In 2021, Matson’s energy use and emissions rose, driven by unprecedented demand for maritime transportation and logistics services in the midst of a continuing global pandemic and supply chain disruptions.
Scope 1 emissions increased 17% compared to 2020. This increase was driven by a number of factors, including Matson’s launch of the CCX1 service in June 2021 and additional sailings from China.
In addition, in response to increased demand for Transpacific services, every vessel in Matson’s fleet was actively deployed in 2021. As a result, Matson-owned vessels saw the equivalent of over 600 more operating days in 2021, an increase of approximately 15% from the prior year.
This higher rate of activity increased overall energy use and emissions measured on an absolute basis. Matson also saw a slight increase in Scope 1 emissions from the first-time inclusion of emissions from shoreside operations, which account for 2% of our Scope 1 emissions.
Despite the increase in Scope 1 emissions year over year, Matson remains committed to achieving its 2030 goal. Namely, the company has developed a detailed roadmap to reach this goal that began with the investment of more than $1 billion in four new vessels with multiple environmental features.
The roadmap continues with investments in LNG on the vessels. In November 2021, Matson announced an LNG installation program that includes the following:
- The Daniel K. Inouye LNG install is currently scheduled to begin in the first quarter of 2023 and is expected to last approximately five months. The current estimated total cost of the LNG installation is approximately $35 million.
- Matson plans to start the re-engining of Manukai to operate on LNG and conventional fuels after the Daniel K. Inouye work is completed. The project is expected to last approximately 12 months and cost approximately $60 million.
- Matson has already begun to procure long lead-time items for Daniel K. Inouye and Manukai such as the LNG tanks.