DP World and Irena team up to decarbonise ports and maritime logistics sector

Global ports operator aims to achieve net-zero emissions by 2050

DP World has cut carbon emissions from its UAE operations by nearly 50 per cent this year. Pawan Singh / The National

Global ports operator DP World and the International Renewable Energy Agency (Irena) are teaming up to boost the use of renewable energy in the ports and maritime logistics sector.

The agreement focuses on introducing decarbonisation solutions across the sector, DP World said in a statement on Sunday.

“We will leverage our extensive reach and influence to convene the supply chain industry, fostering solutions that resonate not only within our operations but across borders, ensuring a sustainable flow of trade worldwide," said DP World Group chairman and chief executive Sultan bin Sulayem.

DP World, which runs ports across the world, pledged in 2021 to become a carbon-neutral enterprise by 2040 and achieve net-zero carbon emissions by 2050.

It has also set a target of a 28 per cent reduction in its carbon footprint by 2030.

At the Cop27 summit in Egypt last November, the company pledged to invest up to $500 million to cut carbon emissions from its operations over the next five years.

It is already taking steps to cut emissions at its operations globally, with emissions down by 5 per cent in 2022, with a 4 per cent reduction in energy consumption, DP World said.

Carbon emissions from its UAE operations have been cut by nearly 50 per cent this year, with 100 per cent of electricity at the Jebel Ali port coming from renewable sources provided by the local utility provider.

Its long-term strategy involves electrifying operations and exploring low-carbon fuel use and other solutions such as carbon-neutral synthetic natural gas.

Last month, the company raised $1.5 billion in a green sukuk issuance to fund its global decarbonisation projects.

The Islamic bond was oversubscribed 2.3 times amid "strong demand" from global investors and is listed on the Nasdaq Dubai and London Stock Exchange, DP World said.

Proceeds from the sukuk will be earmarked for eligible green projects that include electrification, renewable energy, clean transport and energy efficiency.

"In our race to accelerate a renewables-based energy transition, the maritime sector remains one of the most challenging industries to decarbonise,” Francesco La Camera, Irena's director general, said.

DP World is “spearheading the sector’s shift towards renewables and improvements in energy efficiency across ports and maritime logistics operations", he added.