Norwegian Sets New Targets Towards Zero Emissions

Norwegian Cruise Line Holdings launched an updated climate action strategy with short- and near-term greenhouse gas targets towards achieving net zero by 2050, according to a press release.

“We are proud to further refine and strengthen our climate action strategy and commitments including by setting milestone GHG intensity reduction targets which will guide us on our ambitious pursuit of net zero by 2050,” said Harry Sommer, president and chief executive officer-elect of Norwegian Cruise Line Holdings.

“Every aspect of our business from shoreside to shipboard is responsible for doing their part to design, deliver and demonstrate results for decarbonization and our Board of Directors has reinforced this expectation by establishing shared accountability and tying incentives for our entire management team to this critical effort. We also recently took an important step forward on our pursuit of net zero by announcing the modification of two of our future Prima Class newbuilds to accommodate the use of green methanol in the future.”

The key components of the new targets include reducing greenhouse gas emissions intensity by 10 per cent by 2026 and 25 per cent by 2030. These include emissions from the company’s fleet islands and facilities as well as fuel- and energy-related activities. The new targets serve to support NCLH’s existing strategy for achieving net zero by 2050. 

“We are also activating and mobilizing our full network of team members, ports and destinations, suppliers and partners, and guests to act now and join us on this transformative journey, further amplifying the efforts we could achieve on our own,” added Sommer.

The updated climate action strategy is centred around efficiency, innovation and collaboration. The company continues to invest in systems and technologies aimed at optimizing efficiency, such as HVAC system upgrades and waste heat recovery systems. NCLH is also working on long-term solutions including technologies that help support the ability to operate using green fuels.

The company has already completed tests of biofuel on several ships, using a blend of about 30 per cent biofuel and 70 marine gas. Long term, NCLH is also planning on using green methanol which would result in a drastic reduction in emissions and up to 95 per cent reduction in CO2 and has announced Prima ships five and six will be methanol ready.

Achieving net zero will require collaboration across the company’s network of stakeholders.

“We are encouraged to see the significant progress and momentum across sectors to decarbonize, but fundamental challenges continue to exist for the cruise industry to fully decarbonize by 2050,” said Jessica John, vice president of ESG, Investor Relations and Corporate Communications of Norwegian Cruise Line Holdings Ltd.

“Rather than waiting for these challenges to dissolve, our strategy is about acting now to implement solutions for efficiency today, innovate for future solutions and collaborate with our stakeholders along the way. Underpinning this strategy is good governance and effective risk management as we work to advance our climate action efforts and build our Company’s resilience.”

Carnival Corporation: More Efficient and Sustainable

“Our number one goal is reducing our emissions,” said Bill Burke, a chief maritime officer at Carnival Corporation.

That goal is a 40 per cent reduction in the company’s carbon emissions by 2030 when compared to a 2008 baseline, with carbon levels peaking for Carnival in 2011.

It’s a combination of efficiency and sustainability, Burke said.

That involves not only new efficient ships but finding more efficient equipment for the company’s existing fleet, making sure ships are operated well, meaning the right speeds, with the right engine loads.

“Voyage planning is another area where we are focused,” Burke said. “That sort of thing is ‘free,’ if we can get it right, it’s free savings.”

Burke has his sights set on HVAC system improvements as a key area where the company can save money on fuel and cut carbon emissions.

“The efficiency of the equipment has increased in the last few decades. If we haven’t already, we change out chillers and HVAC equipment,” he said.

One megawatt of savings translates roughly to about $1 million annually in fuel, Burke said.

“It’s then the money we can use for other things … it’s seed money to make ships more efficient.”

New Ships Get Efficient

New ships are generally 20 per cent more efficient per passenger than the last class, and that starts with the hull design, Burke said.

Then it’s a process of looking for the best and most efficient equipment fleetwide, with Carnival Corporate Shipbuilding in the UK focused on the job.

With the new deliveries of the AIDAnova, Costa Smeralda, Carnival Mardi Gras and P&O Iona, Carnival sister brands now have four technically identical new ships on the Carnival XL platform. Expect a lot of note comparing.

“We will compare performance, but a lot of that comes down to the itinerary,” Burke said, noting variables such as the speeds the ships travel at plus climate conditions driving air conditioning use.

Trying to compare performance, the company uses climate zones to normalize energy use when reviewing data.

That data becomes easier to use with ships in port, without a propulsion load, with Carnival now asking its brands to operate on just one generator while in port.

“The brands will make adjustments and we will help them with targeted investments to reduce the hotel load to allow them to first operate on one generator (in port) and then get the load lower. We’ve dropped the electrical load down by several megawatts.”

Ships are compared against each other with adjustments for size and climate conditions, with Carnival using its own port power coefficient to measure power usage by ship while docked.

2030 Goal

By 2030 Burke envisions what he called a green fleet with nearly 20 per cent of Carnival Corporation ships powered by LNG.

“Both LNG and non-LNG ships would get some portion of their fuel from biofuels. Batteries would be on a number of ships for peak shaving and non-LNG ships would operate advanced air quality systems (scrubbers),” Burke said.

Those ships running scrubbers would have wash-water filtration and significantly reduced particulate.

“All ships would have achieved our port power coefficient goals and easily operate in port in all climate conditions on a single diesel generator, indicating efficient port hotel service operations.”

Another project is a single fleet-wide maintenance and procurement system.

“That will allow us to better leverage our scale and remove excess inventory.”

Burke also plans to add more courses to the company’s Arison Maritime Center (CSMART) in the Netherlands.

“In addition to operational team training for our officer core, we do have energy efficiency training and we will expand that.”

Many ships, continued Burke, will have air lubrication systems, adding that around 60 per cent of the fleet will be able to plug into shore power by 2030. Another three-quarter of the fleet will have advanced wastewater purification systems, and all ships will have food waste digesters.

“Our ships will be completely instrumented for measuring the efficiency of our largest power consumptions … you have to be able to measure (consumers) to know how you’re doing.”

Data will result in self-correcting behaviour that will improve operational efficiency, according to Burke, who said the ships will continue to get more sensors and measuring capability.

“We will be well on our way to designing and building our first zero emissions and zero discharge ship … that’s the biggest challenge and we hope our work with LNG will have us well prepared for that next fuel.”