To accelerate the maritime decarbonization journey, the Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping (the Center) is teaming up with Maersk Broker Advisory Services and McKinsey & Company to offer data-based advisory services on decarbonization pathways.

The service called ‘Fleet Decarbonization Optimizer’ combines deep industry knowledge and techno-economic analytical capabilities across the three parties and together they model bespoke decarbonization pathways taking data points like fleet size, fleet age, vessel specifics and types of operations into consideration.

The ambition to decarbonize the maritime industry by 2050 calls for immediate action. However, uncertainty around future fuels and technologies, lack of global standards and regulation and limited visibility on timelines makes the investment case challenging. The goal is to de-risk fleet decarbonization plans by advising on

• Retrofits of energy efficiency technologies to reduce future emissions and energy demand

• Retirement schedule of legacy vessels for continued fleet optimization

• Newbuilds incl. proposed alternative fuels / propulsion

Maersk Broker Advisory Services and McKinsey & Company announced the partnership in July 2021 and since then the Center has participated in a pilot project to validate the concept and collaboration model. Based on the positive result of the pilot the three parties have now formalized the agreement and will start offering the services in the market immediately.

Bo Cerup-Simonsen, CEO of the Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping:

“We see great interest from shipping companies who want to contribute to the decarbonization of the industry but identifying the optimal decarbonization pathway is not easy. The partnership with Maersk Broker Advisory Services and McKinsey can help accelerate the transition by offering bespoke, data-based advice on viable ways forward. This new way of activating and leveraging our publicly available tools, our modeling skills and knowledge ensures close interaction with the shipping industry and will inform our research and activities going forward as we learn even more about the concrete, practical challenges the shipping companies face.”

Anders Hald, CEO of Maersk Broker:

“We believe collaboration will be key for a successful and just transition of the maritime industry and we are excited for the Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping to join this partnership. The industry has to decarbonize but most companies are hesitant to initiate a transition due to the considerable uncertainty on what the future holds. In our opinion the combined knowledge put into the Fleet Decarbonization Optimizer brings forward the best available data to the industry so companies can make well-informed investment decisions and navigate the uncertainty. The Fleet Decarbonization Optimizer provides tangible solutions in an environment filled with unanswered questions on future fuels, rules, and regulations. We are looking forward to assisting the industry to prepare and put forward a credible- and data-based decarbonization roadmap. A clear decarbonization strategy will be essential to initiate a successful green transition.”

Matt Stone, Partner of McKinsey & Company:

“In a large, diverse, global industry like shipping, decarbonization at scale will require participants across the value chain to move together and at pace. The partnership with Maersk Broker Advisory Services and the Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping on the Fleet Decarbonization Optimizer brings the best of our three organizations together to help the shipping industry understand what it will take to decarbonize in the most cost-optimal way.”

Shipping’s roadmap to decarbonization

With 100.000 ships consuming around m300Tons fuel p.a. global shipping accounts for around 3% of global carbon emissions, a share that is likely to increase as other industries tackle climate emissions in the coming decades.

Achieving the long-term target of decarbonization requires new fuel types and a systemic change within the industry. Shipping is a globally regulated industry, which provides an opportunity to secure broad-based industry adoption of new technology and fuels.

To accelerate the development of viable technologies a coordinated effort within applied research is needed across the entire supply chain. Industry leaders play a critical role in ensuring that research is successfully matured to scalable solutions matching the needs of industry. At the same time, new legislation will be required to enable the transition towards decarbonization.

About the Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping

The Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping is a not-for-profit, independent research- and development center working with industry players across the energy- and shipping sectors to mature viable decarbonization pathways for shipping globally. With Partners, the Center facilitates the development and implementation of new energy and maritime technologies and accelerates the transition by defining strategic ways to drive the required systemic and regulatory change. The Center is Copenhagen-based and has a partner base of global companies across the maritime eco system.

Established in 2020 as a commercial foundation the Center is expected to supplement the base funding through commercial activities and as a not-for-profit entity all profit generated from these activities will be re-invested in the Center’s research work to further support the Center objective. Center contributions to the Fleet Decarbonization Optimizer build on publicly available tools, published analyses and the Center’s expert knowledge within decarbonization of shipping.

Strategic Partners to the Center include: Alfa Laval, American Bureau of Shipping, A.P. Moller - Maersk, bp, Cargill, DP World, Haldor Topsoe, MAN Energy Solutions, Mitsubishi Heavy Industries, Mitsui, NORDEN, NYK Line, Seaspan Corporation, Siemens Energy, Stolt Tankers, Sumitomo Corporation, Swire Group, TotalEnergies and V.Group.

About Maersk Broker Advisory Services

Maersk Broker Advisory Services is a maritime consulting business providing innovative and tailored capital and consultancy solutions to a broad range of stakeholders in the maritime sector. Maersk Broker Advisory Services, being part of Maersk Broker, draws on a wealth of maritime data, knowledge, experience, and network developed by 100+ years of experience in the shipping industry. Maersk Broker Advisory Services is positioned at the forefront of the decarbonization of the maritime industry and has set up a dedicated team to support their clients in their journey. Maersk Broker is the first shipbroking company that has joined the Getting to Zero Coalition and that supports the Call to Action and is dedicated to assisting the maritime industry in its decarbonization journey.

For more information go to: www.maerskbroker.com/decarbonisation