DP World advances sustainability with major green investments and renewable energy achievements

DP World has made significant progress in its sustainability efforts in 2024, sourcing 65% of its electricity from renewable sources, as detailed in its latest Sustainability Report released on Friday. This landmark achievement forms part of the company’s broader commitment to green and low-carbon infrastructure, backed by an investment of $1.17 billion in sustainable projects.

The report highlights DP World’s bold environmental actions, including the allocation of funds from a $1.5 billion green bond raised in 2023. Of this, $1.17 billion has specifically been channelled toward eligible green initiatives such as low-carbon infrastructure, fleet electrification, and renewable energy systems. Additionally, the company made history by issuing a $100 million Blue Bond, the first of its kind from Central and Eastern Europe, the Middle East, and Africa. This Blue Bond targets sustainable marine transportation, port infrastructure, marine pollution control, and projects focused on nature and water positivity, establishing a new standard for sustainable finance within emerging markets.

Sultan Ahmed Bin Sulayem, Group Chairman and CEO of DP World, commented on the progress in the report, stating, “This report reflects a year of real progress. Sourcing 65% of our electricity from renewable sources across the business, being the first corporate to launch a Blue Bond in the region and delivering impact in the communities in which we operate show what’s possible when sustainability is embedded into the heart of the business. This is the result of bold investments, rigorous accountability, and a belief that we can build a future where commerce and climate resilience go hand in hand.”

The company’s sustainability strategy also includes a $15.1 million investment in global initiatives focused on education, skills development, and critical infrastructure improvements in the communities it serves. For example, DP World has contributed to supporting over 255,000 women and girls through community projects, including a partnership with Barefoot College International (BCI) to train solar engineers in rural Senegal, alongside $8.7 million invested in global education projects.

In terms of environmental governance, DP World has enhanced its transparency and ESG (Environmental, Social and Governance) reporting practices. The corporation became the first worldwide to publish a Sustainable Development Impact Disclosure Report across five countries. This move coincides with improved ESG ratings from agencies such as MSCI and EcoVadis and aligns with globally recognised frameworks including the Global Reporting Initiative (GRI) Standards and IFRS S2 Climate standards.

Last year, DP World secured validation from the Science Based Targets initiative (SBTi) for its ambitious carbon reduction targets. The company aims to cut scope 1 greenhouse gas (GHG) emissions by 42% by 2030, compared to a 2022 baseline. It also targets a 62.2% reduction in scope 2 emissions and a 28% reduction in absolute scope 3 emissions within the same timeframe. Since the 2022 baseline, the company has already achieved a 13% reduction in emissions.

Piotr Konopka, Group Vice President for Global Decarbonisation & Energy at DP World, said, “We are delighted to have achieved SBTi validation and we will continue to drive progress in a range of areas, including equipment electrification, renewable energy, efficiency, and low carbon fuels. Furthermore, we look forward to driving increased collaboration through industry-wide initiatives such as green trade corridors and portside electrification as seen with our Zero Emissions Port Alliance.”

DP World also reported a 5% reduction in direct carbon emissions from its global operations in 2022. Alongside this, it has strengthened its ESG governance and risk management, with the launch of an Executive Sustainability Council and integration of ESG into its corporate risk register.

At COP27, DP World announced joining the Green Shipping Challenge and pledged to invest up to $500 million to reduce CO2 emissions by nearly 700,000 tonnes over the next five years. The company has also partnered strategically with the Maersk McKinney Moller Center for Zero Carbon Shipping and participates in the UN Global Compact’s Think Lab on Just Transition.

DP World’s sustainability initiatives have garnered recognition within the supply chain industry, with the company being named the top ESG risk performer by Sustainalytics in 2022 and achieving an A– (Leadership) rating in the CDP Climate Change submission.

The comprehensive report underscores DP World’s integration of sustainability into its business operations and finance, setting new benchmarks in green and social investments while advancing towards substantial emissions reductions and community wellbeing across its global footprint.

Source: Noah Wire Services