DB Schenker and MSC seal important biofuel deal to help reduce supply chain emissions
DB Schenker is expanding its green ocean freight services and has secured an arrangement to use 12,000 metric tons of biofuel component for all of its own consolidated cargo, less-than-container load (LCL), full-container-load (FCL) and refrigerated containers (reefer containers), from MSC Mediterranean Shipping Company, the world’s largest container line.
The amount of biofuel purchased is enough to save an additional 35,000 metric tons of CO2 equivalents (CO2e) along the entire production chain (well-to-wake) in the market. The equivalent of around 30,000 standard containers (TEU) may be shipped with net-zero CO2 emissions, depending on how the fuel is used during navigation.
The purchase agreement signed this month represents one of the largest carbon insetting biofuel deals between a freight forwarder and a shipping company. It sets out the use of certified sustainable, second-generation biofuels – derived from used cooking oil – instead of conventional fossil-based marine fuel. The 12,000 metric tons of biofuel component will be blended between 20 and 30%, resulting in approximately 50,000 metric tons of blended biofuel to be used in MSC’s container ships. The agreement allows DB Schenker to offer its customers an off-the-shelf product that enables net-zero ocean transport.
Certified emission reduction for customers’ carbon footprint
This partnership is the latest impressive example of DB Schenker’s commitment to clean logistics and is another solid contribution to increasing the demand for alternative fuels in the industry. Similar to net-zero flights using sustainable aviation fuel (SAF), customers can now book regular net-zero ocean transport and receive an annual certificate of their emission reduction for their carbon footprint. The latter means that every metric ton of biofuel is bunkered in addition to any legal mandate and carrier’s set fuel purchase orders.