Shipping companies often transport cargo for multiple clients on a single voyage. This makes it difficult to accurately allocate emissions to each client using traditional methods like the Annual Efficiency Ratio (AER), reports Zero North.
Understanding EEOI
The Energy Efficiency Operational Indicator (EEOI) is a voyage-based metric that calculates emissions per unit of transport work, typically expressed as grams of CO2 per ton-mile. Unlike the Annual Efficiency Ratio (AER), which provides a single annual emissions figure for an entire vessel, EEOI allows for a more granular allocation of emissions based on the specific cargo carried and distance sailed.
EEOI is calculated by dividing the total CO2 emissions from a voyage by the transport work performed, which is the product of the cargo carried (in tons) and the distance traveled (in nautical miles). This approach ensures that emissions are attributed proportionally to the actual transport work done for each charterer’s cargo.
Transport Work Methodology
The ‘transport work’ methodology provides a fair and equitable way to allocate a vessel’s emissions among multiple charterers during a single voyage. It takes into account two key factors: the cargo quantity carried for each charterer and the distance sailed with that cargo on board.
The total transport work for a voyage is calculated by multiplying the sum of the cargo carried (in tons) by the total distance travelled (in nautical miles). This gives the ton-nautical mile transport work for the complete voyage.
To split the emissions, the transport work is calculated individually for each charterer’s cargo and the distance it was carried. This charterer-specific transport work is then divided by the total voyage transport work to determine their proportional share of the emissions.
For example, if Charterer A’s cargo accounted for 40% of the total transport work, they would be allocated 40% of the vessel’s emissions for that voyage. The remaining 60% would be split accordingly among the other charterers based on their individual transport work contributions.
Implementing EEOI
Enabling accurate EEOI calculations and equitable multi-charter emissions splitting requires sophisticated data integration and modeling capabilities within advanced emissions tracking platforms. At the core lies the ability to ingest and synthesize disparate data streams, including:
– Vessel Reports: Periodic reports from vessels containing critical operational data like fuel consumption, distance travelled, cargo details, and more. These reports form the foundation for calculating transport work and emissions.
– AIS Data: Continuous vessel positioning and movement data from the Automatic Identification System (AIS), providing a comprehensive spatiotemporal record of each voyage leg.
– Weather and Environmental Data: High-fidelity weather and environmental datasets covering factors like wind, waves, currents, and sea state. This contextual data is essential for normalizing emissions calculations against varying operating conditions.
By harmonizing these diverse data sources, emissions-tracking platforms can construct a rich, multi-dimensional model of each voyage, laying the groundwork for precise EEOI computations. Sophisticated algorithms apportion emissions proportionally to each charterer’s cargo quantity and distance sailed, effectuating the “transport work” allocation methodology.
Evaluating Emissions Tracking Platforms
When evaluating emissions tracking platforms for their ability to handle EEOI calculations and multi-charter allocation, several key criteria should be considered:
Data Integration Capabilities: The platform should be able to seamlessly integrate data from various sources, including noon reports, AIS data, weather data, and more. This integration is crucial for accurate EEOI modeling, as it requires a comprehensive view of the vessel’s operations, environmental conditions, and transport work.
Emissions Calculation Methodology: Ensure that the platform employs a robust and industry-accepted methodology for calculating EEOI. This should include the ability to accurately determine transport work based on cargo carried and distance sailed, as well as the ability to allocate emissions proportionally to each charterer’s share of the transport work.
Visualisation and Reporting Tools: Look for platforms that offer intuitive visualisation tools to help you understand and analyse EEOI data. Additionally, the platform should provide customizable reporting capabilities that allow you to generate EEOI-based emissions statements tailored to each charterer’s requirements.
Regulatory Compliance: As emissions regulations become more stringent, it’s essential to choose a platform that stays up-to-date with the latest regulatory requirements. The platform should be capable of generating reports that meet the specific reporting standards set by organisations like the EU’s FuelEU Maritime initiative.
Scalability and Flexibility: Opt for a platform that can scale to accommodate your growing fleet and evolving operational needs. Additionally, the platform should offer flexibility in terms of customization options, allowing you to tailor it to your specific business processes and reporting requirements.
User Experience and Support: Consider the platform’s user experience, ensuring that it is intuitive and easy to use for both technical and non-technical users. Evaluate the level of support and training provided by the vendor, as well as their responsiveness to customer inquiries and feedback.
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Source: Zero North
