Maersk heads zero-carbon drive in shipping sector with $84 million research centre

The move would be funded by Maersk's majority owner, the AP Moller Foundation. PHOTO: REUTERS

COPENHAGEN (REUTERS) - The world's largest container shipper, AP Moller-Maersk, will team up with industry majors to set up a research centre in Denmark with the aim of reducing carbon emissions in the shipping industry.

Denmark's Maersk, which aims to be carbon-neutral by 2050, said on Thursday (June 25) the research centre would combine knowledge from industry, academia and regulators towards "decarbonising" the industry by developing carbon-neutral fuel and technologies.

The shipping industry, which carries around 80 per cent of global trade and accounts for around 3 per cent of global carbon emissions, pledged last year to have ships and marine fuels with zero carbon emissions ready by 2030.

The move would be funded by Maersk's majority owner, the AP Moller Foundation, which has donated 400 million Danish crowns (S$84.3 million) towards building the Copenhagen-based research hub set to initially employ 100 people, Maersk said.

Denmark, which has one of the world's most ambitious climate goals of cutting emissions by 70 per cent by 2030, is home to renewable energy majors like wind farm developer Orsted and turbine maker Vestas.

"With this donation, The AP Moller Foundation wishes to support the efforts to solve the climate issue in global shipping," chairman of the foundation's board, Ane Uggla, said.

The centre, which would be an independent non-profit organisation, is founded by shipping firms Maersk and NYK Lines as well as Siemens Energy, MAN Energy Solutions, ABS, Mitsubishi Heavy Industries and trading conglomerate Cargill Inc.

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