Dirk Hoffmann

Safmarine Southern Africa

The Transport Forum

Johannesburg

6 August 2015

SUSTAINABLE TRANSPORT:

BLUE IS THE NEW GREEN

Topics

Why Sustainable Transport?

A License to Grow. Responsibly.

A Responsible Business Partner

Enabling Trade and Engaging Communities

Together We Go Places

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The Maersk Group : Company Structure

The Maersk Liner Business

90% of internationally traded goods are transported by sea

SHIPPING ENABLES TRADE AND CREATES OPPORTUNITIES

Decoupling Growth from Emissions – A new, bold CO2 60% CO2

Reduction Target

60% CO2 reduction from 2007 to 2020

40% CO2 reduction to date –8% in 2014 alone!

200 million tons in avoided emissions by 2020

80% MORE VOLUME

40% LESS ABSOLUTE CO2 EMISSIONS

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Being a Responsible Business Partner. Safmarine is a trusted supply

chain partner committed to conducting our business in line with agreed

international principles for responsible business

Anti-Corruption

Responsible procurement

Health & Safety

Human and labour rights

Commodity Governance

Regulatory Compliance

Enabling Trade: Unlocking value for Maersk Group and Society

We have a long tradition for contributing to the communities in which we operate and are committed to supporting causes where we can leverage our unique skills and assets as a global shipping company to make a real difference.

How do we accelerate the positive impacts to generate economic growth and long-term profitability?

Minimum standards to deselect worst performance.

Reward best performance to raise the bar.UNLOCKING THE COMMERCIAL POTENTIAL WILL BE A NEW SUSTAINABILITY DRIVER Transparency as a minimum requirement.

Benchmarking to identify good and bad performance.

LOW IMPACT SHIPPING

Container shipping is the most energy efficient means to move high volumes of goods across long

distances. However, in absolute terms, the impacts of the industry are significant

Maersk Liner Business impacts, 2014: • CO2 emissions: 27.3 million tonnes• SOx emissions: 466,000 tonnes• NOx emissions: 771,000 tonnes• Waste: 286,000 tonnes

WE FOCUS ON LEADING THE INDUSTRY IN

ENERGY EFFICIENCY – it makes great business

sense

• Our new vessels – such as Triple-E -

set new standards on energy

efficiency

• Our existing fleet is being retrofitted

with new technologies

• We optimise our network and vessels

operation

BIG DATA. BIG SAVINGS

We optimise our network and vessels operation (utilisation, speed, performance monitoring and KPI’s)

375+ installed mobile masts give Maersk Liner Business the ability to collect real time vessel performance

data

Our Global Voyage Center in Manila monitors fleet performance 24-7 enabling better fleet management,

delivery times, onboard issue resolution and energy efficiency

IMPLICATIONS OF LEGAL REQUIREMENTS – MORE TO COME

• From January 2015, we have switched to 0.1% S Ox fuels in Emission Control Areas (ECAs) – currently scrubbers and LNG are not feasible solutions.

• SOx impact on health and environment will be reduced by 90%.

• Fuel costs will increase approx. 200 Mio USD/year for Maersk Line.

• We have to implement a separate surcharge to cover the cost of low-sulphur fuel.

• We support the regulation, and call for rigid enforcement, to ensure level playing field

How is Safmarine helping its customers to reduce their footprint?

Industry average

1.346.630 tons CO2

Safmarine

1.076.468 tons CO2

SAVING 20%270.152 tons CO2

In 2014 Safmarine saved its customers 270.152 tons of CO2 versus an industry average carrier

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Thank you