DP World’s container terminal at Southampton enjoyed its greenest ever year in 2022 after delivering a 55% reduction in net carbon emissions from its fleet and installations.

DP World, the leading provider of worldwide smart end-to-end supply chain logistics, runs the UK’s most advanced logistics hubs: two deep water ports at Southampton and London Gateway with access to freight rail terminals, and a rapidly expanding logistics park on the doorstep of the capital.

The news represents a major step forward for DP World’s ambitious plans to reduce emissions after Southampton became the first port in the UK to eliminate fossil diesel from its operations entirely and transition to Hydrotreated Vegetable Oil (HVO) last April.

HVO is a renewable biodiesel derived from sustainable sources which, as well as lowering carbon dioxide emissions, reduces levels of nitrogen oxide, particulate matter and carbon monoxide. DP World estimates the switch from diesel to HVO at the port saves around 14,000 tons of carbon dioxide annually – the equivalent of taking more than 8,000 family cars off the roads.

Steve McCrindle, DP World’s Port Operations Director at Southampton, said:

“We are delighted by the progress we have made on our green journey since moving to sustainable HVO last April. The transition away from fossil diesel means that the overwhelming majority of the fuel used at Southampton now comes from a green and renewable source.”

“We will use HVO for the entirety of 2023 and therefore expect a further 35% net reduction in carbon emissions from our fleet and installations by the end of the year, making for a 90% reduction compared with 2021. This sector-leading performance shows our commitment to playing our part in helping the UK meet its Net Zero 2050 policy.”

DP World operates ports, terminals and logistics businesses on six continents. At London Gateway the new £350 million fourth berth, which will lift capacity by a third when it opens in 2024, will be all-electric and the UK’s first all-electric terminal tractor is now in service.

Southampton already has the highest proportion of containers moved by rail in the UK (up to 30%). Combined with London Gateway, this means around 300,000 trucks are taken off UK roads each year, saving emissions and reducing congestion.

The company has also earmarked a further £1 billion for investment in the UK over the next 10 years, including in rail.

DP World announced plans in November to invest up to $500 million to cut carbon emissions from its operations by nearly 700,000 tonnes over the next five years. The reduction represents a 20% cut from 2021 levels, through electrifying assets, investing in renewable power and exploring alternative fuels. In the longer term, DP World aims to be a carbon neutral business by 2040 and has a clear roadmap to achieve net zero carbon emissions by 2050 across its entire global network.

Separately, A.P. Moller – Maersk (Maersk) and DP World Jebel Ali Port have entered a long-term partnership through which both parties will collaborate on various aspects of service delivery and work towards a common goal of decarbonising logistics and serve their customers better.

The long-term strategic partnership will give priority berthing for Maersk vessels, support for Maersk’s customers and implement new processes to improve quayside productivity, all leading to faster gate turnaround times at Jebel Ali Port and reduced bunker fuel consumption.

These are alongside visibility tools, which will allow Maersk’s customers to benefit from real-time information relayed by DP World to plan their supply chains better and ultimately cut carbon emissions. Maersk will deploy two of its solutions for customers moving their cargo through Jebel Ali -- Maersk Accelerate, a fast-tracking service through priority cargo handling, and Maersk Flex Hub, a cargo storage solution.

Jebel Ali Port is a leading international gateway port, ideally located to serve the East-West trade corridor connecting to 150 cities globally. Lowering carbon emissions is a common goal for both companies and increasingly demanded by customers, who sit at the heart of every decision the companies take. The Intra Terminal Vehicles (ITVs) at Jebel Ali Port used at the Terminal where Maersk vessels berth will be converted from diesel ones to electric ones leading to a reduction of around 80% carbon footprint from these vehicles alone.

Mads Skov-Hansen, Head of Ocean Customer Logistics, Maersk West & Central Asia, said:

“In our journey as an integrated logistics provider, we are looking at every opportunity that can create value for our customers. DP World’s Jebel Ali Port has been a strategic partner to us over the last many years, and we have now extended our partnership with a clear focus on improving service delivery to our customers while reducing carbon footprint through our operations together.”

Shahab Al Jassmi, Vice President – Ports & Terminals, DP World UAE, said:

“Jebel Ali’s success has been built on progressive collaboration with partners such as Maersk, enabling us to combine our operational efficiencies and expertise to ensure we deliver the best end-to-end solutions to our customers. This synergy has allowed us to develop a successful ecosystem at Jebel Ali that continues to evolve and adapt to the dynamic markets we operate in. We will embark on this journey together to exceed our customers' expectations.

“Additionally, this collaboration will help us to achieve our goal of cutting CO2 emissions by nearly 700,000 tonnes over the next five years. Achieving this target alone will be challenging, but by working with reliable partners such as Maersk we can accelerate our progress and offer solutions to help our partners achieve their own sustainability goals at the same time.”

In January 2022, DP World entered a strategic partnership with the Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping, an independent, not-for-profit organization launched in 2020 to undertake intensive research and development to find practical ways to decarbonise the global maritime trade industry.

Maersk has the ambition to achieve net zero emissions by 2040 across the entire business with new technologies, new vessels, and green fuels. DP World has committed to becoming a carbon-neutral enterprise by 2040 and net zero carbon enterprise by 2050.

DP World Chairman and Group CEO, Sultan Ahmed Bin Sulayem announced plans in November to invest up to $500 million to cut CO2 emissions from its operations by nearly 700,000 tonnes over the next five years. The reduction in carbon emissions represents a 20% cut from 2021 levels, through electrifying assets, investing in renewable power and exploring alternative fuels