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Environmental Regulations

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MOL Group's Environmental Impact


Comparison of CO2 Emissions from Aircraft, Trucks, and Ocean Vessels

Compared to other modes of transport, ocean shipping can transport larger volumes of cargo at once and is an environmentally-friendly mode, with lower emissions per tonmile of CO2 and other air pollutants.

However, with growth of the world economy spurred by the development of emerging markets, the overall world ocean cargo traffic continues to increase. Seaborne trade has exceeded 10 billion tons, and we anticipate further increases in the future. As seaborne trade increases, CO2 emissions will rise in step with growing energy consumption. This can exacerbate pressing environmental issues. CO2 emissions from merchant vessels account for about 2% of global emissions, and the shipping industry must do more to protect the environment.

大気への負荷

  • CO2 emissions (global warming)
  • NOx emissions (atmospheric pollution)
  • SOx emissions (atmospheric pollution)
  • Fuel consumption reductions
    (ECO SAILING)
  • Technology development
    (Senpaku ISHIN, Power Assist Sail)

Link:
CO2 Emissions Countermeasures

  • Fuel consumption reduction
  • Technology development
    (NOx-reducing SCR, SOx scrubber, DPF*, etc.)

Link:
NOx Emission Countermeasures,
SOx Emission Countermeasures,
Soot/Smoke and Dust Countermeasures

*PM (particulate matter) reduction system

  • Technology development
    (paint, etc.)
Link:
Approaches to Biodiversity Protection
  • Technology development
    (ballast water treatment system)
Link:
Approaches to Biodiversity Protection

海洋への負荷

  • Oil pollution (ocean pollution)
  • On-board waste (ocean pollution)
  • Ballast water (biodiversity)
  • Organisms on vessels (biodiversity)

Refer to this environmental data compilation for information on MOL CO2 emissions.

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Comply with Environmental Regulations

Viewing environmental regulations as a business opportunity and a strategy for differentiation, MOL proactively develops and adopts advanced technologies that reduce the environmental impact of our business and set the stage for real solutions to global environmental issues.

It is not really possible for a single nation to regulate merchant vessels, because they move all over the world, so international initiatives are indispensable. The United Nations Framework Convention on Climate Change (UNFCCC) in the Kyoto Protocol directs the International Maritime Organization (IMO) to study measures to control greenhouse gas (GHG) emissions in international ocean shipping. Currently, IMO studies, adopts, and issues various international conventions and regulations.
MOL continues its company-wide efforts to ensure compliance with a wide variety of environmental regulations.

Regulations to Prevent Global Warming

  2014 2015 2016 2017 2018 2019 2020 2025
EEDI Phase 0 Phase 1 Phase 2 Phase 3
SEEMP Mandatory
MRV , MBM (under consideration)  

In 2013, conventions related to energy efficiency (EEDI and SEEMP) were adopted as measures to reduce GHG emissions from international ocean shipping.

EEDI : Energy Efficiency Design Index. Requires that CO2 emissions in theory conform to the regulations at the design stage of a newbuilding vessel. Target of reduction rate in each phase: Phase 0 = 0; Phase 1 = 10%; Phase 2 = 20%; and Phase 3 = 30%.
SEEMP : Ship Energy Efficiency Management Plan. Requires the selection of an operational method for each vessel to improve energy efficiency, documentation of the action plan, and adoption of method aboard the vessel. It targets newbuilding vessels and existing vessels.

In addition, MRV and MBM have been studied for adoption as measures to further reduce emissions.

MRV : Monitoring-Reporting-Verification system. Preceding the Market-Based Method (MBM), MRV is a system to monitor, report, and verify operational data concerning actual fuel consumption.

Regulations to Prevent Air Pollution

    2014 2015 2016 2017 2018 2019 2020
SOx
(sulfur oxides)
General sea area Sulfur content 3.5% Sulfur content 0.5%
ECA Sulfur content 1.0% Sulfur content 0.1%
NOx
(nitrogen oxides)
General sea area Tier 2 regulation
ECA Tier 2 regulation Tier 3 regulation
SOxemissions
regulations
: Regulate the sulfur content in fuel oil to control SOx volume in exhaust emissions. From 2015, the ratio level in the Emission Control Areas (ECAs) was reduced to 0.1%. Another regulation soon to be introduced will limit fuel sulfur content in general sea areas to 0.5% or less. The year of adoption, either 2020 or 2025, will be decided by 2018 after a survey of demand and supply for relevant fuel oil.
NOxemissions regulations : Regulate NOx in exhaust gas from engines in a step-by-step manner. Tier I regulates emission levels by rated engine rpm, targeting the vessels built between 2000 and 2010. Tier II requires the vessels built in 2011 or later to reduce a further 15.5-21.8% from the Tier I level.
Tier III applies to vessels built in 2016 or later, in specific Emission Control Areas (ECAs), requiring a reduction of 80% from Tier I.

*ECA-designated sea areas:
(1) North America Coast - within 200 nautical miles (NOx/SOx), (2) United States Caribbean Sea (NOx/SOx), (3) Baltic Sea and North Sea (SOx)

Regulations to Protect the Marine Environment

  2015 2016 2017 2018 2019 2020
Ballast Water
Management Convention
General sea area Adopted in 2004: yet to take effect Expected to be mandatory
USCG regulations Enforced in 2012 Mandatory
Ship Recycling Convention Adopted in 2009: yet to take effect, effective year undetermined
Convention on biofouling on Hulls Adopted guidelines in 2011
Ballast Water
Management Convention
: United States Coast Guard ballast water regulations took effect in 2012. The regulations for the relevant sea areas cover the same level as the BWM Convention. However, the USCG regulations require a specific type of ballast water treatment system approved by the USCG. As of 2016, all vessels calling at ports in the U.S. are required to use ballast water treatment systems within 12 miles of the coast.
USCG Ballast Water
Management regulations
: United States Coast Guard ballast water regulations took effect in 2012. The regulations for the relevant sea areas cover the same level as the BWM Convention. However, the USCG regulations require a specific type of ballast water treatment system approved by the USCG. As of 2016, all vessels calling at ports in the U.S. are required to use ballast water treatment systems within 12 miles of the coast.
Ship Recycling Convention : A convention to prevent workplace accidents in ship recycling and minimize environmental pollution. It was adopted in 2009, and will be issued 24 months after the requirements for the issues are satisfied. It stipulates rules for ship recycling facilities and recycling procedures, and requires recyclers to create, maintain, and update a list of hazardous substances (inventory list) for existing vessels.
Convention on
biofouling on hulls
: As marine organisms attached to the bottoms of ships and crossing national borders has emerged as an environmental issue, IMO is holding discussions on formulating guidelines to address this problem. The" Guidelines for the Control and Management of Ships' Biofouling to Minimize the Transfer of Invasive Aquatic Species," which was adopted in 2011, was voluntarily implemented during the review period (five years). It may become a convention after a comprehensive review in 2017.

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Environmental Initiatives in Business Activities

Environmental Impact of Business Activities Environmental
Initiatives
Ship Construction Cargo Transport Scrapping
Global Warming Measures to reduce CO2 emissions
  • Main engine: Research and development of a system that recovers waste heat from sources of low-temperature heat
  • Improve transport efficiency by adopting larger vessels
  • Introduction of Propeller Boss Cap Fins (PBCF)
  • Introduction of low-friction ship bottom paint
  • Introduction of high-efficiency waste heat recovery system
  • Research of special rotation nozzles
  • Adoption of wind-pressure resistance-reducing design
  • Introduction of hybrid car carriers
  • Research on Power Assist Sail
  • Participation in Wind Challenger Project
  • Study of LNG-fueled Vessels
  • Expansion of Eco Sailing
  • Use of optimal operation support System
  • Use of optimal trim calculation system
 
Air Pollution Measures to reduce NOx emission
  • SCR(Selective Catalytic Reduction)
 
Measures to reduce SOx emissions
  • Development of methanol-fueled vessels
  • Study of SOx scrubber
  • Use of low-sulfur fuels
  • Study to introduce LNG fuel
 
Measures to reduce particulate matter (soot and dust) emissions  
  • Self-cleaning particulate matter (PM) Filter System
  • Use of on-shore electricity in berth
 
Marine Environmental
Pollution
Initiatives on marine environmental conservation
  • Double hull structure on tankers
  • Double hull structure on fuel tanks
  • Adoption of NSafeTM-Hull with improved collision safety
  • Proper treatment of waste, waste oil, and bilge
  • Initiatives on ship recycling
Initiatives on biodiversity
  • Installation of ballast water treatment system before convention takes effect
  • Prevention of biofouling
 

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