The port industry is part of the supply chain and its’ footprint is estimated to be around 3.5?4.0% and with a well reported global climate change and melting ice caps the facts are clear – port operations have to become ‘environmental friendly’. So how do you go about reducing the carbon footprint? Obvious measures can be taken without any financial impact, such as educating employees, shortening driving distances at the terminal and reducing idling times. Other options will include financial investments – large and small – ranging from retrofitting cargo handling equipment, installing ‘greener’ IT equipment and perhaps using renewable energy (such as wind farms). The aim of many terminals operators is to strike a balance between the implementation of environmental solutions and their profitability.
APM Terminals
Speaking at the Ports and the Environment conference in Amsterdam, the Netherlands, at the beginning of December, Henrik Kristensen, Head of Corporate Responsibility for APM Terminals stated: “The CO2 footprint continues to improve, and we anticipate reaching a 20% reduction in two years, which is a great achievement by our terminals.” Emphasising the success of the company’s commitment to sustainability as a business model for the APM Terminals Global Port and Terminal Network, environmental and safety performance targets are set to be exceeded for the year says Kristensen. In the area of environmental sustainability, ongoing efforts to reduce the company’s global output of carbon dioxide (CO2) resulted in a reduction of an estimated 35,000 metric tonnes of the greenhouse gas produced in terminal-related business during the first six months of 2010 alone. This amount of CO2 mitigation is the approximate equivalent of planting 1.4 million trees. The amount of CO2 generated per TEU lift during the six month period of January through June has decreased by 11.4% from the 2009 figure of 17.61 kilograms to 15.59 kg, a promising start on the way to meeting the company goal of a 10% reduction per TEU for the year. During 2009 APM Terminals decreased CO2 output per TEU by 8%. The largest component of the improvement has been the reduction of CO2 output at the terminals through enhanced production and operational efficiency. These measures have reduced energy consumption, saving both fuel and expenses. APM Terminals is using 9.6% less electricity for container lifts, and 11.6% less fuel per container move compared with 2009. CO2-neutral electricity, generated by non-polluting renewable resources such as solar and wind power now account for 6.4% of the company’s overall electricity consumption. Initiatives to convert diesel-powered RTGs to electrical power and the use of hybrid terminal tractors which operate both on battery and diesel engine power are currently being studied. The electrification of RTGs alone could result in the reduction of overall company-wide CO2 footprint by another 10%. (In 2009, Shanghai East Container Terminal (SECT) became the first terminal world-wide to convert its diesel RTG fleet to cleaner-running electrical power). The use of clean-burning natural gas for yard tractors, now being tested by Laem Chabang’s LCB-1 Terminal in Thailand, could reduce CO2 emissions by over one third, with estimates as high as 35%. With all ports and terminals within the APM Terminals Global Port and Terminal Network now monitoring environmental performance and reporting results on a monthly basis, overall progress and environmental Best Practices are shared throughout the company. “We are counting on the input of every APM Terminals employee and every facility in making APM Terminals the Environmental Leader of the Port Industry,” said Kristensen. Furthermore, Kristensen explained that the company is also looking at other energy efficiency programs and innovations. For example at the Port of Tanjung Pelepas in Malaysia it is executing a prime mover project with French company Gaussin. Earlier this year, Gaussin launched the Automotive Multi Trailer System (AMTS) offering between 30 and 50% reduction in fuel costs with a stop and start system. The AMTS concept completes the Automotive Terminal Trailer (ATT) concept with the option of linking up numerous trailers. AMTS is revolutionary vehicle and significantly reduces the operating costs of port operators and 70% reduction in maintenance costs, while introducing a major innovation in terms of reducing greenhouse gases. Studies of the return on investment show that annual operating savings in the order of USD 120,000 can be achieved at a port like Dubai with the acquisition of just one single AMTS vehicle. But there are more alternatives that APM Terminals is looking at including EXS magnetic devices [re-defining fuel molecules], hydraulic power transmissions, reducing engine sizes and alternative lubricants are all being tested and evaluated.
Safety
Involvement and educating employees has also been a high priority for APM Terminals. As a result the company has also made significant gains in its safety performance in 2010, both in port and terminal operations, and with the newly merged Inland Services businesses whose results now are included in overall performance assessments. During the first ten months of 2010, APM Terminals ports and terminals facilities reported 211 injuries world-wide, representing a decrease of 29% compared to the same period in 2009. The Inland Service division recorded a reduction of 16% in injuries during the first ten months of 2010. “Much still remains to be done to meet company safety goals, which specifically include the elimination of fatalities, which have risen this year to six within port operations,” said Kristensen. He also referred to APM Terminals’ annual Global Safety Day in October stating increased safety training for non-APM Terminals personnel- including any contractors and vendors conducting business at any APM Terminals location- has become a priority for accident reduction. “APM Terminals has implemented the web-based risk detection system Synergi to enable more advanced data analysis and risk mitigation methodologies. The system is widely used in the Oil and Gas industry.”
Conclusions
So, where next for terminal operators? According to Kristensen there are still lots of opportunities to reduce the carbon footprint in the ports industry. The need for environmental standards and more benchmarking will drive reductions even further while the need for increased collaboration in the supply chain will benefit many. “Sustainable business growth will enable new opportunities,” he concludedPhoto and Henrik Kristensen, Head of Corporate Responsibility