate ESG practices in the supply chain
Mitigation Strategies
  • Plan to assess climate and nature-related risks aligned with TCFD and TNFD recommendations
  • Adoption of alternative fuels and innovative solutions
  • Robust risk management systems and crisis mitigation protocols
  • Implementation of systems, training, and wellness programs to improve OHS and wellbeing
  • Supplier Onboarding Program, Supplier Code of Conduct, and due diligence checks

Supply Chain Management

Supplier Audits: 9,209 checks on suppliers and counterparties in 2023

Responsible Procurement
  • Supplier Onboarding Program
  • Supplier Code of Conduct
  • Responsible Sourcing Policy for Caravel Resources
  • KYC vendor management process

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
Transition Risks
  • Regulatory changes
Opportunities
  • Development of energy-efficient products and services

Reporting Standards

Frameworks Used: GRI Standards, SASB Standards for the marine transportation sector, UN SDGs

Certifications: Green Award, ISO 50001, ISO 14001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Encompass strategy aligns with UN SDGs

Sustainable Products & Innovation

  • eConowind VentiFoils
  • PV panels

Awards & Recognition

  • Green Shipping Company of the Year
  • TURQUOISE – SHE Company of the Year
  • Best Practices in Sustainability Award
  • Green Award Certification
  • Seafarers’ Award for Hong Kong Ship Manager
  • AMVER Awards