SSI - Closed Loop Materials Management work stream


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The SSI has a vision of a shipping industry that is both profitable and sustainable by 2040.
Closed Loop Materials Management is one of four action plans to kick-start the implementation of our Vision for 2040. This programme will run from April 2012 - September 2013.

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SSI - Closed Loop Materials Management work stream

  1. 1. SSI Closed LoopMaterials Management SSI Closed Loop Materials ManagementSimon Bennett - CNCoEskild Lund Sorensen - Maersk Line
  2. 2. SSI Vision for 2040 Changing to a diverse mix of energy sources, using resources more efficiently and responsibly, and dramatically reducing greenhouse gas intensity Providing safe, healthy and secure work environments so that people want to work in shipping, where they can enjoy rewarding careers and achieve their full potential Transparency and accountability drive performance improvements and enable better, sustainable business decision-making
  3. 3. Background • In a business-as-usual scenario, we have enough iron for 60 years* • up to US$ 2 trillion could be saved through resource- efficient measures across just three sectors – carbon, steel and iron – in the major economies alone** • Current best practice recycling loses high-value materials • How to design ships to enable better recycling and easier recovery of materials used? *World Economic Forum **World Resource Institute
  4. 4. The opportunity • Significantly improving on (already high) levels of recycling • Realising the full value of ships based on accurate knowledge of materials content • Improved supply chain management • Facilitating design for recycling • Complying with regulation – inventory of hazardous materials
  5. 5. Obtain materialRecycling today Manufacturing• Mixing steel types – high tensile with mild steel Assembly• Mixing different materials – copper with steel Operation• Designs that make recycling impossible – spray insulation Disassembly that is impossible to remove Waste / ‘downcycling’
  6. 6. Closing the loop Obtain material• Keep the quality of Material Manufacturing materials pool• Mining of new materials will be reduced to a minimum Disassembly Assembly• Make capital out of the materials, not just currency Operation
  7. 7. Where this has worked before??
  8. 8. Triple-E: Total vessel recycling Click on image to view film
  9. 9. Objectives Short term:1. Develop a system to document and trace Long term:ship building materials 2. Prove the concept Full closed loop materials based on 3+ pilots management system used as standard by ship building and breaking industries
  10. 10. Sep 2012 – Sept• Set-up 2013 • Reporting and consultation on• Consultation with • Pilot projects outcomes industry • Demonstrating a• Refine materials viable MMS management system (MMS) • Demonstrating commercial• Training to use MMS advantages • Broad uptake by the industry & public launch May - Sept 2012 Feb – Sept 2013
  11. 11. Benefits … if we work together• Reduced lifecycle environmental impact• Higher resource availability in the long term• Higher value of materials recovered• Easier to ensure compliance with regulation (HK Convention)• Incentive to ensure responsible recycling• Improved ship designs
  12. 12. Benefits… if we work together• Pilot projects are the basis for demonstrating these benefits• Long-term success requires recyling to be adapted at global scale• More users with collective ownership
  13. 13. Key messages• There is a commercial and environmental imperative to significantly improve recycling• We believe there is commercial advantage to both ship owners and ship recyclers to have effective systems to track materials through the supply chain• Over 18 months we’ll be undertaking pilot projects to test and demonstrate the practicalities and commercial potential of closed loop materials management
  14. 14. Get involved – who and why?We will be consulting widely with the industry:• Recyclers and Brokers who want to help unlock value from the ships they buy• Builders and Manufactures who want to improve supply chain management and sustainability performance• Owners who want to take advantage of improved materials management
  15. 15. SSI Closed LoopMaterials Management SSI Closed Loop Materials ManagementSimon Bennett - CNCoEskild Lund Sorensen - Maersk Line