• 2023 November 30 17:14

    64% mull cutting maritime investments amid ESG concerns, reveals Woodrow study

    Some 64% of senior finance professionals in the UK are contemplating reducing their investment in the maritime sector because of Environmental, Social, and Governance (ESG) risks, according to a recent study from Sustainability and communications consultancy Woodrow, according to Offshore Energy.

    The report sheds light on key areas of ESG risk perceived by lenders and investors, including labour rights, climate change and regulatory compliance. It also assesses risk perceptions in specific maritime sectors such as shipping, ports and terminals, and offshore activities like drilling.

    The survey engaged 100 senior finance professionals from various segments of the UK capital markets, including commercial and investment banks, asset managers, development and multilateral banks, as well as private equity firms.

    ESG factors are increasingly instrumental in shaping a company’s financial future. In the maritime sector, issues like poor wastewater management affecting biodiversity, or subpar working conditions on ships, carry potential regulatory repercussions and reputational damage. These are not just ethical concerns but critical factors that investors, lenders, and underwriters are incorporating into their capital allocation strategies.

    Given the capital-intensive nature of maritime activities—ranging from shipbuilding to pioneering new fuel technologies—secure access to financing is crucial, heightening the need for effective ESG risk management.

    Two-thirds (66%) of respondents believe that the maritime sector faces greater ESG-related financial risks compared to other industries. This perception is particularly strong among those managing debt capital (73.5%) and among large institutions with assets under management (AUM) ranging from £10 billion to £100 billion (75%)., the study said.

    Perceptions differ according to the type of financial institution and its exposure to maritime assets. Investment banks were the most concerned (83.3%), whereas multilateral banks and IFIs were less aligned, with only 40% sharing this view. High maritime exposure led to higher concern (69.7%), compared to limited exposure (52.9%), the study finds.

    The report further unveiled widespread skepticism about the maritime sector’s ESG awareness and transparency, with 57% considering the sector less aware and 56% criticizing its transparency. This skepticism is heightened among those handling equity capital—66.7% questioned the sector’s awareness and 64.1% its transparency.

    The type and size of institutions influenced these perceptions. Larger institutions (AUM between £10-£100 billion) generally agreed with these negative views, while smaller institutions (AUM < £1 billion) were less convinced, according to Woodrow.

    Survey participants cited several areas of ESG vulnerability for maritime assets, with worker conditions and safety at 38%, technological disruptions at 34% and climate impact at 33%. Concerns varied depending on the type of capital managed and the level of maritime exposure.

    Equity managers prioritised climate impact (38%), while debt managers focused on biodiversity (41%). Those dealing with hybrid capital expressed most concern about technological disruptions (41%) and water management (44%).

    Among specific maritime industries, Shipping and Maritime Technology & Equipment were viewed as the riskiest, each cited by 17% of respondents. They were followed by Ports & Terminals and Naval & Defence, both at 12%.

    High exposure to maritime assets heightened concerns about Shipping (24.2%), whereas exploratory stages of investment led to increased focus on Maritime Technology (28.6%).




2024 February 25

15:46 Mitsubishi Shipbuilding completes basic design of ammonia fuel supply system for marine engines under development by WinGD
14:33 Final tender for technical support opens for aids to navigation maintenance in Australia
13:18 HII launches Virginia-class submarine Massachusetts at Newport News Shipbuilding
12:07 IMO agrees new guidance for safe transport of plastic pellets on ships
10:25 ​QatarEnergy names the first carrier of its LNG expansion fleet

2024 February 24

15:17 CMA CGM announces RRI03 from North Europe & the Mediterranean to/via USA, Canada & Mexico
14:31 Hanwha Ocean seals $256 million deal to build VLCC pair
12:38 New cable layer joins Boskalis fleet following major conversion
10:33 Port of Rotterdam adopts Green Award verification for new EU shipping sustainability incentives
09:57 MPA selected 11 proposals to advance electric harbour craft designs in Singapore

2024 February 23

15:57 Vitol and EOG Resources enter into long-term gas supply agreement indexed to Brent pricing
13:47 PortNews’ top headlines, Jan 19-26
12:06 BOEM approves construction and operations plan for empire wind’s offshore wind project
10:40 Clear early policy decisions needed to prevent the UK's energy transition stalling, says DNV

2024 February 22

18:04 United Maritime Corporation expands fleet with new bulk carrier
17:42 Euroseas reports Q4 and FY 2023 results
17:16 Scrubber savings up to 13 bln USD amid IMO2020 regulations implementation
16:14 HD Korea Shipbuilding secures 172.4 bln-won order for two LPG carriers
15:51 Baltic Sea Action Plan Fund allocates EUR 1 mln to 10 new environmental projects
15:24 The first Norsepower Rotor Sail funded by German Government to be fitted on Baltrader’s new cement carrier
14:45 HD Hyundai Marine Solution bags deal for LNG carrier re-liquefaction
14:13 Eastern Pacific Shipping partners with bound4blue for first wind-assisted propulsion system installation
13:42 Baker Hughes lands multi-year well construction services contract with Petrobras
13:32 MABUX: Bunker Weekly Outlook, Week 08, 2024
13:20 Unifeeder launches new direct service linking Aruba and Curaçao with Colombia
12:43 The use of Nextlogic at the Port of Rotterdam leads to a 20% reduction in port waiting times
12:21 Vitol Bunkers takes delivery of first biofuel barge in Asia
11:43 Galveston LNG Bunker Port joins SEA-LNG coalition
10:58 Liberian bulk carrier banned from Australian ports
07:39 Container shipper HMM receives an A- score from Carbon Disclosure Project

2024 February 21

18:00 SBM Offshore receives ExxonMobil Ruby Supplier Award for offshore operations
17:25 ZeroNorth and Alpha Ori Technologies close deal to form a new company
17:06 SeaLead and Blue Water Line launch Gulf India Express service
16:34 Auramarine signs agreement with Yiu Lian Dockyards and Guangzhou Jihai Shipping Material for the implementation and uptake of methanol dual fuel systems
16:12 VARO and Orim Energy to scale-up sustainable shipping fuel capabilities
15:34 Biden to sign executive order on US port cybersecurity
15:11 EDGE Group and Fincantieri form joint venture
14:57 Allseas completes infield pipelay scope for BP's GTA LNG project offshore Mauritania and Senegal
14:11 BYD to expand fleet with seven new car carriers by 2025
13:47 Hanwha Ocean sales jumped 52.4 percent on-year to 7.4 trillion won in 2023
13:24 Cavotec signs two-year service agreement with APM Terminals at Port of Tanger Med
12:19 Russian grain exports exceeded 66 million tonnes worth almost $16.5 billion in 2023
11:07 Gasunie and Storag sign agreement for large-scale hydrogen storage in Germany
10:58 Dual-fuel methanol design of offshore wind turbine installation vessel from Yantai receives ABS approval
10:29 NYK places first order with Japanese shipyard for offshore wind industry crew transfer vessel

2024 February 20

18:07 Armada Technologies announces contract with CoolCo for a hull air lubrication installation
17:40 AIDA Cruises launches the largest modernization program in its fleet
17:24 ROVOP partners with Boskalis to deliver integrated subsea solutions throughout the energy industry
16:35 Port of Rotterdam total cargo throughput down 6.1% to 438.8 million tonnes in 2023
15:36 EST-Floattech secures a €4 million investment from 5 investors
15:14 South Korea strengthens export restrictions on Russia and Belarus
14:41 Glander International Bunkering and Asyad Shipping partner for AI-driven sustainable shipping solutions
14:12 Danaos adds two methanol-ready container ships to fleet
13:58 Some stranded Russian Sokol oil cargoes begin to move to China, India
13:35 HD Korea Shipbuilding wins 322.8 bln-won order for 2 ammonia carriers
12:43 RINA approves performance prediction software for wind-assisted ships
10:55 Forth Ports orders two new pilot boats
10:29 HHLA's revenue fell by 8.3 percent to €1,447 million in 2023
09:45 Etihad Credit Insurance partners with DP World Trade Finance
07:51 CMA CGM announces PSS adjustments for shipments from Europe to India, Middle East Gulf, and Red Sea

2024 February 19

18:06 SafeΒulkers adds two more carriers
17:42 Piraeus Port shows resilience to the Red Sea crisis
17:23 Valenciaport container traffic up 11% to 388,366 TEU in Jan 2023
16:47 Sticky situation in UK port after grounded Ukrainian tanker leaked molasses
16:28 EU foreign ministers approve deployment of Red Sea naval mission
15:58 Eidesvik Offshore launches world’s first methanol-powered vessel for subsea and offshore wind
15:39 Equinor signs a 15-year LNG agreement with Deepak Fertilisers
14:23 Jumbo Offshore signs MoU with Sea Horizon Offshore
13:40 Texas LNG selects Gulf LNG Tugs to build, deliver and operate tugboats
13:38 Russian seaports’ January cargo volume fell 6.5% Y/Y to 71 million tonnes (expanded version)