We recognize the environmental challenges specific to the shipping industry, and we appreciate our role as a leading global container line shipping.
With operations in select trades across five geographic trade zones, ZIM is a significant market participant with a sizeable market share and global footprint. We consider environmental protection and management one of our highest priorities, and we make every effort to protect the environment and mitigate the impact of our operations on the planet. Over the past year, we have taken further steps in terms of our environmental and climate risk management, and we are focusing our efforts on decarbonization, energy management, and biodiversity. At ZIM, we take a broad view of the company’s services, operations, and we are working on operational efficiency across the value chain, with a focus on climate related issues.
We are committed to continuously improving our environmental performance, in both regulated and non-regulated areas. ZIM works diligently to prevent pollution, with an emphasis on source reduction, including the allocation of necessary labor and financial resources to effectively maintain and repair relevant systems and equipment. We continuously monitor environmental risks with the goal of reducing them, and we are committed to sharing our environmental performance with stakeholders in a transparent, open manner. To support our environmental management approach, we conduct ongoing monitoring, internal assessments, and generate annual reports. We strive to go beyond regulation through our environmental practices and initiatives. ZIM was one of the world’s first shipping companies to obtain the ISO 14001:2004 standard certification for its company owned fleet, which specifies the requirements for an Environmental Management System (EMS). Our EMS registration is regularly assessed, certified and issued by an independent third party (ClassNK). ZIM is also certified for ISO 14001:2015 of the Ship Management Directorate (SMD).
International shipping is a large and growing source of greenhouse gas emissions (GHG) that are the driving cause for global climate change, emitting 2-3% of global GHG emissions. To minimize the carbon impact of shipping, the International Maritime Organization (IMO) has agreed on an ambitious goal of reducing GHG emissions from shipping by at least 50% by 2050. To support this effort, a powerful alliance was formed by over 140 companies in the maritime, energy and infrastructure sectors: the Getting to Zero Coalition. ZIM has joined this initiative, promoted by the UN, and is committed to achieving this formidable objective. Our net-zero agenda has been approved by the ZIM Board of Directors, and we plan to start implementing our climate plan in 2023 and share it in our next ESG report, along with a detailed step-by-step roadmap to decarbonization. In addition, we are developing science-based targets that will be aligned with the Science Based Targets initiative (SBTi) in the future.
We continue to work diligently on achieving our emissions and decarbonization targets. In addition to CO2 emissions reported according to the Clean Cargo Working Group (CCWG) methodology in our previous ESG reports, this year our environmental reporting includes a more comprehensive overview of ZIM’s GHG emissions, including emissions from the company’s sites, such as fuel use and ozone depleting substances (Scope 1), electricity use, heating, and cooling (Scope 2). The report also includes, for the first time, information on Scope 3 emissions from our suppliers from Categories 1-7, 11,12, and 15. In 2022, we took the opportunity to examine our emissions data collection process. Through extensive research and in-depth work, we developed processes to expand and deepen our collection and measurement processes, for more accurate and comprehensive data. This will help us further identify areas for potential carbon reduction.
OUR 2022 GHG Emissions (tCO2e)
CO2 Emissions (tons CO2e)
*Emissions for 2019-2021 are according to CCWG methodology, 2022 emissions are Scope 1 emissions according to the GHG Protocol methodology, as detailed above
Our Current Path To Decarbonization
Liquified natural gas (LNG) is the only fuel currently available on a large scale to the shipping sector that immediately provides emissions reduction, compared to common existing alternatives.
ZIM considers LNG to be a transitional solution that helps us set up a strong, stable infrastructure to implement the fuels of the future, such as ammonia, methanol, bio-LNG and e-LNG (a renewable synthetic), when they become available. LNG is natural gas that has been cooled to a liquid state and has a lower carbon content than conventional marine fuels. It emits ~25% less CO2 , and negligible Sulphur and particulate matter (PM) levels. It has a higher caloric value than fuel oil, making it more efficient when less fuel is used over the same distance compared to heavy fuel oil, and poses no pollution risk to ocean environments through fuel spills, in contrast to traditional marine fuels.
We have chartered 28 state-of-the-art LNG dual-fuel vessels under long-term agreements. The first LNG vessel will set sail in February 2023, making ZIM the first, and so far only, carrier to operate an LNG vessel on the Asia to US East Coast trade route.
Twenty-five out of the 28 new LNG ships are equipped with Alternative Marine Power for onshore power supply. Using electricity from the grid instead of burning fuel in port can lead to an improvement in air quality in the port area and will potentially allow for savings in GHG emissions as grid electricity shifts worldwide to low-carbon and renewable sources of energy. We are working with select ports to enable this feature as soon as the infrastructure is in place.
As part of our ongoing efforts to reduce our operations environmental impact, we encourage all our customers and suppliers to achieve and maintain high standards of sustainability. For this reason, we provide our customers with a convenient way to monitor the ecological impact of their shipments. The EcoData Emissions Calculator is a user-friendly online tool that can be found on our website. It provides CO2 and SOx emissions estimates based on the CCWG methodologies, which are widely recognized in the industry. In this way, our customers benefit from greater transparency relating to all aspects of the shipping process.
We took action to prepare for new EEXI/ CII regulation that went into effect in 2023. In preparation for the IMO 2023 regulation, ZIM is in the process of upgrading its fleet with 46 modern new ships, already built according to the EEDI standard. For the existing fleet, ZIM has worked closely with ship owners to ensure they are all EEXI compliant. Although CII reporting will only be required at the end of 2023, ZIM has worked to develop internal monitoring capabilities to identify, in real-time, vessels that are in danger of reaching non-compliant CII ratings. This allows us to analyze the reasons and - acting in full cooperation with vessel owners, take corrective actions to avoid a non-compliant ship rating.
We have a wide range of initiatives in place to reduce our energy use and operate more efficiently, including:
Fuel Efficiency (kg/TEU*1000Nm)
The use of IT tools for optimizing route planning onboard our vessels, Trim optimization software is used together with the vessel’s planning system software to optimize the vessel’s trim and draft, to minimize ballast quantities, Trim optimization software is used together with the vessel’s planning system software to optimize the vessel’s trim and draft, to minimize ballast quantities, Reducing vessels’ water resistance through optimal trim, as well as continuous hull and propeller cleaning and polishing, Reducing vessels’ water resistance through optimal trim, as well as continuous hull and propeller cleaning and polishing, Reducing vessels’ water resistance through optimal trim, as well as continuous hull and propeller cleaning and polishing, Reducing fuel consumption and emissions due to land cargo transportation by selecting rail transportation over road transportation whenever available, and many more.
We continuously track the operations and efficiency of ships across a variety of systems. To reduce our overall fuel consumption, we undertake a range of measures, such as optimize port call sequence to avoid unnecessary acceleration, optimize sea routes to avoid extreme weather conditions and thus unnecessary speed-ups, and optimize port productivity to reduce time in port and thus avoid unnecessary high-speed sailing to the next port. We have a wide range of initiatives in place to reduce our energy use and operate more efficiently.
Many of our sites around the world are transitioning to renewable energy sources, including ZIM offices in Rotterdam, Antwerp, and Liverpool, where 100% of the energy comes from renewable sources. Since March 2018, ZIM has been voluntarily replacing its global car fleet by introducing eco-friendly hybrid or electric models. In Israel, 60% of corporate vehicles are now hybrid or electric vehicles (EV), and 16% are standard vehicles that are fuel-efficient.
Waste & Materials Management
We operate a zero-spill policy and aim to eliminate the possibility of marine pollution at the source. We do so by ensuring the highest standards of safety and awareness are maintained and all relevant legislation, regulations, and conventions are followed. Our fleet complies with all mandatory standards and abides by all relevant treaties for the prevention of marine pollution, including:
The International Convention for the Prevention of Pollution from Ships (MARPOL)
The International Convention for the Safety of Life at Sea (SOLAS)
The Shipboard Oil Pollution Emergency Plan (SOPEP) regarding oil spills
The International Maritime Dangerous Goods (IMDG) code
Other standards regarding sewage, garbage and air pollution, as well as all national, regional and local regulations
Waste From Ships (2022)
Sewage Treated (m3)
Garbage Disposed at Sea (m3)
Garbage Incinerated (m3)
Garbage Including Ashes (m3)
Sludge & Oily Water (m3)
We invest great efforts in reducing the amount of waste and the resources used in our offices. Many of our offices restrict the use of disposable dishware and we encourage the use of biodegradable materials. We have minimized printing by switching to electronic documentation and billing and
apply a default setting for double-sided printing and collect used batteries to be recycled. We are currently working on starting to measure and collect waste data across our company sites.
Waste on board ships is separated into types, such as plastics, paper and food waste, to allow for the proper treatment and recycling of each material. Over the past few years, we have embarked on the process of expanding and improving our waste tracking data, and vessel reports have been updated with new fields for waste data.
To help customers monitor high-value reefer cargo, such as pharmaceuticals, food and delicate electronics, we offer ZIMonitor, a premium reefer cargo tracking service. ZIMonitor is an advanced real-time monitoring device that, among other things, allows our customers to monitor their shipments in real time. ZIMonitor is a device attached to the engine of the reefer, and allows customers to track, monitor and remotely control sensitive high-value cargo. The device monitors, among other things, GPS location, temperature, humidity, and unnecessary container door opening. Customers can receive alerts regarding their shipment via text message or email, and ZIMonitor provides customers with ongoing data, alerts to prevent cargo damage, and automatic reports. A large percentage of our shipments are refrigerated and temperature-balanced goods, and ZIM is at the forefront of the operation and innovation of refrigerated containers. Our reefer containers are equipped to transport refrigerated cargo of all kinds, including fruit, meat, medical supplies or any other frozen or refrigerated cargo. In 2019, we initiated a three-year renovation plan for our reefer fleet with the aim of reaching an average fleet age of five years. A younger reefer fleet means reduced maintenance and repairs and lower energy consumption.
We strongly believe in conserving ocean biodiversity and supporting a clean marine environment, and we implement several initiatives to that end. To support our biodiversity preservation efforts, we participated in research conducted by the Israel Nature and Heritage Foundation on ballast-exchange and marine life found inside the ballast tank. Ballast water treatment Each ZIM ship has a ballast water treatment system installed to prevent the transfer of species, and we conduct ballast exchange in mid-ocean to reduce the effect of transferring marine life from one area to another. Most of our ships utilize the UV method for this treatment; in several ships, we have installed the Pure Stream system from the Israel based company Atlantium. This innovative system allows the transfer of water only once through the UV treatment process, unlike other systems that require the water to be transferred twice, thereby saving time and energy.
Eco-friendly materials We use environmentally friendly paints on our ship hulls that do not contain substances that are harmful to sea life. In addition, we clean the hull of each ship and its propellor every eight months or as needed. Furthermore, hull cleaning is important to prevent the transfer of invasive aquatic specifies by ships (biofouling) and it also helps avoid additional drag and waste of energy. Part of our fleet uses environmentally friendly lubricants that are biodegradable, and we are working on switching our entire fleet towards this more environmentally responsible material.