Biofuel and LNG to help Electrolux slash shipping emissions

Swedish home appliance manufacturer Electrolux is set to take its first major step towards sustainable shipping with plans to slash emissions by 15% during 2022, a crucial first step in ensuring its supply chains are greener.

This will be achieved through partnerships with shipping giants Maersk and CMA CGM, who will be using reduced emissions fuels on their fleets.

The former will be using biofuels derived from waste oil while the latter has created a special liquefied natural gas (LNG) blend using biomethane.

Read more: Maersk inks green methanol supply deal with Proman

Electrolux claims as much as 25% of its sea freight will be operating at reduced emissions, although significant steps will need to be taken to slash emissions to meet climate goals.

As many as 80,000 containers are set to be transported using Maersks biofuels, which is made from waste oils such as cooking oil. The firm claims it generates 88% fewer emissions than standard shipping fuel.

"By promoting more sustainable shipping practices, we demonstrate that we are serious about reducing our carbon footprint and working together across industries to drive the market for low-emission fuels," Electrolux's Vice President for Sustainability Vanessa Butani said in a statement.

"We will continue to closely monitor sustainability developments in the shipping industry to identify further opportunities to contribute toward our climate neutrality objective."

The global shipping sector has pledged to become carbon-neutral by 2050 and has called for government support in achieving this. Much of the sector is currently run using carbon-intensive heavy fuel oils which will likely become the first major target for cuts.

LNG is still a heavy emitter but may be necessary to aid in the transition while the industry leaders continue R&D efforts into fields such as increased electrification or hydrogen power.

CMA's blend should lead to a 25% reduction in emissions, it claims.

It will primarily be up to shipping giants to slash emissions to enable their customers to account for emissions outside of their production lines.

These deals place Electrolux in a strong position, being "at the forefront" in terms of raw volume of goods being transported in a more sustainable way, according to the group's COO, Carsten Franke.

"As we continuously contract increasing volumes of biofuel for sea transportation, we are also supporting the overall market development toward more sustainable practices for shipping goods across the world," he added.

Read more: 3 Scottish firms team up to turn whisky into biofuel

“To ensure significant emissions reductions in this decade and to help our customers decarbonize their supply chains, we are offering the most sustainable product available in the market right now," according to Maersk's head of sales and marketing, Kim Pederson.

"To Maersk, achieving net-zero greenhouse gas emissions by 2040 is a strategic imperative. Collaborating with our customers is essential to deliver on our ambitious, mutual climate goals," she added.

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