The essential connection between progress and performance in achieving success
Back to newsArdmore Shipping continues efforts toward decarbonization and other environmental and social initiatives, with a deep understanding of the essential connection between progress and performance in achieving success. With Ardmore’s 2022 Sustainability Report now published, Anthony Gurnee, Chief Executive Officer, offers his thoughts on the company’s progress over the last year.
In a year when Ardmore achieved its highest ever profitability amid a surging tanker market, our team’s continuous effort, vigilance, and commitment to our core principles enabled us to reach new heights in both operating performance and sustainability.
At Ardmore, we have long recognized the crucial importance of reducing our environmental impact and supporting the global transition towards a low carbon future. We believe that achieving a balanced energy transition, where the world achieves net-zero while still providing energy security and affordability, is critical to addressing climate change.
Changing tides
In the face of a rapidly shifting regulatory and geopolitical climate, the Ardmore team have achieved outstanding results, demonstrating adaptability as well as relentless focus on both performance and progress – concepts which we recognize as inextricably linked. By recognizing sustainability and ESG issues as core to our success, we are ensuring that Ardmore stays at the vanguard of our industry, driving long-term value creation for all of our stakeholders while continuing to attract the highest calibre of employees to the Ardmore team.
Given the nature of our business and the cargoes that we carry, we accept that the existential challenge at the core of our long-term success is not peak oil or electric cars, but rather in marrying the high principle of the energy transition with the material requirements of energy realism – innovating, adopting, and supporting the practices and solutions that make possible an increasingly obvious and necessary direction for ourselves, our industry, and society at large.
Efficiency is the name of the game
We have taken significant steps to reduce our carbon footprint, including implementing numerous emission reduction projects and embracing the IMO’s carbon intensity targets. In 2022 alone, we have assessed over 100 energy-saving initiatives, of which we ultimately implemented a dozen.
To provide just two examples, we have installed variable speed drives to reduce electrical load and fuel consumption, additionally, we have embraced Yara’s Fuel Optimization technology to control power to the main engine and ensure constant utilization of the most efficient, integrated engine load management systems. We have also taken steps to ensure our significant out performance of incoming emissions and efficiency standards such as the Carbon Intensity Indicator (ClI) and Energy Efficiency Existing Ship Index (EEXI) regulations. Furthermore, we have embraced the EU Emissions Trading System (ETS) to reduce our carbon emissions.
Through these initiatives, we have achieved a 4.5% reduction in carbon emissions since 2019, with 6,230 mt and 1,152 mt of CO2 emissions saved through hull performance monitoring and weather routing respectively.
The power of our people’s passion
It’s important to note that none of the progress we have made would be possible without the wonderful team of people working with Ardmore, both at sea and ashore. They are the engine and the heart of the Company, and we are committed to providing them with a safe, healthy, and inclusive workplace culture. We are especially proud of our safety track-record onboard and can demonstrate Lost Time Injury Frequency rates well below the average of our peer group.
We are committed to providing equal opportunities for all employees and have taken significant steps to address the gender imbalance in the maritime industry. We believe that diversity and inclusivity in every sense are critical to our success, and we have implemented policies and programs to ensure that all employees feel valued, respected, and supported. We understand the competitive advantage provided by diversity of background, experience and thought and look to maximise the benefit of this advantage wherever possibIe. We are also members of the All Aboard Alliance working with like minded companies to collaborate on the development and application of best practices.
The reality of progress
We believe that consistent progress is the key to long-term success when it comes to decarbonization. While history is likely to view this period as one of radical change for humanity’s relationship with carbon, the reality of progress on a day-to-day, month-to-month and even year-to-year basis will be evolution rather than revolution, and we pledge to continue our investment in fuel-efficient technologies and practices to rapidly reduce our carbon footprint.
It is worth reiterating that at Ardmore, our value-creating approach is to combine performance and progress. We believe that consistently superior operating performance is a key driver of long-term value in our business. We are committed to driving our sustainability agenda forward and exceeding the expectations of our stakeholders. We recognize that achieving sustainability is a journey, and we remain dedicated to continuous improvement. We are proud of our progress so far, but we know that there is still much more work to be done. We will continue to invest in sustainable technologies and practices, collaborate with our stakeholders, and operate with professionalism, integrity, and respect.
The full Sustainability Report is available to read, here: https://ardmoreshipping.com/about/progress/